RESTRICTED  WORLD TRADE  
ORGANIZATION  TN/MA/W/8/Add.1 
1 February 2006 
 (06-0438) 
Negotiating Group on Market Access Original:   English 
  
 
MARKET ACCESS FOR NON-AGRICULTURAL PRODUCTS 
 
Update on the Negotiations on the Sectoral Tariff Component 
 
 
Communication from Singapore 
 
Addendum  
  The following communication, dated 30 January 2 006, is being circulated at the request of the 
delegation of Singapore. 
 
_______________ 
Introduction
 
 
1. Paragraph 7 of Annex B of the Decision a dopted by the General Council on 1 August 2004 
recognises the importance of the sectoral tariff component as another key element to achieving the 
objectives of paragraph 16 of the Doha Ministerial Declaration, with regard to the reduction or 
elimination of tariffs, in particular on products of export interest to developing countries.  To that end, 
good progress has been made in this important component, on the basis of an informal Member-driven process.  As noted in the Chair’s Report to the TNC (Annex B of WT/MIN(05)/DEC), work has been ongoing in a number of sectors based on a critical mass approach.  
These sectors include bicycles, chemicals, electroni cs/electrical equipment, fish, footwear, forest 
products, gems and jewellery, pha rmaceuticals and medical equipmen t, raw materials and sporting 
goods, apparel, auto/auto parts and textiles.  2. At Hong Kong, Ministers instructed the Ne gotiating Group on Market Access (NGMA), 
under paragraph 16 of the Hong Kong Ministeria l Declaration (WT/MIN(05)/DEC), to “review 
proposals with a view to identifying those which could garner sufficient participation to be realized”, 
based on participation on a non-mandatory basis.  In view of the agreed timeline of 30 April 2006 to establish NAMA modalities, Members would now need to  intensify work in this area and finalise the 
details of this modality as soon as possible.    
3. This submission provides an overview of the sectoral tariff initiatives taking place in the 
NGMA and updates the NGMA on the progress of these initiatives.    
Overview of Sectoral Tariff Initiatives
 
 4. The sectoral tariff component of the NAMA nego tiations is largely an informal process, with 
interested members forming groups in particular  sectors to work on the modalities.  These groups 
meet
1 at the fringes of NAMA weeks and continue th eir work intersessionally via electronic means.  
Industry representatives in various sectors would some times host or participate in such meetings. 
                                                      
1 The hosts of the informal groups would usually announce their intention to hold meetings at the 
opening plenary session of each NAMA cluster and provide oral or written reports of the meetings at the end of 
each NAMA cluster. TN/MA/W/8/Add.1 
Page 2  
 
  5. Many of these informal meetings have led to  papers submitted to the NGMA.  These papers 
provide overviews of the sectors and the modalities fo r the sectoral negotiations like product coverage 
and special and differential treatment.  To  date, eight papers have been tabled
2.  A summary of the 
papers tabled is attached at Annex A . 
 
Elements of Modality  
 
6. While progress in each of the sectorals is vari ed, the discussions across all the sectoral groups 
have focused on the modality for the sectoral negotiations.  Some of the elements of the modality include: 
 
• Product coverage :  List of products to be included in the sectoral. 
 
• Critical Mass :  The level of critical mass and whether share of world trade and/or 
global production figures should be used.   
 
• Final target rates : Whether tariffs in the sector should be eliminated or harmonized. 
 
• Options for S&D :  Longer implementation periods, di fferent implementation patterns, 
harmonization instead of elimination for certa in products, limited product exclusion etc. 
 7. Details of the modality are still under negotiations.  As this is an informal process, delegations 
are free to brainstorm ideas and articulate concerns during the meetings. Participation does not prejudice Members’ positions on sectoral negotiatio ns and does not commit Members to joining the 
sectorals.  Members are in fact strongly en couraged to participate in the meetings. 
 
Way Forward
 
 
8. Work has to be intensified before we can conclude the DDA negotiations by the target 
deadline of 2006.  The sectoral tariff component is no exception.  The paper tabled by Canada and US 
on “How to Create a Critical Mass Sectoral Initiative” (TN/MA/W/55) highlights the process involved 
in the critical mass approach and serves as a useful reference for Members.  The key challenges facing this component of the NAMA negotiations are fina lizing the details of the modality and garnering 
sufficient participation across a wide range of sectors.  
 
9. While the informal process has generated good progress, some Members have articulated 
concerns like the lack of information and conflic ts in meeting schedules, especially for smaller 
delegations.  The following process-related suggesti ons could be considered in taking the work 
forward:   
 
• Schedule of Meetings :  Meetings, if possible, should be notified to the membership in 
advance.  Hosts of some sectoral groups curre ntly do make announcements of their meetings 
at opening plenarys but some delegations may have already scheduled bilateral or regional 
group meetings by then.  Hosts of sectoral me etings could consider submitting their meeting 
schedule to the WTO Secretariat in advance, so  that the schedule could be faxed or sent by 
email to all Members. 
 
                                                      
2 The eight sectors are: gems & jewellery, forest products, fish and fish products, bicycle and related parts, 
sports equipment, electronics/elect rical, chemicals and raw materials. 
  TN/MA/W/8/Add.1 
 Page 3 
 
 
  • Submission of Papers :   The submission of sector-specific papers to the NGMA is not an 
indication of the level of progress in the sectoral discussions.  However, such informative papers help to increase awaren ess, enhance transparency and facilitate Members in consulting 
their stakeholders.  Sectoral proponents that have yet to table papers are encouraged to do so.   
 
• “Priority Matrixes” :  Hosts of a few sectoral groups have circulated “priority matrixes” for 
participants to respond.  Participants are encour aged to fill in details like priority products, 
desired level of critical mass, and preferred opti ons for special and differential treatment.  The 
hosts would consolidate the responses and circulat e to the informal group for discussion.  This 
is a useful exercise for the sectoral groups to proceed with substantive negotiations.  Sectoral 
groups who have not done so may wish to c onsider this option as a way to advance the 
negotiations.  
  TN/MA/W/8/Add.1 
Page 4 
 
 
Annex A :  Summary of Papers Tabled on Sectoral Tariff Initiatives  
 
Sector 
 Document Co-Sponsors Product Coverage S&D Treatment 
Bicycle and 
Related Parts  JOB(05)/202 Japan; Singapore; the 
Separate Customs 
Territory of Taiwan, 
Penghu, Kinmen, and 
Matsu; and Thailand HS 401150, HS 401320, 
Ex 731511 (roller chain of a kind used on 
bicycles) 
Ex 732020 (stainless steel spring for 
bicycle valve inside core use) 
Ex 848180 (valves, inner-tube, for 
bicycles) 
HS 851210, HS 871200, HS 871491,  
HS 871492, HS 871493, HS 871494,  
HS 871495, HS 871496, 
Ex 871499 (other parts and accessories of 
bicycles and other cycles, not motorized) Possible options might include 
- Longer implementation period 
- Harmonization levels for certain products 
- Limited product coverage exemption 
- Others? 
 
Chemicals TN/MA/W/58 
 Canada; Japan; 
Norway; the Separate 
Customs Territory of 
Taiwan, Penghu, 
Kinmen, and Matsu; 
Singapore; 
Switzerland; and the 
United States  HS Chapters 28 - 39 Possible options might include the following: 
- Longer implementation periods for all chemical 
products 
- Different implementation periods in certain 
products/sub-sectors 
- Zero for “x” 
- Participation in certain sub-sectors 
 
Electronics/ 
Electrical TN/MA/59 
TN/MA/59/Add.1 Japan; Korea; 
Singapore; Thailand 
and the United States Product coverage should be wide-ranging 
and simple for Members to implement.  
Broad product coverage that would 
include a significant range of products, 
potentially including information 
technology, electri cal equipment and 
machinery, semiconductors, audio visual 
products and consumer electronics Options could include, but not limited to, the 
following: 
- Longer implementation periods 
- Different implementation patterns for different 
product groups or sectors 
- “Zero for X” 
- Participation in a smaller number of products 
  
   TN/MA/W/8/Add.1
 Page 5Sector 
 Document Co-Sponsors Product Coverage S&D Treatment 
Fish and fish 
products TN/MA/W/63 Canada; Iceland; New 
Zealand; Norway; 
Singapore and 
Thailand HS 0509, HS 0511.91, HS 03, 
HS 1504.10, HS 1504.20, 
Ex HS 1603 (juices and extracts of meat 
and fish), 
HS 1604, HS 1605, HS 2301.20 S&D might include: 
- Zero for zero 
- Zero for X harmonization 
- Tariff harmonization 
- Credits for participation if this is agreed as part 
of the modalities for the formula 
Longer implementation periods and/or different 
implementation patterns 
Forest 
Products TN/MA/W/64 Canada; Hong Kong, 
China; New Zealand; 
Thailand and the 
United States HS Chapters 44, 47, 48, and 49, and 
additional products in Chapter 94 (e.g. 
some furniture items and pre-fabricated 
buildings) Possible options might include, but not limited to, 
the following: 
- Varied  implementation period periods to 
accommodate different needs 
- Zero for X (some Members eliminate tariffs 
while others reduce and harmonise them) 
- Limited product exemption 
Participation credits (if this is agreed as part of the 
modalities for the formula) 
Gems and Jewellery TN/MA/W/61 
TN/MA/W/61/Add.1 Hong  Kong, China; 
Japan; the Separate 
Customs Territory of 
Taiwan, Penghu, 
Kinmen, and Matsu; 
Singapore; 
Switzerland; Thailand 
and the United States Articles under Chapter 71 of the HS, 
which includes pearls, diamonds, precious 
stones, synthetic stones, silver, gold, 
platinum, jewellery, imitation jewellery, 
and coin. Options may, inter alia , include: 
- Longer implementation period 
- Limited products exclusion 
- Zero for X 
Raw Materials TN/MA/W/37/Add.2 United Arab Emirates HS2515, 2516, 2519, 2523, 2601.1, 
2601.11, 2602.00- 2611.00, 2707, 2708, 
2710, 2711, 2715.00, 2818, 2820, 7101, 
7401.10, 7401.20, 7403.11, 7403.12, 
7403.13, 7403.19, 7403.21, 7403.22, 
7403.23, 7403.29, 7404.00, 7404.00, 
7406.10, 7406.20, 7602.00, 7603.10, 
7603.20, 8104.11, 8401.19, 8401.20, 
8401.30, 8111.00 Not specified  
  TN/MA/W/8/Add.1 
Page 6 
Sector 
 Document Co-Sponsors Product Coverage S&D Treatment 
Sports 
Equipment  JOB(05)/201 Japan; the Separate 
Customs Territory of 
Taiwan, Penghu, 
Kinmen, and Matsu; 
and Singapore HS 950611, HS 950612, HS 950619, HS 
950621, HS 950629, HS 950631, HS 
950632, HS 950639, HS 950640, HS 
950651, HS 950659, HS 950661, HS 
950670, HS 950691, HS 950699, HS 
950710, HS 950720, HS 950730, HS 
950790, HS 950800 Possible options might include 
- Longer implementation period 
- Harmonization levels for certain products 
- Limited product coverage exemption 
- Others? 
 
 
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