- published: 03 Feb 2012
- views: 1348272
In international law a safeguard is a restraint on international trade or economic development to protect communities from development aggression or home industries from foreign competition.
In the World Trade Organization (WTO) system, a member may take a safeguard action, such as restricting imports of a product temporarily, to protect a domestic industry from an increase in imports causing, or threatening to cause, injury to domestic production.
In the United Nations Framework Convention on Climate Change, safeguards are intended to protect indigenous peoples and other local communities with traditional knowledge of natural resource management, within efforts towards reducing emissions from deforestation and forest degradation.
The WTO and UNFCCC concepts are related within international law.
With UNFCC processes, safeguards became of concern in the second decade of the 21st century.
Within the WTO, safeguard measures were available under the General Agreement on Tariffs and Trade (GATT) (Article XIX). However, they were infrequently used, and some governments preferred to protect their industries through “grey area” measures (“voluntary” export restraint arrangements on products such as cars, steel and semiconductors). As part of the WTO deal, members gave up these “grey area” measures and adopted a specific WTO Safeguards Agreement which disciplines the use of safeguard measures.
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