Retaliatory Actions and Their Effect on
the U.S. Economy
A trade agreement is only optimally effective if it is properly
implemented and enforced by the parties to the agreement. U.S.
and international trade law provide authority and mechanisms outlining
the procedures used to enforce trade agreements and resolve trade
disputes. In many trade disputes, countries are able to come to
a mutually acceptable agreement on how to resolve the dispute.
When agreement cannot be reached and an unfair trade practice
continues to be applied, under the auspices of international law,
countries may be allowed to retaliate or impose prohibitive duties
on the imports from the country promulgating the unfair trade
The list of products on which a country raises import duties
is called a "retaliation list." Manufacturing and Services'
Office of Trade
Policy Analysis is responsible for developing all U.S. retaliation
lists implemented by the United States Trade Representative. In
addition, OTPA analyzes the economic impact of retaliation lists
implemented by foreign countries against.
For a list of current and past retaliatory actions involving
the United States:
U.S. and International Trade Law
301 of the Trade Act of 1974 provides the United States
with the authority to enforce trade agreements, resolve
trade disputes and open foreign markets to U.S. goods
The Dispute Settlement Understanding, part of the Uruguay
Round Agreement of 1995, established a formal (binding)
dispute settlement process for members to address trade
practices that fail to comply with commitments in the
context of the World Trade Organization (WTO). There have
been over 300 cases brought before panels of the
WTO Dispute Settlement Body since
1995. The United States has been a complainant (brought
the case) in 80 cases and a respondent in 89 cases (as
of October 2005).
to Web sites outside the U.S. federal government or the use
of trade, firm, or corporation names within the International
Trade Administration Web sites are for the convenience of the
user. Such use does not constitute an official endorsement or
approval by the U.S. Commerce Department of any private sector
Web site, product, or service.
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