WORLD TRADE  
ORGANIZATION  WT/REG207/1 
13 January 2006 
 (06-0159) 
Committee on Regional Trade Agreements 
 Original:   English 
 
CLOSER ECONOMIC PARTNERSHIP AGREEMENT 
BETWEEN THAILAND AND NEW ZEALAND 
 
  The following communication, dated 1 December 2005, is being circulated at the request of 
the delegations of Thailand and New Zealand.
* 
_______________ 
 
TABLE OF CONTENTS  
 
PREAMBLE ....................................................................................................................... ................................... 2  
CHAPTER  1:  OBJECTIVES  AND  GENERAL  DEFINITIONS...................................................................... 2  
CHAPTER  2:  TRADE  IN GOODS...................................................................................................................... 4  
CHAPTER  3:  CUSTOMS  PROCEDURES  AND  COOPERATION................................................................ 6  
CHAPTER  4:  RULES  OF ORIGIN................................................................................................................... 11  
CHAPTER  5:  TRADE  REMEDIES.................................................................................................................. 19  
CHAPTER  6:  SANITARY  AND  PHYTOSANITARY  MEASURES ............................................................. 25  
CHAPTER  7:  TECHNICAL  BARRIERS  TO TRADE ................................................................................... 29  
CHAPTER  8:  TRADE  IN SERVICES .............................................................................................................. 33  
CHAPTER  9:  INVESTMENT ..................................................................................................................... ...... 33  
CHAPTER  10:  ELECTRONIC  COMMERCE................................................................................................ 41  
CHAPTER  11:  COMPETITION  POLICY....................................................................................................... 43  
CHAPTER  12:  INTELLECTUAL  PROPERTY.............................................................................................. 46  
CHAPTER  13:  GOVERNMENT  PROCUREMENT ...................................................................................... 47  
CHAPTER  14: TRANSPARENT  ADMINISTRATION  OF LAWS  AND  REGULATIONS........................ 49  
CHAPTER  15:  GENERAL  EXCEPTIONS...................................................................................................... 50  
CHAPTER  16:  INSTITUTIONAL  PROVISIONS .......................................................................................... 55  
CHAPTER  17:  CONSULTATIONS  AND  DISPUTE  SETTLEMEN T.......................................................... 56  
CHAPTER  18:  FINAL  PROVISIONS .............................................................................................................. 62  
 
ANNEX  1: TARIFF  SCHEDULES 
 ANNEX  1.1:  THAILAND'S  TARIFF  SCHEDULE 
 ANNEX  1.2:  NEW  ZEALAND'S  TARIFF  SCHEDULE 
 ANNEX  1.3:  TARIFF  QUOTAS  FOR  PRODUCTS  UNDER  CATEGORY  TRQ 
 
ANNEX  2: PRODUCT-SPECIFIC  RULES  OF ORIGIN 
 
ANNEX  3: SPECIAL  SAFEGUARDS  FOR  CERTAIN  SENSITIVE  AGRICULTURAL  PRODUCTS  
(THAILAND) 
 
ANNEX  4: INVESTMENT  SCHEDULES 
 ANNEX  4.1:  THAILAND'S  SCHEDULE  ON INVESTMENT 
 ANNEX  4.2:  NEW  ZEALAND'S  SCHEDULE  ON INVESTMENT 
                                                      
* The full text of the Agreement is also available at: 
www.mfat.govt.nz./tradeagreem ents/thainzcep/cepindex.html  and www.thaifta.com/english/left_eng.html .  
The associated Annexes have been submitted to the Secretariat for consultation by interested Members 
(office 1174). WT/REG207/1 
Page 2  
 
 CLOSER ECONOMIC PARTNERSHIP AGREEMENT 
BETWEEN THAILAND AND NEW ZEALAND 
 
PREAMBLE
 
 
 
 The Kingdom of Thailand and New Zealand, he reinafter referred to  as the “Parties”,   
  Inspired  by the traditional links of friendship and cooperation between them and their shared 
regional interests and ties;  
 
 Recognising  that the strengthening of their economic partnership will bring economic and 
social benefits and improve the living standards of their people;     Recognising  further the importance of securing trad e liberalisation and an outward looking 
approach to trade and investment in order to expand economic rela tions between them;  
   Conscious  that open, transparent and competitive markets are the key drivers of economic 
efficiency, innovation, wealth creation and consumer welfare;     Affirming the rights of their governments to regulate in order to meet national policy 
objectives;  
   Aware  that closer social and political relationshi ps and economic partnerships can play an 
important role in promoting sustainable development;    
 Building  on their rights, obligations and undertakings under the World Trade Organisation, 
and other relevant agreem ents and arrangements;  
   Mindful of their commitment to the Asia-Pacific Economic Cooperation (APEC) goals of free 
and open trade and investment;    
 Recognising  the significance of good corporate governance and the need for a predictable, 
transparent and consistent business environment to  enable businesses to conduct transactions freely, 
and use resources efficiently and take investment  and planning decisions with certainty; and  
  Desiring  to strengthen the cooperative framework fo r the conduct of economic relations to 
ensure it is dynamic and encourages broa der and deeper economic cooperation;  
  Have agreed  as follows:  
  
CHAPTER 1:  OBJECTIVES AND GENERAL DEFINITIONS   
  
Article 1.1 
  
Objectives 
 
 
1. The Parties hereby establish a free trade area consistent with the WTO Agreement, based 
upon the principles of common interest and coopera tion and the goals of free and open trade and 
investment.  
2. The objectives of the Parties in concluding this Agreement are to:   WT/REG207/1 
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 (a) strengthen their trade and economic relationship;   
(b) liberalise trade and investment and to creat e favourable conditions for the stimulation 
of trade and investment flows;  
(c) support the wider liberalisation and facilitation process in APEC;  
(d) build upon their commitments at the World Trade Organisation, and to support its 
efforts to create a predictable, and more  free and open global trading environment;  
(e) encourage and facilitate cooperation in areas of  mutual interest in support of the aims 
of the Agreement;   
(f) improve the efficiency and competitiveness of their trade sectors by promoting 
conditions for fair competition, for innova tion and for mutually beneficial business 
collaboration; and  
(g) facilitate trade and investment by establis hing a framework of transparent rules and 
seeking to minimise transaction costs.  
Article 1.2 
  
General Definitions   
 
 For the purposes of this Agreement, unless otherwise specified:    
(a) “Agreement”  means the Thailand-New Zealan d Closer Economic Partnership 
Agreement;  
(b) “APEC”  means Asia-Pacific Economic Cooperation;  
(c) “CEP  Joint Commission” means the Closer Economic Partnership Joint Commission 
established under Article 16.1 of this Agreement;  
(d) “customs administration”  means the competent authority that is responsible under 
the laws of a Party for the administration of customs laws, regulations and policies;   
(e) “customs duties” includes any customs or import duty and a charge of any kind 
imposed in connection with the import of a good, including any form of surtax or surcharge in connection with such import, but does not include any:  
(i) charge equivalent to an internal tax im posed consistently with Article III.2 of 
GATT 1994;  
(ii) anti-dumping or countervailing duty app lied consistently with the provisions 
of GATT 1994, the WTO Agreement on Implementation of Article VI of the 
General Agreement on Tariffs and Trade 1994 , and the WTO Agreement on 
Subsidies and Countervailing Measures ;  and  
(iii) fee or other charge in connection with importing commensurate with the cost 
of services rendered;   
(f) “days”  means calendar days, including weekends and holidays;   WT/REG207/1 
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 (g) “food standards” means a mandatory requirement that is either an SPS measure or a 
technical regulation as defined in the TBT Agreement which relates to food and is 
made pursuant to relevant laws administered by a Party;  
(h) “GATS”  means the General Agreement on Trade in Services , which is part of the 
WTO Agreement;  
(i) “GATT 1994”  means the General Agreement on Tariffs and Trade 1994 , which is 
part of the WTO Agreement;  
(j) “goods”  means all kinds of movable property, including animals, as understood in 
GATT 1994;    
(k) “goods”  and “ products ” shall be understood to have the same meaning unless the 
context otherwise requires;  
(l) “originating goods”  means goods that qualify as origin ating in accordance with the 
relevant provisions of Chapter 4;  
(m) “person”  means a natural person or a juridical person;  
(n) “SPS Agreement”  means the Agreement on the Application of Sanitary and 
Phytosanitary Measures , which is part of the WTO Agreement;  
(o) “SPS measure” means a sanitary or phytosanitary measure and shall have the same 
meaning as in Annex A, paragraph 1 of the SPS Agreement;  
(p) “TBT Agreement”  means the Agreement on Technical Barriers to Trade , which is 
part of the WTO Agreement;  
(q) “territory”  means the territory of a Party, as well as the exclusive economic zone, 
seabed and subsoil over which the Party exer cises sovereign rights or jurisdiction in 
accordance with international law, but with  respect to New Zealand does not include 
Tokelau;  
(r) “WTO” means the World Trade Organisation;  
(s) “WTO Agreement”  means the Marrakesh Agreement Establishing the World Trade 
Organisation , done on 15 April 1994.  
 
CHAPTER 2:  TRADE IN GOODS   
 
Article 2.1 
  
Scope And Coverage  
 
 
 Except as otherwise provided, this Chapter applies to trade in all goods of a Party.    
 
 
    WT/REG207/1 
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 Article 2.2 
  
National Treatment  
 
 Each Party shall accord national treatment to the goods of the other Party in accordance with 
Article III of GATT 1994.  To this end, the provisions of Article III of GATT 1994 and its 
interpretative notes are incorporated into a nd shall form part of this Agreement, mutatis mutandis .  
  
Article 2.3 
  
Elimination Of Customs Duties  
 
1. The provisions of this Chapter concerning the elimination of customs duties on imports shall 
apply to goods originating in the territory of the Parties.   
2. A Party shall not increase an existing custom s duty or introduce a new customs duty on 
imports of an originating good.  
3. Except as otherwise provided in this Agreement, each Party shall progressively eliminate its 
customs duties on originating goods of the other Party in accordance with its Tariff Schedule at 
Annex 1.  The base rate and the interim rate of cu stoms duty at each stage of reduction for an item are 
indicated for the item in each Party’s Schedule.  Reductions shall occur upon entry into force of the 
Agreement and thereafter on 1 January of each year, as provided for in each Party’s Schedule.   
4. Each Party may adopt or maintain measures nece ssary to administer a tariff quota set out in 
its Tariff Schedule, including allocating access to that quota opportunity.  Such measures shall be 
transparent and predictable and shall not have trad e restrictive effects on imports additional to those 
caused by the imposition of the tariff quota.  
5. On the written request of the other Party, a Pa rty applying or intending to apply measures 
pursuant to Paragraph 4 shall consult to consider a review of the administration of those measures.  
Article 2.4 
  
Accelerated Tariff Elimination  
 
1. Each Party is prepared to eliminate its cust oms duties more rapidly than provided for in 
Article 2.3 or otherwise to improve the conditions  of access of originating goods taking into account 
its general economic situation and the econom ic situation of the sector concerned.  
2. On the request of a Party, the Parties shall prom ptly enter into consultations to accelerate the 
elimination of customs duties on originating goods as set out in its Tariff Schedule in Annex 1.   
3. An Agreement by the Parties to accelerate th e elimination of customs duties on originating 
goods shall enter into force after the Parties have  exchanged written notification advising that they 
have completed the necessary internal legal procedur es and on such date or dates as may be agreed 
between them.   
4. A Party may at any time accelerate unilaterally the elimination of customs duties on 
originating goods of the other Party set out in its Tariff Schedule.  A Party considering doing so shall 
inform the other Party as early as practicable before  the new rate of customs duties takes effect.   
 
 WT/REG207/1 
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 Article 2.5 
  
Administrative Fees And Formalities  
 
 
 Each Party shall ensure, in accordance with Article VIII.1 of GATT 1994, that all fees and 
charges of whatever character (oth er than customs duties, charges equivalent to an internal tax or 
other internal charge applied consistently w ith Article III.2 of GATT 1994, and anti-dumping and 
countervailing duties) imposed on or in connection w ith import or export are limited in amount to the 
approximate cost of services rendered and do not re present an indirect protection to domestic goods or 
a taxation on imports or exports for fiscal purposes.  
   
Article 2.6 
  
Agricultural Export Subsidies  
 
1. For the purposes of this Article, agricultural goods means those products listed in Annex 1 of 
the WTO Agreement on Agriculture .   
2. The Parties share the objective of the multilateral elimination of all forms of export subsidies 
for agricultural goods and shall work towards an ag reement in the WTO to eliminate those subsidies 
and prevent the introduction in any form of any new export subsidies for agricultural goods.   
3. Recognising the trade-distorting nature of export subsidies and consistent with their rights and 
obligations under the WTO  Agreement on Agriculture , neither Party shall introduce or maintain any 
form of export subsidy on any agricultural good destined for the territory of the other Party.  
4. If a Party believes that a policy or measure implemented by the other Party has the effect of 
providing an export subsidy on any agricultural good exported to that Party, it may request consultations with the aim of preventing such subsid isation occurring on trade between the Parties.   
Article 2.7 
  
Non-Tariff Measures 
 
 
1. A Party shall not adopt or maintain any non-ta riff measures on the importation of any good of 
the other Party or on the exportation of any good destin ed for the territory of the other Party except in 
accordance with its WTO rights and obligations or  in accordance with other provisions of this 
Agreement.  
2. Each Party shall ensure the transparency of its non-tariff measures permitted in Paragraph 1 
and shall ensure that any such measures are not prep ared, adopted or applied with a view to or with 
the effect of creating unnecessary obstacles to trade between the Parties.   
 
CHAPTER 3:  CUSTOMS PROCEDURES AND COOPERATION  
  
Article 3.1 
  
Objectives  
 
 The objectives of this Chapter are to:   
(a) simplify and harmonise customs procedures of the Parties;   WT/REG207/1 
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 (b) ensure predictability, consistency and transp arency in the application of customs laws 
and the administrative policies of the Parties;  
(c) promote efficient and economical customs border administration and the expeditious 
clearance of goods; and  
(d) facilitate trade between the Parties and promote the security of such trade. 
Article 3.2 
 
Scope  
 
 This Chapter shall apply, in accordance with  the Parties' interna tional obligations and 
respective laws, rules and regulations, to customs procedures related to the clearance of goods traded 
between the Parties.   
Article 3.3 
  
Definitions 
 
 
 For the purposes of this Chapter:    
(a) “craft”  includes any aircraft, ship, boat or ot her vehicle used or capable of being 
used for the carriage or transportation of pers ons or goods, or both, by air, land, water 
or over or under water;  
(b) “customs administration”  means:  
(i) in relation to Thailand, the Customs De partment of the Kingdom of Thailand; 
and  
(ii) in relation to New Zealand, the New Zealand Customs Service;  
(c) “customs law” means the statutory and regulatory provisions relating to the 
importation, exportation, movement and storage of goods, the administration and 
enforcement of which are specially charged to  the customs administration of a Party;  
(d) “customs offence”  means any breach or attempted breach of customs law;  
(e) “customs procedures”  means the treatment applied by  the customs administration of 
each Party to goods, persons and craft that are subject to customs control.  
Article 3.4 
  
General Provisions 
 
 
1. The Parties recognise that the objectives of this Agreement may be promoted by the 
application of common, simplified customs pr ocedures, and cooperation between the customs 
administrations.  
2. To give effect to the provisions of this Chap ter and Chapter 4 of this Agreement the customs 
administrations shall enter into a Cooperative Arrange ment to take effect concurrently with the entry 
into force of this Agreement.   WT/REG207/1 
Page 8  
 
 3. Where a Party providing information to the other Party in accordan ce with this Chapter 
designates the information as confid ential, the other Party shall maintain the confidentiality of that 
information.  The Parties shall not use or disclose such information except with the written consent of 
the requested Party or to the extent that the in formation may be required to be disclosed for law 
enforcement purposes or in the context of judicial proceedings.  
4. Nothing in this Chapter shall be taken to require a Party to furnish or allow access to 
information the disclosure of which it considers would:  
(a) be contrary to the public interest as dete rmined by its laws, rules or regulations;  
(b) be contrary to its laws, rules or regula tions to protect personal  privacy or the 
financial affairs and accounts of individual customers of financial institutions; or  
(c) impede law enforcement.  
Article 3.5 
  
Customs Procedures And Facilitation 
 
 
1. Customs procedures of the Parties shall, where possible and to the extent permitted by their 
respective laws, rules or regulations, conform with  the standards and recommended practices of the 
World Customs Organisation, including the principles of the International Convention on the 
Simplification and Harmonisation of Customs Procedures 1973.  
2. Each Party shall ensure that its customs proce dures and practices are predictable, consistent, 
transparent and facilitate trade.  
3. The customs administrations of both Parti es shall periodically review their customs 
procedures with a view to their further simplifica tion and the development of mutually beneficial 
arrangements to facilitate bilateral trade.   
4. In respect of consignments for which immediat e clearance is requested, the Parties shall, 
insofar as permitted by their laws, follow the guide lines of the World Customs Organisation.   
Article 3.6 
  
Customs Valuation  
 
 The Parties shall determine the customs valu e of goods traded between them in accordance 
with the provisions of Article VII of GATT 1994 and the WTO Agreement on Implementation of 
Article VII of the General Agreement on Tariffs and Trade 1994 .  
 
Article 3.7 
  
Customs Cooperation   
 
1. The Parties shall, through their customs admini strations and in accordance with this Chapter 
and the Cooperative Arrangement referred to in Ar ticle 3.4 (2), cooperate in achieving compliance 
with their customs laws, in accord ance with their international oblig ations governing the importation 
and exportation of goods, relating to:  
(a) the implementation and operation of this Agreement;   WT/REG207/1 
 Page 9 
 
 
 (b) security of trade between the Parties;  
(c) restrictions and prohibitions on imports and exports; and  
(d) such other issues as the Parties may determine.  
2. To the extent permitted by their laws, regulations  and policies, the customs administrations of 
both Parties shall provide each other with mutual assistance in order to prevent breaches of customs 
law and for the protection of the economic, fiscal, so cial and commercial interests of their respective 
countries, including ensuring appropriate and efficient customs duty collection.  
3. Each Party shall endeavour to provide the other Party with advance notice of any significant 
modification of laws, regulations or policies governing importations th at are likely to substantially 
affect the operation of this Agreement.  
Article 3.8 
  
Review And Appeal  
 
1. Each Party shall, with regard to customs admi nistrative rulings, determinations or decisions, 
provide the right of appeal, without penalty, by the importer, exporter or other person affected by that 
administrative ruling, determination or decision.  
2. An initial right of appeal without penalty may be to an authority within the customs 
administration or to an independent body, but the le gislation of each Party shall provide for the right 
of appeal without penalty to a judicial authority.  
3. Notice of the decision on appeal shall be give n to the appellant and the reasons for such 
decision shall be provided in writing.  
Article 3.9 
  
Advance Rulings  
 
1. Subject to Paragraph 2, each Party shall provide in writing advance rulings in respect of the 
classification of goods to a person described in S ub-paragraph 2(a) (hereinafter referred to as 
“advance rulings”).  
2. Each Party shall adopt or maintain pro cedures for advance rulings, which shall:  
(a) provide that an importer in its territory or an exporter or producer in the territory of 
the other Party may apply for an advance ruling before the importation of goods in 
question;  
(b) require that an applicant for an advance ruling provide a detailed description of the 
goods and all relevant information needed to  process an application for an advance 
ruling;  
(c) provide that its customs administration may, at any time during the course of an 
evaluation of an application for an advance ruling, request that the applicant provide 
additional information within a specified period;  WT/REG207/1 
Page 10  
 
 (d) provide that any advance ruling be based on  the facts and circumstances presented by 
the applicant, and any other relevant in formation in the possession of the decision-
maker; and  
(e) provide that an advance ruling be issued to  the applicant expeditiously, or in any case 
within 30 working days of the receipt of all necessary information.  
3. A Party may reject requests for an advance ru ling where the additional information requested 
by it in accordance with Sub-paragraph 2(c) is  not provided within the specified period.  
4. Subject to Paragraph 5, each Party shall apply an advance ruling to all importations of goods 
described in that ruling imported into its territory with in three years of the date of that ruling, or such 
other period as required by that Part y’s laws, regulations or policies.  
5. A Party may modify or revoke an advance ruling upon a determination that the advance 
ruling was based on an error of fact or law (includi ng human error), or if there is a change in:  
(a) domestic law consistent with this Agreement;   
(b) a material factor; or  
(c) the circumstances on which the ruling is based.  
6. Any fees charged for advance rulings shall not exceed the approximate cost of the services 
rendered in providing the advance ruling.  
Article 3.10 
  
Early Resolution Of Differences Between The Parties 
 
 
1. Where significant differences between the customs administrations of the Parties arise with 
respect to the application of the provisions of this  Chapter and Chapter 4 of this Agreement, either 
customs administration may request to consult with the other customs administration to resolve such 
differences.  The modalities of such consultation shall be agreed between the customs administrations.   
2. Consultations under this Article are without prejudice to the rights of the Parties under 
Chapter 17 of this Agreement or under the WTO Understanding on Rules and Procedures Governing 
the Settlement of Disputes .  
Article 3.11 
 
Security Of Trade And Repression Of Terrorist Activity  
 
 In the event either Party desires to adopt pr ocedures to ensure the security of trade in goods 
and/or the movement of craft between the Parties, the customs administrations shall consult with a view to agreeing procedures to secure such trade and/or movement of craft.    
Article 3.12 
  
Paperless Trading And Use Of Automated Systems 
 
 
1. The customs administrations of both Parties, in implementing initiatives that provide for the 
use of paperless trading, shall take into account th e methods agreed in APEC and the World Customs 
Organisation.   WT/REG207/1 
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 2. The customs administrations of the Parties shall, as soon as practicable, adopt electronic 
procedures for all reporting requirements, consistent  with the provisions of Chapter 10 of this 
Agreement.  
Article 3.13 
  
Risk Management  
 
1. The Parties shall administer customs procedures at their respective borders so as to facilitate 
the clearance of low-risk goods and focus on high-risk goods.  
2. The Parties shall apply and develop further ri sk management techniques in the performance 
of their customs procedures.  
Article 3.14 
  
Publication And Enquiry Points  
 
1. Each Party shall publish on the Internet or in print form all statutory and regulatory provisions 
and any administrative procedures applicable or enforceable by its customs administration.  
2. Each Party shall designate one or more enquiry  points to address enquiries from interested 
persons of the other Party concerning customs matters, and shall make available on the Internet information concerning procedures for making such enquiries.  
 
CHAPTER 4:  RULES OF ORIGIN  
 
Article 4.1 
  
Definitions 
 
 
 For the purposes of this Chapter:    
(a) “CIF“ means the value of the good imported, and includes the cost of freight and 
insurance up to the port or place of entry into the country of importation.  The valuation shall be made in accordance with the WTO Agreement on Customs 
Valuation;  
(b) “FOB”  means the free on board value of the good, inclusive of the cost of transport 
to the port or site of final shipment ab road.  The valuation shall be made in 
accordance with the WTO Agreement on Customs Valuation;  
(c) “fungible goods or materials”  means goods or materials which are interchangeable 
for commercial purposes, whose properties are essentially identical, and between 
which it is impractical to differentia te by a mere visual examination;  
(d) “generally accepted accounting principles”  means the recognised consensus or 
substantial authoritative support in the territory of a Party, with respect to the recording of revenues, expenses, costs,  assets and liabilities; the disclosure of 
information; and the preparation of fi nancial statements. These standards may 
encompass broad guidelines of general appli cation as well as detailed standards, 
practices and procedures;  WT/REG207/1 
Page 12  
 
 (e) “indirect material”  means a good used in the production, testing or inspection of 
another good but not physically incorporated into the good, or a good used in the maintenance of buildings or the operation of equipment associated with the production of a good, including:  
(i) fuel, energy, catalysts and solvents;  
(ii) equipment, devices and supplies used fo r testing or inspection of the goods;  
(iii) gloves, glasses, footwear, clothing, safety equipment and supplies;  
(iv) tools, dies and moulds;  
(v) spare parts and materials used in the maintenance of equipment and 
buildings;  
(vi) lubricants, greases, compounding materials and other materials used in 
production or used to operate equipment and buildings; and  
(vii) any other goods which are not incorporated into the good but whose use in 
the production of the good can reasonably be demonstrated to be a part of 
that production;  
(f) “material”  means any matter or substance used or consumed in the production of 
goods, and physically incorporated into or classified with those goods;  
(g) “minimal operations or processes”  are operations or processes which contribute 
minimally to the essential characteristics or properties of goods, including:  
(i) operations or processes to ensure that the goods are preserved in good 
condition for purposes of transport or storage;  
(ii) operations designed to facilitate shipment; and  
(iii) operations or processes related to packaging or presentation of the goods for 
sale;  
 By way of example, the following would be such operations or processes:  
 
  (A) aeration, ventilation, drying , refrigeration, freezing, chilling;  
  (B) cleaning, washing, sieving, sifting or shaking, selection,  classification or 
grading, extraction;  
   (C) cutting or slitting;  
 
 (D) division of bulk shipments, grouping in packets, the attaching of  markings, 
distinctive labels or logos on th e products and their packing;  
  (E) packing, unpacking or repacking;  
 
 (F) mixing of goods of different origin, provided that the characteristics of the 
resulting product are not essentially different from those of the  goods which have been mixed;   WT/REG207/1 
 Page 13 
 
 
  
  (G)  dilution in water or in any other aqueous solution; and    (H) the simple assembly or configuring of parts of products making up a 
complete good;  
  
(h) “non-originating goods”  or “non-originating materials”  means goods or materials 
which do not qualify as originating under this Chapter;  
(i) “originating material” means a material which qualifies as originating in 
accordance with the provisi ons of this Chapter;  
(j) “packing materials and containers for shipment”  means items used to protect a 
good during its transport, other than contai ners or packaging used for retail sale;  
(k) “preferential tariff treatment”  means the customs duty rate that is applicable to an 
originating good pursuant to Article 2.3 of Chapter 2 of this Agreement;  
(l) “producer” means a person who grows, raises, mines, harvests, farms, fishes, traps, 
hunts, manufactures, processes, captures, ga thers, collects, breeds, extracts or 
assembles a good;  
(m) “production”  means methods of obtaining goods, including but not limited to, 
growing, raising, mining, harvesting, farming, fishing, trapping, hunting, 
manufacturing, processing, capturing, gathering, collecting, breeding, extracting or assembling a good;  
(n) “wholly obtained goods”  means:  
(i) mineral goods extracted in the territory of a Party;  
(ii) agricultural goods harvested, picked or ga thered in the territory of a Party;  
(iii) live animals born and raised in the territory of a Party;  
(iv) goods obtained from live animals in the territory of a Party;  
(v) goods obtained directly from hunting, tra pping, fishing, farming, gathering, 
or capturing in territory of a Party;  
(vi) goods (fish, shellfish, plant and other mari ne life) taken within the territorial 
sea or the relevant maritime zone of a Party seaward of the territorial sea under that Party’s applicable laws in accordance with the provisions of the 
United Nations Convention on the Law of the Sea 1982 , or taken from the 
high seas by a vessel flying or en titled to fly the flag of that Party;  
(vii) goods obtained or produced on board factory ships flying or entitled to fly the 
flag of a Party from the goods referred to in Sub-paragraph (vi) above;  
(viii) goods taken by a Party, or a person of a Party, from the seabed or subsoil 
beneath the seabed of the territorial sea or  the continental shelf of that Party, 
in accordance with the provisions of the United Nations Convention on the 
Law of the Sea 1982 ;  WT/REG207/1 
Page 14  
 
 (ix) waste and scrap derived from  production in the territory of a Party, or used 
goods collected in the territory of a Party, provided that such goods are fit only for the recovery of raw materials; and  
(x) goods produced entirely in the territory of a Party exclusively from the goods 
referred to in Sub-paragraphs (i) to (ix) above.  
(o) “WTO Agreement on Customs Valuation”  means the Agreement on the 
Implementation of Article VII of th e General Agreement on Tariff and Trade, 1994.  
Article 4.2 
  
Originating Goods 
 
 
1. Particular goods shall originate in the territory of a Party if they:  
(a) are the wholly obtained goods of the Party; or  
(b) satisfy the requirements of Annex 2 to this Agreement as a result of processes 
performed entirely in the territory of one or both of the Parties and the goods did not 
enter the commerce of a non-party after expor t from the first Party and before import 
into the other Party.  
2. Originating materials from the territory of a Pa rty, used in the production of particular goods 
in the territory of the other Party, shall be considered  to originate in the territory of the Party in which 
the production is performed.  
3. Particular goods which do not satisfy a change  in tariff classification required pursuant to 
Annex 2 are nonetheless originating goods if:  
(a) the value of non-originating materials used in the production of the goods that do not 
undergo the required change in tariff classifi cation does not exceed 10 percent of the 
FOB value of the goods; and  
(b) the goods meet all other applicab le criteria of this Article.  
4. Except where goods are subject to a regional valu e content requirement pursuant to Annex 2, 
goods produced by minimal operations or processes shall not be treated as originating goods even 
where those minimal processes or operations meet the change in tariff classification requirements of Annex 2.   
5. Accessories, spare parts, or tools delivered w ith originating goods that form part of the 
standard accessories, spare parts, or tools for tho se goods, shall be treated as originating goods and 
shall be disregarded in determining whether or no t all the non-originating materials used in the 
production of the originating goods undergo the applicable change in tariff classification, provided 
that:  
(a) the accessories, spare parts, or tools are not  invoiced separately from the originating 
goods;   
(b) the quantities and value of the accessories, spare parts, or tools are customary for the 
originating goods; and   WT/REG207/1 
 Page 15 
 
 
 (c) if the goods are subject to a regional valu e content requirement, the value of the 
accessories, spare parts, or tools shall be  taken into account as originating or non-
originating materials, as the case may be, in calculating the regional value content of 
the goods.  
6. Paragraph 5 does not apply where the accessories, sp are parts, or tools have been added solely 
for the purpose of artificially raising th e regional value content of the goods.  
7. The determination of whether f ungible goods or materials are originating goods shall be made 
either by physical separation of each of the goods or materials or through the use of any inventory management method, such as averag ing, last-in, first-out, or first-in, first-out, recognised in the 
generally accepted accounting principles of the Pa rty in which the production is performed or 
otherwise accepted by the Party in which the production is performed.  
8. An inventory management method selected under Paragraph 7 for a particular fungible good 
or materials shall continue to be used for those fungible goods or materials throughout the fiscal year 
of the producer that selected the inventory management method.  
9. Packaging materials and containers in which goods  are packaged for reta il sale, if classified 
with those goods, shall be disregarded in determin ing whether all the non-originating materials used 
in the production of those goods have  undergone the applicable change in tariff classification set out 
in Annex 2. However if the goods are subject to a regional value content requirement, the value of the 
packaging used for retail sale will be counted as orig inating or non originating, as the case may be, in 
calculating a regional value content.  
10. Packaging materials and containers in which the goods are packaged for shipment shall be 
disregarded in determining the origin of the good.  
11. An indirect material shall be treated as an orig inating material without regard to where it is 
produced and its value shall be the cost registered  in the accounting records of the producer of the 
good.  
Article 4.3 
  
Regional Value Content 
 
 
1. Subject to Paragraphs 2 and 3 of this Ar ticle, where Annex 2 requires goods to have a 
regional value content, the regional value content of  particular goods shall be calculated as follows:  
FOB-VNM 
RVC  =  --------------    x 100 
FOB 
 
Where:    
(a) “RVC” is the regional value content, expressed as a percentage;  
(b)  “FOB” is the FOB value of the goods; and  
(c) “VNM” is the CIF value of non-originating mate rials, in the form in which they were 
first acquired or supplied to the producer of the goods.   WT/REG207/1 
Page 16  
 
 2. If the FOB or CIF values do not exist or cannot be  determined pursuant to the provisions of 
Article 1 of the WTO Agreement on Customs Valuati on, the values shall be calculated pursuant to the 
provisions of Articles 2 to 8, Article 15 and the interpretative notes of that Agreement.  
3. Each Party shall provide that, for the purposes of calculating regional value content, the 
importer may use a calculation averaged over the producer’s fiscal year.   
Article 4.4 
  
Recording Of Costs 
 
 
 For the purposes of this Chapter all costs shall be recorded and mainta ined in accordance with 
the generally accepted accounting principles applicable in the territory of the Party in which the goods 
are produced or manufactured.  
 
Article 4.5 
  
Treatment Of Goods For Whic h Preference Is Claimed   
 
1. Each Party may require a declaration as to th e origin of a good from the exporter, or producer, 
or other competent person, public or private body for a good for which preferential tariff treatment is 
claimed.  The declaration shall specify on the face of the invoice or any other document issued in 
respect of the good that the goods enumerated there on are the origin of the exporting Party and meet 
the terms of this Chapter.  
2. Nothing in Paragraph 1 of this Article shall be  construed to require a producer who is not the 
exporter of the good to make a declaration as to the origin of the good.    
3. Where a declaration is required in accordance w ith Paragraph 1, a Party shall provide that 
where an exporter is not the producer of the good, th e exporter, or other competent person, public or 
private body may complete and sign a declaration as to the origin of a good on the basis of:  
(a) specific knowledge that the good qualifies as an originating good; or  
(b) a reasonable reliance on the producer’s writte n representation that the good qualifies 
as an originating good.  
4. The importing Party shall grant preferential tariff treatment to goods imported into its 
territory from the other Party only in cases where an importer claiming preferential tariff treatment:  
(a) provides a declaration as to the origin of the good pursuant to Paragraph 1 of this 
Article; or  
(b) provides sufficient documentary or other evid ence to substantiate the origin of the 
goods.  
5. When the customs administration of the importing Party has reasonable doubt as to the 
authenticity or accuracy of the declaration or ot her evidence as to the origin of goods, the importing 
Party may, in accordance with its national legisl ation, request additional evidence to verify the 
preference claimed.  Such evidence may include accounting data in verification of Articles 4.2 and 4.3 of this Chapter, or such other evidence as may be  required to establish the bona fides of the import 
declaration.  In the absence of  such evidence the customs administration of the importing Party may 
require payment of duties at non-preferential tariff rates or the deposit of a security or cash deposit  WT/REG207/1 
 Page 17 
 
 
 equivalent to the amount of duties, taxes and charges that would be payable on the goods if 
preferential tariff treatment did not apply.  
6. Each Party shall provide that, where a good w ould have qualified as an originating good when 
it was imported into the territory of that Party but no claim for preferential tariff treatment was made 
at that time, the importer may, in accordance with the national legislation of the importing Party, 
apply for a refund of any duties paid on presentation of:  
(a) a declaration as to the origin of the goo d in accordance with this Article; and  
(b) such other evidence in support of th e declaration as may be required.  
7. In accordance with its laws, regulations and po licies, the importing Party may not require a 
declaration for:  
(a) commercial and non-commercial importations which do not exceed a specified value 
as determined by the importing Party; or   
(b) any good for which a Party has waived the requirement for a declaration.   
Article 4.6 
  
Records  
 
 Each Party shall require that:     
(a) a producer or an exporter shall maintain in the territory of that Party for such period 
as the Party may specify in its laws, regulati ons or policies, all records relating to the 
origin of a good for which preferential tariff treatment was claimed in the territory of 
the other Party;  
(b) an importer claiming preferential tariff treatme nt for a good shall, in accordance with 
national legislation, maintain in the impor ting Party’s territory all documents relating 
to the importation of that good, including a copy of the declaration as to origin made 
in accordance with Article 4.5 of this Chapter.   
Article 4.7 
  
Verification Of Origin 
 
 
1. For the purposes of determining whether a good imported into its territory from the territory 
of the other Party qualifies as an originating goo d, the importing Party may, through its customs 
administration, conduct a verification of eligibility for preferential tariff treatment by means of:  
(a) requests for information addressed to the importer;  
(b) written questions and requests for information addressed to an exporter or producer in 
the territory of the other Party;  
(c) visits to the premises of an exporter or producer in the territory of the other Party to 
review the records referred to in Article 4. 6 and to observe the facilities used in the 
production of the good;  
(d) requests to the exporting Party to verify the origin of the good; or  WT/REG207/1 
Page 18  
 
 (e) such other procedures as the Parties may agree.  
2. Where a request is made by the importing Party to the exporting Party to verify the origin of 
the good:  
(a) such request shall only be made if the cust oms value for duty is sufficiently material 
to warrant the request;  
(b) the request shall be accompanied by sufficie nt information to identify the good about 
which the request was made;  
(c) the exporting Party shall, within 90 days of receiving the request, advise the 
importing Party as to the origin of the good about which the request was made; and  
(d) any costs incurred by the exporting Party in meeting the request to verify the origin of 
the good shall be mutually determined by the Parties.    
3. Prior to conducting a verification visit pursuant to Sub-paragraph 1(c) of this Article the 
importing Party shall:  
(a) deliver a written notification of its intention to conduct the visit to:  
(i) the exporter or producer whose prem ises are to be visited; and  
(ii) the customs administration of the exporting Party; and  
(b) obtain the written consent of the exporter or producer whose premises are to be 
visited.   
Article 4.8 
  
Suspension And Denial Of Preferential Tariff Treatment 
 
 
1. Notwithstanding Paragraph 4 of Article 4.5 of this Chapter, the importing Party may suspend 
the application of preferential tariff treatment to goods  that are the subject of origin verification action 
under Article 4.7 for the duration of that action, or any part thereof.  
2. The importing Party may deny preferential tari ff treatment to an imported good or recover 
unpaid duties where:  
(a) the goods do not or did not meet the requirements of this Chapter;  
(b) the producer, exporter or importer of the goods fails to comply with any of the 
relevant requirements of this Chapter for obt aining preferential tariff treatment; or  
(c) action taken under Article 4.7 failed to ve rify the eligibility of the goods for 
preferential tariff treatment.   
 
    
  WT/REG207/1 
 Page 19 
 
 
 CHAPTER 5:  TRADE REMEDIES  
 
PART I:  GENERAL TRADE REMEDIES  
  
Article 5.1 
 
Anti-Dumping Measures  
 
1. Each Party retains its rights and obligations under the WTO Agreement on Implementation of 
Article VI of GATT 1994 .  
2. Before either Party applies anti-dumping measur es against imports originating from the other 
Party, the Party initiating the action will be mindful of the provisions relating to constructive remedies 
under Article 15 of the WTO Agreement on Implementation of Article VI of the GATT 1994 .  
Article 5.2 
  
Subsidies And Countervailing Measures  
 
 Each Party retains its rights and obligations under the WTO Agreement on Subsidies and 
Countervailing Measures .  
  
Article 5.3 
  
Global Safeguards  
 
1. Each Party retains its rights and obligati ons under Article XIX of GATT 1994 and the WTO 
Agreement on Safeguards  and any other relevant provisions in the WTO Agreement.  
2. This Agreement does not confer any additional righ ts or obligations on the Parties with regard 
to such global safeguard measures, except that a Party taking such a measure may exclude imports of 
an originating good of the other Party from the action if  such imports are not a cause of serious injury 
or threat thereof.  
 
PART II:  BILATERAL SAFEGUARDS  
  
Article 5.4 
  
Safeguard Definitions   
 
 For purposes of this Part:  
  
(a) “base rate”  means the rate of customs duty for an imported good as indicated in the 
Tariff Schedule of the importing Party in Annex 1;  
(b) “domestic industry”  means, with respect to an imported good, the producers as a 
whole of the like or directly competitiv e good or those producers whose collective 
production of the like or directly competitive good constitutes a major proportion of 
the total domestic production of such good;  
(c) “preferential tariff rate”  means the rate of customs duty for an imported good 
pursuant to Article 2.3 of Chapter 2 of this Agreement;  WT/REG207/1 
Page 20  
 
 (d) “provisional measure”  means a provisional safeguard measure described in 
Article 5.8;  
(e) “safeguard measure” means a transitional safeguard measure described in Article 
5.5;  
(f) “special safeguard measure”  means a special safeguard measure described in 
Article 5.11;  
(g) “serious injury”  means a significant overall impairment in the position of a domestic 
industry;  
(h) “transition period” , in relation to a particular good, means the period from the entry 
into force of this Agreement until the date on which the customs duty on that good is 
to be eliminated in accordance with Annex 1.   
Article 5.5 
  
Application Of A Transitional Safeguard Measure 
 
 
 If, as a result of the reduction or elimination of  a customs duty pursuant to this Agreement, an 
originating good of a Party is being imported into  the other Party’s territory in such increased 
quantities, in absolute terms or relative to domest ic production, and under such conditions as to cause 
or threaten to cause serious injury to a domest ic industry producing a like or directly competitive 
good, the other Party may, to the minimum extent n ecessary to prevent or remedy serious injury and 
facilitate adjustment, apply a safe guard measure, consisting of:   
 
(a) the suspension of the further reduction of any rate of customs duty provided for under 
this Agreement on the good from the date on which the action to apply the safeguard 
measure is taken; or  
(b) an increase of the rate of customs duty on th e good to a level not to exceed the lesser 
of:  
(i) the most-favoured-nation (MFN) applied rate of customs duty in effect on the 
date on which the action to apply the safeguard measure is taken; or  
(ii) the MFN applied rate of customs duty in effect on the day immediately 
preceding the date of entry into force of this Agreement; or  
(iii) for a new safeguard measure applied from 1 January 2009 or beyond, the 
preferential tariff rate in effect under this Agreement on the day four years 
preceding the date on which the action to apply the safeguard measure is taken.  
Article 5.6 
  
Scope And Duration Of Transitional Safeguard Measures 
 
 
1. A Party shall apply a safeguard measure only for such period of time as may be necessary to 
prevent or remedy serious injury and to facilitate adjustment.  A Party may apply a safeguard measure 
for an initial period of no longer than two years.  The period of a safeguard measure may be extended 
by up to one year provided that the conditions of this Chapter are met and that the safeguard measure 
continues to be applied to the minimum extent necessar y to prevent or remedy serious injury and that  WT/REG207/1 
 Page 21 
 
 
 there is evidence that the industry is adjusting.  Th e total period of a safeguard measure, including any 
extensions thereof, shall not exceed  three years.  Regardless of it s duration or whether it has been 
subject to extension, a safeguard measure on a good shall terminate within two years following the 
end of the transition period for such good.  No ne w safeguard measure may be applied to a good after 
that date.  
2. In order to facilitate adjustment in a situa tion where the proposed duration of a safeguard 
measure is over one year, the Party applying the measure shall progressively liberalise it at regular 
intervals during the application of the measure, including at the time of any extension.     
3. A Party shall not apply a safeguard or provisional measure again on the same good until three 
years have elapsed since the date of the termina tion of the earlier safeguard or provisional measure.  
4. A Party may not apply a safeguard or provisional measure on a good that is subject to a 
measure that the Party has applied pursuan t to Article XIX of GATT 1994 and the WTO Agreement 
on Safeguards , the WTO Agreement on Textiles and Clothing , or any other relevant provisions in the 
WTO Agreement, nor may a Party continue to mainta in a safeguard or provisional measure on a good 
that becomes subject to a measure that the Part y applies pursuant to Article XIX of GATT 1994 and 
the WTO Agreement on Safeguards , the WTO Agreement on Textiles and Clothing , or any other 
relevant provisions in the WTO Agreement.  
5. A Party may not apply a safeguard measure to any good indicated by the letters SSG in its 
Tariff Schedule set out in Annex 1 nor to any good listed in Annex 1.3 which is subject to a tariff 
quota.  
6. On the termination of a safeguard measure, the Party that applied the measure shall apply the 
rate of customs duty set out in its Tariff Schedule as specified in Annex 1 on the date of termination 
as if the safeguard measure had never been applied.  
Article 5.7 
  
Investigation  
 
1. A Party may apply or extend a safeguard measure only following an investigation by the 
Party’s competent authorities to examine the effect of increased imports of an originating good of the 
other Party on the domestic industry, as reflected in  changes in such relevant economic variables as 
production, productivity, levels of sales, utilisation of capacity, inventories, market share, exports, 
wages, employment, domestic prices, profits and in vestment, none of which is necessarily decisive.  
When factors other than increased imports of an or iginating good of the other Party resulting from the 
reduction or elimination of a customs duty pursuan t to this Agreement are simultaneously causing 
injury to the domestic industry, such injury sha ll not be attributed to such increased imports.  
2. An investigation under Paragr aph 1 shall only take place pursuant to procedures previously 
established and made public in consonance with Chap ter 14 of this Agreement.  The investigation 
shall include reasonable public notice to all interested  parties and public hearings or other appropriate 
means in which importers, exporters and other in terested parties could present evidence and their 
views, including the opportunity to respond to the presentations of other parties and to submit their 
views, inter alia , as to whether or not the application of a safeguard measure would be in the public 
interest.  An investigation shall be completed expe ditiously. Upon completion of an investigation, the 
competent authorities shall promptly publish a report setting forth their findings and reasoned 
conclusions reached on all pertinent issues of fact and law.  
3. Any information which is by nature confidential or which is provided on a confidential basis 
shall, upon cause being shown, be treated as such by the competent authorities.  Such information WT/REG207/1 
Page 22  
 
 shall not be disclosed without permission of the party submitting it.  Parties providing confidential 
information may be requested to furnish non-conf idential summaries thereof or, if such parties 
indicate that such information cannot be summarised , the reasons why a summary cannot be provided.  
However, if the competent authorities find that a requ est for confidentiality is not warranted and if the 
party concerned is either unwilling to make the info rmation public or to authorise its disclosure in 
generalised or summary form, the authorities ma y disregard such information unless it can be 
demonstrated to their satisfaction from appropria te sources that the information is correct.  
Article 5.8 
  
Provisional Measures 
 
 
1. In highly unusual and critical circumstances wh ere delay would cause injury which would be 
difficult to repair, a Party may apply a provision al safeguard measure pursuant to a preliminary 
determination that there is clear evidence that in creased imports of an or iginating good of the other 
Party as a result of the reduction or elimination of a duty pursuant to this Agreement have caused or 
are threatening to cause serious injury.  The dura tion of such a provisional measure shall not exceed 
120 days, during which period the pertinent requirements of Articles 5.5, 5.6, and 5.7 shall be met.  
The duration of any such provisional measure shall be counted as part of the total period referred to in 
Article 5.6 (1).  Any additional customs duties co llected as a result of such a provisional measure 
shall be promptly refunded if the subsequent i nvestigation referred to in Article 5.7 (1) does not 
determine that increased imports of an originating good of the other Party have caused or threatened 
to cause serious injury to a domestic industry.  In such a case, the Party that applied the measure shall 
apply the rate of customs duty set out in its Ta riff Schedule as specified in Annex 1 as if the 
provisional measure had never applied.  
2. In determining whether such highly unusual and critical circumstances exist, a Party shall 
have regard to the rate of increase of imports of  an originating good of the other Party, both in 
absolute and relative terms, and the overall level of the Party’s imports of the good from the other 
Party as a share of total imports of the good, as a r esult of the reduction or elimination of a duty on the 
good pursuant to this Agreement.  
Article 5.9 
  
Notification And Consultation  
 
1. A Party shall promptly notify the other Party, in writing, on:  
(a) initiating an investigation under Article 5.7;  
(b) making a finding of serious injury or threat  thereof caused by increased imports of an 
originating good of the other Party as a result of the reduction or elimination of a 
customs duty on the good pursuant to this Agreement;  
(c) taking a decision to apply or extend a safe guard measure, or to apply a provisional 
measure; and  
(d) taking a decision to progressively liberalise a safeguard measure previously applied.  
2. A Party shall provide to the other Party a copy  of the public version of the report of its 
competent authorities required under Article 5.7 immediately as it is available.  
3. In making a notification pursuant to Paragraph 1, the Party applying or extending a safeguard 
measure shall also provide evidence of serious injury  or threat thereof caused by increased imports of  WT/REG207/1 
 Page 23 
 
 
 an originating good of the other Party as a result of the reduction or elimination of a customs duty 
pursuant to this Agreement, a precise description of the good involved, the details of the proposed 
measure including as appropriate the grounds for no t selecting the measure described in Article 5.5 
(a), the date of introduction, dur ation, and timetable for progressive liberalisation of the measure, if 
such timetable is applicable.  In the case of an extension of a measure, evidence that the domestic 
industry concerned is adjusting shall also be provide d.  Upon request, the Party applying or extending 
a safeguard measure shall provide additional inform ation as the other Party may consider necessary.  
4. A Party proposing to apply or extend a safegua rd measure shall provide adequate opportunity 
for prior consultations with the other Party, with a view to, inter alia , reviewing the information 
provided under Paragraph 3, exchanging views on the measure and reaching an agreement on 
compensation as set forth in Article 5.10 (1).   
5. Where a Party applies a provisional measure referred  to in Article 5.8, on request of the other 
Party, consultations shall be initiated immediately after such application.  
6. The provisions on notification in this Chapter sh all not require a Party to disclose confidential 
information the disclosure of which would impede la w enforcement or otherwise be contrary to the 
public interest or would prejudice the legitimate commer cial interests of partic ular enterprises, public 
or private.  
Article 5.10 
  
Compensation  
 
1. A Party extending a safeguard measure for an  overall period beyond two years shall, in 
consultation with the other Party, provide to th e other Party mutually agreed trade liberalising 
compensation in the form of substantially equivale nt concessions during the pe riod of extension of the 
measure beyond the aforementioned two years.  Such consultations shall begin within 30 days of the 
decision to extend the measure and, in accordance with  Article 5.9 (4), shall take place prior to the 
extension.  
2. If the Parties are unable to reach agreement on compensation within 30 days after the 
consultations commence, the exporting Party shall be free to suspend the application of substantially 
equivalent concessions to the trade of th e Party extending the safeguard measure.  
3. A Party shall notify the other Party in writing at least 30 days before suspending concessions 
under Paragraph 2.  
4. The obligation to provide compensation under Paragraph 1 and the right to suspend 
substantially equivalent concessions  under Paragraph 2 shall terminate on the date of the termination 
of the safeguard measure.  
Article 5.11 
  
Special Agricultural Safeguard Measures  
 
1. A Party may, in exceptional circumstances, appl y a special safeguard measure to a limited 
number of specified sensitive agricultural goods as i ndicated by the letters SSG in its Tariff Schedule 
set out in Annex 1.  
2. The Parties shall endeavour to apply special safe guard measures in a manner that is consistent 
with their commitments under this Agreement to liberalise and promote the expansion of trade in 
these goods between the Parties.   WT/REG207/1 
Page 24  
 
 3. A Party may impose a special safeguard measure on a good only during the period  set out in 
Annex 3 for that good.  
4. Such a special safeguard measure may be applie d to imports of an agricultural good listed in 
Annex 3 if the volume of imports of that origin ating good of the other Party entering the customs 
territory of the Party during any given calendar y ear exceeds the specified volume trigger level for 
that year.  The applicable trigger levels are set out in Annex 3.  
5. If the conditions in Paragraph 4 are met, a Party may increase the rate of customs duty 
applicable to the good for the remainder of that calendar year through the application of customs duty on such good at the current MFN applied rate  or the base rate, whichever is lower.  
6. Supplies of the good in question which were en route  on the basis of a contract settled before 
the additional customs duty is imposed under the term s of this Article shall be exempted from any 
such additional customs duty, provided that they may be counted in the volume of imports of the good 
in question during the following year for the purpos es of triggering the provisions of Paragraph 4 in 
that year.  
7. A Party shall apply any special safeguard meas ure in a transparent manner.  A Party shall 
ensure that the current volume of imports is published in a manner which is readily accessible to 
traders and the other Party.  A Party applying a speci al safeguard measure shall give notice in writing, 
including relevant data, to the other Party as far in  advance as may be practicable and in any event 
within 10 working days of the implementation of su ch action.  A Party which decides not to apply a 
special safeguard measure where the specified trigge r volume has been or is about to be met, shall 
notify the other Party promptly of its decision.  
8. Upon request of a Party, the Parties shall c onsult promptly and cooperate in exchanging 
information, as appropriate, with respect to the co nditions for applying a special safeguard measure.  
9. A Party may not apply a special safeguard measure  on a good that is subject to a measure that 
the Party has applied pursuant to Article XIX of GATT 1994 and the WTO Agreement on Safeguards , 
or any other relevant provisions in the WTO Agreem ent, or to a measure set forth in Articles 5.5 to 
5.10, nor may a Party continue to maintain a special safeguard measure on a good that becomes 
subject to a measure that the Party appli es pursuant to Article XIX of GATT 1994 and the 
WTO Agreement on Safeguards , or any other relevant provisions in the WTO Agreement, or to any 
measure set forth in Articles 5.5 to 5.10.  
10. No later than three years following the entry into  force of this Agreement, the Parties shall 
review the operation of this Article, including the appropriateness of the list of products set out in 
Annex 3 and the trigger levels, including the growth f actors set out in Annex 3.  The review shall take 
into account relevant international, regi onal and bilateral trade developments.  
11. In the event that a Party enters into an agreement or an arrangement with a non-Party 
following the entry into force of this Agreement th at does not provide for special safeguard measures 
on a good or goods covered in the relevant secti on of Annex 3 of this Agreement, and where the 
non-Party is a substantial supplier of the good or goods, the Parties shall, by mutual consent, enter 
into consultations on the scope for that good or  those goods to be withdrawn from Annex 3.  
 
   
 
  WT/REG207/1 
 Page 25 
 
 
 CHAPTER 6:  SANITARY AND PHYTOSANITARY MEASURES  
 
Article 6.1 
  
Objectives  
 
 The objectives of this Chapter are to:   
(a) uphold and enhance implementation of the SPS Agreement and applicable 
international standards, guidelines and recommendations developed by relevant 
international organisations;  
(b) facilitate trade in all products between th e Parties through seeking to resolve trade 
access issues, while protecting human, animal or plant life or health in the territory of 
the Parties;  
(c) provide a means to strengthen cooperation and consultation between the Parties on 
bilateral sanitary and phytosanitary matter s and on food standards, including through 
the development of implementing arrange ments on equivalence and other agreed 
matters of interest to the Parties; and  
(d) strengthen collaboration between the Par ties in relevant international bodies 
implementing agreements or developing international standards, guidelines and 
recommendations relevant to the matte rs covered by this Chapter.  
Article 6.2 
 
Scope 
 
 
1. This Chapter shall apply to all sanitary or phyto sanitary measures of a Party that may, directly 
or indirectly, affect trade between the Parties, in particular involving agricultural and food products.  
2. This Chapter shall apply to food standards wh ich are SPS measures and Chapter 7 shall apply 
to food standards which are not SPS measures.  Notw ithstanding the above, Articles 6.5 to 6.10 of this 
Chapter shall apply to all food standards.    
Article 6.3 
 
Definitions  
 
 For the purposes of this Chapter:    
(a) “appropriate level of sanitary or phytosanitary protection”  shall have the same 
meaning as in Annex A, paragraph 5 of the SPS Agreement;  
(b) “relevant international organisations”  include the Codex Alimentarius 
Commission (Codex), the World Organisati on for Animal Health (OIE), and the 
relevant international and regional organisations operating within the framework of 
the International Plant Protection Convention (IPPC);  
(c) “sanitary or phytosanitary measure”  (SPS measure) shall have the same meaning 
as in Annex A, paragraph 1 of the SPS Agreement;   WT/REG207/1 
Page 26  
 
 (d) “urgent problem of health protection”  means a situation where there is a clearly 
identified risk of serious health effects on human, animal or plant life or health arising from the importation of a product or products into the customs territory of a 
Party.   
Article 6.4 
  
International Obligations 
 
 
1. The Parties reaffirm their existing rights and obligations with respect to each other under the 
SPS Agreement.  
2. Nothing in this Chapter shall prevent a Part y from adopting, implementing or maintaining 
measures necessary to achieve its appropriate level of  protection for human, animal or plant life or 
health consistent with its rights and obligations under the SPS Agreement.  
Article 6.5 
  
Competent Authorities And Contact Points  
 
1. Recognising the importance of close and effectiv e working relationships between the Parties 
in giving effect to the objectives of this Chapter,  the Parties shall promote communication to enhance 
present and future relationships between their competent authorities.  
2. The competent authorities for matters within the sc ope of this Chapter as at the date of entry 
into force of this Agreement are:  
(a) in the case of New Zealand, the Ministry of Agriculture and Forestry and the New 
Zealand Food Safety Authority; and  
(b) in the case of Thailand, the Ministry  of Agriculture and Cooperatives.  
3. The competent authorities shall designate contact points for communication on all matters 
arising under this Chapter.  Each Party shall notify the other promptly of any changes to the 
competent authorities or contact points.  As at the date of entry into force of this Agreement, the 
contact point for Thailand shall be the Nationa l Bureau of Agricultural Commodity and Food 
Standards; and for New Zealand, the contact point s shall be the New Zealand Food Safety Authority 
and Biosecurity New Zealand.  
4. Each Party shall provide notice to the contact points of the other Party of new or proposed 
changes to its SPS measures and food standards, as fa r in advance as practicable before the changes 
come into effect, where these are likely to affect, di rectly or indirectly, trade between the Parties.   
Article 6.6 
  
Urgent Problems Of Health Protection  
 
 A Party may, in response to an urgent problem  of health protection which arises or threatens 
to arise, take measures necessary for the protection of  human, animal or plant life or health.  In such 
circumstances, the Party shall provide notice to the contact points of the other Party of such changes 
to its SPS measures and food standards within 1 day of the changes coming into effect, where these 
are likely to affect, directly or indirectly, trad e between the Parties.  The Parties shall consult 
expeditiously regarding the situation with a view to  minimising disruption to trade.  The Parties shall 
take due account of any information pr ovided through such consultations.   WT/REG207/1 
 Page 27 
 
 
 Article 6.7 
  
Situations Of Non-Compliance  
 
 The Parties shall cooperate where there is a notification of non-compliance of imported 
consignments for products subject to SPS measures or food standard requirements, drawing on the 
guidelines of relevant international organisations where available.  In particular, where such non-
compliance arises, the importing Party shall notify as soon as possible the exporting Party of the consignment details.  Unless specifically required by  its laws, regulations or policies, the importing 
Party shall avoid suspending trade based on one ship ment, but in the first instance shall contact the 
exporting Party to ascertain how the problem has occurred.  The Parties shall consult on what 
remedial action might be taken by the exporting Pa rty to ensure that further shipments are not 
affected.  
 
Article 6.8 
 
Joint SPS Committee 
 
 
 The Parties shall establish a Joint SPS Committee co nsisting of representatives of the Parties.  
The Joint SPS Committee shall consid er any matters relating to the implementation of this Chapter, 
and shall:  
  
(a) establish technical working groups, as required;  
(b) meet in person within one year of the entry into force of this Agreement and at least 
annually thereafter or as mutually agreed by the Parties.  It may meet via teleconference, video conference, or through any other means, as mutually 
determined by the Parties.  The Co mmittee may also address issues through 
correspondence;  
(c) initiate, develop and review implemen ting arrangements on technical matters 
including harmonisation, equivalence, cont rol, inspection and approval procedures 
which further elaborate the provisions of th is Chapter in order to facilitate trade 
between the Parties, particularly in  agricultural and food products; and  
(d) review and assess progress of each Party’s priority market access interests, and, 
where agreed as necessary, amend implementing arrangements.  
Article 6.9 
  
Technical Working Groups 
 
 
 Technical working groups may c onsist of expert-level representatives of the Parties as agreed, 
and shall identify, address and attempt to resolve technical and scientific issues arising from this 
Chapter.  In cases where these issues are not able  to be resolved at the level of the established 
technical working group, they shall be reporte d to the Joint SPS Committee in order to reach a 
mutually acceptable resolution with the least disruption to trade.   
 
    
 
  WT/REG207/1 
Page 28  
 
 Article 6.10 
  
Consultations 
 
 
1. In the event that a Party considers that an  SPS measure or food standard affecting trade 
between it and the other Party warrants consultations , it may, through the contact point, request that 
consultations be held.  The other Party shall res pond promptly to any request for consultations.   
2. The consultations shall be held within 21 days  of the request, unless the Parties determine 
otherwise, and may be conducted via teleconference,  video conference, or through any other means, 
as mutually determined by the Parties.   
3. The purpose of such consultations is to shar e information and increase mutual understanding, 
with a view to resolving any concerns about the specific SPS measure or food standard that is the 
subject of the consultations, consistent with the rights and obligations of the Parties under the WTO 
Agreement.  
Article 6.11 
  
Other Cooperation  
 
 The Parties shall explore opportunities for furt her cooperation, collabora tion, and information 
exchange on SPS matters including technical assist ance at the bilateral, regional and multilateral 
levels consistent with the pr ovisions of this Chapter.  
  
Article 6.12 
  
Confidentiality  
 
 Information exchanged under this Chapter ma y include non-public information exempt from 
public disclosure under the respective laws and regulati ons of the Parties.  Information that is not 
appropriate for public dissemination sh all be identified by the relevant Party and is only to be shared 
according to the procedures and policies of the Par ties as permitted by their respective laws.  Neither 
Party shall disclose such information without the consent of the owner of that information.  
  
Article 6.13 
  
Dispute Settlement  
 
1. Matters arising under this Chapter that cannot be settled through consultations under 
Article 6.10 of this Chapter may be forwarded by either Party for consideration by the CEP Joint 
Commission.  
2. Without prejudice to the rights of the Parties under the WTO Understanding on Rules and 
Procedures Governing the Settlement of Disputes , Chapter 17 on Dispute Settlement shall not apply 
to the provisions of this Chapter. 
 
 
    
  WT/REG207/1 
 Page 29 
 
 
 CHAPTER 7:  TECHNICAL BARRIERS TO TRADE  
  
Article 7.1 
  
Definitions  
 
 All general terms concerning standards and co nformity assessment procedures used in this 
Agreement shall have the meaning given in the defi nitions contained in the International Organisation 
for Standardisation / International Electrotec hnical Commission Guide 2 (1996), which cover goods, 
processes and services. This Chapter deals only with technical regulations, standards and conformity 
assessment procedures related to products or processes and production methods. In addition, the 
following terms and definitions shall appl y for the purposes of this Chapter:  
  
(a) “conformity assessment procedure”  means any procedure used, directly or 
indirectly, to determine that relevant requirements in technical regulations or 
standards are fulfilled;  
(b) “equivalence”  means the state wherein mandatory requirements applied in the 
exporting Party, though different from the mandatory requirements applied in the 
importing Party, meet the legitimate objective of the mandatory requirements applied in the importing Party;  
(c) “Implementing Arrangements”  are subsidiary documents that set out the details 
relating to the implementation of the Annexes to this Chapter;  
(d) “mandatory requirements” means all mandatory standards and technical 
regulations in the laws or regulations of a Party;  
(e) “standard”  means a document approved by a recognised body that provides, for 
common and repeated use, rules, guidelines or characteristics for products or related 
processes and production methods, with whic h compliance is not mandatory. It may 
also include or deal exclusively with terminology, symbols, packaging, marking or labelling requirements as they apply to  a product, process or production method;  
(f) “technical regulation”  means a document which lays down product characteristics 
or their related processes and producti on methods, including the applicable 
administrative provisions, with which complia nce is mandatory. It may also include 
or deal exclusively with terminology, symbols, packaging, marking or labelling 
requirements as they apply to a product, process or production method.  
Article 7.2 
  
Objectives 
 
 
 The objectives of this Chapter are:   
(a) to facilitate trade and investment between  the Parties through collaborative efforts 
which minimise the impact of techni cal regulations and/or assessments of 
manufacturers or manufacturing processes on the goods traded between the Parties, in 
the most appropriate or cost-effective manner;   
(b) to complement bilateral agreements and a rrangements between the Parties relating to 
technical regulations; and   WT/REG207/1 
Page 30  
 
 (c) to build on the mutual recognition arrangements developed by international and 
regional organisations including APEC.  
Article 7.3 
  
Scope And Obligations 
 
 
1. This Chapter applies to standards, tec hnical regulations and conformity assessment 
procedures that may, directly or indirectly, affect the sale of goods between the Parties other than those that:  
(a) relate to government procurement;  and  
(b) are sanitary or phytosanitary measures as defined in Annex A, paragraph 1 of the 
SPS Agreement.  
2. This Chapter shall apply to food standards wh ich are not SPS measures. Notwithstanding this, 
Articles 6.5 to 6.10 of Chapter 6 of this Agreemen t shall apply to food standards which are not SPS 
measures.  
3. The Parties affirm with respect to each other their existing rights and obligations relating to 
technical regulations under the TBT Agreement.   
4. Nothing in this Chapter shall prevent a Part y from adopting or maintaining, in accordance 
with its international rights a nd obligations and the conditions set out in the TBT Agreement:  
(a) technical regulations necessary to ensure its national security requirements; and  
(b) technical regulations necessary for the protection of human health or safety, animal or 
plant life or health, or the environment, or for the prevention of deceptive practices.  
5. Each Party shall retain all authority under its  legislation to take appropriate and timely 
measures for goods which pose an immediate risk  to health, safety or the environment.  
6. The Parties affirm their intention to adopt and to apply, with such modifications as may be 
necessary, the principles set out in the APEC  Information Notes on Good Regulatory Practice in 
Technical Regulation  with respect to conformity assessment and approval procedures in meeting their 
international obligations u nder the TBT Agreement.  
Article 7.4 
 
Origin 
 
 
 This Chapter applies to all goods traded between the Parties, regardless of the origin of those 
goods, unless otherwise specified by any technical regulations of a Party.    
Article 7.5 
  
Harmonisation And Equivalence 
 
 
1. The Parties shall, where appropriate, endea vour to work towards harmonisation of their 
respective technical regulations, taking into account relevant intern ational standards, 
recommendations and guidelines, in accordance with  their international rights and obligations.   WT/REG207/1 
 Page 31 
 
 
 2. Each Party shall give positive consideration to  accepting as equivalent technical regulations 
of the other Party, even if these regulations differ fro m its own, provided that it is satisfied that these 
regulations adequately fulfil the objectives of its own regulations.  
3. A Party shall, upon the request of the other Pa rty, explain the reasons why it has not accepted 
a technical regulation of the other Party as equivalent to its own.     
4. The Parties may cooperate with each other in the context of their participation in international 
standardising bodies to ensure that international st andards developed within such organisations that 
are likely to become a basis for technical regulations are trade facilitating and do not create unnecessary obstacles to international trade.  
Article 7.6 
  
Conformity Assessment Procedures  
 
 
1. The Parties shall, recognising the existence of differences in the structure, organisation and 
operation of conformity assessment procedures in thei r respective territories, make compatible those 
procedures to the greatest extent practicable.  
2. The Parties recognise that a broad range of m echanisms exist to facilitate the acceptance of 
the results of conformity assessment procedures.  
3. Each Party shall, wherever possible, accept th e results of a conformity assessment procedure 
conducted in the territory of the other Party, provided that it is satisfied that the procedure offers an 
assurance, equivalent to that provided by a pro cedure it conducts or a procedure conducted in its 
territory the results of which it accepts, that the re levant good complies with the applicable technical 
regulation or standard adopted or ma intained in the Party's territory.  
4. Before accepting the results of a conformity assessment procedure, and to enhance confidence 
in the continued reliability of each other's conformi ty assessment results, the Parties may consult, as 
appropriate, on such matters as the technical competence of the conformity assessment bodies 
involved.  
5. A Party shall, on the request of the other Pa rty, explain its reasons where it does not accept 
the results of a conformity assessment procedure cond ucted in the territory of the other Party.    
6. A Party shall, on the request of the other Pa rty, take such reasonable measures as may be 
available to it to facilitate access in its territo ry for conducting conformity assessment procedures.  
7. A Party shall give appropriate consideration to a request by the other Party to negotiate 
Annexes to this Chapter and Implementing Arrangeme nts for the recognition of the results of that 
other Party's conformity assessment procedures in agreed sectors.  
8. The Parties shall utilise to the maximum ex tent possible existing mutual recognition 
arrangements in relation to the acceptance of conformity assessment procedures.  
9. The Parties shall give appropriate  consideration, where possible, to participation in any future 
mutual recognition arrangement s developed within APEC.  
 
   WT/REG207/1 
Page 32  
 
 Article 7.7 
  
Regulatory Cooperation 
 
 
1. A Party that exercises the authority referred to  in Article 7.3 (5) in relation to a product 
covered by an Annex shall advise the other Party in a timely manner of the action being taken.  
2. The Parties acknowledge that either Party ma y enter, or have entered into, bilateral 
agreements with third Parties, and agree to consult on any matters that may arise due to the interaction 
of those bilateral agreements and arrangements on this Agreement or Implementing Arrangements.  
Article 7.8 
  
Technical Cooperation And Contact Points  
 
1. Each Party shall establish a contact point with  responsibility to implement and monitor the 
operation of this Chapter and, in particular, to:  
(a) identify priority sectors for enhanced cooperation;  
(b) establish work programmes in priority areas;   
(c) take responsibility for coordinating with rele vant persons and organisations in their 
respective territories their participation in work programmes; and  
(d) monitor the work programmes.  
2. The contact point for each Party shall designate key advisers within each of their regulatory 
agencies to:  
(a) respond to inquiries related to their techni cal regulations, standards and conformity 
assessment procedures that may affect trade in goods;  
(b) participate in technical consultations, if  so requested by a contact point; and  
(c) cooperate in agreed work programmes.  
3. In designating key advisers, the contact points sh all ensure that full telephone, fax, email and 
other relevant details are provided.  The Parties shall notify each other promptly of any amendments 
to the details of the contact points or key advisers.  
4. If as a result of a technical consultation, the Parties consider that a work programme would 
assist in resolving the concerns that gave rise to th e technical consultation, the Parties shall establish a 
work programme with a view to resolving those concerns.  
5. Unless they mutually determine otherwise, the Parties shall hold technical consultations 
within 30 working days of the request for tec hnical consultations via email, teleconference, 
video-conference, or through any other means,  as mutually determined by the Parties.  
6. The contact points shall conduct meetings to promote and monitor the implementation and 
operation of this Chapter at least once a year, or more frequently on the request of either of the 
Parties, via teleconference, video-conference or any other means as mutually determined by the 
Parties.   WT/REG207/1 
 Page 33 
 
 
 7. The contact points shall report jointly to th e CEP Joint Commission on the implementation 
and operation of this Chapter.  
Article 7.9 
 
Annexes And Implementing Arrangements  
 
1. The Parties may conclude Annexes to this  Chapter setting out agreed principles and 
procedures relating to technical regulations, st andards and conformity assessment procedures.  
2. The Parties may conclude Impl ementing Arrangements setting out the details relating to the 
implementation of the Annexes to this Chapter.  
  
CHAPTER 8:  TRADE IN SERVICES  
  
Article 8.1 
  
Liberalisation Of Trade In Services  
 
1. The Parties agree to conclude an agreement which liberalises trade in services between the 
Parties and which is consistent with Articles V.1 and V.3 of GATS.      
2. For the purposes of Paragraph 1, the Parties sha ll enter into negotiations on trade in services 
within three years from the date of entry into force of this Agreemen t, with the aim of concluding an 
agreement to liberalise trade in services be tween the two Parties as soon as possible.  
3. If a Party enters into an agreement on trade in services with a non-Party, it shall give due 
consideration to a request by the other Party for th e incorporation in the ag reement referred to in 
Paragraph 2 of treatment no less favourable than that provided under the agreement with a non-Party.    
4. Pending the conclusion of the negotiations speci fied in Paragraph 2, interim measures in 
respect of the Movement of Natural Persons, c onsistent with the provisions of the “Annex on 
Movement of Natural Pers ons Supplying Services under the Agreem ent” of GATS, shall be taken as 
specified in the exchange of letters on temporary entry.  
5. Nothing in this Agreement shall affect the right s and obligations of the Parties in respect of 
trade in services under GATS.   
 
CHAPTER 9:  INVESTMENT  
  
Article 9.1 
   
Objectives 
 
 
 The objectives of this Chapter are to:   
(a) encourage and promote the open flow of investment between the Parties;  
(b) ensure transparent rules conduciv e to increased investment fl ows between the Parties;   
(c) accord protection and security to investment s of the other Party within each Party’s 
territory; and  WT/REG207/1 
Page 34  
 
 (d) enhance cooperation in investment between  the Parties in order to improve the 
efficiency, competitiveness and diversity of investment.  
Article 9.2 
  
Definitions 
 
 
 For the purposes of this Chapter:    
(a) “investment”  means every kind of asset, owned or c ontrolled, directly or indirectly, 
by an investor, including but not limited to the following:  
(i) movable and immovable property a nd other property rights such as 
mortgages, liens or pledges;  
(ii) shares, stocks, bonds and debentures or an y other form of participation in a 
juridical person including government issued bonds;  
(iii) a claim to money or a claim to performance having economic value;  
(iv) intellectual property rights, including rights with respect to copyright, 
patents, trade marks, trade names, industrial designs, trade secrets; know-
how; and goodwill;   
(v) business concessions and any other ri ghts required to conduct economic 
activity and having economic value conf erred by law or under a contract, 
including any concession to search for, cultivate, extract or exploit natural 
resources; and  
(vi) returns that are invested.  
 For the purposes of this Chapter, any alterati on to the form in which assets are invested or 
reinvested shall not affect their character as invest ments, provided that such altered investment is 
approved by the relevant Party if so requir ed by its laws, regulations or policies;  
  
(b) “covered investment”  means, with respect to a Party, an investment in its territory of 
an investor of the other Party in existence as  of the date of entry into force of this 
Agreement or established, acquired or expanded thereafter and which has been 
admitted by the latter Party in accordance with  its laws, regulations and policies;  
(c) “direct investment”  means a direct investment as defined by the International 
Monetary Fund under its Balance of Paym ents Manual, fifth edition (BPM5), as 
amended;  
(d) “investor of a Party”  means:  
(i) a juridical person of a Party; or  
(ii) a natural person who is a national or a citizen or permanent resident of a 
Party;   
that has made, is in the process of making or is seeking to make an investment in the 
territory of the other Party.  WT/REG207/1 
 Page 35 
 
 
  Notwithstanding Sub-paragraph (d)(ii), for th e purposes of Article 9.5 of this Chapter 
“investor of a Party” means a natural person who is a national or a citizen of a Party that has made, is 
in the process of making or is seeking to make an i nvestment in the territory of the other Party;  
 
(e) “juridical person”  means any legal entity duly incorporated, constituted or 
otherwise organised under applicable law,  whether for profit or otherwise, and 
whether privately-owned or otherwise, including any corporation, company, association, trust, partnership, join t venture or sole proprietorship;  
(f) “freely useable currency”  means a freely useable cu rrency as determined by the 
International Monetary Fund under the Articles of Agreement of the  International 
Monetary Fund  and amendments thereafter, or any currency that is used to make 
international payments and is widely traded  in the international principal exchange 
markets;   
(g) “measure”  means any measure by a Party, whethe r in the form of a law, regulation, 
rule, procedure, decision, administrative action, or any other form, and includes 
measures taken by:  
(i) central, regional or local governments and authorities; and  
(ii) non-governmental bodies in the exercise of powers delegated by central, 
regional or local governments or authorities.  
 In fulfilling its obligations under this Chapter,  each Party shall take such reasonable measures 
as may be available to it to ensure their observa nce by regional and local governments and authorities 
and non-governmental bodies within its territory;  
  
(h) “permanent resident”  means a natural person whose residence in a Party is not 
limited as to time under its law;  
(i) “return”  means an amount yielded by or derived from an investment, including 
profits, dividends, interest, capital gains, royalty payments, payments in connection 
with intellectual property rights, and all other lawful income.  
Article 9.3 
 
Scope Of Application  
 
 
1. This Chapter applies to measures adopted or maintained by a Party relating to direct 
investments of investors of the other Party and inv estors of the other Party, and to the promotion and 
protection of such investments and investors.  Subj ect to Article 9.5 of this Chapter, such measures 
shall not include measures by that Party affecting trade in services.   
2. This Chapter shall not apply to disputes arising before entry into force of this Agreement.  
3. This Chapter shall not apply to subsidies or gr ants provided by a Party or to any conditions 
attached to the receipt or continued receipt of such  subsidies or grants, whether or not such subsidies 
or grants are offered exclusively to do mestic investors and investments.   
4. This Chapter shall not apply to laws, regulati ons or policies governing the procurement by 
governmental agencies of goods and services purchased for governmental purposes and not with a view to commercial resale or with a view to use in the production of goods or the supply of services 
for commercial sale.  WT/REG207/1 
Page 36  
 
 5. This Chapter shall not prevent an investor of one Party taking advantage of the provisions of 
any law, regulation or policy of the other Party whic h are more favourable than the provisions of this 
Chapter.  
6. The application of this Chapter shall be subject  to the provisions of Chapters 14, 15 and 18.  
Article 9.4 
  
Areas Of Cooperation 
 
 
1. The Parties shall strengthen and develop cooperation efforts in investment including through:  
(a) research and development;  
(b) networking through information technology;  
(c) human resource development;  
(d) information exchange; and  
(e) capacity building, including for small and medium enterprises.  
2. The Parties shall foster the development of  cooperation in key industries, including in 
biotechnology, software, electronic manufacturing and agro-processing.  
Article 9.5 
 
Scheduling Of Commitments  
 
1. Each Party shall set out in a schedule the specific commitments in non-service sectors it 
undertakes under this Agreement. With respect to  sectors where such commitments are undertaken, 
each Schedule shall specify:  
(a) terms, limitations and conditions on market access;  
(b) conditions and qualifications  on national treatment;   
(c) undertakings relating to additional commitments;  
(d) where appropriate, the time frame for implementation of such commitments;  and  
(e) the date of entry into force of such commitments.  
2. Schedules of specific commitments shall be anne xed to this Agreement and shall form an 
integral part thereof.  
Article 9.6 
  
National Treatment In Respect Of The Esta blishment And Acquisition Of Investments  
 
 In the sectors inscribed in Annex 4, and/or s ubject to any conditions and qualifications set out 
therein, each Party shall accord to investors of th e other Party, in relation to the establishment and 
acquisition of investments in its territory, treatment that is no less favourable than that which it 
accords in like circumstances to its own invest ors with respect to their investments.   WT/REG207/1 
 Page 37 
 
 
 Article 9.7 
  
National Treatment In Respect Of Covered Investments And Investors  
 
1. Each Party shall accord to covered investment s treatment no less favourable than that it 
accords, in like circumstances, to i nvestments in its territory of its own investors with respect to the 
management, conduct, operation, and sale or other disposition of investments, unless otherwise 
specified in Annex 4.  
2. Each Party shall accord to investors of the othe r Party treatment no less favourable than that it 
accords, in like circumstances, to its own inv estors with respect to the management, conduct, 
operation, and sale or other disposition of invest ments, unless otherwise specified in Annex 4.  
Article 9.8 
  
Most Favoured Nation Treatment With Respect To The Promotion And Protection Of Investments  
 
1. For the purposes of the promotion and protectio n of investments, with the exception of 
Article 9.16, each Party shall accord to:  
(a) investors of the other Party, treatment no l ess favourable than that it accords, in like 
circumstances, to investors of any non-Party; and  
(b) all covered investments treatment no less fa vourable than that it accords, in like 
circumstances, to investments in its te rritory of investors of any non-Party.  
2. Each Party shall accord to investors and investme nts of investors of the other Party treatment 
no less favourable than it accords, in like circumstances,  to investors and investments of investors of 
any non-Party, with respect to measures for the pr omotion and protection of investments adopted or 
maintained by a Party relating to the requirements (if any) that need to be sa tisfied for investors and 
investments to receive the benefits of an agreement relating to investments.  
Article 9.9 
  
Denial Of Benefits  
 
1. Subject to Paragraph 2 of this Article, a Pa rty may, under its applicable laws and/or 
regulations, deny the benefits of this  Chapter to an investor of the other Party that is a juridical person 
of such Party and to investments of such an inv estor where the Party establishes that the juridical 
person is owned or controlled by persons of a non-Party.  
2. For the purposes of promotion and protection of investment and subject to prior notification 
and consultation, a Party may deny the benefits of this Chapter to an investor of the other Party that is 
a juridical person of such Party and to investments of  such an investor where the Party establishes that 
the juridical person is owned or controlled by pe rsons of a non-Party and has no substantive business 
operations in the territory of the other Party.  
Article 9.10 
  
Promotion And Protection Of Investments  
 
1. Each Party shall accord appr opriate protection to:   WT/REG207/1 
Page 38  
 
 (a) covered investments which, if so required,  have been specifically approved in writing 
by the competent authorities concerned of  the other Party as being entitled to the 
benefits of an agreement re lating to investments; and  
(b) investors of the other Party, but only in  respect of such investors’ management, 
conduct, operation and sale or other dispositi on of the covered investment related to 
Sub-paragraph (a).  
2. This Article shall not apply to a natural person who is  a permanent resident but not a national 
of a Party where the investment provisions of an agreement between the other Party and the country 
of which the person is a national have already been invoked in respect of the same matter.  
3. A juridical person of a Party shall not be treated as an investor of the other Party, but any 
investments in that juridical person by investors of th at other Party shall be protected by this Article.  
Article 9.11 
 
Expropriation 
 
 
1. Neither Party shall nationalise, expropriate  or subject to measures equivalent to 
nationalisation or expropriation (her einafter referred to as “expropriati on”) the covered investments of 
investors of the other Party unless the following conditions are complied with:  
(a) the expropriation is for a public purpose related to the internal needs of that Party;   
(b) the expropriation is under due process of law;  
(c) the expropriation is non-discriminatory; and  
(d) the expropriation is accompanied by the paym ent of prompt, adequate and effective 
compensation.  
2. The compensation referred to in Sub-paragraph 1( d) of this Article shall be computed on the 
basis of the market value of the investment i mmediately before the expropriation or impending 
expropriation becomes public knowledge.  Where that value cannot be readily ascertained, the 
compensation shall be determined in accordance with  generally recognised prin ciples of valuation and 
equitable principles taking into account, where appr opriate, the capital invested, depreciation, capital 
already repatriated, replacement value, currency exch ange rate movements and ot her relevant factors.  
3. The compensation shall be paid without undue dela y, shall include interest at a commercially 
reasonable rate and be freely transferable between the territories of the Parties in a freely useable 
currency.   
Article 9.12 
  
Compensation For Losses  
 
 When a Party adopts any measures relating to lo sses in respect of covered investments in its 
territory by persons of any other country owing to war or other armed conflict, revolution, a state of 
national emergency, civil disturbance or other simi lar events, the treatment accorded to investors of 
the other Party as regards restitution, indemnifica tion, compensation or other settlement shall be no 
less favourable than that which the first Part y accords to persons of any non-Party.   
 
  WT/REG207/1 
 Page 39 
 
 
 Article 9.13 
  
Payments And Transfers  
 
1. Subject to Article 15.5, each Party shall, on a non-discriminatory basis, permit all funds of 
that investor related to an investment in its terr itory to be transferred freely and without undue delay 
in a freely useable currency into and out of its territory.1  Such funds include the following:  
(a) the initial capital plus any additional capita l used to maintain or expand the 
investment;  
(b) returns;  
(c) proceeds from the sale or partial sale or liquidation of the investment;  
(d) repayments of a claim to money;  
(e) payment for the losses referred to in Article 9.12; and   
(f) earnings and other remuneration of pers onnel engaged from abroad in connection 
with that investment.  
2. Unless otherwise agreed by the investor and the Party concerned, transfers shall be made at 
the market exchange rate prevailing on the date of transfer.  
3. Notwithstanding Paragraphs 1 and 2, a Party ma y prevent a transfer through the equitable, 
non-discriminatory and in good faith app lication of its laws relating to:  
(a) bankruptcy, insolvency or the protection of the rights of creditors;   
(b) ensuring the satisfaction of judgments, orders  or awards in adjudicatory proceedings; 
or  
(c) criminal matters including but not limited to money laundering, and the recovery of 
proceeds from crime.  
Article 9.14 
  
Subrogation  
 
1. If a Party or an agency of a Party makes a payment to an investor of that Party under a 
guarantee, a contract of insurance against non-comme rcial risks or other form of indemnity it has 
granted in respect of an investment, the other Part y shall recognise the subrogation or transfer of any 
right or title in respect of such investment. The subr ogated or transferred right or claim shall not be 
greater than the original right or claim of the investor.  
2. Where a Party or an agency of a Party has made  a payment to an investor of that Party and 
has taken over rights and claims of the investor, th at investor shall not, unless authorised to act on 
behalf of the Party or the agency of the Party making the payment, pursue those rights and claims against the other Party.  
                                                     
 
 1This includes funds of an investor of the other Part y that are to be used to establish or acquire an 
investment in the territory of a Party where such a transf er would be required so as not to nullify or impair a 
commitment of a Party covered by this Chapter.  WT/REG207/1 
Page 40  
 
 Article 9.15 
  
Access To Competent Judicial Or Administrative Bodies 
 
 
 Each Party shall within its territory accord to  investors of the other Party treatment no less 
favorable than the treatment, which it accords in like circumstances, to its own investors with respect 
to access to its courts of justice and administrative tribunals and agencies in all degrees of jurisdiction, 
both in pursuit and in defence of such investors’ rights.    
Article 9.16 
  
Settlement Of Disputes Between A Party And An Investor Of The Other Party 
 
 
1. In case of a dispute with respect to a covered i nvestment between a Party and an investor of 
the other Party, consultations sha ll take place between the parties concerned with a view to solving 
the case amicably.  
2. If these consultations do not result in a solution w ithin three months from the date of request 
for settlement, the parties concerned may agree to submit the dispute, for settlement to:  
(a) the competent courts of the Party in the te rritory of which the investment has been 
made; or  
(b) an arbitrator or international ad hoc arbi tral tribunal established under the Arbitration 
Rules of the United Nations Commission on International Trade Law (UNCITRAL), 
provided that the other Party does not withhold its consent;  or  
(c) the International Centre for Settlement  of Investment Disputes in case both 
Contracting Parties are Contracting States to the Convention on the Settlement of 
Investment Disputes between States and Nationals of other States , opened for 
signature at Washington DC on March 18, 1965, provided that the other Party does 
not withhold its consent.  
3. Once an action referred to in Paragraph 2 of this  Article has been taken, neither Party shall 
pursue the dispute through diplomatic channels unless:  
(a) the relevant dispute settlement body has deci ded that it has no jurisdiction in relation 
to the dispute in question; or  
(b) the other Party has failed to abide by or comply with any judgment, award, order or 
other determination made by the re levant dispute settlement body.  
4. In any proceeding involving a dispute relating to a covered investment, a Party shall not 
assert, at any stage of proceedings referred to in Sub-paragraph 2 (b) or (c), that the investor 
concerned has received or will receive, pursuan t to an insurance or guarantee contract, 
indemnification or other compensation fo r all or part of any alleged loss.  
5. An arbitral tribunal established under this Artic le shall reach its decision on the basis of 
national laws and regulations of th e Party which is a party to the dispute, the provisions of the present 
Agreement, as well as applicable rules of international law.  
6. All arbitral awards shall be final and binding  on the parties to the dispute and shall be 
enforced in accordance with the laws of the Party to the dispute.    WT/REG207/1 
 Page 41 
 
 
 7. All sums received or payable as a result of a settle ment shall be freely tr ansferable in a freely 
usable currency.  
8. This Article shall not be construed to allow an  investor of a Party to pursue a claim against 
the other Party in relation to any decision that any foreign investment authority of that Party makes in 
relation to, or conditions th at any foreign investment authority of  that Party may have placed on, the 
establishment, acquisition or expansion of an invest ment by that investor, or in relation to the 
enforcement of any such conditions.  
Article 9.17 
 
Modification Of Commitments  
 
 By giving three months’ written notification to  the other Party, a Party may modify its 
commitments under Article 9.5.  At the request of th e other Party, the modifying Party shall enter into 
negotiations with a view to reaching agreement on any necessary adjustment required to maintain a 
general level of mutually advantageous commitment s not less favourable to trade than that provided 
for in schedules of specific commitments prior to such negotiations.  If agreement is not reached, the 
matter may be referred to arbitra tion in accordance with Chapter 17.  
  
Article 9.18 
 
Review Of Commitments  
 
 If, after this Agreement enters into force,  a Party further liberalises any of its measures 
applying to investors or investments, it shall give due consideration to a request by the other Party for 
the incorporation in this Agreement of such unilateral liberalisation.  
  
  
CHAPTER 10:  ELECTRONIC COMMERCE   
  
Article 10.1 
  
Objectives And Definitions  
 
1. The Parties recognise the economic growth  and opportunities provided by electronic 
commerce, the importance of avoiding barriers to its  use and development, and the applicability of 
relevant WTO rules.  
2. The objective of this Chapter is to promot e electronic commerce between the Parties.  
3. For the purposes of this Chapter:  
(a) “electronic version” means a document in an electronic format prescribed by a 
Party, including a document sent by facsimile transmission;  
(b) “trade administration documents”  means paper forms issued or controlled by the 
Government of a Party which must be comple ted by or for an importer or exporter in 
relation to the import or export of goods.  
 
   WT/REG207/1 
Page 42  
 
 Article 10.2 
  
Customs Duties 
 
 
 Each Party shall maintain its current practice of not imposing customs duties on electronic 
transmissions between Thailand and New Zealand.  
  
Article 10.3 
  
Domestic Regulatory Frameworks  
1. Each Party shall maintain domestic legal fra meworks governing electronic transactions based 
on the UNCITRAL  Model Law on Electronic Commerce  1996.  
2. Each Party shall:  
(a) minimise the regulatory burden on electronic commerce; and  
(b) ensure that regulatory frameworks support industry-led development of electronic 
commerce.   
Article 10.4 
  
Online Consumer Protection  
 
 Each Party shall, to the extent possible and in  a manner considered appropriate by each Party, 
provide protection for consumers using electronic co mmerce that is at least equivalent to that 
provided for consumers of other forms of comme rce under their respective laws, regulations and 
policies.  
 
Article 10.5 
 
Online Personal Data Protection  
 
1. Notwithstanding the differences in existing sy stems for personal data protection in the 
territories of the Parties, each Party shall take su ch measures as it considers appropriate and necessary 
to protect the personal data of users of electronic commerce.  
2. In the development of data protection standards, each Party shall, to the extent possible, take 
into account international standards and the crite ria of relevant international organisations.  
Article 10.6 
 
Paperless Trading  
 
1. Each Party shall accept the electronic format of trade administration documents as the legal 
equivalent of paper documents except where:  
(a) there is a domestic or international le gal requirement to the contrary; or  
(b) doing so would reduce the effectiveness of the trade administration process.  
2. The Parties shall cooperate bilaterally and in  international fora to enhance acceptance of 
electronic versions of trade administration documents.   WT/REG207/1 
 Page 43 
 
 
 Article 10.7 
  
Cooperation On Electronic Commerce  
 
1. The Parties shall encourage cooperation in resear ch and training activities that would enhance 
the development of electronic commerce, including by sharing best practices on electronic commerce 
development.  
2. The Parties shall encourage cooperative activiti es to promote electronic commerce, including 
those that would improve the effectiveness and efficiency of electronic commerce.  
Article 10.8 
  
Non-Application Of Dispute Settlement Provisions  
 
 Except for Article 10.2, Chapter 17 shall not apply to the provisions of this Chapter.    
 
CHAPTER 11:  COMPETITION POLICY   
  
Article 11.1 
  
Objectives And Definitions 
 
 
1. The aim of this Chapter is to contribute to th e fulfilment of the objectives of this Agreement 
through the promotion of:   
(a) fair competition;  
(b) the APEC principles of non-discrimination,  comprehensiveness, transparency and 
accountability as contained in the 1999 A PEC Economic Leaders Declaration (the 
APEC Principles);  and  
(c) the curtailment of anti-competitive practices. 
2. For the purposes of this Chapter, “anti-competitive practices”  means business conduct or 
transactions that adversely affect competition, such as:  
(a) anti-competitive horizontal arrangements between competitors;  
(b) misuse of market power, including predatory pricing;  
(c) anti-competitive vertical arrangements; and  
(d) anti-competitive mergers and acquisitions.  
Article 11.2 
  
Competition Principles  
 
 The Parties recognise the strategic importa nce of creating and maintaining open and 
competitive markets which promote economic efficiency and consumer  welfare, and reaffirm their 
desire to promote competition and to implement th e APEC Principles having regard to the different WT/REG207/1 
Page 44  
 
 economic circumstances of the Parties.  This is with a view to protecting the competitive process 
rather than competitors and minimising distortions to competition.      
Article 11.3 
  
Promotion Of Competition 
 
 
 Each Party shall promote competition by:   
(a) addressing anti-competitive practices in its territory and by adopting and enforcing 
such means or measures as it deems appropr iate and effective to counter such 
practices;  
(b) using its best efforts to reduce transactio n costs and compliance costs for business;  
(c) applying the APEC Principles to all form s of commercial activity in a manner that 
does not discriminate between or among econom ic entities in like circumstances; and  
(d) promoting effective coordination on competiti on policy and law  between the Parties.  
Article 11.4 
  
Application Of Competition Laws 
 
 
1. The Parties shall ensure that all commercial activ ities are subject to such generic or relevant 
sectoral competition laws as may be in force in their respective territories.  
2. Any measures taken by a Party to proscribe anti-competitive practices, and the enforcement 
actions taken pursuant to those measures, shall be consistent with the principles of transparency, 
timeliness, non-discrimination, comprehensiveness and procedural fairness.  
Article 11.5 
  
Exemptions  
 
 Either Party may exempt specific measures or sectors from the application of their general 
competition law provided that such exemptions ar e transparent and undertaken on the grounds of 
public policy or public interest.  
  
Article 11.6 
  
Cooperation And Exchange Of Information  
 
 The Parties recognise the importance of coope ration and coordination in achieving effective 
enforcement outcomes under their respective comp etition laws. The Parties also recognise the 
importance of confidentiality in respect of thes e arrangements. Accordingly, the Parties shall 
cooperate, where appropriate, on issues of comp etition law enforcement, including through the 
exchange of information, notification, consultation,  and coordination of enforcement matters that are 
cross-border in nature.  
  
     WT/REG207/1 
 Page 45 
 
 
 Article 11.7 
  
Technical Cooperation  
 
1. The Parties agree that it is in their common in terest for their competition authorities to work 
together on technical cooperation activities relate d to the implementation of competition law and 
policy.  
2. The technical cooperation activities between their competition authorities are subject to 
reasonably available resources and may include:  
(a) exchange of personnel for training purposes;  
(b) participation of personnel as lecturers or consultants at training courses of 
competition law and policy co-organised and co-sponsored by the competition authorities of the Parties; and  
(c) any other form of technical assistance as mutually decided by the competition 
authorities of the Parties.  
Article 11.8 
  
Consultation 
 
 
1. At the request of either Party, the Parties sh all consult on particular anti-competitive practices 
and other competition issues adversely affecting trade or investment between the Parties, consistent 
with the aims of this Chapter.  
2. Any information or documents exchanged betw een the Parties in relation to any mutual 
consultation conducted pu rsuant to the provisions of this Chapte r shall be kept confidential.  Neither 
Party shall, except to comply with its domestic  legal requirements, release or disclose such 
information or documents to any person without the written consent of the Party that provided such 
information or documents. Where the disclosure of such information or documents is necessary to 
comply with the domestic legal requirements of a Part y, that Party shall notify the other Party before 
such disclosure is made.  
Article 11.9 
  
Transparency  
 
 The Parties shall publish or otherwise make publicly available their laws promoting fair 
competition and their laws addressing anti-competitive practices.  
 
Article 11.10 
  
General  
 
1. Chapter 17 shall not apply to the provisions of this Chapter.  
2. In the event of any inconsistency or conflict between any provision in this Chapter and any 
provision contained in any other Chapter of this Agre ement, the latter shall prevail to the extent of 
such inconsistency or conflict.   
 WT/REG207/1 
Page 46  
 
 CHAPTER 12:  INTELLECTUAL PROPERTY  
 
Article 12.1 
  
Definitions 
 
 
 For the purposes of this Chapter, “intellectual property rights”  refers to copyright and 
related rights, rights in trade marks, geographical  indications, industrial designs, patents, layout 
designs of integrated circuits, rights in plant va rieties, and rights in undisclosed information, as 
defined and described in the WTO Agreement on Trade-Related Aspects of Intellectual Property 
Rights ( TRIPS ).   
  
Article 12.2 
  
Observance Of International Obligations  
 
 The Parties shall fully respect the provisions of the WTO Agreement on Trade-Related 
Aspects of Intellectual Property Rights ( TRIPS ) and any other multilateral agreement relating to 
intellectual property to which both are party.    
Article 12.3 
  
Intellectual Property Principles 
 
 
1. The Parties recognise the importance of intell ectual property rights in promoting economic 
and social development, particularly in the new digital economy; technological innovation; and trade.  
2. The Parties are committed to the maintenance of intellectual property rights regimes that 
promote innovation through protecting the rights of  intellectual property right holders and the 
legitimate interests of the comm unity in accordance with the WTO  Agreement on Trade-Related 
Aspects of Intellectual Property Rights ( TRIPS ).  
Article 12.4 
  
Cooperation On Enforcement  
 
 The Parties shall cooperate and collaborate with  a view to ensuring effective protection of 
intellectual property rights and the prevention of trade in goods and services infringing intellectual 
property rights, subject to their r espective laws, rules, regulations and government policies.  Such 
cooperation may include:  
 
(a) the notification of contact points for the enforcement of intellectual property rights;  
(b) the exchange, between relevant agenci es responsible for the enforcement of 
intellectual property rights, of informati on concerning infringement of intellectual 
property rights;  
(c) policy dialogue on matters relating to the en forcement of intellectual property rights, 
including such dialogue in multilateral and regional fora; and  
(d) such other activities and initiatives for the en forcement of intellectual property rights 
as may be mutually determined between the Parties.   
  WT/REG207/1 
 Page 47 
 
 
  
Article 12.5 
  
Other Cooperation  
 
1. Recognising that intellectual property rights can  facilitate international trade through the 
dissemination of ideas, technology and creative works,  the Parties, through their respective agencies 
responsible for intellectual property, shall:  
(a) exchange information relating to developm ents in intellectual property policy;  
(b) encourage and facilitate the development of contacts and cooperation between their 
respective agencies, educational institu tions, organisations and other entities 
concerning the protection of intellectual property rights with a view to improving and strengthening intellectual property administra tive systems in areas such as patents and 
trade marks;   
(c) facilitate the sharing of information a nd cooperate on appropriate initiatives to 
promote awareness of intellectual property rights and systems; and  
(d) cooperate to enhance underst anding in new areas of intellectual property such as 
traditional knowledge, genetic resources, and folklore,
2 recognising that each Party 
may wish, consistent with its obligati ons under the WTO Agreement, to establish 
appropriate measures to protect traditional knowledge, genetic resources and folklore.   
 
CHAPTER 13:  GOVERNMENT PROCUREMENT  
  
Article 13.1 
  
Objectives  
 
1. The Parties recognise that government procuremen t laws, regulations, policies, practices, and 
procedures can be an impediment to trade in goods and services between the Pa rties inconsistent with 
the objectives of this Agreement.   
2. The Parties shall work progressively to reduce and eliminate barriers to the supply of goods 
and services between the Parties arising from govern ment procurement laws, regulations, policies, 
practices and procedures, and to increase transparency in government procurement.   
Article 13.2 
  
Procurement Principles  
 
 The Parties reaffirm their desire to promot e and implement, to the extent possible:  
 
(a) the APEC Non-Binding Principles on G overnment Procurement relating to 
transparency, value for money, open and effective competition, fair dealing, accountability and due process, and non-discrimination; and   
                                                     
 
2As referred to in the World Intellectual Property Organisation Inter-Governmental Committee on 
Traditional Knowledge, Genetic Resources and Folklore.  WT/REG207/1 
Page 48  
 
 (b) the APEC Transparency Standard for Government Procurement.
3   
Article 13.3 
  
Exchange Of Information On  Government Procurement  
 
1. The Parties shall exchange information in a timely manner on their respective government 
procurement policies, practices and procedures, incl uding on any proposed reforms or alterations to 
their existing government procurement regimes.  
2. The Parties designate the following bodies to  act as contact points for the exchange of 
information:  
 Thailand: Ministry of Finance, Comptrolle r General’s Department, Public Procurement 
 Management Office; and  
 New Zealand: Ministry of Economic Deve lopment, Regulatory and Competition Policy 
 Branch.  
3. The designated bodies shall also act as contact points for the exchange of information with 
suppliers of the other Party interested in proc urement opportunities in particular sectors.   
Article 13.4 
  
Working Group  
 
1. The Parties shall establish a Working Group cons isting of government representatives of the 
Parties having responsibility for government procurement.  
2. The Working Group shall meet or correspond regu larly to discuss all relevant issues relating 
to government procurement, including the review of this Chapter.  
Article 13.5 
  
Future Negotiations  
 
 The Working Group shall report to the CEP Join t Commission within 12 months of the entry 
into force of this Agreement with recommendations on the commencement of bilateral negotiations to 
expand the application of this Chapter.    
Article 13.6 
  
Dispute Settlement 
 
 
 Chapter 17 shall not apply to  this Chapter unless specifically  authorised by the further 
negotiations mandated by Article 13.5.  
      
                                                     
 
 3As endorsed by the APEC Ministers Responsible for Trade in June 2004, and APEC Leaders in 
November 2004.   WT/REG207/1 
 Page 49 
 
 
 CHAPTER 14: TRANSPARENT ADMINISTRATION OF LAWS AND REGULATIONS  
 
Article 14.1 
  
Publication  
 
1. Each Party shall ensure that its laws, regul ations, administrative rulings, procedures and 
policies and any amendment thereto of general app lication pertaining to trade in goods, services and 
investment are promptly published or otherwise made available in such a manner as to enable 
interested persons from the other Part y to become acquainted with them.  
2. For the purposes of this Chapter, “administrative ruling of general application”  means an 
administrative ruling or interpretation that applies to a ll persons and fact situations and that is relevant 
to the implementation of this Agreement.  
3. When possible, a Party shall publish in advance an y measure referred to in Paragraph 1 that it 
proposes to adopt and shall provide, where appli cable, interested persons with a reasonable 
opportunity to comment on such proposed measures.  
4. Each Party shall endeavour promptly to provide  information and to respond to questions from 
the other Party pertaining to any meas ure referred to in Paragraph 1.  
Article 14.2 
  
Administrative Proceedings  
 
 Each Party shall ensure in its administrative proceedings applying to any measure referred to 
in Article 14.1 that:   
(a) wherever possible, persons of the other Party who are directly affected by a 
proceeding are provided reasonable notice, in accordance with domestic procedures, 
when a proceeding is initiated, including a description of the nature of the proceeding, a statement of the legal author ity under which the proceeding is initiated 
and a general description of the issues in question;  
(b) such persons are afforded a reasonable oppor tunity to present facts and arguments in 
support of their positions before any final admi nistrative action, when time, the nature 
of the proceeding and the public interest permit; and  
(c) its procedures are in accordance with domestic law.  
Article 14.3 
  
Review And Appeal 
 
 
 A Party shall ensure that, wh ere warranted, appropriate domestic procedures are in place to 
enable prompt review and correction of final ad ministrative actions, other than those taken for 
prudential reasons, regarding matters covered by this Chapter, that:  
 
(a) provide for tribunals or panels that are impartial and independent of any office or 
authority entrusted with administrative enfo rcement and have no substantial interest 
in the outcome of the matter;  WT/REG207/1 
Page 50  
 
 (b) provide parties to any proceeding with a reasonable opportunity to present their 
respective positions;  
(c) provide parties to any proceeding with a decision based on the evidence and 
submissions of record, or, where required by domestic law, the record compiled by 
the administrative authority; and  
(d) ensure, subject to appeal or further revi ew under domestic law, that such decisions 
are implemented by, and govern the practice of, the offices or authorities regarding the administrative action at issue.  
 
CHAPTER 15:  GENERAL EXCEPTIONS  
 
Article 15.1 
  
General Exceptions For Trade In Goods 
 
 
 For the purposes of Chapters 2 to 7, subject to the requirement that such measures are not 
applied in a manner which would constitute a mean s of arbitrary or unjustifiable discrimination 
between the Parties where the same conditions prevail,  or a disguised restriction on international trade 
in goods, nothing in this Agreement shall be cons trued to prevent the adoption or enforcement by a 
Party of measures:   
(a) necessary to protect public morals;  
(b) necessary to protect human, animal or plant life or health;  
(c) relating to the importations or e xportations of gold or silver;  
(d) necessary to secure compliance with laws or regulations which are not inconsistent 
with the provisions of this Agreemen t, including those relating to customs 
enforcement, the enforcement of monopolies operated under paragraph 4 of Article II 
and Article XVII of GATT 1994, the prot ection of patents, trade marks and 
copyrights, and the prevention of deceptive practices;  
(e) relating to the products of prison labour;  
(f) necessary to protect national treasures or speci fic sites of historical or archaeological 
value, or to support creative arts of national value;  
(g) relating to the conservation of exhaustible natural resources if such measures are 
made effective in conjunction with restrictions on domestic production or 
consumption;  
(h) undertaken in pursuance of obligations under any intergovernmental commodity 
agreement which conforms to criteria s ubmitted to the WTO and not disapproved by 
it or which is itself so subm itted and not so disapproved;  
(i) involving restrictions on exports of domest ic materials necessary to ensure essential 
quantities of such materials to a domestic  processing industry during periods when 
the domestic price of such materials is held below the world price as part of a governmental stabilisation plan; Provided  that such restrictions shall not operate to  WT/REG207/1 
 Page 51 
 
 
 increase the exports of or the protection affo rded to such domestic industry, and shall 
not depart from the provisions of this Ag reement relating to non-discrimination;  
(j) essential to the acquisition or distribution of products in general or local short supply; 
Provided that any such measures shall be consistent with the principle that all 
WTO members are entitled to an equitable sh are of the international supply of such 
products, and that any such measures which ar e inconsistent with the other provisions 
of this Agreement shall be discontinued as soon as the conditions giving rise to them 
have ceased to exist.   
Article 15.2 
  
General Exceptions For Invest ment And Trade In Services4  
 
 For the purposes of Chapters 8 and 9, subject to the requirement that such measures are not 
applied in a manner which would constitute a mean s of arbitrary or unjustifiable discrimination 
between the Parties where like conditions prevail, or a disguised restriction on trade in services, 
nothing in this Agreement shall be  construed to prevent the adoption or enforcement by a Party of 
measures:   
(a) necessary to protect public morals or to maintain public order;
5  
(b) necessary to protect human, animal or plant life or health;  
(c) necessary to secure compliance with laws or regulations which are not inconsistent 
with the provisions of this Agre ement including those relating to:  
(i) the prevention of deceptive and fraudul ent practices or to deal with the 
effects of a default on services contracts;  
(ii) the protection of the privacy of individuals in relation to the processing and 
dissemination of personal data and th e protection of confidentiality of 
individual records and accounts;   
(iii) safety;  
(d) relating to the products of prison labour;  
(e) necessary to protect national treasures or speci fic sites of historical or archaeological 
value, or to support creative arts of national value;  
(f) relating to the conservation of exhaustible natural resources if such measures are 
made effective in conjunction with restrictions on domestic production or 
consumption;  
                                                      
4This Article shall come into effect with respect to trade in services on entry into force of any 
commitments to liberalise trade in services under this Agreement.   
5The public order exception may be invoked only where a genuine and sufficiently serious threat is 
posed to one of the fundamen tal interests of society.  WT/REG207/1 
Page 52  
 
 (g) inconsistent with the requirement for nati onal treatment provided that the difference 
in treatment is aimed at ensuring the equitable or effective
6 imposition or collection 
of direct taxes in respect of services or service suppliers of the other Party.  
Article 15.3 
  
Security Exceptions  
 
 Nothing in this Agreemen t shall be construed:  
 
(a) to require any Party to furnish any inform ation the disclosure of which it considers 
contrary to its essential security interests;  
(b) to prevent any Party from taking any ac tion which it considers necessary for the 
protection of its essential security interests:  
(i) relating to fissionable materials or the materials from which they are derived;  
(ii) relating to the traffic in arms, ammuniti on and implements of war and to such 
traffic in other goods and materials as is carried on directly or indirectly for 
the purpose of supplying a military establishment;  
(iii) relating to the supply of services as carried out directly or indirectly for the 
purpose of provisioning a military establishment;  
(iv) taken in time of war or other emerge ncy in international relations; or  
(c) to prevent any Party from taking any action in pursuance of its obligations under the 
United Nations Charter for the maintenan ce of international peace and security.  
                                                      
 6Measures that are aimed at ensuring the equitable or effective imposition or collection of direct taxes 
include measures taken by a Party under its taxation system which:  
(i) apply to non-resident service suppliers in recognition of the fact that the tax obligation of 
non-residents is determined with respect to ta xable items sourced or located in the Party’s 
territory; or  
(ii) apply to non-residents in order to ensure the imposition or collection of taxes in the Party's 
territory; or  
(iii) apply to non-residents or residents in order to prevent the avoidance or evasion of taxes, 
including compliance measures; or  
(iv) apply to consumers of services supplied in or from the territory of the other Party in order to 
ensure the imposition or collection of taxes on such consumers derived from sources in the 
Party's territory; or  
(v) distinguish service suppliers subject to tax on worldwide taxable items from other service 
suppliers, in recognition of the difference in the nature of the tax base between them; or  
(vi) determine, allocate or apporti on income, profit, gain, loss, deduction or credit of resident 
persons or branches, or between related persons or branches of the same person, in order to 
safeguard the Party's tax base.  
 Tax terms or concepts in paragraph (g) of this Artic le and in this footnote are determined according to 
tax definitions and concepts, or equivalent or similar definitions and concepts, under the domestic law of the 
Party taking the measure.  
  WT/REG207/1 
 Page 53 
 
 
 Article 15.4 
  
Disclosure Of Information  
 
 Nothing in this Agreement shall require a Pa rty to provide confidential information, the 
disclosure of which would impede la w enforcement, or otherwise be contrary to the public interest, or 
which would prejudice legitimate commercial interests of particular enterprises, public or private.  
 
Article 15.5 
 
Measures To Safeguard The Balance Of Payments  
 
1. Where a Party is in serious balance of paymen ts and external financial difficulties or under 
threat thereof, it may:  
(a) in the case of trade in goods, in accordance with GATT 1994 and the WTO 
Understanding on the Balance-of-Payments Pr ovisions of the General Agreement on 
Tariffs and Trade  1994, adopt restrictive import measures;  
(b) in the case of services, adopt or maintain restrictions on trade in services on which it 
has undertaken specific commitments, in cluding on payments or transfers for 
transactions related to such commitments;7  
(c) in the case of investments, adopt or mainta in restrictions with regard to payments 
relating to the transfer of proceeds from investment.  
2. Restrictions adopted or maintained under Sub- paragraph (b) or (c) of  Paragraph 1 shall:  
(a) be consistent with the Articles of Agreem ent of the International Monetary Fund;  
(b) avoid unnecessary damage to the commercial, economic and financial interests of the 
other Party;  
(c) not exceed those necessary to d eal with the circumstances described in Paragraph 1;  
(d) be temporary and be phased out progressively  as the situation specified in Paragraph 
1 improves; and  
(e) be applied on a national treatment basis and su ch that the other Party is treated no less 
favourably than any non-Party.  
3. In determining the incidence of such restricti ons, the Parties may give priority to economic 
sectors which are more essential to their economic deve lopment.  However, such restrictions shall not 
be adopted or maintained for the purpos e of protecting a particular sector.  
4. Any restrictions adopted or maintained by a Pa rty under Paragraph 1, or any changes therein, 
shall be promptly notified to the other Party.  
5. The Party adopting or maintaining any rest rictions under Paragraph 1 shall commence 
consultations with the other Party as soon as possible from the date of notification in order to review 
the measures adopted or maintained by it.  
                                                      
7This Sub-paragraph shall come into effect with respect  to trade in services on  entry into force of any 
commitments to liberalise trade in services under this Agreement.   WT/REG207/1 
Page 54  
 
 Article 15.6 
  
Measures For Macro-Economic And Financial Stability 
 
 
 Notwithstanding any other provision of this Ag reement, a Party shall not be prevented from 
taking measures for prudential reasons, including for the protection of investors, depositors, policy 
holders or persons to whom  a fiduciary duty is owed by a financia l service supplier, or to ensure the 
integrity and stability of the financial system or the stability of the macroeconomy.8 Where such 
measures do not conform with the provisions of this Agreement, they shall not be used as a means of 
avoiding the Party’s commitments or obligations under the Agreement.  
 
Article 15.7 
  
Taxation Measures  
 
1. Except as provided in this Article, nothing in this Agreement shall apply to taxation measures.   
2. This Agreement shall only grant rights or impose obligations with respect to taxation 
measures where:  
(a) corresponding rights or obligations are also granted or imposed under the WTO 
Agreement; or  
(b) under Article 9.11.  
3. Nothing in this Agreement shall affect the right s and obligations of the Parties under any tax 
convention relating to the avoidance of doubl e taxation in force between the Parties.  
4. If there is a dispute described in Article 9.16 (1) that may relate to a taxation measure, then 
the Parties, including representatives of their ta x administrations, shall hold consultations.  Any 
tribunal established under Article 9.16 shall accept a deci sion of the Parties as to whether the measure 
in question is a taxation measure.  
5. In the event of any inconsistency relating to a taxation measure between this Agreement and 
the Agreement between the Governme nt of New Zealand and the Government of the Kingdom of 
Thailand for the Avoidance of Double Taxation and th e Prevention of Fiscal Evasion with respect to 
Taxes on Income , done at Wellington on 22 October 1998, the latter shall prevail. Any consultations 
between the Parties about whether an inconsiste ncy relates to a taxation measure shall include 
representatives of the tax administration of each Party.9   
Article 15.8 
  
Treaty Of Waitangi  
 
1. Provided that such measures are not used as a means of arbitrary or unjustified discrimination 
against persons of the other Party or as a disgui sed restriction on trade in goods and services or 
investment, nothing in this Agreement shall precl ude the adoption by New Zealand of measures it 
                                                      
8 These include measures to prevent currency manipulation or to ensure the stability of the exchange 
rate or the financial system.  Such measures shall be no  more than necessary to meet  the objectives of ensuring 
the integrity and stability of the financial system or the stability of the macroeconomy. 
9 Nothing in this Agreement shall be regarded as obliging a Party to extend to the other Party the 
benefit of any treatment, preference or  privilege arising from any existing or future agreement on the avoidance 
of double taxation or from the provisions on the avoidance of double taxation in any other international agreement or arrangement by which the Party is bound.  WT/REG207/1 
 Page 55 
 
 
 deems necessary to accord more favourable treatment to Maori in respect of matters covered by this 
Agreement including in fulfilment of its ob ligations under the Treaty of Waitangi.  
2. The Parties agree that the interpretation of the Treaty of Waitangi, including as to the nature 
of the rights and obligations aris ing under it, shall not be subject to the dispute settlement provisions 
of this Agreement.  Chapter 17 sh all otherwise apply to this Article .  An arbitral tribunal appointed 
under Article 17.4 may be requested by Thailand to determine only whether any measure (referred to 
in Paragraph 1) is inconsistent with  its rights under this Agreement.  
 
CHAPTER 16:  INSTITUTIONAL PROVISIONS  
  
Article 16.1 
  
Establishment Of The Closer Economic Partnership Joint Commission  
 
 A Closer Economic Partnership Joint Comm ission (CEP Joint Commission) shall be 
established to ensure the proper implementation of this Agreement and to review periodically the 
economic relationship and partners hip between the Parties. The CEP Joint Commission may meet at 
the level of Ministers or senior officials, as mutually  determined by the Parties. Each Party shall be 
responsible for the composition of its delegation.    
Article 16.2 
  
Mandate Of The Closer Economic Partnership Joint Commission 
 
 
1. The CEP Joint Commission shall:  
(a) review the general functioning of this Agreement;  
(b) review and consider specific matters relate d to the operation and implementation of 
this Agreement;  
(c) consider any proposal to amend this Agreement;  
(d) establish, as required, permanent and ad hoc  subsidiary bodies and refer matters to 
them for advice and consider matters rai sed by all subsidiary bodies created under 
this Agreement;  
(e) seek advice from non-governmental persons or  groups on any matter falling within its 
responsibilities where this would help the CEP Joint Commission make an informed 
decision;  
(f) explore measures for the further expansi on of trade and investment between the 
Parties and identify appropriate areas of  commercial, industrial and technical 
cooperation between relevant enterprises a nd organisations of the Parties; and  
(g) take such other action as the Parties may mutually determine.  
2. The CEP Joint Commission shall develop pr ocedures governing the extent to which 
representatives from the private sector may participate in its deliberations.  WT/REG207/1 
Page 56  
 
 Article 16.3 
 
Meetings Of The Closer Economic Partnership Joint Commission 
 
 
1. The CEP Joint Commission shall meet within one year  of the date of entry into force of this 
Agreement and then each year, or as otherwi se mutually determined by the Parties.  
2. Sessions of the CEP Joint Commission shall be held  alternately in the territory of each Party.  
Article 16.4 
  
Contact Point  
 
1. Each Party shall designate a contact point to facilitate communications between the Parties on 
any matter covered by this Agreement and for wh ich a contact point has not been designated under 
Chapter 6, Chapter 7, Chapter 12 or Chapter 13 of this Agreement.  
2. Upon request, the contact point shall identify the office responsible for the matter and assist, 
as necessary, in facilitating communication with the requesting Party.  
Article 16.5 
  
General Reviews  
 
1. The Parties shall undertake a general review at ministerial level of the Agreement, including 
matters relating to liberalisation, cooperation and trade facilitation, with in five years of its entry into 
force and at least every five years thereafter.  
2. The conduct of general reviews shall normally co incide with regular meetings of the CEP 
Joint commission.  
  
CHAPTER 17:  CONSULTATIONS AND DISPUTE SETTLEMENT  
  
Article 17.1 
  
Scope  
 
1. Except as otherwise provided in this Agreement, this Chapter shall apply to the avoidance and 
settlement of disputes between the Parties conc erning the interpretation, implementation or 
application of this Agreement.   
2. Subject to Paragraph 4, and notwithstanding Para graph 1, nothing in this Chapter shall affect 
the rights of the Parties to have recourse to a dispute settlement procedure available under any other 
international agreement to which they are parties.    
3. If a Party decides to have recourse to a dispute settlement procedure under another 
international agreement, it shall notify the other Party in writing of its intention to bring a dispute to a 
particular forum before doing so.  
4. Once a dispute settlement procedure has been in itiated between the Parties with respect to a 
particular dispute under this Chapter or under any other international agreement to which the Parties 
are party, that procedure shall be used to the ex clusion of any other procedure for that particular  WT/REG207/1 
 Page 57 
 
 
 dispute. This paragraph does not a pply if substantially separate and di stinct rights or obligations under 
different international agreements are in dispute.  
5. Paragraph 4 shall not apply where the Parties expressly agree to have recourse to dispute 
settlement procedures under this Chapter and another international agreement.  
6. For the purposes of this Article, a dispute settlement procedure under the WTO Agreement 
shall be regarded as initiated by a Party’s request for a panel under Article 6 of the Understanding on 
Rules and Procedures Governing the Settlement of Disputes .  
 
Article 17.2 
  
Consultations  
 
1. A Party shall accord adequate opportunity for cons ultations requested by the other Party with 
respect to any matter affecting the interpretation, im plementation or application of this Agreement.  
2. If a request for consultations is made, the Party to  which the request is made shall reply to the 
request within 7 days after the date of its receipt a nd shall enter into consulta tions within 30 days after 
the date of receipt of the request, with a view  to reaching a mutually satisfactory solution.  
3. The Parties shall make every effort to r each a mutually satisfactory resolution through 
consultations on any matter raised in  accordance with this Article.  
Article 17.3 
  
Good Offices, Conciliation And Mediation  
 
1. The Parties may at any time agree to good offices,  conciliation or mediation.  They may begin 
at any time and be terminated at any time.  
2. Good offices, conciliation or mediation may conti nue while procedures of an arbitral tribunal 
established in accordance with th is Chapter are in progress.  
Article 17.4 
  
Request To Establish An Arbitral Tribunal  
 
1. If the consultations referred to in Article 17.2 fa il to settle a dispute within 60 days of the date 
after receipt of the request for consultations, the Party which made the request for consultations may 
make a written request to the other Party to establish an arbitral tribunal.  
2. The request to establish an arbitr al tribunal shall identify:  
(a) the specific measures at issue;  
(b) the legal basis of the complaint including th e provisions of this Agreement alleged to 
have been breached and any othe r relevant provisions; and  
(c) the factual basis for the complaint.  WT/REG207/1 
Page 58  
 
 Article 17.5 
  
Establishment Of An Arbitral Tribunal 
 
 
1. An arbitral tribunal shall consist of three memb ers. Each Party shall appoint a member within 
30 days after the receipt of the request under Article 17.4.  The two members appointed shall, within 
30 days after the appointment of the second of th em, designate by common agreement the third 
member.  
2. The Parties shall, within 7 days after the date  of the designation of the third member, approve 
or disapprove the appointment of that member, who shall, if approved, chair the tribunal.  
3. If within the periods specified in Paragr aphs 1 and 2 of this Article the necessary 
appointments have not been made, either  Party may, in the absence  of any other agreement, invite the 
President of the International Court of Justice to ma ke the necessary appointmen ts.  If the President is 
a national of either Party or is otherwise pr evented from discharging the said function, the 
Vice-President shall be invited to make the neces sary appointments.  If the Vice-President is a 
national of either Party or is prevented from di scharging the said function, the Member of the 
International Court of Justice next in seniority, who is  not a national of either Pa rty, shall be invited to 
make the necessary appointments.  
4. An arbitral tribunal shall be regarded as est ablished on the day on which the appointment of 
the third member of the tribunal has been approved or agreed by the Parties in accordance with this 
Article.  
5. If a member appointed under this Article re signs or becomes unable to act, a successor 
member shall be appointed in the same manner as prescribed for the appoin tment of the member 
being replaced and the successor shall have all the powers and duties of the member being replaced.  
6. A person appointed as a member of an arbitral tribunal:  
(a) shall have expertise or experience in law, international trade, other matters covered 
by this Agreement or the settlement of disputes arising under international trade 
agreements;  
(b) shall be chosen strictly on the basis of  objectivity, reliability, sound judgment and 
independence; and  
(c) shall be independent of, and not  be affiliated with or take  instructions from, either 
Party.  
7. A person appointed as chair of an arbitral tribuna l shall not be a national of, nor have his or 
her usual place of residence in the territory of, nor be employed by, either Party nor have dealt with 
the dispute in any capacity.  
Article 17.6 
  
Functions Of Arbitral Tribunals  
 
1. An arbitral tribunal established under Article 17.4:  
(a) shall consult the Parties as appropriate a nd provide adequate opportunities for the 
development of a mutually satisfactory settlement of the dispute;   WT/REG207/1 
 Page 59 
 
 
 (b) shall make its award in accordance with th is Agreement and applicable rules of 
international law;  
(c) shall set out, in its award, its findings of la w and fact, together with its reasons; and  
(d) may, in addition to its findings of law a nd fact, include in its award options for the 
Parties to consider in implementing the award.  
2. The award of an arbitral tribunal shall be final and binding on the Parties.  
3. An arbitral tribunal shall attempt to make its decision, including its award, by consensus but 
may also make such decisions by majority vote.  
Article 17.7 
  
Proceedings Of Arbitral Tribunals  
 
1. An arbitral tribunal shall meet in closed session.   The Parties shall be present at the meetings 
only when invited by an arbitral tribunal to appear before it.  
2. The deliberations of an arbitral tribunal a nd the documents submitted to it shall be kept 
confidential. Nothing in this Article shall preclude a Party from disclosing to the public statements of 
its own positions or its submissions, but a Party sh all not disclose information submitted by the other 
Party to an arbitral tribunal which the la tter Party has designated as confidential.  
3. The Parties shall transmit to the tribunal written submissions in which they present the facts 
of their cases and their arguments and shall do so within the following time limits:  
(a) for the Party which requested the establishment of the arbitral tribunal, within 21 days 
after the date of the establishment of that tribunal; and  
(b) for the other Party, within 21 days after the date of the transmission of the written 
submission of the Party which requested the establishment of the arbitral tribunal.  
4. At its first substantive meeting with the Parties,  an arbitral tribunal shall ask the Party which 
requested the establishment of the tribunal to present its submission. At the same meeting, the arbitral 
tribunal shall ask the other Party to present its submission.  
5. Formal rebuttals shall be made at the second s ubstantive meeting of an arbitral tribunal. The 
Party which did not request the establishment of the tribunal shall have the right to present its 
submission first. Before the meeting, the Parti es shall submit written rebuttals to the tribunal.  
6. An arbitral tribunal may at any time put questions  to the Parties and ask them for explanations 
either in the course of a meeting or in writing.  The responding Party shall respond fully and without 
undue delay.  
7. The Parties shall make available to an arbitral tribunal a written version of their oral 
statements.  
8. The submissions, rebuttals and stat ements referred to in Paragrap hs 4 to 6 shall be made in 
the presence of the Parties. Each Party’s written submissions, including any comments on the draft 
award made in accordance with Article 17.9 (2), writ ten versions of oral statements and responses to 
questions put by an arbitral tribunal, shal l be made available to the other Party.  WT/REG207/1 
Page 60  
 
 9. An arbitral tribunal shall have no ex part e communications concerning a dispute it is 
considering.  
10. At the request of a Party, or on its own initiative, an arbitral tribunal may seek information 
and technical advice from any individual or body wh ich it deems appropriate.  Where information or 
technical advice is sought by an arbitral tribunal, the Parties may set terms and conditions on the 
provision of confidential information and technical advice.  The arbitral tribunal shall provide the 
Parties with a copy of the information or techni cal advice received and an opportunity to provide 
comments.  Where the arbitral tribunal takes the information or technical advice into account in the 
preparation of its report, it shall also take into account any comments by the Parties on the 
information or technical advice. This Paragraph does not apply to information and technical advice 
provided by any person or body as part of the subm issions referred to in Paragraphs 4 to 6.  
11. An arbitral tribunal shall, in consultation with the Parties, regulate its own procedures 
governing the rights of Parties to be heard and its  own deliberations where such procedures are not 
otherwise set out in this Chapter.  
Article 17.8 
  
Suspension Or Termination Of Proceedings 
 
 
1. Where the Parties agree, an arbitral tribunal ma y suspend its work at any time for a period not 
exceeding 12 months. If the work of an arbitral tri bunal has been suspended for more than 12 months, 
the tribunal’s authority for considering the dispute shall lapse unless the Parties agree otherwise.  
2. The Parties may agree at any time to terminat e the proceedings of an arbitral tribunal 
established under this Agreement by jointly notifying the chair of that arbitral tribunal.  
3. An arbitral tribunal may, at any stage of the pr oceedings prior to relea se of its final award, 
propose that the Parties seek to settle the dispute amicably.  
Article 17.9 
  
Awards Of Arbitral Tribunals  
 
1. Unless the Parties otherwise agr ee, an arbitral tribunal shall base its award on the submissions 
and arguments of the Parties and on any informa tion it has obtained in accordance with Article 17.7 
(10).  
2. An arbitral tribunal shall prepare a draft award and accord adequate opportunity for the 
Parties to review this draft. The Parties may submit to the tribunal written comments on the draft 
award within 14 days after the date of its receipt.  The tribunal shall consider any comments received 
from the Parties in finalising its award.  
3. An arbitral tribunal shall release to the Parti es its final award on a dispute within 120 days 
after the date of its establishment. If the tribunal c onsiders it cannot release its final award within 120 
days, it shall inform the Parties in writing of the reas ons for the delay, together  with an estimate of the 
period within which it will issue its award.  
4. The final award of an arbitral tribunal shall become a public document within 10 days of its 
release to the Parties.   WT/REG207/1 
 Page 61 
 
 
 Article 17.10 
  
Implementation  
 
1. The Parties shall promptly comply with an award of an arbitral tribunal.  
2. A Party shall notify the other Party in writing of any action it proposes to take to implement 
an award of an arbitral tribunal within 30 days after the date of the receipt of the final award by the Parties.  
3. If a Party considers that prompt compliance with an award of an arbitral tribunal is 
impracticable, or if a Party which requested the estab lishment of an arbitral tribunal considers that an 
action proposed or subsequently taken by the other Party does not implement the award of the 
tribunal, the Parties shall immediat ely enter into consultations with a view to developing a mutually 
acceptable resolution, such as compensation or any alternative arrangement and agreeing on a reasonable period to implement any such resolution.   Compensation and any alternative arrangement 
are temporary measures, neither of which is preferre d to full implementation of the original award.  
Article 17.11 
  
Compensation And Suspension Of Benefits 
 
 
1. If:  
(a) the Party which requested the establishment of an arbitral tribunal has not received 
any notice from the other Party under Article 17.10 (2); or  
(b) the Parties are unable to agree on a mutually acceptable resolution under Article 
17.10 (3) within 30 days of the commencement of consultations under Article 17.10 (3); or  
(c) the Parties have agreed on a mutually acceptable resolution under Article 17.10 (3) 
and the Party which requested the establishmen t of the arbitral tribunal considers that 
the other Party has failed to observe the terms of such agreement,  
the Party which requested the establis hment of an arbitral tribunal may at any time thereafter provide 
written notice to the other Party that it intends to su spend the application of benefits of equivalent 
effect to the non-conformity found by the tribunal.  The notice shall specify the level of benefits that 
the Party proposes to suspend.  The Party which re quested the establishment of an arbitral tribunal 
may begin suspending benefits 30 days after the date  on which it provides notice to the other Party.  
  2. In considering what benefits to suspend under this Article:  
(a) the Party which requested the establishment of an arbitral tribunal shall first seek to 
suspend the application of benefits in the same sector or sectors as affected by the 
matter that the tribunal has found to be  inconsistent with this Agreement;  
(b) the Party which requested the establishment of  an arbitral tribunal may suspend the 
application of benefits in other sectors if it considers that it is not practicable or 
effective to suspend the application of benefits in the same sector; and  
(c) the Party which requested the establishment of the arbitral tribunal shall aim to ensure 
that the level of suspension of benefits is of equivalent effect to the non-conformity 
found by the tribunal.  WT/REG207/1 
Page 62  
 
 Any suspension of benefits under this Article sh all be temporary and shall only be applied 
until such time as the Party that must implement an  arbitral tribunal’s award has done so, or until a 
mutually satisfactory solution is reached.  
3. If the Party complained against considers that:  
(a) the level of benefits that the other Party has proposed to suspend under Paragraph 2 is 
excessive; or  
(b) it has eliminated the non-conformity found by the arbitral tribunal,  
it may, within 30 days after the other Party provides notice under Paragraph 1, request that the 
tribunal be reconvened to consider this matter.  The Party complained  against shall deliver its request 
in writing to the other Party.  The tribunal shall r econvene within 30 days after delivery of the request 
to the other Party and shall present its determination to  the Parties within 90 days after it reconvenes.  
If the tribunal determines that the level of benefits  proposed to be or actually suspended is excessive, 
it shall determine the level of bene fits it considers to be of equivalent effect to the non-conformity 
found by the tribunal, adjusted to reflect any loss sustained by a Party as a result of excessive 
suspension.  
  
4. The tribunal’s award under Paragraph 3 shall be final and binding on the Parties.  
Article 17.12 
  
Expenses 
 
 
 Each Party shall bear the costs of its appoint ed member and its own expenses. The costs of 
the chair of an arbitral tribunal and other expenses associated with the conduct of its proceedings shall 
be borne in equal parts by the Parties.     
CHAPTER 18:  FINAL PROVISIONS  
  
Article 18.1 
  
Headings 
 
 
 The headings of the Chapters  and Articles of this Agreemen t are inserted for convenience of 
reference only and shall not affect the interpretation of this Agreement.  
 
Article 18.2 
  
Annexes And Footnotes  
 
 The Annexes and Footnotes to this Agreement shall form an integral part of this Agreement.   
 
Article 18.3 
  
Amendments  
  This Agreement may be amended by agreem ent in writing by the Parties, and such 
amendments shall enter into force on such date  or dates as may be agreed between them.  
  WT/REG207/1 
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 Article 18.4 
  
Application  
 
 Each Party is fully responsible for the obser vance of all provisions in this Agreement and 
shall take such reasonable measures as may be avai lable to it to ensure their observance by regional 
and local governments and authorities.   
Article 18.5 
 
Association With The Agreement 
 
 
 This Agreement is open to accession or association, on terms to be agreed between the Parties, by any member of the WTO, or by any other State or separate customs territory.  
 
Article 18.6 
  
Consultations On Inconsistenc ies With Other Agreements 
 
 
 If either Party considers there is any incons istency between this Ag reement and any other 
Agreement to which both Parties are parties, the Par ties shall consult each other with a view to finding 
a mutually satisfactory solution.  
  
Article 18.7 
  
Preferences Under Other Agreements  
 
 Except for Articles 9.8 (2) and 15.5, nothing in this Agreement shall be regarded as obliging a 
Party to extend to the other Party the benefit of an y treatment, preference or privilege arising from any 
existing or any future customs union, free trade area, free trade arrangement, common market, monetary union or similar interna tional agreement or other similar forms of bilateral or regional 
cooperation to which either of the Parties is or may become party; or as preventing the adoption of an 
agreement designed to lead to the formation or ex tension of such a union, area or arrangement or 
market.
10   
 
Article 18.8 
  
Termination Of 1981 Trade Agreement  
 
 The Trade Agreement Between the Governme nt of the Kingdom of Thailand and the 
Government of New Zealand, done at Wellington on  10 February 1981, shall terminate on the day of 
entry into force of this Agreement.    
Article 18.9 
  
Financial Provisions
 
  
 Any cooperative activities envisaged or undertaken  under this Agreement shall be subject to 
the availability of resources and to the laws, regul ations and policies of the Parties. Costs of 
cooperative activities shall be borne in such manner as  may be mutually determined from time to time 
between the Parties.  
                                                      
10 Nothing in this Article shall prejudice any future negotiations between the Parties on Trade in 
Services or the Review of Commitments in Chapter 2 or Chapter 9 of this Agreement. WT/REG207/1 
Page 64  
 
  
Article 18.10 
  
Entry Into Force, Duration And Termination 
 
 
1. This Agreement shall enter into force on the date of the latter notification by either Party to 
the other Party that it has completed its internal pr ocedures for entry into force of this Agreement.  
2. This Agreement shall remain in  force until one Party gives written notice of its intention to 
terminate it, in which case this Agreement shall termin ate twelve months after the date of the notice of 
termination.  
  
 IN WITNESS WHEREOF, the undersigned, be ing duly authorised by their respective 
Governments, have signe d this Agreement.  
  
 DONE in duplicate at ______________ this _ __ day of ____________,  two-thousand and 
five, in the English language.  
 
__________