1. WTO AND ROAD TRANSPORT WHERE DO WE STAND? Pierre Latrille, WTO

2. WTO I/II FOUNDED 1995, REPLACED THE 1947 GATT 148 MEMBERS AND 36 COUNTRIES IN THE PROCESS OF ACCESSION ADMINISTERS AND EFFECTIVELY ENFORCES A SET OF BINDING RULES ON TRADE IN GOODS, (INCLUDING AGRICULTURAL ONES) IN SERVICES AND INTELLECTUAL PROPERTY

3. WTO II/II BASED ON NATIONAL TREATMENT, MOST FAVOURED NATION CLAUSE, BINDINGS AND DISPUTE SETTLEMENT FUNCTIONS BY CYCLES OR “ROUNDS” OF NEGOTIATIONS PRESENTLY “DOHA DEVELOPMENT AGENDA” LAUNCHED NOVEMBER 2001 AND ON THE WAKE OF A DECISIVE MINISTERIAL CONFERENCE IN HONG KONG IN DECEMBER 2005

4. DOHA DEVELOPMENT AGENDA WHY BOTHER? –GOOD OUTCOME => LESS CUSTOMS DUTIES => MORE TRADE => MORE TRANSPORT –GATS AND ROAD TRANSPORT –GATT AND TRADE FACILITATION

5. WTO and land/auxiliary transport GATS commitments: -Guarantee the conditions of operation of foreign services suppliers at a certain negotiated level of market access and national treatment - Ensure that this level cannot be deteriorated -Make this level available as a minimum to all WTO Members -Are subject to periodic negotiations with a view to improve them

6. TRANSPORT AND THE DDA ROAD TRANSPORT cross-border supply: (mode 1), i.e. normal cross-border transport, consumption abroad (mode 2), the freedom of shippers of country A to use road transport services within country B for their merchandise

7. TRANSPORT AND THE DDA ROAD TRANSPORT commercial presence (mode 3), which the right to set up any type of business to supply the service abroad (e.g. setting up a transport company in another country), the presence of natural persons (mode 4), i.e. the temporary movement abroad of individuals to provide a service (e.g. a transport consultant or trainer rendering services abroad).

8. TRANSPORT AND THE DDA ROAD TRANSPORT STARTING-POINT : 36 UR COMMITMENTS 13 ACCESSION COMMITMENTS OVER 40 MFN EXEMPTIONS A SECTOR THAT HAS NEVER BEEN NEGOTIATED IN ISOLATION OR IN DEPTH A SECTOR TRADITIONALLY PERCEIVED AS POLITICALLY SENSITIVE (TRUCKING: MODE 1, TAXIS LICENCES, PUBLIC SERVICES IN URBAN TRANSPORT…)

9. TRANSPORT AND THE DDA ROAD TRANSPORT (cont’d) OFFICIAL MULTILATERAL SCENE: –ONLY 2 NEGOTIATING PROPOSALS (+1 ON AUXILIARY SERVICES) CENTRED ONLY ON TRUCKING AND NOT VERY AMBITIOUS –NEARLY NO DEBATE

10. TRANSPORT AND THE DDA ROAD TRANSPORT (cont’d) PLURILATERAL/BILATERAL SCENE: –NO “FRIENDS” GROUP –NO INFORMATION ON REQUESTS –PROFESSIONAL ASSOCIATIONS INTERESTED, PROFESSIONALS LESS SO –CONCESSIONS QUESTIONS (FOR URBAN TRANSPORT) NOT ADDRESSED –ONE OF THE SUBJECTS IN THE ACCESSION OF RUSSIA

11. TRANSPORT AND THE DDA ROAD TRANSPORT (cont’d) POSSIBLE PARAMETERS FOR THE FINAL EQUATION: –MODE 3 FOR TRUCKS AND COACHES IS PROBABLY THE LESS POLITICALLY SENSITIVE AND THE MORE ECONOMICALLY USEFUL COMMITMENT –IT IS UNCLEAR IF THIS IS THE OPINION OF THE VARIOUS NEGOTIATORS

12. TRANSPORT AND THE DDA ROAD TRANSPORT (cont’d) POSSIBLE PARAMETERS FOR THE FINAL EQUATION (Cont’d): –SO FAR ROAD TRANSPORT IS DISCUSSED ELSEWHERE: THAN GATS WITHIN WTO:FACILITATION UNDER GATT THAN WTO:NAFTA, EU ENLARGEMENT ECMT, EC-RUSSIA PCA...

13. Articles V, VIII and X Main obligations GATT 1994 TRADE FACILITATION

14.  Each Member shall grant freedom of transit −for goods (including baggage), vessels and other means of transport crossing its territory −via the routes most convenient for international transit −with no distinction based on (i) flag of vessel, (ii) origin, (iii) departure, (iv) entry, (v) exit, (vi) destination, or (vii) ownership of goods, vessels or other means of transport Legal framework Article V

15.  Prohibition to −Make such traffic in transit subject to any unnecessary delays or restrictions −Impose customs duties, transit duties or other charges imposed with respect of transit  (Except in cases of failure to comply with applicable customs laws and regulations):  except (i) charges for transportation, or (ii) those commensurate with administrative expenses entailed by transit, or (iii) with the cost of services rendered Legal framework Article V

16.  All charges and regulations imposed on traffic in transit shall be −Reasonable, having regard to the conditions of the traffic Legal framework Article V

17.  MFN treatment for traffic in transit −With respect to all (i) charges, (ii) regulations, and (iii) formalities  Interpretative note: With respect to transportation charges, MFN requirement refers to like products being transported on the same route under like conditions Legal framework Article V

18.  All fees and charges imposed on or in connection with importation or exportation (other than imp./exp. duties and taxes within the purview of Article III) must −be limited in amount to the approximate cost of services rendered −not represent an indirect protection to domestic products −not represent a taxation of imports or exports for fiscal purposes Legal framework Article VIII

19.  No imposition of substantial penalties for minor breaches of customs regulations or procedural requirements; In particular, no penalty for omission or mistake in customs documentation that is easily rectifiable and made without fraudulent intent or gross negligence beyond the necessary to serve as a warning Legal framework Article VIII

20.  Upon request by another Member, or relevant WTO body, each Member has to review the operation of its laws and regulations in the light of the provisions of Article VIII Legal framework Article VIII

21.  Recognition of the need for - reducing the number and diversity of fees and charges - Minimizing the incidence and complexity of import and export formalities and for decreasing and simplifying import and export documentation requirements Legal framework Article VIII

22.  Requirement to - Promptly publish all trade regulations in such a manner as to enable governments and traders to become acquainted with them  Does not require disclosure of confidential information which would (i) impede law enforcement, (ii) be contrary to public interest or (iii) would prejudice legitimate commercial interests Legal framework Article X

23.  No enforcement of a measure of general application prior to its official publication Legal framework Article X

24.  Uniform, impartial and reasonable administration of trade regulations Legal framework Article X

25.  Maintain or institute, as soon as practicable, tribunals or procedures for the prompt review and correction of administrative action relating to customs matters - Tribunals/procedures must be independent from enforcement agencies Legal framework Article X

26.  Shortcomings claimed by a number of WTO Members  Claimed shortcomings

27.  Insufficient specificity of certain requirements  Lacking clarity and precision Claimed shortcomings

28.  Aspirational character of certain requirements  Lacking operationality  Lack of commitments Claimed shortcomings

29.  Lacking enforceability Claimed shortcomings .. and therefore also lacking sustainability of measures

30.  Lacking transparency and predictability  Insufficient notification and publication requirements  Large degree of discretion of authorities Claimed shortcomings

31.  Absence of requirements for cooperation and coordination amongst the various stakeholders  Inefficiencies caused by the lack of coordination and cooperation requirements Claimed shortcomings

32.  Excessive fees  By suffering from those deficiencies, the Articles do not adequately address persisting problems like  Excessive and cumbersome data and documentation requirements  Inefficiencies caused by lacking coordination/communication and non- transparent procedures … Claimed shortcomings  Long clearance times

33. Part 5  Proposed ways to overcome them

34. Proposed ways to overcome them  Suggestions made by WTO Members on how to improve and clarify GATT Articles V, VIII and X

35.  Simplification  Harmonization  Non-discrimination  Enhanced coordination & cooperation  Enhancement of transparency and predictability  Reduction of requirements  Streamlining of procedures Proposed ways to overcome them