WORLD TRADE  
ORGANIZATION  TN/MA/W/97 
11 December 2007 
 (07-5497) 
Negotiating Group on Market Access Original:   English 
  
 
MARKET ACCESS FOR NON-AGRICULTURAL PRODUCTS 
 
Sectoral Negotiations in Non-Agricultural Market Access (NAMA)
 
 
Communication from Canada; European Communities;  Hong Kong, China; Iceland; Japan; Korea; 
New Zealand; Norway; Oman;  the Separate Cu stoms Territory of Taiwan, Penghu, Kinmen and 
Matsu; Singapore; Switzerland; Thailand; the United Arab Emirates; and  the United States 
 
 The following communication, dated 11 December 2007, is being circulated at the request of 
the delegations of Canada; European Communities;  Hong Kong, China; Iceland; Japan; Korea; New 
Zealand; Norway; Oman;  the Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu; 
Singapore; Switzerland; Thailand; the United Arab Emirates; and  the United States. 
 
_______________ 
 
1. Paragraph 7 of Annex B of the Decision a dopted by the General Council on 1 August 2004 
recognises the importance of the sectoral tariff component as another key element to achieving the 
objectives of paragraph 16 of the Doha Ministerial Declaration.  2. The sectoral initiatives shall aim to reduce, ha rmonize or as appropriate eliminate tariffs, 
including the reduction or elimination of tariff peak s, high tariffs and tariff escalation, over and above 
that which would be achieved by the formula modality , in particular on products  of export interest to 
developing Members.  3. At Hong Kong Ministerial Conference, Minister s instructed Members to “review proposals 
with a view to identifying those which could garner  sufficient participation to be realized” based on 
participation on a non-mandatory basis. 
 
4. The sectoral initiatives currently  proposed are, as mentioned in the Chair’s draft NAMA 
modalities (JOB(07)/126): “automotive and related pa rts; bicycle and related parts; chemicals; 
electronics/electrical products; fish and fish products ; forest products; gems and jewellery; hand tools; 
open access to enhanced health care;  raw materials;  sports equipment; toys; and textiles, clothing and 
footwear.”   
 5. For Members’ quick reference, Annex A provid es a summary of the papers which have been 
submitted on the above-mentioned sectoral initiatives.  This summary is a revision of that found in 
TN/MA/W/8/Add.2, circulated in February 2 007, and reflects the progress made to date.   
 
6. We wish to underscore the importance of th e sectoral tariff reduction component in the 
NAMA and wider DDA negotiations.  We will be in tensifying our negotiations with Members, 
particularly our substantive trade partners, on this  component.  We reiterate that we are open to 
discussions with all interested Members.  These di scussions would continue to focus on: defining the 
critical mass which may include the share of worl d trade and level of participation of competitive 
producers; the scope of product coverage; the implementation period for tariff reduction or 
elimination; and special and differential tr eatment for developing-country participants. TN/MA/W/97 
Page 2  
 
  7. The co-sponsors request that paragraph 12 of the Chair’s draft NAMA modalities 
(JOB(07)/126) be revised to change the deadline for Members to indicate their intent to participate in 
sectoral agreements from establishment of modalities (EOM) plus one month to EOM plus two months.  
8. On 7 June 2007, the NAMA Chair provided Me mbers with a timeline for the preparation and 
verification of schedules.  According to this time line, Members have three months from the EOM to 
prepare their comprehensive draft schedules.  Memb ers who are requesting Secretariat assistance in 
the preparation of their schedules will advise the Secr etariat of which flexibilities they intend to utilize 
at EOM plus two months. 
 
9. Several sectoral proponents developed a timeta ble for incorporating the outcomes of sectoral 
negotiations into Members’ schedules based on the Secretariat timeline. Accordingly, we proposed 
that Members notify the Secretariat and sectoral propone nts of their intent to participate at EOM plus 
two months if the Secretariat is responsible for preparing their schedules.  The EOM plus two month 
period aligns with the deadline for selecting flexib ilities and allows Members to consider both sectoral 
participation and flexibility together.  This two m onth period also provides Members sufficient time to 
secure the critical mass necessary to complete their sectoral tariff agreements.  10. This communication, including its Annex, is without prejudice to the negotiating positions of 
its individual co-sponsors with regard to any of the sectoral initiatives .  
   TN/MA/W/97
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Annex A :  Summary of Papers Tabled on Sectoral Tariff Initiatives  
 
Sector 
 Document Co-Sponsors Product Coverage Modality for Tariff 
Reduction S&D Treatment1 Notes 
Automotive 
and Related Parts Sector  JOB(06)/87
2 Japan Automotives 
HS 870321, 870322, 870323, 870324, 
870331, 870332, 870333, 870390  
Related Parts 
Products almost exclusively used for 
manufacturing automobiles are picked out and proposed from Chapters 40, 68, 70, 73, 83, 84, 85, 87, 90, 91, 94 (please refer to Attachment 2 of the JOB document for a 
complete list) End rate : zero 
 Critical Mass : 
99 percent of global trade for automotives 
98 percent of global trade for 
related parts  Staging :  
Equal annual instalments, 
starting after the completion 
of general tariff cuts by formula Staging period: [5] years. For example, if 
implementation of formula 
cuts is to be completed within [4] equal annual instalments, then total period for tariff elimination shall be 
[4] plus [5] years. 
  Possible options might 
include: 
For Automotives
(i) Longer staging period 
(plus up to [6] years at the 
discretion of developing 
Members taking this option) 
(ii)Exceptions to equal 
annual instalment: how to arrange instalments should 
be at the discretion of the 
developing Member which chose this option 
(iii)Zero for X (0 < X < end 
rate by general formula cut 
for developing Members; 
may be applied to only limited number of tariff lines or all of the tariff lines.) 
For Related parts
(i) Longer staging period 
(plus up to [3] years at the discretion of developing Members taking this option)  
(ii)Exceptions to equal 
annual instalment: how to 
arrange instalments should be at the discretion of the developing Member which  
                                                      
1 Not applicable to developed countries. 
2 13 April 2006.  
  TN/MA/W/97 
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Sector 
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chose this option
(iii) Zero for X (0 < X < end rate by general formula cut for developing Members; 
this exceptional treatment is 
for limited number of products of not more than [10]% of the developing Member’s import volume.) 
Bicycle and Related Parts TN/MA/W/84
3 Japan; Singapore; 
Switzerland; the Separate Customs Territory of Taiwan, 
Penghu, Kinmen, and 
Matsu; and Thailand  HS 401150, HS 401320 
Ex 6506.10 (Bicycle helmets) Ex 731511 (roller chain of a kind used on bicycles) 
Ex 732020 (stainless steel spring for 
bicycle valve inside core use) Ex 830610 (Bells for bicycles) Ex 848180 (valves, inner-tube, for bicycles) HS 851210 
Ex 851290 Parts of lighting or visual 
signalling equipment of a kind used on bicycles HS 871200, HS 871491 HS 871492, HS 871493, HS 871494, 
HS871495, HS 871496 
Ex 871499 (other parts and accessories of bicycles and other cycles, not motorized) Ex 871640  Other trailers and semi-trailers 
for bicycles 
Ex 871690 Parts of other trailers and semi-
trailers for bicycles End rate : zero 
 Critical Mass : no less than 
[90] percent of the world 
trade in bicycles and related 
parts.  Staging: the participant shall 
implement the tariff 
elimination over [five] years 
in equal instalments, or the final implementation period for general tariff reductions by formula, whichever is 
shorter. Possible options might 
include: 
- Longer implementation 
period 
- Harmonization levels for 
certain products 
  
Chemicals TN/MA/W/58 
 Canada; Japan; 
Norway; the Separate 
Customs Territory of Taiwan, Penghu, Kinmen, and Matsu; Singapore; 
Switzerland; and the 
United States  HS Chapters 28 - 39  Possible options might 
include: : 
- Longer implementation 
periods for all chemical products 
- Different implementation 
periods in certain 
products/sub-sectors 
- Zero for “x” 
- Participation in certain 
sub-sectors  
                                                      
3 5 April 2007.  
   TN/MA/W/97
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 TN/MA/W/724 Canada; Norway; The 
Separate Customs Territory of Taiwan, Penghu, Kinmen, and 
Matsu; Singapore; 
Switzerland; the United States   HS Chapters 28-39 
One member proposed the addition of semi-processed rubber (HS 4002-4008) to the product coverage 
 End rate:  zero 
 Implementation period : 
Immediate tariff elimination 
 
 (a) CTHA Developing-
Country Participants  may 
elect to eliminate chemical duties based on the following 
two-step process: (i)  Each 
Member must first fulfil CTHA harmonization according to its previously negotiated staging schedule 
and CTHA end rates (refer to 
table A in proposal).  (ii) Then, after the CTHA rate has been attained,  the Member must eliminate its 
bound tariffs in 5 equal, 
annual instalments.  
(b) Developing Members 
that are not CTHA 
participants  may elect to 
eliminate chemical duties 
according to a staging schedule no less ambitious than what was agreed to by the CTHA (as reflected in 
table B in the proposal).   S&D 
modalities evolving in positive 
manner as a 
result of feedback from ongoing consultations 
with 
prospective co-sponsors.  
Electronics/ 
Electrical TN/MA/W/59 
TN/MA/W/59/Add.1 Japan; Korea; 
Singapore; Thailand 
and the United States Product coverage s hould be wide-ranging 
and simple for Members to implement.  
Broad product coverage that would include 
a significant range of products, potentially including information t echnology, electrical 
equipment and machinery, semiconductors, audio visual products and consumer 
electronics  Possible options might 
include : 
- Longer implementation 
periods 
- Different implementation 
patterns for different product groups or sectors 
- “Zero for X” 
- Participation in a smaller 
number of products  
 TN/MA/W/695 
 Hong Kong, China; 
Japan; Korea; 
Singapore; Thailand and the United States   Initiative should cover a broad range of 
products, such as information technology 
products, audio-visual products, home electrical appliances, office machines and other electrical/electronic equipment.   End rate :  zero. 
 
Implementation period:   
same as standard NAMA 
implementation period (to be Possible options might 
include: 
 
(i) Longer 
implementation periods for  
                                                      
4 15 May 2006. 
5 28 April 2006.  
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Totally new products which have emerged 
after the ITA such as  multi-chip packages 
(MCPs) should also be covered.  Precise product coverage to be elaborated further. agreed) 
 Staging : Equal annual 
installments. (equal steps 
each year) specific tariff lines up to a 
certain trade value share of the total product coverage. 
 
(ii) Zero for X: As a 
limited exception, tariff rate of [X]% may be maintained for specific tariff lines up to a certain trade value share of 
the sectoral product 
coverage, if the tariff rate after tariff reduction in accordance with the general modalities is above [X]%. 
 JOB(06)/84/ Rev.16 
 Japan; Hong Kong, 
China Illustrative Product List    
Fish and fish 
products TN/MA/W/63 
JOB(06)/132 JOB(06)/132/Add.1
7 
TN/MA/W/63/Add.1 JOB(06)132/Add.2 
JOB(06)/132/Add.3 
JOB(06)/132/Add4 Canada; Hong Kong, 
China; Iceland; New Zealand; Norway; Oman; Panama; Singapore Thailand 
and Uruguay. HS 03, HS 0509, HS 0511.91, HS 1504.10, 
HS 1504.20 Ex HS 1603 (juices and extracts of meat and fish) HS 1604, HS 1605, HS 2301.20 End rate : zero 
 
Critical mass : [90] percent 
of world trade 
 
Implementation : For 
developed country participants, en try-into-force 
of DDA commitments.  Possible options might 
include: 
- Longer implementation: 
implement tariff reductions in [four] equal 
rate reductions 
- Zero for x: choose up to 
[y] percent of tariff lines to bind at not more than [x] percent  
- Additional flexibility in 
cases of extreme sensitivity: choose one 6 digit sub-heading to bind at not more than [10] 
percent. 
 Full draft 
modalities are in the final stages of development.  
These 
modalities will identify values for [x] and [y] which co-
sponsors 
believe will allow developing countries to 
address 
sensitive lines in this sector. 
Forest Products TN/MA/W/64 Canada; Hong Kong, 
China; New Zealand; Thailand and the United States HS Chapters 44, 47, 48, and 49, and 
additional products in Chapter 94 (e.g. some furniture items and pre-fabricated buildings)  Possible options might 
include : 
- Varied  implementation 
period periods to accommodate different 
needs 
- Zero for X (some  
                                                      
6 30 June 2006. 
7 22 May 2006.  
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Reduction S&D Treatment1 Notes 
Members eliminate tariffs 
while others reduce and harmonise them) 
- Limited product 
exemption 
- Participation credits (if 
this is agreed as part of the modalities for the formula) 
 TN/MA/W/75 
JOB(06)/1288 Canada; Hong Kong, 
China; New Zealand; Singapore; Thailand and the United States 
 Chapters 44, 47, 49, products made of 
wood in Chapter 94 (to date, members have proposed HS  9401.61, 9401.69, 9403.30, 9403.40, 9403.50, 9403.60, 9403.80 and 
9406.00) 
 End rate :  Zero 
 Critical mass : Interested 
members have defined 
critical mass as 90 percent of 
world trade  Implementation : As soon as 
possible and no later than 
dates specified in the 
modalities for implementing formula reductions  Possible options might 
include:  
(a) Longer implementation 
periods for a specific number 
of tariff lines up to a maximum level of trade. 
 
 
(b) Zero for X:  Participants 
will decide whether it is appropriate for developing-country Members to reduce and harmonize their tariffs 
rather than eliminating them. 
Participants will decide whether this provision could apply to the full product coverage or to specified 
lines. 
 (c) Limited Product Exemptions:  To date, participants have urged as 
comprehensive a product 
coverage as possible, and therefore they generally support modalities such as longer implementation 
periods or “zero for x” rather 
than product exemptions. Nevertheless, it will be up to all participants in the  
                                                      
8 19 June 2006.  
  TN/MA/W/97 
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Sector 
 Document Co-Sponsors Product Coverage Modality for Tariff 
Reduction S&D Treatment1 Notes 
agreement to decide whether 
this provision could be used. 
Forest 
Products  Canada; Hong Kong, 
China; New Zealand; 
Singapore; Switzerland;  Thailand and the United States 
 Chapters HS 44, 47, 48, 49, 9401.61, 
9401.69, 9403.30, 9403.40, 9403.50, 
9403.60, 9403.80 and 9406.00 End rate :  Zero 
 
Critical mass : [90] percent 
 Implementation : 
Developed country 
participants will eliminate 
tariffs on the product coverage on 1 January of the year following the entry into force of the DDA 
result. 
 Developing country participants will eliminate tariffs on the product 
coverage in four equal rate 
reductions. The first reduction will be implemented on 1 January of the year following entry 
into force of the DDA 
results and each successive reduction shall be made effective on 1 January of each of the following years.  Developing country 
participants may apply the 
following flexibilities: 
 
1. choose up to [4] percent of their national forest product 
tariff lines to bind at not 
more than [4] percent provided they do not exceed [4] percent of the total value of a Member’s forest product 
imports; and 
 2. choose up to [4] percent of their national forest product tariff lines to implement their 
tariff reductions in seven 
equal rate reductions. The first reduction will be implemented on 1 January of the year following entry into 
force of the DDA results and 
each successive reduction shall be made effective on 1 January of each of the following years. 
 
3. [Other S&D proposals may be considered.]  
 Since the 
issuance of 
TN/MA/W/75, Switzerland has joined the list of co-
sponsors. 
 Full draft modalities are in the final 
stages of 
development.  These modalities will identify the 
implementation 
periods for both developed and developing Members as 
well as the 
specific flexibilities co-sponsors 
believe will 
allow developing countries to address 
sensitive lines 
in this sector. 
Gems and Jewellery TN/MA/W/61 
TN/MA/W/61/Add.1 
TN/MA/W/61/Add.2
9 Hong  Kong, China; 
Japan; the Separate 
Customs Territory of 
Taiwan, Penghu, Kinmen, and Matsu; Singapore; Switzerland; Thailand 
and the United States Articles under Chapter 71 of the HS, which 
includes pearls, diamonds, precious stones, 
synthetic stones, silver, gold, platinum, and 
other articles of the products aforementioned, jewellery, imitation jewellery, and coin. End rate : zero 
 
Critical mass: interested 
Members have proposed  90% of  WTO’s Members’ trade  Possible options might 
include: 
 
A three-step staging for 
certain sensitive products   Step 1 - Reduce the bound 
tariffs of those specific  
                                                      
9 24 June 2006.  
   TN/MA/W/97
 Page 9Sector 
 Document Co-Sponsors Product Coverage Modality for Tariff 
Reduction S&D Treatment1 Notes 
 products to [Y]% or to the 
post-formula values, whichever is the lower, over [Z
1] years in equal 
installments. 
  Step 2 - Maintain  the rate(s) in Step 1) for [Z
2] years 
 
Step 3 - Eliminate the tariffs 
 [Others] 
Hand Tools 
 JOB(06)/9810 The Separate 
Customs Territory of 
Taiwan, Penghu, Kinmen, and Matsu 820110, 820120, 820130, 820140, 820150, 
820160, 820190, 820210, 820220, 820231, 
820239, 820240, 820291, 820299, 820310, 820320, 820330, 820340, 820411, 820412, 820420, 820510, 820520, 820530, 820540, 820551, 820559, 820560, 820570, 820580, 
820590, 820600 
 End rate : zero 
 
Critical mass :  no less than 
[90] percent of world trade   Implementation  over [ ] 
years in equal instalments. Possible options might 
include: 
- Longer implementation 
period 
- Harmonization levels for 
certain products 
- Limited product coverage 
exemption  
Open Access to 
Enhanced 
Healthcare JOB(07)/2311 
 
 Singapore, the United 
States and 
Switzerland  HS ex.2844, 2936, 2937, 2939, 2941, 3001, 
3002, 3003, 3004, 3005, 3006, 3822, 
ex.4015, ex.8419, ex.8543, 8713, ex.8714,  9018, 9019, 9021, ex.9022, ex.9025, 9402, ex Bednets, treated or untreated, wherever classified End rate : zero 
(for donated pharmaceutical 
and medical device products: immediate elimination) Possible options might 
include (for other-than-
donated products):   
(a) eliminate duties in a  two-
step process:   
(i) reduce base tariffs to an 
agreed upon rate of harmonization over an agreed upon staging;  (ii) eliminate base tariffs at 
the harmonized rate as 
agreed under (a)(i) within [5] years in annual, equal instalments after the previously negotiated 
harmonized tariff rate is 
attained. (b) [8] years in annual equal instalments to eliminate tariffs to zero on all Initiative 
contains an 
NTB component for members’ consideration 
                                                      
10 21 April 2006. 
11 23 February 2007 (a previous generation of the proposal can be found in JOB(06)/35, dated 24 February 2006).  
  TN/MA/W/97 
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products.  
(c) for a limited number of highly sensitive products, tariffs may be eliminated 
with longer implementation 
periods. 
Raw Materials TN/MA/W/37/Add.2 
TN/MA/W/37/Add.3 
 
 United Arab Emirates HS2515, 2516, 2519, 2523, 2601.1, 
2601.11, 2602.00- 2611.00, 2707, 2708, 
2710, 2711, 2715.00, 2818, 2820, 7101, 
7401.10, 7401.20, 7403.11, 7403.12, 7403.13, 7403.19, 7403.21, 7403.22, 7403.23, 7403.29, 7404.00, 7404.00, 7406.10, 7406.20, 7602.00, 7603.10, 
7603.20, 8104.11, 8401.19, 8401.20, 
8401.30, 8111.00 End rate : Zero Not specified  
 TN/MA/W/37/Add.412 
 United Arab Emirates Raw materials from earth and from plant 
extraction (such as primary aluminium) 
which are used and processed by manufacturing industries.  An indicative list of products from HS Chapters 25, 26, 27, 28, 71, 72, 74, 75, 76 and 78 can be found 
in TN/MA/W/37/Add.4 End rate:  Zero  
 
Critical mass : interested 
members have been considering 90% of world trade 
 Possible options discussed 
include: 
- Longer implementation 
periods 
- Zero for “X” 
- Limited product 
exemptions  
Sports 
Equipment TN/MA/W/8513 Japan, Norway, 
Singapore, 
Switzerland,  the 
Separate Customs Territory of Taiwan, Penghu, Kinmen, and Matsu; and the United 
States. 
 Ex 630720 (Life vests), Ex 650610 (Safety 
headgear), HS 890310, HS 890391, HS 
890392, HS 890399, HS 950420, HS 
950490, HS 950611, HS 950612, HS 950619, HS 950621, HS 950629, HS 950631, HS 950632, HS 950639, HS 950640, HS 950651, HS 950659, HS 
950661, HS 950670, HS 950691, HS 
950699, HS 950710, HS 950720, HS 950730, HS 950790, HS 950800 End rate : Zero 
 
Critical Mass : no less than 
[90] percent of world trade in sports equipment.  Staging: the participant shall 
implement the tariff 
elimination over [five] years in equal instalments, or the final implementation period for general tariff reductions 
by formula, whichever is 
shorter Possible options might 
include 
- Longer implementation 
period 
- Harmonization levels for 
certain products 
 
  
Textiles, 
Clothing and 
Footwear TN/MA/W/11/Add.2 EC HS Chapters 50-64 
All NTBs as well as export restrictions on 
raw materials for the products included 
must equally be removed. End rate : as close to zero as 
possible Not specified . 
All Members should 
participate  
                                                      
12 26 May 2006. 
13 4 April 2007.  
   TN/MA/W/97
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Toys Room Document dated 10 May Hong Kong, China; 
the Separate Customs Territory of Taiwan, Penghu, Kinmen, and 
Matsu HS9501-HS9505 
End rate  : zero  
 
Critical mass :  no less than 
[90] percent of world trade  Not specified – to be 
discussed by participating members   
 
 
__________