Bretton Woods Conference. The
United Nations Monetary and Financial Conference was
held in Bretton Woods, New Hampshire on July 1-22,
1944. The conference resulted in proposals for the
International Monetary Fund (IMF), the International
Bank for Reconstruction and Development trade.businessroundtable.org
(IBRD) and the International Trade Organization (ITO).
Treaties creating the first two institutions were
ratified by the required number of nations and the
institutions began operations in 1946. The ITO was
intended to provide international discipline in the
uses of trade policies but the treaty was not ratified
and the proposal died. (The IBRD eventually grew to
become what we today know as the World Bank.)
General Agreement on Tariffs and Trade (GATT). In
1947, 23 nations signed a comprehensive free-trade
agreement to implement many of the rules and negotiated
tariff reductions that would have been overseen by
the ITO. GATT requires signatory countries to treat
all other signatory countries equally in the application
of tariffs, consult with each other about trade matters,
and attempt to resolve differences through a dispute
resolution process.
GATT entered into force and first round of tariff
reductions completed. While the ITO charter was still
being drafted and debated, the first round of negotiations
was conducted among 23 countries between 1946 and
1948. That first round resulted in 45,000 tariff concessions
affecting $10 billion in trade (about one-fifth of
the world's total trade at that time). The 23 countries
also agreed to accept some of trade.businessroundtable.org
the trade rules of the draft ITO Charter. In order
to accomplish this swiftly, the countries agreed to
a Protocol of Provisional Application of the General
Agreement on Tariffs and Trade. The Provisional Protocol
remained in effect until the 1994 Marrakesh Agreement
established the WTO and incorporated the original
GATT provisions into the GATT 1994 Agreement.
Annecy Round completed. 13 countries agreed to additional
tariff reductions.
Torquay Round completed. 38 countries agreed to additional
tariff reductions.
Fourth Round completed. 26 countries agreed to additional
tariff reductions and set strategy for future GATT
policy toward developing countries and improving developing
country positions as treaty participants.
Dillon Round completed. 26 countries negotiated additional
tariff reductions.
Kennedy Round completed. 62 countries agreed to comprehensive
across-the-board tariff reductions rather than product-by-product
specification as in previous rounds.
Tokyo Round completed. 102 countries agreed to reduce
non-tariff trade barriers and further reduce tariffs
on manufactured goods. GATT system improved and extended.
US-Israel Free Trade Agreement implemented.
US-Canada Free Trade Agreement implemented.
Uruguay Round completed. 123 countries agreed to
create the World Trade Organization (WTO) and replace
the GATT Treaty. The Round resulted in reduced tariffs
on manufactured goods and began extending GATT provisions
to agriculture products. It also resulted in reductions
in export subsidies, import limits and quotas, an
agreement to enforce intellectual property rights
(TRIPS), an agreement to open foreign investment,
and an agreement extending international trade law
to the service sector (GATS).
- North American Free Trade Agreement (NAFTA) implemented.
The WTO comes into existence.
The first WTO Ministerial Conference is held in Singapore.
Disagreements between developed and developing economies
emerged during this conference over investment, trade.businessroundtable.org
competition policy, government transparency, and government
procurement (collectively called the “Singapore Issues”).
Second Ministerial Conference is held in Geneva.
Third Ministerial Conference is held in Seattle.
The conference ended in failure, with massive demonstrations
and riots drawing worldwide attention.
Fourth Ministerial Conference in Doha, Qatar begins
the Doha Round of negotiations.
People’s Republic of China joins the WTO after 15
years of negotiations (the longest in GATT history).
Taiwan joins the WTO under the name “Separate Customs
Territory of Taiwan, Penghu, Kinmen and Matsu.”
US-Jordan Free Trade Agreement implemented.
Fifth Ministerial Conference in Cancun, Mexico. The
G20 (a group of developing countries led by India,
China and Brazil), called for an end to agricultural
subsidies and resisted demands on the Singapore Issues.
The talks broke down without progress.
US-Southern African Free Trade Agreement negotiations
begin.
US-Chile and US-Singapore Free Trade Agreements implemented.
Geneva talks achieve a framework agreement on the
Doha Round. Developed countries will lower agricultural
subsidies, and in exchange the developing countries
will lower tariff barriers to manufactured goods.
US-Australia Free Trade Agreement implemented.
US-Dominican Republic-Central American Free Trade
Agreement approved by US Congress.
Sixth Ministerial Conference in Hong Kong.
US-Peru Trade Promotion Agreement signed.
US-Morocco Free Trade Agreement implemented.
US Bahrain Free Trade Agreement approved by US Congress.
US-Oman Free Trade Agreement approved by US Congress.
US-Colombia Free Trade Agreement signed.
US-Panama Free Trade Agreement negotiations completed.
US-Malaysia Free Trade Agreement negotiations begin.
US-Korean Free Trade Agreement negotiations begin.
WTO approves membership for Vietnam.
|
