The Trade Barriers Regulation (TBR):

1
The Trade Barriers Regulation (TBR)

• an instrument aimed at opening markets for EU
  exporters

2
The TBR is

• An instrument at the service of EU enterprises
• To remove obstacles to trade in third country
  markets
• And to exert pressure on the third country by
  lodging a complaint with the Commission which
  investigates the case and makes a public report.
• A successful instrument
• examples of recent cases

3
An instrument at the service of EU enterprises

• In case of trade barriers with an effect on
  exports, a complaint can be lodged by
• one or more EU company/ies
• A trade association
• An EU Member State
• Examples
• Volkswagen - Columbia, discriminatory VAT
• Scotch Whisky Association - Uruguay, tax
  discrimination

4
An instrument at the service of EU enterprises

• In case of trade barriers with an effect on the
  EU market, a complaint can be lodged by
• The Community Industry or an EU Member State.
• So far, no TBR case has fallen in that category.
  Distortions on the EU market are normally best
  addressed through the antidumping and
  countervailing duty instruments.

5
To remove obstacles to trade in third country
markets

• Examples of trade barriers
• Tax discrimination and other discriminatory
  rules, incl. prepayment of taxes, minimum or
  maximum price regulations, internal regulations
  of sale and transport of goods
• Burdensome customs formalities, incl. valuation
  of goods, fees connected with import/export

6
To remove obstacles to trade in third country
markets

• Examples of trade barriers
• Restrictions on trade in services, incl.
  discrimination and market access limitations
• Violation of intellectual property rights, incl.
  lack of data protection/exclusivity for
  pharmaceuticals, lack of protection of
  geographical indications for food, wine and
  spirits
• Technical regulations, sanitary and phytosanitary
  measures
• Subsidies to industry in the third market

7
To remove obstacles to trade in third country
markets

• Complaints can be addressed only at obstacles to
  trade which are contrary to international
  obligations (mainly WTO rules).
• A complaint in order to be considered admissible
  must contain sufficient evidence of the obstacle
  to trade and of the injury or adverse trade
  effects resulting therefrom.
• The complainant will therefore have to evidence
• The existence of the measure
• The evidence that the measure is contrary to
  international obligations (right of action)
• The evidence of adverse trade affect or injury
  caused by the measure.

8
To Exert pressure on the third country

• By lodging an admissible complaint published in
  the OJ
• By Commission negotiating with the authorities
  during the investigation
• By Commission issuing a report to the Member
  States (and on the Internet)
• By Commission threatening to initiate dispute
  settlement proceedings (notably in the context of
  the WTO)

9
Success Stories

• Uruguay/Whisky case
• Negotiated solution found during the
  investigation. The complaint was lodged in
  September 2004 and the trade barriers removed in
  July 2005.
• Trade barrier Tax discrimination excluding EU
  whisky from the lowest taxation bracket
• This particular tax discrimination was introduced
  in 2000, but discrimination against all EU wines
  and spirits existed since the 1990s.
• The Commission sought the removal of this trade
  barrier already in the course of the 90s through
  negotiations. But the TBR complaint led to a
  decisive breakthrough.

10
Success stories

• Turkey/Pharmaceuticals case
• Obstacles to trade incl. lack of transparency,
  discriminatory application of pharmaceutical
  imports, discrimination in pricing and
  pharmaceutical marketing approvals procedures
• The complaint was lodged in October 2003. The
  Turkish authorities adopted a new Regulation for
  licensing of pharmaceuticals in January 2005
• Achievement improved conditions on data
  exclusivity.

11
Contact

• For an initial assessment of your case, you may
  contact the Market Access Unit of DG Trade.
• export-help_at_cec.eu.int
• For more information on the TBR, please consult
  our website
• http//europa.eu.int/comm/trade/issues/respectrul
  es/tbr/index_en.htm
• Or call us 32 2 292 10 95