The Closed-List Feature of Article XX GATT

This text discusses the closed-list feature of Article XX GATT, which allows for certain exceptions to the national treatment principle. The text argues that the closed-list feature is desirable, as it prevents countries from using questionable policy rationales to justify less favorable treatment of imported products.

Questions

• What is the closed-list feature of Article XX GATT?
• Why is the closed-list feature desirable?
• What are some of the additional requirements imposed by Article XX GATT?

Answers

• The closed-list feature of Article XX GATT is a list of exceptions to the national treatment principle. These exceptions include measures necessary to protect public health, protect human, animal or plant life or health, and conserve exhaustible natural resources.
• The closed-list feature is desirable because it prevents countries from using questionable policy rationales to justify less favorable treatment of imported products. For example, a country could not argue that a luxury tax is necessary to protect domestic industries, as there are other, more symmetric instruments that could be used to achieve this goal.
• Some of the additional requirements imposed by Article XX GATT include the requirement that the measure be “necessary” to achieve the stated objective, and the requirement that the measure not be “arbitrary or discriminatory.”