WORLD TRADE  
ORGANIZATION  WT/TPR/OV/W/2 
15 July 2009 
 
 (09-3440) 
Trade Policy Review Body  
  
 
REPORT TO THE TPRB FROM THE DIRECTOR-GENERAL  
ON THE FINANCIAL AND ECONOMIC CRISIS AND  
TRADE-RELATED DEVELOPMENTS
1 
 
 
1. This Report reviews trade-relate d developments in the period fro m 1 March to 19 June 2009. 
2. The sharp contraction of the global economy that began in the second half of 2008 and 
accelerated into the first quarter of 2009 appears to be slowing down.  However, the economic situation is fragile and prospects ar e still uncertain throughout all regions of the world.  The financial 
crisis was concentrated in the developed countries a nd its effects have been felt most severely there, 
but the subsequent collapse of aggregate demand in  those countries is still working its way through 
the global economy.  Because of the continuing downsi de risks, the WTO Secretariat has revised its 
forecast of world merchandise trade in 2009 from a d ecline in volume of 9 per cent to a decline of 10 
per cent.  Exports of developed economies are now fo recast to fall this year by roughly 14 per cent; 
the decline for developing economies is expected to be about 7 per cent.  Trade in services has been 
more resilient so far than merchandise trade.  Developing countries remain vulnerable to further 
worsening of the contraction of both international finance and international trade, falling world prices 
for export commodities, declining FDI, reductions in earnings from remittan ces and uncertainty over 
future ODA flows.  This is lead ing to an exceptionally difficult s ituation for low-income countries 
that do not have the economic or social safet y nets available to withstand such shocks. 
3. The abrupt contraction of trade flows and the belief that the more open economies are bearing 
the brunt of this decline have led some commentator s to argue that trade liberalization has made open 
economies more vulnerable to the crisis.  Openi ng markets may indeed expose countries to greater 
volatility, but the response is not to turn away from openness.  Market opening must be accompanied by international rules and by domestic policies that  help workers and business face the impact of open 
competition and volatility of markets.  Many of th e open economies that have been badly affected by 
the global crisis have been enjoying decades of hi gh economic growth and will be better placed to 
stage a faster and stronger recovery.   
4. In the past three months there has been furthe r slippage towards more trade-restricting and 
distorting policies but resort to high intensity protectionist measures has been contained overall, albeit with difficulties.  There have been signs of an improvement in the trade policy environment in the 
form of more governments introducing trade-libera lizing and facilitating measures, but there is no 
general indication yet of governme nts unwinding or removing the meas ures that were taken early on 
in the crisis. 
                                                     
 
1 This is intended to be a purely factual report and is issued under the sole responsibility of the 
Director-General.  It has no legal effect on the rights and obligations of Members, nor does it have any legal implication with respect to the confor mity of any measure noted in the re port with any WTO Agreement or any 
provision thereof.  This report is w ithout prejudice to Members' negotiating positions in the Doha Round.  It is a 
preparatory contribution to the report by the Director-G eneral that is called for in Paragraph G of the TPRM 
mandate and that aims to assist the TPRB to undertake an annual overview of developments in the international 
trading environment which are having an impact on th e multilateral trading system.  The earlier reports are 
contained in WTO documents JOB(09)/2 (26 January 2009) and WT/TPR/OV/W/1 (20 April 2009). WT/TPR/OV/W/2 
Page 2  
 
  5. Based on information collected by the WTO Se cretariat (Annex 1), and without taking into 
account trade measures associated with the A(H1N1) influenza pande mic, the number of new trade-
restricting or distorting measures announced or implemented since 1 March 2009 exceeds the number 
of new trade-liberalizing or facilitating measures by a factor of more than two.  This compares unfavourably with the general situation prevailing ove r the past few years when  the balance for most 
WTO Members lay firmly on the side of trade liberalization.   
6. More countries have introduced trade-liberaliz ing and facilitating measures than was the case 
earlier in the year.  Australia, China, Ecuador, Eg ypt, India, Indonesia, Mexico, Paraguay, the 
Philippines, Russia, Saudi Arabia, Ukraine and Vietnam announced cuts in import tariffs and 
surcharges and the removal of non-tariff barrier s on various products, and China and Malaysia 
liberalized trade in several services sectors.  Some of these countries also  raised trade restrictions in 
the period under review, but it is a welcome sign that their governments are attentive to the beneficial 
role that lowering trade restrictions can play in  current circumstances, by reducing consumer and 
producer prices, stimulating aggregate demand and helpi ng to reverse the contraction of global trade.   
7. A variety of new trade-restricting and distorti ng measures have been introduced since March.  
There has been a further increase in the initiation of trade remedy investigations (anti-dumping and 
safeguards) and an increase in the number of new tariffs and new non-tariff measures (non-automatic 
licences, reference prices, etc.) affecting merchandise tr ade.  On the basis of analysis contained in this 
report of historical patterns of anti-dumping activity in  previous business cycles, it is to be expected 
that the current economic crisis will result in a si gnificant increase in the number of anti-dumping 
measures.   
8. Although some governments have  applied new measures to a relatively large number of 
imports, most have limited their actions to indivi dual products.  Trade in agricultural products, in 
particular dairy products, and in iron and steel products, motor vehicles and parts, chemical and 
plastic products, and textiles and clothing, has been most affected by these new measures.  A few 
countries have introduced new restrictions on trade in services, particularly in the energy services 
sector, and some have postponed planned liberaliza tion of financial services in response to the 
financial crisis, but in other sectors, such as telecommunications, governments seem committed to 
continue to strengthen international openness. 
9. Monitoring the impact on trade of fiscal stimulus programmes and industrial and financial 
support programmes continues to present a particular  challenge because of the paucity of data 
available, in particular on the specifics of how these programmes are being implemented.  Concerns 
have continued to be raised by governments  and business about "buy/invest/lend/hire local" 
requirements that have officially or unofficially b een attached to some of these programmes.  Because 
of their evident nationalistic appeal in current circ umstances, there is a particular danger that these 
programmes could become targets for retaliation and proliferate.  Several new cases of "buy local" 
campaigns, usually at local government levels, have  been reported in the past three months.   
10. Concerns have also continued to be raised about the competition-distorting effects of the 
subsidy components of these programmes. The longer the subsidies remain in place, the more they 
will distort market-based production and investment  decisions globally, the greater will become the 
threat of chronic trade distortions developing, a nd the more difficult it will become to correct those 
distortions.  The case of distortions to internati onal trade in agricultural products today provides a 
historical lesson in that respect.  An important c onsideration for G20 countries,  in particular, is to 
design and announce as soon as possible an exit strategy from this component of their crisis measures 
that will allow world markets to return to normal again. 
11. The multilateral trade rules continue to be well respected by WTO Members and are helping 
to contain protectionist pressures.  Nonetheless, un til the Doha Round is concluded successfully, there 
is a large amount of room in which those pressur es can continue to agitate.  Reducing the gaps  WT/TPR/OV/W/2 
 Page 3 
 
 
  between applied and bound levels of trade restriction and distor tion will substantially strengthen the 
capacity of the multilateral trading system to help go vernments resist these pre ssures.  There will still 
be flexibility available for WTO Members to cope with exceptional circumst ances such as the current 
economic crisis.  Ecuador's recent resort to the WT O provisions that allow the introduction of trade 
restrictions for balance-of-payments purposes demonstrates that the rules provide scope for 
developing countries to impose new trade restricti ons on a temporary basis and that the need for 
flexibility in these exceptional economic circumstances can  be dealt with consensually in the WTO.   
12. The G20 Leaders meeting in London on 2 Apr il 2009 committed to "...  refrain from raising 
new barriers to investment or to trade in go ods and services, imposing new restrictions, or 
implementing WTO inconsistent measures to stimul ate exports" until the end of 2010, and to "rectify 
promptly any such measure".  They committed also to "... minimize any negative impact on trade and 
investment of our domestic policy actions including fiscal policy and action in support of the financial 
sector".  The G20 pledged to notify any such measur es promptly to the WTO, and called on the WTO, 
together with other international bodies, to mon itor and report publicly on  the adherence of G20 
members to their undertakings on a quarterly basis. 
13. To date, the WTO Secretariat has not been info rmed by any G20 member that it has rectified 
any measure.  The Secretariat, in cooperation w ith the UNCTAD and OECD Secretariats and support 
of IMF staff, is preparing a public report on new G 20 barriers to investment or to trade in goods and 
services ahead of the next G20 Summit in late September. 
14. At the General Council meeting on 26 Ma y 2009, 13 WTO Members undertook the same 
commitments as the G20 and invited other Member s to associate themselves with this initiative.2 
1. Introduction  
15. This Report covers trade-rela ted developments and significan t policy issues affecting the 
multilateral trading system for the period March to June 2009.   
16. At the last Informal TPRB meeting on 14 April 2009, WTO Members supported the 
continuation of this monitoring ex ercise and encouraged all delegations to contribute to its success by 
providing timely and accurate information on their tr ade and trade-related measures.  Replies to the 
latest request from the Director-General for information on measures taken were received from 41 Members and Observers (counting the EC member St ates separately), of which 12 are members of the 
G20.  The WTO Secretariat has drawn on these replies, as well as on a variety of other public and 
official sources in preparing this Report.  The Secretariat has received good cooperation from the 80 
delegations that were requested to verify the accu racy of the information contained in Table 1 and 
Annexes 1 to 3.  Where it has not been possible yet to verify the information, this is noted in the 
Annexes.  
17. The inclusion of any measure in this Report or  in its Annexes implies no judgement by the 
WTO Secretariat on whether or not such measure, or its  intent, is protectionist in nature.  Moreover, 
nothing in this Report implies any judgement, either direct or indirect, as to the consistency of any 
measure referred to in the Report with  the provisions of any WTO Agreement. 
18. The supply of timely, accurate and comprehe nsive trade and trade policy information by 
Members under the notification and other transpar ency provisions of WTO Agreements is key to 
maintaining a high level of institutional transpar ency and understanding of the trade policies and 
practices of Members and to the smoother functioning of the multilateral trading system.  WTO Councils and Committees are following up on the requ est by the Chairman of the General Council 
that they each consult with Members on ways to improve the timeliness and completeness of 
                                                     
 
2 WTO document WT/GC/W/604 dated 22 May 2009. WT/TPR/OV/W/2 
Page 4  
 
  notifications and other information flows on trad e measures falling within their specific areas of 
responsibility. 
19. An area in which the notification record has been poor in the p ast is the provision of applied 
MFN tariff rates and import statistics to the Integrated Data Base (IDB).  Collecting and disseminating data for each WTO Member's tariff rates, not only MFN rates but also preferential rates under reciprocal and non-reciprocal schemes, is a co re responsibility of the WTO.  The Secretariat 
will increase its efforts to assist Me mbers to ensure that the IDB contains accurate, up-to-date and 
comprehensive tariff and import data, so that it can actually serve as the international reference for 
these data that it is intended and designed to be. 
2. Economic and trade trends 
(i) The global economy 
20. Global output continued to fall sharply in the fi rst quarter of 2009.  The European Union (27) 
reported a 4.4 per cent decline in output compared to  the same quarter of 2008, and the United States, 
Germany and Japan registered declines of 2.6 per cent, 6.9 per cent and 9.1 per cent, respectively, 
reflecting in the cases of Germany and Japan the high export-intensity  of their economies.  Output 
growth in China (6.1 per cent) and India (6.7 pe r cent) was more resilient, but still well below the 
rates that these countries recorded  in recent years, i.e. close to 10 per cent for India and as high as 
13 per cent for China.  The ILO's recent release of  world unemployment figures projected an increase 
in jobless numbers of between 39 million and 59 mi llion people in 2009, which will create additional 
downward pressure on world demand.    
21. Data for the second quarter of 2009 is incomplete  and mixed, but there are signs that the 
global economy may be stabilizing.  Output and empl oyment are still declining in many countries, but 
the rate of decline appears to be decreasing.  Ther e have been upturns in composite leading indicators 
in France, Italy, the United Kingdom and China.  The threat of deflation has receded in the United 
States, where expected inflation has risen from close to 0 per cent in late 2008 to nearly 2 per cent 
today.
 3   
22. For the full year 2009, the IMF is now forecas ting that global output will fall by 1.3 per cent, 
with developed countries hit hardest by a decline of 3.8 per cent.  The World Bank expects global 
GDP to contract by 2.9 per cent in 2009.  Developi ng countries are expected to grow by only 1.2 per 
cent this year, after growing by 8.1 per cent in 2007 and 5.9 per cent in 2008.4  The developing Asia 
region is expected to record the strongest outpu t growth among developing and emerging economies.   
(ii) Merchandise trade 
23. The WTO Secretariat forecasted in March a declin e of 9 per cent in the volume of world trade 
in 2009 on the assumption that exports would experience a sharp drop early in the year followed by a 
weak recovery.  The contraction in world trade that  began in the fourth quarter of 2008 continued 
during the first quarter of 2009.  Countries in all regi ons and at all levels of  development have been 
affected.  Developed economies have been hit hard est, especially the major exporters of automotive 
products and other machinery.  The largest share of  the trade contraction occurred early in the first 
quarter of 2009.  By the start of the second quarter, the rate of trade contraction had slowed and was 
beginning to show signs of stabilizing.  Monthly trade volume estimates from the Netherlands CPB5 
                                                      
3 Measured by the spread between the returns on inflation-indexed and non-indexed government 
securities. 
4 When China and India are excluded, GDP in the rema ining developing countries is projected to fall 
by 1.6 per cent in 2009 (World Bank Press release No. 2009/414, 22 June 2009). 
5 Trade Monitor , Netherlands Bureau for Economic Policy Analysis (CPB).  WT/TPR/OV/W/2 
 Page 5 
 
 
  show year-on-year declines in world trade (ave rage of exports and imports) of around 17 per cent 
through January 2009 and 14 per cent through March, indicating a degree of improvement (Chart 1).  
The contraction of trade flows in value terms also  appears to have bottomed out in May for most 
major economies (Chart 2).   
24. Nonetheless, the WTO Secretariat has downgraded  its forecast for the full year and now 
estimates that the volume of world merchandise exports will fall by 10 per cent.  Developed 
economies will experience the largest contraction in tr ade, with the volume of their exports expected 
to decline by roughly 14 per cent and developing  economies' exports declining by 7 per cent. 
25. The reason for this downgrade is that the risks to  trade growth remain firmly on the downside.  
Unemployment rates in developed countries continue to rise, maintaining downward pressure on the 
recovery of global demand.  Although the worst of the turbulence in financial markets may be over, 
additional financial stress could develop in the ma rkets for household or sovereign debt.  Oil prices 
fell sharply and remained in the neighbourhood of US$40/barrel early in the year, but have since risen to about US$70/barrel.  Some have interpreted this  as a sign that markets believe the global economy 
is improving, but if the supply of oil remains c onstrained as demand rises in the early stages of a 
recovery, prices could spike upward.  A worsening of the A(H1N1) flu pandemic could also create 
further downside risk to global economic recovery. 
26. There is the possibility that even  a small recovery in global demand will be associated with a 
much larger increase in trade.  Global supply chai ns in manufacturing have amplified the response of 
trade to changes in income by b oosting shipments of intermediate goods  along with final goods.  This 
tends to magnify the extent of declines in a downturn
6, but the process would work in reverse when 
the economy begins growing again.  
27. One explanation for the severity of the decline in trade of de veloped economies is that their 
exports are concentrated in those goods most affected by the financ ial crisis.  Germany's exports, for 
example, were 8 per cent lower in  April than in March and 40 per cent lower year-on-year, reflecting 
how strongly trade in automotive products has been  affected with worldw ide demand for cars and 
light trucks cut currently by about half.   
28. The biggest declines in exports of intermediate  goods and primary products have been in iron 
and steel, fuels, and mineral ores.  In April (year- on-year), the value of China's exports of iron and 
steel dropped 67 per cent and its exports of mine ral ores and non-ferrous metals fell 64 per cent. 
29. There have been encouraging developments recen tly in some countries.  China's exports in 
current dollar terms have rebounded 42 per cent from their low point in February, while shipments 
from the Republic of Korea grew 43 per cent between January and April.  Many other countries have 
seen stabilization or small upturns in trade in the last  few months.  The timing of recovery is expected 
to vary, as countries or regions that entered recession later may emerge later as well. 
 
                                                      
6 For example, intra-Asian trade in automobile produc ts was nearly halved in the first quarter of 2009 
(year-on-year).  Trade in integrated circuits and in office and telecom equipment also dropped by 30 per cent. WT/TPR/OV/W/2 
Page 6  
 
  50100150200250300
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
Other countriesChart 1
Volume of monthly exports and imports, January 1998 - March 2009
50100150200250300
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
IFS concept (OECD minus Turkey, Czech Republic, Hungary, Poland, Slovak Republic, Mexico and Republic 
of Korea).
CPB Netherlands Bureau for Economic Policy Analysis.Indices, 1998 = 100 Exports
Imports
World Industrial countriesa
United States European Union (15)Japan
a
Source: 
  WT/TPR/OV/W/2 
 Page 7 
 
 
  0510152025
Jan-06 Jul-06 Jan-07 Jul-07 Jan-08 Jul-08 Jan-09050100150200250
Jan-06 Jul-06 Jan-07 Jul-07 Jan-08 Jul-08 Jan-09020406080100
Jan-06 Jul-06 Jan-07 Jul-07 Jan-08 Jul-08 Jan-09
050100150200250
Jan-06 Jul-06 Jan-07 Jul-07 Jan-08 Jul-08 Jan-0904080120160
Jan-06 Jul-06 Jan-07 Jul-07 Jan-08 Jul-08 Jan-09
01020304050
Jan-06 Jul-06 Jan-07 Jul-07 Jan-08 Jul-08 Jan-09
051015202530
Jan-06 Jul-06 Jan-07 Jul-07 Jan-08 Jul-08 Jan-09Chart 2
Monthly merchandise exports an d imports of selected economies, January 2006 - May 2009
United StatesJapan(US$ billion)
European Union (27) extra -trade China
Republic of KoreaBrazil
India
01020304050
Jan-06 Jul-06 Jan-07 Jul-07 Jan-08 Jul-08 Jan-09
024681012
Jan-06 Jul-06 Jan-07 Jul-07 Jan-08 Jul-08 Jan-09Russian Federation
South Africa
Source :  IMF, International Financial Statistics;
               Global Trade Information Services 
               GTA database; national statistics.Exports Imports
 
 WT/TPR/OV/W/2 
Page 8  
 
  30. Although developing countries have experienced a smaller drop in their exports than the 
developed countries, they have not escaped the cris is.  The 7 per cent fall in export volumes forecast 
for 2009 is potentially devastating for the poorest  among them, and it understates the economic and 
development impact on those that are dependent on primary commodity exports since falling world prices are compounding the decline in export volumes  (Chart 3).  The vulnerability of many 
developing countries is made greater by their limite d range of exports and by their dependence on 
exports.
7  They also have less developed economic a nd social safety nets and fewer resources to 
cushion themselves, and particularly the poorest pa rts of their populations, from the effects of the 
global recession.   
 
50100150200250300350400450500
2000 2001 2002 2003 2004 2005 2006 2007 2008Source: IMF Primary Commodity Prices.Chart 3
Prices of selected primary products, January 2000 - May 2009
Indices, July 2000=100
Food Metals Energy
 
(iii) Trade in commercial services 
31. Data are not available to permit global forecasts to be made, but preliminary indicators for 
some countries suggest that trade in services has been  more resilient, so far, than merchandise trade. 
32. Preliminary data (measured on a BOP basis) for the first quarter of 2009 for the United States 
show that exports of commercial services, other than  financial services, declined only slightly by 0.4 
per cent since the onset of the crisis (Chart 4).  In  contrast, exports of transport and travel services 
have declined by almost as much as merchandise e xports.  In March 2009, they fell by 22 per cent and 
15 per cent respectively.  It is likely that fears relating to the A(H1N1) flu have had an additional 
adverse effect on US transport and trav el exports in the past two months.  
                                                      
7 According to UNCTAD, developing countries had an export concentration index of 0.14 on average 
in 2006 compared to 0.06 for developed countries.  Developing countries have a collective export/GDP ratio of 
37 per cent compared to 29 per cent for developed countries.  WT/TPR/OV/W/2 
 Page 9 
 
 
  33. A similar pattern can be observed in Japan (C hart 5).   In March 2009, merchandise exports 
fell by 45 per cent along with transport services ( 37 per cent) and travel services (15 per cent).  
Exports of other commercial services increased by 5 per cent compared to March 2008, and within 
this category other business services increased by over 15 per cent. 
34. A possible reason for the resilience of trade in other commercial services is the time lag 
involved in conducting international transactions.  Other business services tend to be characterized by 
long-term projects, such as outsourcing activities.  Similarly, in the market for telecommunications 
and construction services, investment decisions, once ta ken, may not be reversed easily later on.  In 
contrast, the market for transport services (especially maritime) and tourism is based on shorter time horizons and it reacts more rapidly to changes in  the growth of merchandise trade and income.  
 
-30.0-20.0-10.00.010.020.030.0
2007 Jan
2007 Mar
2007 May
2007 Jul
2007 Sep
2007 Nov
2008 Jan
2008 Mar
2008 May
2008 Jul
2008 Sep
2008 Nov
2009 Jan
2009 Mar
Source: US Bureau of Economic Analysis.Chart 4
US exports of goods and commercial services, January 2007 - March 2009 
Percentage change
Goods Transport Travel Other commercial services
 
 
 
 WT/TPR/OV/W/2 
Page 10  
 
  -50.0-40.0-30.0-20.0-10.00.010.020.030.040.0
2007 Jan
2007 Mar
2007 May
2007 Jul
2007 Sep
2007 Nov
2008 Jan
2008 Mar
2008 May
2008 Jul
2008 Sep
2008 Nov
2009 Jan (p)
2009 Mar (p) p
Source:Preliminary
Bank of Japan.Chart 5
Japan's exports of goods and commercial services, January 2007 - March 2009 
Percentage change
Goods Transport Travel Other commercial services
 
 
Box 1: Trade in Services 
 
Based on balance-of-payments statistics, services account fo r over one-fifth of global cross-border trade, and for 
some countries such as Indi a and the United States close to a third of all exports. 
 
Trade flows 
 
Very little statistical information on trade in services is available for the first months of 2009, and most of it 
refers only to cross-border trade – no recent data exist for trade flows through commercial presence or the 
temporary movement of natural persons.  Nonetheless, the data suggest that services trade appears to be weathering the global financial and economic crisis better than trade in goods.  A recent World Bank paper
8, 
based chiefly on data on cross-border trade in services from the United States rel eased in March 2009, shows 
that while trade in goods has declined drastically, trade in services has held up remarkably well.  The year-on-
year decline in the value of US merchandise imports in February 2009 was 33 per cent while the value of 
services imports declined by only 7 per cent.  Trade in goods-related services such as international transport has 
contracted in February 2009 by 20 per cent (year-on-year); while financial services and expenditure in tourism have shrunk by about 13 and 7 per cent, respectively.  But trade in a range of business, professional, and 
technical services has actually grown by about 7 per cent.  Evidence from other OECD countries, only available 
at an aggregate level, does not contradict the pi cture emerging from the analysis of US data. 
 
Box 1 (cont'd) 
                                                      
8 Ingo Borchert and Aaditya Mattoo, "The Crisis -Resilience of Services Trade", World Bank, Policy 
Research Working Paper No. WPS 4917, 28 April 2009.  WT/TPR/OV/W/2 
 Page 11 
 
 
   
The latest data from the United States (released on 12 May and covering developments up to March 2009) seem 
to confirm the situation described by the World Bank.  While US imports and exports of goods dropped from 
February to March 2009 by 32 per cent and 38 per cent, respectively; US imports and exports of services 
dropped in the same period by 10.7 per cent each.  US exports and imports of  goods in Q1 2009 were 22 per 
cent and 30 per cent lower, respectively, than in Q1 2008, while US exports and imports of services were just 6 
per cent lower.  The bulk of the drop is to be found in transport, travel and financial services.   
 
Countries relatively more specialized in business services have suffered much smaller declines in exports to the 
United States than those more specia lized in exports of goods and trans port and tourism services.  Overall, 
exports of developing countries relatively more specialized in services, such as India, have declined less than exports of countries for whic h services are less important. 
 
According to Borchert and Mattoo (2009), initial evidence suggests that services trade is performing better than 
goods trade for a number of reasons including:  (i) demand for a range of  – mainly infrastructural and business – 
services is less cyclical.  As inputs into production processes, they represent an element of competitive advantage unlikely to be foregone;  and a large part of international demand for services is less discretionary 
than demand for goods;  (ii) services production is less dependent on external finance and services trade is less 
dependent on trade finance (many services, such as business services, are delivered electronically across 
borders);  and (iii) services trade i nvolves less international back-and-forth movement of components (services 
production is much less fragmented than goods production).   
 
It is worth remembering that this assessment concerns only cross- border trade, and is based on limited data.  
Some other factors, particularly the drop in demand for services due to the global recession, may affect sales by 
foreign affiliates (i.e. trade through commercial presence ), which likely represents some 55 to 60 per cent of 
trade in services covered by the GATS .  Foreign direct investment for example, which is essential to carry out 
trade in services under comm ercial presence, seems to be declining drastically.  According to recent data 
released by UNCTAD, global FDI may have fallen by 15 per cent last year from a peak of US$1,900 billion in 
2007, and preliminary data for the first quarter of 2009 suggest "a nosedive in FDI" in both industrialized and 
developing economies, with dramatic slumps in flows to China and the Republic of Korea.  The fall in FDI 
reflects both the inability of companies to finance overseas investments and their assessment of economic developments in foreign markets.  In developing countries, companies have been pulling back both on 
investment aimed at export markets in rich countries, now in recession, and on investment to serve local markets 
where growth prospects are r eceding.  Moreover, sales by  natural persons are not properly measured, but there 
are indications that the movement of natural persons around the world is being affected by the crisis. 
 
Protectionism 
 
The World Bank authors also point out that the apparent resilience of services trade might be jeopardized by 
protectionism, which could take subtle forms.  Even though few explicit trade-restrictive measures have so far 
been taken in the services area, the changing political and social climate, as well as increasing state intervention 
in crisis countries, could introduce a national bias in firms' choices regarding procurement and the location of 
economic activity.  For example, even in the absence of explicit discrimination, the implicit social and political 
disapproval of outsourcing may have an immediate chilling effect on demand.  Similarly, in the long term, subsidies to banks (necessary to ensure the stability of the financial system) are probably less damaging than 
financial protectionism (inducing national banks to lend domestically).  
 
Services industry sources in developing countries su ggest that a bigger problem than any explicit trade 
restrictions is the general mood of protectionism emerging in crisis-hit countries.  This mood has generated 
increasingly strong political pressure to retain jobs domestically.  Evaluating the effect of protectionist 
sentiments in this area is harder than quantifying the negative demand shock.  Illustrations of explicit trade 
restricting measures in the services area include prov isions such as those favouring or mandating buy-local 
behaviour, or those making it difficult for financial institutions in receipt of government help to hire non-
nationals. 
 WT/TPR/OV/W/2 
Page 12  
 
  3. Trade and trade-related policy developments 
35. Based on information collected by the WTO Secretariat on trade measures announced or 
implemented since 1 March 2009 (Annex 1), there ha ve been more instances of countries taking trade 
liberalizing and facilitating measures than in the pr evious three or six-mont h periods and fewer cases 
of new tariff and non-tariff trade barriers.  However,  there was widespread reso rt to restrictions on 
imports of pork and pork products in respon se to the A(H1N1) influenza pandemic, increased 
initiation of trade defence investigations (anti- dumping and safeguards), a nd two more countries 
(Switzerland and the United States) followed th e earlier lead of the European Communities in 
introducing new agricultural expor t subsidies on dairy products.  
(i) Trade liberalization and facilitation 
36. More governments have taken steps to reduce or remove trade restrictions and to facilitate 
trade in the last three months when compared with  the earlier phase of the economic crisis.  Australia, 
China, Ecuador, Egypt, India, Indonesia, Mexico, Paraguay, the Philippines, Russia, Saudi Arabia, Ukraine and Vietnam announced cuts in import dut ies, fees and surcharges and the removal of non-
tariff barriers on various products, and China and Mala ysia removed restrictions on trade in certain 
services sectors.  There is no clear pattern discer nible from these actions in terms of products or 
regions of the world economy, and it should be noted that some of the countries concerned also raised import restrictions on other products  during the period under review. 
(ii) Trade restriction and distortion – merchandise trade 
37. A variety of new trade-restricting and distorti ng measures have been introduced since March.  
Most noticeable has been trade remedy actions and widespread restrictions on pork and pork products 
associated with the A(H1N1) influe nza pandemic.  Outside those two areas, there has been an increase 
in the number of new tariffs and new non-tariff measures (non-automatic licences, reference prices, 
etc.) affecting merchandise trade when comp ared with the previous six-month period 
(September 2008 to February 2009).  Some govern ments have reported new tariffs and non-tariff 
barriers on a relatively wide range of imports, and th ere are unverified accounts of actions of this kind 
also by others, but most governments seem to have  limited their policy action narrowly to one or at 
most two products.  Agricultural products and iron and steel, motor vehicles and parts, chemical and 
plastic products, and textiles and clothing have been  the products most affected by these measures.  
Within the agricultural sector, dairy products have been a target for the establishment of a new tariff 
rate quota and the application of new or increased export subsidies. 
 Sanitary and Phytosanitary Measures (SPS) 
 
38. The SPS Agreement provides several mechanis ms to monitor the imposition of trade 
restrictions.  All WTO Members are obliged to pr ovide an advance notification of proposed new SPS 
requirements, except for measures ta ken in response to emergency situ ations for which notification is 
to be provided immediately upon taking the measure.  Other Members have the opportunity to 
comment on these notified measures, both directly to the notifying Member and/or by raising the issue 
at a regular meeting of the SPS Committee.  The WTO Secretariat has no information regarding how 
many comments are submitted in response to notifications, nor the responses given to these 
comments.  In the period from 1 January through 10 June 2009, 239 regula r notifications and 41 
emergency notifications were submitted by Members.   This compares with 355 regular notifications 
and 39 emergency notifications for the same period in 2008. 
39. One issue that raises concern is the number of  new trade restrictions imposed on live pigs, 
pork and pork products in response to the outbreak of  the influenza A(H1N1) virus.  Although various 
official and non-official (primarily media) sour ces reported that many countries had imposed import  WT/TPR/OV/W/2 
 Page 13 
 
 
  restrictions on these products, and sometimes on additional products as well, only four Members 
notified their emergency measures to the WTO (Table 1).  This raises serious questions about lack of 
transparency of most of the measures, and about the inability of Members to consult with each other 
in the SPS Committee on the scientific justification fo r the restrictions.  The relevant international 
standard-setting organization, the World Organizati on for Animal Health, as well as the World Health 
Organization, have stressed that this virus cannot  be transmitted to humans via the consumption of 
properly prepared pork meat or products, and stated therefore that no trade restrictions are warranted. 
40. Any Member can raise a specific trade concern at any one of the three regular meetings of the 
SPS Committee each year.  In the Committee meeti ngs of March and June  2008, six new trade 
concerns were raised.  In the meeting of Februa ry 2009, one new concern was raised, and Members 
have indicated their intention to raise eight new issues at the June meeting. 
Table 1 
Trade Measures in the context of the A(H1N1) Flu 
Country/  
Member State Measure Source 
Armenia Import ban of animal origin food, raw materials, feedstuffs, live pigs, pork, 
pork semen, and feedstuff and feed add itives for pigs prepared from pork 
from Mexico and the United States.  Ministry of Agriculture website. 
Azerbaijan Import ban of pork products from North America. Global Public Health Intelligence 
Network (GPHIN). 
Bahrain Import ban of pork products from: Me xico, the United States, and any country 
with confirmed cases. Global Public Health Intelligence 
Network (GPHIN). 
Belarus Import ban of meat, cattle, and pou ltry feed from: Canada, France, Israel, 
Mexico, New Zealand, Spain, and the United States. 
As from 7 May import ban of pigs, po rk and pork products from Poland. Press reports. 
Bolivia Import ban of pork and subproducts  from: Canada, Mexico and the United 
Sates. Global Public Health Intelligence 
Network (GPHIN). 
Bosnia & Herzegovina Import ban of pork products from any country with confirmed case s. Global Public Health Intelligence 
Network (GPHIN). 
Brunei Darussalam Import ban of pork meats from any country with confirmed cases. Global P ublic Health Intelligence 
Network (GPHIN). 
Cameroon Import ban of pork pr oducts from any country with confirmed cases. Global Public Health Intelligence 
Network (GPHIN). 
Chad Import ban of pork produc ts from any country with confirmed ca ses. Global Public Health Intelligence 
Network (GPHIN). 
China Import ban of live pigs, pork products  from: Mexico and a number of US 
states (26 and 29 April), and Canada (Alberta) (3 May). Permanent Delegation of China to 
the WTO. 
Croatia Import ban of pork products and live hogs from several countries with 
confirmed cases in North and South America (ban introduced on 29 April, 
abolished for all countries except Mexico on 8 May, and completely 
eliminated on 16 June 2009).  Permanent Delegation of Croatia to 
the WTO. 
Ecuador Import ban of live pigs and pork products from Canada. (A ban on imports 
coming from Mexico was lifted on 12 May). Permanent Delegation of Ecuador 
to the WTO. 
El Salvador Temporary import ban (introduced on 25 April) of pork products from: 
Canada, Mexico, and the United States. On May 1, the ban was lifted. Permanent Delegation of El 
Salvador to the WTO. 
   Table 1 (cont'd) WT/TPR/OV/W/2 
Page 14  
 
  Country/  
Member State Measure Source 
Gabon Import ban of pork and por k products from Mexico. Global Public Health Intelligence 
Network (GPHIN). 
Ghana Import ban of pork products from any c ountry with confirmed cases. Press reports. 
Honduras Import ban of pork meat from: Ca nada, Mexico, and the United States. On 
4 May, the ban on imports coming from Mexico and the United States was lifted. Global Public Health Intelligence 
Network (GPHIN). 
Indonesia Import ban of pigs and pork produc ts from countries with confirmed cases 
(ban not applied to processed pork derivatives). Permanent Delegation of Indonesia 
to the WTO. 
Jordan Import ban of live swine, their meat and meat products (including transit) 
from countries with confirmed cases.  WTO Document G/SPS/N/JOR/20 
of 25 May 2009. 
Kazakhstan Import ban of raw meat from: Mexico and a number of US states. 
On May 12, the ban on imports coming from Mexico was lifted.  Global Public Health Intelligence 
Network (GPHIN). 
Korea, Rep of Temporary import ban of swine from North America.  Imports of pork 
allowed after testing. Permanent Delegation of Korea to 
the WTO. 
Kyrgyz Rep. Import ban of all meat and meat products from: Mexico and certain US states. 
Import ban on pork and pork products from a number of Central American 
countries (27 April). Permanent Delegation of Kyrgyz 
Republic to the WTO. 
Lebanon Import ban of pigs and pork from countries with confirmed cases. WHO. 
Former 
Yugoslav Republic of 
Macedonia Import ban of live pigs from: Mexico, the United States, and countries with 
confirmed cases. Global Public Health Intelligence 
Network (GPHIN). 
Malaysia Import ban of pork products from countries with confirmed cases. On 4 June, 
the ban was lifted. Permanent Delegation of Malaysia 
to the WTO. 
Moldova Import ban of pork and por k meat products from Canada. 
Ban on transit of live animals from countries with confirmed cases. Press reports. 
Montenegro Import ban of pork from: Nort h America, and countries with confirme d cases. Global Public Health Intelligence 
Network (GPHIN). 
Morocco Import ban of pork products from any c ountry with confirmed cases. Press reports. 
Russian 
Federation Import ban of all meat and meat products from: Mexico, one province of 
Canada, four US states, and 24 Centra l American and Caribbean countries. 
Import ban of pig meat and live pigs fr om: one province of Canada, seven US 
states, and the United Kingdom. 
Some of the bans imposed at the end of April have been lifted on imports 
coming from different countries and US  states, on a case by case basis.  WHO, Global Public Health 
Intelligence Network (GPHIN), and 
Official website of Rosselkhoznadzor (http://fsvps.ru). 
Saint Lucia Import ban of raw pork meat, animals, and seme n from the United States. Global Public Health Intelligence 
Network (GPHIN). 
Serbia Import ban (and transit) of pigs a nd pork products originating from North and 
Latin America. On 2 June, the ban for imports coming from the United States 
was lifted. Permanent Delegation of Serbia to 
the UN Office in Geneva. 
Sudan Import ban of por k products from any country with confirme d cases. Global Public Health Intelligence 
Network (GPHIN). 
Table 1 (cont'd)  WT/TPR/OV/W/2 
 Page 15 
 
 
  Country/  
Member State Measure Source 
Suriname Import ban of live animals, animal product, raw pork, and semen from any 
country with confirmed cases.  
On 14 May, the ban for imports coming from Mexico was lifted. Global Public Health Intelligence 
Network (GPHIN). 
Tajikistan Import ban of pork and poultry from: El Salvador, Mexico, Russia, and 
certain US states. Press reports. 
Thailand Import ban of live pigs from countri es with confirmed cases (from 27 April to 
20 May 2009). Permanent Delegation of Thailand 
to the WTO. 
Ukraine Import ban of live pigs and pork meat from: Canada, Mexico, New Zealand 
and the United States.  Global Public Health Intelligence 
Network (GPHIN). 
United Arab Emirates Import ban of pigs and pork products from countries with confirmed cases 
(26 April).  On 7 May the ban was lifted. Permanent Delegation of the UAE 
to the WTO. 
Uzbekistan Import ban of pork and pork products  from several countries with confirmed 
cases in North and South America (21 April 2009).  Permanent Delegation of 
Uzbekistan to the UN Office in Geneva. 
Venezuela Import ban of live pigs from any country w ith confirmed cases. Permanent Delegation of Venezuela 
to theWTO. 
 
 
Technical Barriers to Trade (TBT) 
 
41. Both the number of TBT notifications and the num ber of specific trade concerns raised in the 
TBT Committee have increased in the first part of 2009 compared to the same period of the previous 
year.  The number of TBT notifications reached  637 in the period 1 January to 20 May 2009, 
compared with 509 during the same period last year.  The number of new trade concerns raised at the 
March 2009 meeting of the TBT Committee was signifi cantly larger than at the same meeting the 
previous year (44 compared with 34).  In fact, over the last three years there has been a sharp rise in 
the number of specific trade con cerns raised in the Committee.9  Although the concerns brought to the 
attention of the TBT Committee span over a very br oad range of issues, discussions in the Committee 
over the last couple of years have focused on chemical s.  Also draft measures relating to toys and steel 
have come up more frequently in the last year.   
42. It is nevertheless difficult to draw any conclusions on the motives/rationale behind the 
increases.  With respect to notifications, Member s are obliged under the TBT Agreement to make a 
notification to the WTO if a proposed measure ma y have a significant effect on trade.  The higher 
numbers may thus signal either an increase in regul atory activity (which may be legitimate) or an 
improved implementation of the TBT Agreement.  It is  interesting to note that over 80 per cent of the 
notifications submitted in the period January-M ay 2009 came from developing countries while the 
corresponding figure for 2008 was below 60 per cent;  there has been a significant increase in the 
proportion of notified draft technical regulations and conformity assessment procedures coming from 
developing countries. 
43. The sharp increase in specific trade concerns  raised in the TBT Committee may signal that 
some Members are more aware a nd concerned about the impact on trade of increased regulatory 
activity.  In June 2009, noting the increase in sp ecific trade concerns being discussed by the TBT 
                                                      
9 Since its first meeting, 232 specific trade concerns  have been raised in the TBT Committee, most of 
them in response to notifications made in accordan ce with the requirements in the relevant Agreement. WT/TPR/OV/W/2 
Page 16  
 
  Committee, Korea proposed that th e Committee establish a work progr amme to evaluate the trade 
restrictive effects and trade distortions caused by unnecessary technical regulations.
10  
 Trade remedies   
44. After a long period of gradual decline from 2001 to 2007, the number of new anti-dumping 
investigations increased in 2008.  The number of initiations went up by 28 per cent (209) compared 
with those initiated in 2007 (163).  Studies show that there is a correlation between changes in 
macroeconomic indicators, such as GDP growth  and real exchange rates, and anti-dumping 
initiations.11  Thus, in the periods 1979-1982, 1990-1992 and 1997-1998, when the global economy 
slowed down, the number of anti- dumping initiations increased significan tly (Chart 6).  Results of 
country-specific studies confirm this finding.  The current economic downturn is thus likely to see an 
increase in anti-dumping initiations.  
 
050100150200250300350400
1979 1981 1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007
a
Source:Shaded areas show the periods of economic recession.
WTO Secretariat.Chart 6
Global anti-dumping initiations, 1979-2008a
Count
 
 
45. The number and composition of the users of  anti-dumping measures have changed since 
1995.  At that time, the most active users of anti- dumping were developed countries with a history of 
anti-dumping investigations.  Since then, the predom inant use has shifted to new, developing country 
                                                      
10 WTO document G/TBT/W/316, dated 10 June 2009. 
11 Knetter, Michael M./Prusa, Thomas J., "Macr oeconomic Factors and Anti-Dumping Filings:  
Evidence from Four Countries", 61 Journal of Interna tional Economics, pp. 1-17;  Bown, Chad P., "The WTO 
and Anti-Dumping in Developing Countries", Economics & Politics pp. 255-288; Irwin, Douglas A., "The Rise 
of US Anti-dumping Activity in Historical Perspective", The World Economy, Vol. 28, No. 5, pp. 651-668, May 2005;  Hallworth Taro and Piracha Matloob, "Macr oeconomic Fluctuations and Anti-Dumping Filings:  
Evidence from a New Generation of Protectionist Countries", Journal of World Trade 40(3), pp.407-423, 2006.  WT/TPR/OV/W/2 
 Page 17 
 
 
  users.  Sixty-three WTO Members initiated at least one investig ation between 1995-2008.12  T h e  
number of WTO Members that had anti-dumping legisla tion in effect increased from 69 in 1995 to 96 
at the end of 2008.  Thirty-two Members initiated i nvestigations in 1995 comp ared to 45 in 2008.  
Since more Members currently have anti-dumping legislation in effect than in the past, it may be expected that there will be a greater increase in th e use of anti-dumping measures in the future than 
was observed at times of economic  downturn between 1995-2008. 
46. The sectoral breakdown of anti-dumping initiations s hows that metals have consistently taken 
the lead (Chart 7).  In addition, statistics show that in the past, initiations of investigations on metals, 
and particularly steel products, went up at a disp roportionate rate at times of economic recession 
compared with other sectors.  Thus, it may be expected that anti-dumping initiations on metals, 
particularly steel products, will go up more than t hose on other products.  Notif ications made so far 
for 2009 and data available from othe r sources confirm this expectation. 
050100150200250300350400
1979 1981 1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007
a
Source:Shaded areas show the periods of economic recession.
WTO Secretariat.Chart 7
Global sectoral anti-dumping initiations, 1979-2008a
Count
Metals Chemicals Plastics Total
 
 
47. Another indicator of the use of anti-dumping is  the ratio between initiations and imposition of 
final measures.  Available data for a number of active users show that a greater proportion of the 
increased number of initiations resulted in the imposition of final measures at times of economic 
recession.  Thus, it may be expected that this ra tio will also go up in the near future, which would 
accelerate the expected increase in anti-dumping measures. 
48. Members' notifications of anti-dumping activity fo r the first half of 2009 are not due to be 
provided until August.  According to information ob tained from a number of official and unofficial 
                                                      
12 These figures reflect the actual number of the members of the European Communities in the relevant 
period. WT/TPR/OV/W/2 
Page 18  
 
  sources, as of 19 June 77 anti-dumpi ng investigations have been ini tiated in 2009, compared with 86 
initiations in the same period in 2008, a decline of 10  per cent.  This situation should be viewed with 
caution because the data for 2009 will only be reliabl e and comparable to past data once Members' 
notifications are received.  Furthermore, it is expect ed that there will be some time-lag before effects 
of a general economic downturn are manifested in  available data concerning the performance of 
domestic producers.  Since the economic downswing st arted in the second half of 2008, this suggests 
that information concerning injury, necessary to en able domestic producers to file applications for 
anti-dumping measures, will only become available in the course of 2009.   
49. Initiations of countervailing 
duty investigations increased fro m 11 in 2007 to 14 in 2008.  
However, this number is well below the number of initiations during the period 1998-2001;  1999 
marked the peak year with 41 initiations.  Si milar caution regarding these numbers should be 
exercised as in the case of anti-dumping initiations.   
50. Safeguards  initiations went from eight in 2007 up to  11 in 2008.  The 11 initiations are well 
below the high level of initiations  between 2000-2002, i.e. 25, 12 and 34, respectively (Chart 8).  
However, available data indicate that 15 safegua rds investigations have been initiated between 
January-June 2009.  If this trend c ontinues, there may well be a significant increase in the number of 
safeguards initiations in the rest of 2009 compared to the recent past.  As is the case in anti-dumping, 
injury must be found to a domestic industry before  a measure can be imposed, and thus industries are 
likely to face some time-lag until da ta showing injury is available.13  With the current global 
economic situation, the second half of 2009 and th e first half of 2010 are likely to witness more 
negative performance by domestic industries and, as a consequence, potentially more safeguards 
initiations.14  However, this may be offset to some de gree by declines in global trade, as a necessary 
prerequisite for imposition of a safeguard measure is an increase in imports.15  
                                                      
13 It should be noted that the injury standard for sa feguard measures ("serious injury") is understood to 
be higher than that for anti-dumping and countervailing measures ("material injury").  In addition, measures can also be imposed following a finding of threat of serious (or material) injury. 
14 Unlike anti-dumping and countervailing duty investigations, there are no WTO requirements on 
industries to submit evidence of injury before requesting initiation of a safeguards investigation, but given the substantive requirement for a finding of injury, a time -lag before any action is requested remains likely. 
15 While the volume of imports is a relevant consideration in anti-dumping (Article 3.2 of the Anti-
Dumping Agreement) and countervailing duty investigations (Article 15.2 of the SCM Agreement), an increase 
in imports is not necessary. Article 2.1 of the Agreement on Safeguards, however, does require an increase in 
the volume of imports for the imposition of a safeguard measure.   WT/TPR/OV/W/2 
 Page 19 
 
 
  0255075100125150
1979 1981 1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007a
Source:Shaded areas show the periods of economic recession.
WTO Secretariat.Chart 8
Global CVD and safeguards initiations, 1979-2008a
Count
Safeguards CVDs
 
 Anti-Dumping Activity and the Global Business Cycle 
51. This section reports on the results of an ec onometric analysis of the link between global 
economic activity and the worldwide number of an ti-dumping initiations and measures, given that 
anti-dumping is the most frequently used trade remedy measure by WTO Members.  The analysis (performed by the WTO Secretariat) is based on da ta on 48 countries that have initiated at least one 
anti-dumping investigation or applied at least one anti-dumping measure during the past three decades 
(1979-2008).  However, the model uses the globa l count of anti-dumping petitions and measures to 
provide a better basis for drawing inferences.    
52. The examination builds on the economic literatu re on anti-dumping which links the frequency 
of a country's anti-dumping initiations and measures to changes in its GDP and real exchange rate.   
This literature has found that the number of trade contingent measures is affected by the business 
cycle.
16  In general, anti-dumping initiations and measur es tend to rise during periods of recessions or 
slow economic growth and to recede when the ma croeconomic environment improves.  Although, 
most of these studies have focused on the United St ates and other major developed country users of 
anti-dumping (Australia, European Communities, Canada ), similar research has also been undertaken 
recently on developing countries. 
                                                      
16 The study by Leidy (1997) focuses on US anti-dumping actions.  A later study by Knetter and Prusa 
(2003) extends the country coverage beyond the United States to include Australia , Canada and the European 
Communities.  Niels and Francois (2006) study Mexico’s  experience with anti-dumping protection.  Aggarwal 
(2004) examines the anti-dumping history of a large group (99 countries) of developed and developing 
countries. WT/TPR/OV/W/2 
Page 20  
 
  53. The econometric model used is the negative bi nomial model, which is a standard tool to 
analyse count variables.  The two explanatory variables used in the model – global GDP growth and the volume of trade – are statistically significant at the 1 per cent level and have the correct signs.  
Global GDP growth is negatively related to the number of anti-dumping filings and new measures, 
which confirms the importance of the global busines s cycle to anti-dumping activity.  The estimation 
also shows that the number of filings and new measu res are positively related to the volume of global 
trade.   
54. The model uses data that spans a period of nearly three decades, during which significant 
changes occurred in the global economy that may aff ect the robustness of the estimated relationship.  
While there were only four main users of anti-dum ping prior to the 1990s, developing countries have 
accounted for a greater share of anti-dumping activity since.  The past decades have been marked by 
significant reductions in trade barriers (tariffs, qua ntitative restrictions, voluntary export restraints) 
and liberalization of traditionally sh eltered sectors such as agriculture and textiles and clothing.  This 
may have altered the attractiveness of anti-dumping rela tive to other instruments of protection.  There 
was an important change as well in the internati onal legal basis for anti-dumping with the adoption of 
the Anti-Dumping Agreement.   
55. Although it is not intended to be a forecasting tool, the econometric model can be used to 
provide predictions of the number of anti-dumping initiations and measures given an assumed rate of 
global GDP growth and trade volume.  The IMF' s latest (April 2009) World Economic Outlook 
forecasts a contraction of 1.32 per cent in global GDP this year.  The WTO Secretariat has forecasted a decline of 9 per cent in the volume of global trad e in 2009.  The reduction in global GDP, by itself, 
should tend to increase anti-dumping activity while tr ade contraction, taken alone, should lead to a 
decline in anti-dumping activity.  Taking these forecasts for 2009 as given, the econometric model predicts an increase in both initiations (437) and ne w measures (324) in 2009 compared to their levels 
in 2008.  This result suggests that the global downturn swamps any possible reduction in anti-
dumping activity arising from the contraction in trade flows.  
56. The errors of the prediction from the model ar e important and so these forecasts should be 
taken with caution.  In the case of anti-dumping in itiations, the average error of prediction is about 
21.2 per cent.  The prediction error is about the sam e, 21.7 per cent, for new anti-dumping measures.  
Charts 9 and 10 show the predicted and actual number  of initiations and measures together with their 
corresponding 95 per cent confidence interval.  This  corresponds to the range that, with 95 per cent 
probability, will contain the actual count of anti-du mping actions.  The number of initiations and new 
measures have tended to fall within the 95 per cent confidence interval of the prediction, except for 
the period in 2000-2002 (a period of global down turn), when the actual count exceeded the 
predictions of the model. 
57. Another important caveat to keep in mind is th at the number of initiations and new measures 
predicted by the model for 2009 will be the highest in historical record.  It is possible to argue that 
there may be a limit to the number of cases that ca n be processed by the authorities of individual 
countries since investigations require a signifi cant amount of staff and budgetary resources to 
conduct.  This may be another reason to be cau tious about the precise number of predicted anti-
dumping actions. 
58. The most robust conclusion that one can draw based on the model is about the timing and 
direction of change in the number of anti-dumping ac tions.  On the basis of past historical patterns 
and data which have been used in the model, the current economic crisis will precipitate a significant 
increase in the number of anti-dumping initiations and measures.  This is confirmed by the sharp 
turning point in the predicted counts of initia tions and new measures beginning in 2008.  WT/TPR/OV/W/2 
 Page 21 
 
 
  59. Finally, the results can be used to identify instances when the actual number of anti-dumping 
actions has either been lower or higher than that predicted by the model.  Since 2003, the model has 
tended to predict a greater number of anti-dumping initiations and measures than actually occurred.  
For 2008, the actual count of anti-dumping in itiations and new meas ures were 209 and 138 
respectively, while the model predicted 254 initiations  and 187 new measures.  By the nature of an 
econometric model, such differences are considered errors in prediction and cannot be accounted by 
the explanatory variables used in the model.  In other words, the reason for why the actual count was 
lower than the predicted number of actions cannot be  explained by the pattern of global GDP growth 
nor the volume of trade. The reasons must be soug ht elsewhere and some of the possible explanations 
(changing economic and legal landscape) were in fact discussed earlier. 
0100200300400500600
1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008
Source: WTO Secretariat.Chart 9
Predicted and actual number of anti-dumping initiations, 1982-2009
Count
AD initiations Predicted AD initiationsLower 95% 
confidence intervalUpper 95% confidence interval
 
 WT/TPR/OV/W/2 
Page 22  
 
  050100150200250300350400450
1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008
Source: WTO Secretariat.Chart 10
Predicted and actual number of anti-dumping measures, 1982-2009
Count
Predicted new AD measures New AD measuresLower 95% 
confidence intervalUpper 95% confidence interval
 
(iii) Trade measures in services 
60. So far, the crisis has not triggered any generali zed protectionist backlash in the services area.  
While a few Members have taken restrictive measures in some sectors, sometimes in the context of 
financial bailouts or fiscal stimulus packages, others  have pursued further liberalization.  In certain 
sectors, such as telecommunications, the situa tion appears to be "business as usual", with 
governments committed to actions that aim to strengthen competition by giving out new licences or 
by dealing with interconnection/terminati on rate issues and anti-competitive practices. 
61. The energy services sector has been the target of  trade restrictions in a few WTO Members.  
For example, on 7 May the Venezuelan National A ssembly enacted a law that reserves to the 
Venezuelan State the goods and services of hydrocarbons primary operations. 
62. The European Parliament has approved the "third  [EC] energy package", which will have to 
be implemented by EC member States within 18 mo nths.  The new package drops the requirement of 
ownership-unbundling for electricity and gas companies.   This means that large vertically integrated 
energy companies that own both electricity genera tion and transmission facilities will not be obliged 
to sell their transmission network.  The decisi on backtracks from the EC Commission's original 
proposal in September 2007 and from the decision alread y taken by the European Parliament in June 
2008.   
63. EC member States will now have to choose between three "unbundling" options:  full 
ownership unbundling; the independent system ope rator (ISO); and the independent transmission 
operator (ITO).  Full ownership unbundling would force integrated energy companies to sell off their 
gas and electricity grids, thus establishing separat e transmission system operators to handle all 
network operations.  A supply and pr oduction company could not, in this case, hold a majority share  WT/TPR/OV/W/2 
 Page 23 
 
 
  in a transmission system operator.  The ISO and IT O options allow energy companies to retain the 
ownership of their transmission networks.  To liberalize the energy market, member States could oblige companies to hand over the operation of thei r transmission network to a designated, separate 
body – the independent system operator (ISO).  The third option – the ITO model – preserves 
integrated supply and transmission companies, but co mpels them to abide by certain rules to ensure 
these two sections of the company operate independe ntly in practice.  The package also includes 
provisions to prevent control of transmission systems or their owners by companies from non-EC countries until they fulfil certain conditions.  Member St ates have three and a half years to give effect 
to the provisions concerning non-EC companies. 
64. The foreign direct investment review pr ocess has come under some scrutiny in some 
countries, with potential consequences for trade in services through commercial presence in such 
sectors as energy services or other utilities-related activities.
17   
65. China's new Postal Law, approved on 29 April, explicitly prohibits foreign companies from 
providing domestic express mail services within Chin a.  It allows only the state monopoly, China 
Post, to deliver certain letters within China and it prohibits foreign companies from engaging in the 
domestic express delivery of letters.  Foreign e xpress delivery companies are allowed to deliver 
parcels within China as well as letters and parcel s internationally.  The law also provides for 
additional licensing requirements and provides scope fo r compulsory payments to subsidize universal 
postal services.  Intra-provincial express delivery companies will face a minimum capital requirement 
of 500,000 yuan (US$73,000), while the requirement for inter-provincial and international businesses 
would be of 1 million and 2 million yuan (U S$146,600 and US$293,0 00), respectively. 
66. The financial crisis has prompted further liberalization of services sectors in some cases, but 
has also caused delays in the implementation of li beralization programmes.  Liberalization measures 
have been implemented, for example, by Chin a and Malaysia.  Effective 1 May, China lifted 
restrictions on foreign ownership, capital st art-up investment and outbound bookings, making it 
possible for foreign travel companies to own more than 51 per cent of a Chinese travel agency and to 
open up more branches.  The new rules also significantly reduce entry capital requirements to operate 
at the Chinese point of sale.  The measures add to  the regulations released by the China National 
Tourism Administration and the Legislative Affair s Office on 18 March 2009 that lifted the threshold 
on annual sales volumes for the establishment of a tr avel agency in China which were originally 
included in the WTO Agreement. The minimum cap ital required to start a travel agency now is 
300,000 yuan (US$44,000), down from 2. 5 million yuan (US$366,500).   
67. China also removed a requirement for Chinese agencies to increase registered capital for 
every branch office.  Previously, internationa l tourism branches needed 750,000 yuan (US$109,575) 
and domestic branches needed 150,000 yuan (US$21,9 15).  China also significantly reduced agency 
and branch operation guarantee bond requirements.  Chinese travel agencies can now engage in 
outbound travel bookings if the agency has operated fo r two years without infringement of the rules.  
Foreign-owned agencies still are prohibited from engaging in outbound booking activities except 
otherwise provided under the Closer Economic Pa rtnership Arrangements with Macao, China and 
Hong Kong, China. 
68. In April, the Malaysian Government announced th e elimination, with immediate effect, of the 
30 per cent foreign equity limitation for 27 services sub-sectors in the areas of health and social services, tourism services, transport services, business services and computer and related services. 
                                                     
 
17 For a review of investment measures, including financial bailouts, taken in the period 
15 November 2008-15 June 2009 in OECD and some non-OECD countries, see "Draft Status Report: Inventory of Investment Measures taken between 15 November 2008 and 15 June 2009" (OECD document 
DAF/INV(2009)4, 20 May 2009).  WT/TPR/OV/W/2 
Page 24  
 
  Additionally, as part of the measures to develop Ma laysia as an international Islamic financial hub, 
the legal profession will be liberalized to allow up to five top interna tional law firms with expertise in 
international Islamic finance to practice in Malays ia.  These firms will only be  allowed to offer legal 
services in international Islamic finance.  Additiona lly, to facilitate investments into the services 
sector, a National Committee for Approval of Investments in the Services Sector was established 
under the Malaysian Industrial Development Agency .  This committee will act as a focal point to 
receive and process applications for investment in services sectors, excluding investment in the 
financial services (governed by the Malaysian Central Bank), air travel, utilities, Economic 
Development Corridors, Multimedia Super Corridor , Bionexus-status companies (for biotechnology 
industry) and distribution.  The Malaysian libera lization initiative has been complemented with a 
support programme for the domestic services industry.   In this regard, a services sector capacity 
development fund of RM100 million (US$28 million)  has been established under the First Economic 
Stimulus Package.  
69. In a parallel move, the Central Bank of Mala ysia also announced a liberalization package 
encompassing measures on both the conventional and Islamic financial sectors.  The measures 
focused on three areas:  the issuance of new licences;  increments in foreign equity participation;  and 
further operational flexibility.  The Government will offer:  (i) up to two new Islamic banking licences 
in 2009 to foreign institutions to establish new Islamic banks with foreign equity allowed up to 100 
per cent and with a minimum paid-up capital of US$1 billion;  (ii) up to two new family takaful  
licences in 2009;  (iii) up to two new commercial banking licences in 2009 to foreign institutions with 
a view to spurring the development of targeted  economic sectors;  and (iv) up to three new 
commercial banking licences in 2011 to world-class fo reign banks.  In the case of the commercial 
banking licences, the new commercial banks must be locally-incorporated in Malaysia;  must 
maintain a minimum capital of RM300 million at  all times (some US$84 million);  and may have a 
foreign equity interest of up to 100 per cent.  With  immediate effect, foreign equity participation in 
existing Islamic banks, investment banks, insuran ce companies and takaful companies will be allowed 
to increase up to 70 per cent.  A higher foreign equity limit beyond 70 per cent for insurance 
companies will be considered on a case-by-case basis for players who can facilitate consolidation and 
rationalization of the insurance industry.  Operati onal flexibilities include the following:  (i) locally-
incorporated foreign commercial banks will be allo wed to open up to ten microfinance branches;  
(ii) locally-incorporated foreign insurance companie s and takaful operators ar e allowed to establish 
branches nationwide without restriction, and to en ter into bancassurance/bancatakaful arrangements 
with banking instituti ons, and are accorded greater flexibility to  employ specialist expatriates;  and 
(iii) offshore banking institutions and offshore in surance companies licensed by the Labuan Offshore 
Financial Services Authority will be accorded fl exibility to have a physical presence onshore from 
2010 and 2011, respectively.   
70. On 8 May, the Korean Government announced  plans to further develop nine service 
industries which were chosen because of their high value-added and job-creating capacity:  education, 
medical services, logistics, broadcasting and co mmunication, content providing businesses, consulting 
services, design, IT services and employment agencies.  The plans aim to properly regulate the service industry, encourage competition, and correct any unfair support compared with the manufacturing 
industry.  Some of the plans will have a direct impact on trade in services in the sectors concerned, since they will allow for further foreign supply.  Education and medical servi ces are cases in point – 
according to the plan foreign educational institutions  will be allowed to teach more domestic students, 
while foreign medical services will be available in free economic zones.  
71. The global financial crisis has led some c ountries to postpone liberalization initiatives in 
services sectors.  For example, citing the current gl obal financial turmoil and concerns regarding the 
financial strength of banks around the world, the Reser ve Bank of India (RBI) decided – as part of its 
annual policy for the period 2009-2010 – not to chan ge its policy on presence of foreign banks in the 
country.  As a consequence, the second phase of the "Roadmap for Presence of Foreign Banks in  WT/TPR/OV/W/2 
 Page 25 
 
 
  India", which was supposed to be implemented in April 2009, has been put on hold.  That second 
phase included the extension of national treatment to wholly-owned subsidiaries of foreign banks;  the 
dilution of stake in wholly-owned subsidiaries (so that  26 per cent of the paid up capital could be held 
by residents Indians);  and allowing foreign banks to enter into mergers and acquisitions with any 
private sector bank in India subject to the overall inv estment limit of 74 per cent.  However, RBI has 
relaxed some operating conditions  affecting foreign banks.  
4. Fiscal stimulus and industry and fi nancial sector support programmes 
72. A number of new fiscal stimulus programme s and industry and financial sector support 
programmes have been announced since March 2009, although with the exception of Japan's New 
Stimulus Package announced in April there has not b een anything comparable in size or scope to the 
crisis measures that were introdu ced in the previous six-month period.  The measures announced 
recently include general economic stimulus pr ogrammes by a number of developing countries 
(Bangladesh, Egypt, Jordan, Mexico, Singapore, South Africa, Thailand and Vietnam) and more targeted fiscal and financial support by develope d countries to aid specific sectors and companies 
(Australia, Canada, Japan, E.U. and its member states , Norway and the U.S.), in particular banks and 
insurance companies, the manufacture of automobi les and SMEs generally, and including also the 
manufacture of pulp and paper, and tex tiles and footwear, and farming.   
73. The programmes will benefit international trade to  the extent that they succeed in achieving 
their systemic objectives of restoring the financia l sector and financial markets to good health and 
stimulating global aggregate demand through publ ic spending.  As was recognized by the G20 
Leaders on 2 April, however, such large injectio ns of public money into the economy, and of 
government influence over how it is to be spent, do  have the potential also to distort markets and 
competition.  There are two main areas of concern. 
74. One is the very limited information that is av ailable publicly, and therefore to a country's 
trading partners, about how the fiscal stimulus pr ogrammes are being implemented, particularly at 
sub-federal levels of government.  This makes it di fficult to assess the trade im pact of the measures, 
or the extent to which they are distorting markets and competition.  An example is 
"buy/invest/lend/hire local" requirements that are attached, officially or unofficially, to the 
expenditure of public funds or to the operations of private companies that benefit from these funds.  
Several cases of "buy local" campaigns, usually at local government levels, have been reported in the 
past three months, although it has not been possibl e for the Secretariat to verify the measures in 
question. 
75. The second concern is the extent to which public funds that are targeted at specific sectors, 
industries or individual firms and are provided tempor arily to deal with a specific problem are not 
withdrawn once the problem has been addressed, and instead remain in place.  In the past nine 
months, several industries in developed countries,  particularly banking and automobiles, have 
received massive state subsidies to  try to prevent individual companies or even whole industries from 
collapsing.  These countries' trading partners, and particularly most developing countries that are 
unable to provide matching support for their ow n firms, face highly skewed and unfavourable 
competitive conditions on world markets until the subs idies are repaid.  Even then, opportunities for 
them to gain market share while the subsidies ar e in place will have been lost.  The longer the 
subsidies remain in place, the more they will distort market-based production and investment 
decisions globally, the greater will become the threat  of chronic trade distortions developing, and the 
more difficult it will become to correct those distortio ns.  The case of distortions to international trade 
in agricultural products today provides a historical lesson in that respect.  An important consideration 
for the G20 countries, therefore, is to design and announce as soon as possible an exit strategy from their crisis measures that will allow world markets to return to normal again.   WT/TPR/OV/W/2 
Page 26  
 
  Financial sector support programmes 
76. The financial sector has been so far the prime recipient of government support, and 
considerably more information has been provided pu blicly on how the funds are being spent or other 
forms of government intervention are being carried out.  A detailed descriptio n of support measures 
granted to the financial sector  is provided after Annex 3. 
77. While some of these measures have targeted specific financial institutions, many others 
constitute in fact more general "rescue packages" for the whole sector, whose effects will only be seen 
through time, depending on how they are implemente d.  From the perspective of trade in financial 
services, these measures, which in most cases constitute some form of state aid or subsidy, may 
eventually bring about negative spillover effect s on other markets or introduce distortions to 
competition between financial institutions. 
78. Negative spillover effects may arise if, for instance, bailout measures end up affecting 
banking flows between markets, thus aggravating liquidity problems or putting individual financial 
institutions under additional stress.  The establis hment or expansion of guarantee schemes (of both 
deposits and wholesale lending instruments) in some ma rkets has been – at least  partly – motivated by 
this kind of concern.  The main benefits of guara ntee schemes stem from increased confidence in the 
financial institutions participating in the sch eme, reducing the probability of a run on those 
institutions.  However, in a context where gove rnments around the world are introducing or 
expanding these guarantees in their own markets, fina ncial institutions not be nefiting from equivalent 
measures may be disadvantaged in obtaining fu nds from overseas and/or see their deposit base 
eroded.   Distortions to competition may also arise between different financial institutions operating in 
a specific market if some of them (e.g. domestic  financial institutions) benefit from some of these 
bailout measures to the detriment of others (e.g. lik e foreign financial institutions).  Eligibility criteria 
are therefore essential in order to avoid distortions to competition and trade.   
79. The bailout measures referred to previously may be considered a form of subsidy.  The GATS 
does not contain explicit subsidy disciplines, but some discipline nevertheless exists by virtue of the 
rules on non-discrimination – the Most-Favoured-Nati on and National Treatment provisions. There is 
however a difference between both disciplines: wh ile MFN is a general and unconditional obligation 
applicable to all measures affecting trade in services (in all sectors), regardless of specific 
commitments, national treatment only applies to the services included in the Members' schedules of specific commitments, and to the exte nt of the reservations included th erein.  If these commitments do 
not contain explicit limitations allowing subsidies to  be granted in a discriminatory manner, then the 
national treatment principle will require that “ like” foreign and national (financial) services and 
(financial) service suppliers be given the same treatment in relation to subsidies.  Therefore, Members' 
ability to discriminate when implementing subsidy-li ke bailout measures will have to be assessed in 
light of its specific commitments on financial services.  It is worth recalling in that regard that commitments, and therefore limitations, must be entered with respect to each of the four modes of 
supply. Therefore, limitations (or the absence of li mitations) on national treatment may apply to some 
modes of supply but not to others.  
80. Finally, it is worth recalling that the GATS contains a specific exception for measures taken 
for prudential reasons (paragraph 2 of the Annex on Financial Services).  The most important aspect 
of this exception is that it does not restrict in principle the freedom of regulatory authorities with 
respect to the types of measures that can be adopted for prudential reasons.  The carve-out does not 
prescribe what types of prudential measures are allo wed.  Rather, it states the objectives that such 
measures should pursue.  Therefore, the carve -out is designed to cover any type of regulatory action 
that a country might see fit as long as it is for the achievement of a prudential objective.    WT/TPR/OV/W/2 
 Page 27 
 
 
   The threat of financial protectionism 
 
81. Political leaders, policymakers and industry re presentatives have made repeated reference 
lately to "financial protectionism" as a threat  to economic growth, financial stability and open 
markets.18  A recent report by the Institute of Interna tional Finance (IIF) considers that some of the 
measures taken recently by national governments to  stabilize their domestic financial institutions, 
including Governments' requests to bail-out busi ness to focus on their domestic markets at the 
expense of overseas operations or requirements impo sed to build up liquidity reserves at home, have 
had the unintended consequence of strengtheni ng a ‘home bias’ and creating a protectionist 
environment which threatens to fragment the international financial system.19 
82. Although financial protectionism remains a vague  term, at least in the broader debate, it 
conceivably refers to policy actions which accentu ate financial home-bias.  Such policies include 
discrimination of foreign-owned bank subsidiaries when distributi ng bail-out funds, and encouraging 
or targeting domestic lending, i.e. explicit or implic it direction of credit by governments to ensure that 
banks that receive public support or that are (partly  or fully) nationalized lend only to domestic 
borrowers.20   This can be achieved either through direct  actions by governments, as stakeholders of 
rescued financial institutions, or through moral su asion to influence commercial decisions.  Other 
actions include restrictions on banks' ability to ad just their liquidity levels worldwide among their 
different branches – this can be achieved through eith er formal or informal controls on banks' ability 
to transfer funds to overseas branches or among ove rseas branches, or through requirements imposed 
on the parent institution itself to hold greater leve ls of liquidity locally without relying on other 
branches of the group.  
83. These types of measures, which prompt a redirection of bank capital to domestic markets, are 
already affecting capital flows with potentially sev ere consequences for emer ging economies.  Recent 
BIS data for the last quarter of 2008 show that banks have reduced their cross-border credit to 
emerging markets drastically.21  Indeed, BIS reporting banks’ cross-border claims on all four 
emerging market regions (Emerging Europe, Latin America, Africa and Middle-East, Asia Pacific) 
decreased in the fourth quarter of 2008 by a co mbined US$282 billion (10 per cent), with claims on 
Asia-Pacific dropping the most (by US$159 billion or 18 per cent, roughly half the cumulative 
percentage decline seen during the Asian crisis).  Banks’ cross-border lending to BIS-emerging 
Europe category also fell, mainly due to reduced credit to Russia, Turkey and, to a lesser extent, 
Poland.  The recent pledge by large European banks  at the instances of the European Commission and 
the IMF to provide necessary financial support to th eir Hungarian and Romanian units, is telling of 
                                                      
18 At their meeting in London on 2 April 2009, the G20 Leaders stated the following: "We will not 
retreat into financial protectionism, particularly measures  that constrain worldwide ca pital flows, especially to 
developing countries" (paragraph 22 of the G20 Leaders' statement at the London Summit).   
19 Fragmentation of the International Financial System: Analysis and Recommendations", IIF Staff 
Paper, 11 June 2009. 
20 According to the IIF, the UK Government has requi red banks receiving public assistance to agree to 
domestic lending growth targets. French banks that tap government assistance have pledged to increase 
domestic lending by 3-4 per ce nt annually, while ING, a Dutch bank, wh ich has received government assistance, 
has promised to extend €25 billion in loans to Dutch busi nesses and consumers. Austria requires assisted banks 
to strive to make available 200 per cent of (governm ent) participation capital to provide credit to Austrian 
businesses. Similar requirements are in place in Greece.  In addition, while there is no explicit requirement, the 
US government has asked TARP-assisted banks to report regularly on the growth of domestic lending (IIF, op. cit. ). 
21 BIS Quarterly Review, June 2009. WT/TPR/OV/W/2 
Page 28  
 
  the concerns raised by potential large capital outflow s in financial sectors where foreign institutions 
hold a very significant share of the system's assets.
22 
84. Assessing the extent and impact of financial prot ectionism is complicated by the difficulty in 
identifying the policy-driven developments from th e market-driven ones.  Capital flows to emerging 
markets may be reversing not only as a response to re gulatory actions in home countries, but also as a 
natural result of risk aversion, global liquidity cr unch (deleveraging), and solvency concerns.  Thus, 
even without government pressure to do so, financ ial institutions are more likely in the current 
circumstances to re-focus their activities on their co re geographical markets at  the expense of their 
non-core operations in other countries.  While these  actions may not violate any international legal 
obligations (e.g. the GATS), they may exacerbate developing countries' fi nancing problems and 
undermine the case for open markets.  Here again, further international coope ration could do much in 
avoiding unintended conse quences of policy- or even market-driven actions.  
5. Trade Finance 
85. The drying up of trade finance resulting from s hortages in global liquidity and increased risk 
aversion by major international banks led G20 Leaders in London to agree to " ensure availability of at 
least $250 billion over the next two years to s upport trade finance through our export credit and 
investment agencies and through multilateral development  banks. We also ask our regulators to make 
use of available flexibility in capital requirements for trade finance ".  
86. The World Bank's International Financial Co rporation (IFC) has created a Global Trade 
Finance Liquidity Fund, allowing for co-lending agreements with commercial banks on a 40-60 per cent risk sharing formula. The fi rst deals were done under this sch eme by Standard Chartered Bank 
and Standard Banks for their operations in Africa, and Citibank for their opera tions globally.  Several 
governments and multilateral developm ent banks are supporting financially the IFC Liquidity Fund.  
87. Another pillar in the package is the strengthe ning of existing capacities of export credit 
agencies (ECAs) in OECD and non-OECD countries,  allowing them to offer more finance and a 
wider spectrum of instruments, particularly in th e short-term segment of th e trade finance market.  
Finally, it is intended that several institutions , either multilaterals, ECAs and other government 
agencies will try to revive the secondary market by intervening directly into it. 
88. The G20 countries and multilateral agencies, incl uding the WTO, met in early June 2009, to 
do a "reality check" of financial commitments to en sure that the US$250 billion in support of trade 
could be in effect mobilized by the time of the ne xt G20 Meeting in Pittsburgh.  However, no specific 
indication of the utilization of such package is ava ilable yet, mainly because of the lead times to put 
them fully in place.  While trade finance fac ilitation programmes were already up and running and 
could "absorb" more demand, the establishment of  government-supported schemes by export credit 
agencies need more time and resources to be in  place, bearing in mind that the full package is 
expected to be implemented over two years.  
89. Anecdotal evidence shows that the global mark et situation remains tense, with increased 
payment defaults and high costs of credit.  In tervention by the Brazilian, Indian and Chinese 
Governments and central banks stabilized local sp reads at around 150-200 basis points above policy 
rates.  In other areas of the world the situati on has not improved.  The African Development Bank 
estimates that trade finance transactions have collapsed by over 50 per cent since the beginning of 
2009.  In Asia, some countries that are key in international supply-chains rely on the Asian 
                                                     
 
22 The nine European banks that reaffirmed their commitment to doing business in Romania, including 
the provision of additional capita l to their local subsidiaries if necessary, together hold 70 per cent of the sector's 
assets.  WT/TPR/OV/W/2 
 Page 29 
 
 
  Development Bank and the IFC to facilitate their trad e transactions due to the deterioration of the 
country risk.  In Latin America, some of the small est Central American countries, or larger but poor 
countries, also need support.  As a result of defa ult in Eastern Europe, several countries see currently 
no new trade credit being delivered by the markets.   Even in the United States, spreads on opening 
new letters of credit are up, at 100-200 basis points depending on the quality of risk.  In the current 
uncertain environment, central banks of developed countries, such as the United Kingdom and Japan, 
are re-opening discount windows for receivables presented by local small and medium-sized enterprises, being trade or domestic bills.  
90. The WTO, along with partner institutions, will c ontinue to monitor the market situation. 
6. Impact on developing countries  
91. The volume of developing countries' merchandise exports is projected to fall by 7 per cent in 
2009, and the impact of this will be compounded by falling world prices for primary commodities that make up a large proportion of exports for many of them, especially the LDCs.  Developing countries 
are also suffering from significant reductions in re mittances and tourism, declining capital inflows (in 
particular FDI), and possible cuts in ODA.   
92. The situation of LDCs
 is particularly fragile.23  The African Development Bank (AfDB) has 
recently noted that per capita income in Africa will fa ll in 2009 for the first time in 15 years.  African 
economies are expected to grow by 2.3 per cent in 2009, down from 5.7 per cent in 2008.  According 
to the AfDB, Africa has seen a sh arp decline in investment flows while credit financing has dried up 
affecting infrastructure development.  There has be en a significant decline in mining investments, 
with the most affected areas being Zambia's Coppe r Belt, the south-western Democratic Republic of 
Congo, Liberia and Guinea where aluminium and iron ore projects have been scaled down by half. 
93. The small nations of the Caribbean  region have also been heavily affected by a number of 
developments, including falling tourism receipts, lo wer remittances inflows and reduced income from 
commodity exports.  With generally weak fiscal pos itions, most governments in the region have few 
instruments with which to stimulate domestic de mand to offset the external downturn.  Most 
economies are expected to fall into recession in 2009.  The tourism sector, the main source of 
employment and foreign exchange, is probably the most affected in the Caribbean region (around 70 
per cent of tourists in the region come from countries that are now in recession).24  Remittances are 
also falling for the first time in many years.  The contraction of remittances is likely to reduce private 
consumption in most Caribbean countries and coul d have negative knock-on effects on bank lending 
portfolios.  The two largest economies of the Eng lish-speaking Caribbean (Jamaica and Trinidad and 
Tobago) are also feeling the impact of lower inte rnational commodities prices:  aluminium production 
(a major export item) has been almost halted in Jamaica and many downstream activities in Trinidad's 
energy sector have been temporarily shuttered.25  In commodity-producing countries falling 
international prices will further complicate their fiscal situation.  A number of investment projects in the mining and energy sector are likely to be postponed as a result of the global liquidity squeeze. 
                                                     
 
23 Even if, so far, the impact of the crisis has not been as great as that in  developed countries, any 
damage to already fragile LDC economies can be disproportionately severe in social and business terms (see 
AITIC Background Note on "How is the Credit Crunch Affecting the Least-Developed Countries?", 
20 March 2009). 
24 Following the release of data sh owing annual contractions in ar rivals in much of the English-
speaking Caribbean in 2008, the Caribbean Tourism Organization has predicted a decline of between 20 per cent 
and 30 per cent in arrivals for 2009 (The Economist Intelligence Unit, "Caribbean economy:  Hit by a triple 
whammy", 13 May 2009). 
25 According to press report, three of the four al umina plants in Jamaica closed down in May. WT/TPR/OV/W/2 
Page 30  
 
  94. The decline in Foreign Direct Investment (FDI) inflows registered in 2008 marked the end of 
a growth cycle in international investment that  started in 2004 and which saw global FDI inflows 
reach a historic record of US$1.9 trillion in 2007.   FDI flows are estimated to have fallen by 15 per 
cent in 2008.  According to UNCTAD,  this decline is expected to intensify in 2009, especially for 
developing countries, as the full consequences of the crisis on transnational corporations' investment 
expenditures continue to unfold.  The impact of the crisis on FDI differs depending on the region and 
the economic sector:  developed countries have so far been the most affected, while flows into 
developing countries continued to grow in 2008, but  at a much lower rate than the year before.
26  The 
impact of the crisis on FDI flows into developing co untries is expected to be much more dramatic in 
2009, with forecasts showing a decline.27  Among industries, flows to financial services, automotive 
industries, building materials, intermediate goods and some consumption goods have been the most 
significantly affected in 2008.  However, the conseque nces of the crisis are quickly expanding to FDI 
in other activities such as in the primary sector and non-financial services.  According to a new forecast by UNCTAD, global FDI inflows declined by 54 per cent and mergers and acquisitions by 77 
per cent during the first quarter of 2009 as compared to the same period in 2008, and prospects remain 
gloomy for the rest of the year.  Forty-three countries, including major host countries such as Brazil 
China and the Russian Federation,  recorded lower FDI inflows.
28 
95. After years of rapid growth, remittance flows  to developing countries are expected to fall by 5 
to 8 per cent in 2009.29  This decline in nominal terms may app ear to be small relative to the projected 
fall in private capital flows or official aid to developing countries.  However, considering that remittances registered double-digit annual growth in the past few years, and that for some countries, 
remittances are an important source of external financ ing, an outright fall in the level of remittance 
flows will cause hardship in many poor countri es.  South-South remittances from Russia, South 
Africa, Malaysia and India are especially vulnerable  to the economic crisis.  Also, the outlook remains 
uncertain for remittance flows from Gu lf Cooperation Council countries.  
96. Tourism , one of the key sectors in some developing countries in terms of export revenues, is 
suffering seriously from the global economic downturn.   Although resisting better than some other 
sectors, tourism has not been immune to the gl obal financial and economic crisis.  Many poorer 
nations have based much of their economic growth  strategies on developing the tourism business 
through hotel and other infrastructure construction.  Tourism worldwide stagnated in 2008, with an 
annual growth rate of international tourist arrivals at 2 per cent, do wn from a 7 per cent growth a year 
earlier.  Preliminary figures by the World Tourism Organization (UNWTO) for the first months of 
2009 indicate a continuation of the negative growth already experienced in the second half of 2008.  
International tourist arrivals declined at a rate of 8 per cent between January and February 2009.  
Destinations all around the world have suffered fro m a decrease in demand in  major source markets, 
with the exception of Africa and Central and South America, who all posted positive results.  So far, 
Northern, Southern and Mediterranean Europe, Nort h-East Asia, South Asia and the Middle East are 
amongst the most affected sub-regions.  In this context, UNWTO expects international tourism to 
decline between 2 and 3 per cent in 2009.
30  This trend is confirmed by data on air transport by the 
International Air Transport Association (IATA), wh ich shows a 9.1 per cent decline in air passenger 
traffic in the first three months of this year, and data on hotel occupanc y rates which are down by 
                                                      
26 In developing countries and transition economies, UNCTAD data shows that FDI inflows grew by 4 
per cent in 2008, substantially lower than in 2007, but that there was a sharp decline in Q4. 
27 Assessing the Impact of the Current Financial and Economic Crisis on Global FDI Flows, UNCTAD, 
April 2009. 
28 UNCTAD Press Release, PRESS/PR/209/024, 24 June 2009. 
29 Migration and Development Brief - 9, Development Prospects Group, World Bank, 23 March 2009.  
30 World Tourism Organization, "World Tourism in  the Face of the Global Economic Crisis and 
Influenza Threat", 12 May 2009.  WT/TPR/OV/W/2 
 Page 31 
 
 
  nearly 10 per cent or more in all world regions in the same period.31  However, in some cases, tourism 
arrivals increased such as for Cuba where the number  of tourist arrivals in the first quarter of 2009 
was up by 2 per cent on the same period of 2008 (Latin American Weekly Report, 7 May 2009).   
97. Many developing countries gene rate a large share of expor t earnings, government revenue 
and GDP from commodity exports .  These countries will continue to suffer from reduced export 
revenues as lower global demand and high stocks continue to weigh on prices.  For example, the 
Economist Intelligence Unit forecasts average base me tals prices falling by nearly 50 per cent in 
2009, with a modest recovery of around 12 per cent in 2010.  Average natural rubber prices are set to 
fall by 44 per cent this year.  Over the past recent mo nths, most prices in the metals markets (outside 
gold and silver) have been declining sharply as de mand plummets.  One illustration of the impact of 
the global crisis on commodities is in the area of cotton production (Box II below). 
 
Box II:  The impact of the global financial and economic crisis on cotton 
 
World cotton production declined in both 2007/08 (by 2 per cent) and 2008/09 (by 10 per cent) to 23.7 million 
tons, the smallest production level since 2003/04.  These declines were caused principally by decreases in cotton 
area, as cotton prices have become less attractive rela tive to competing crops.  In 2009/10, world cotton 
production is expected to remain stable at 23.6 million tons.  Decreasing cotton return s, more attractive prices 
for competing crops, and expected difficulties in financi ng inputs are encouraging farm ers to plant less cotton.  
World cotton trade was estimated at 8.3 million tons in 2007/08.  However, as a result of the decline in demand from importing countries, world cotton trade is projected to decline to 6.1 million tons in 2008/09;  this would 
be the smallest volume trade since 2000/01.  World cotton imports are expected to rebound to 6.7 million tons in 
2009/10. 
 
The cotton sector has been affected, ev en before the financial crisis, by the global commodity price crisis and 
the cotton futures market crisis which hit cotton productio n and trade.  The current financial and economic crisis 
is influencing mainly textile purchases by end-use consumers and therefore cotton consumption.  In addition, 
tightening credit conditions for textile mills are slowing th eir purchases of raw materials, including cotton.  In 
many countries (such as in Europe an d the United States), the global economic  crisis is accelerating a decline in 
cotton mill use that started many years ago due to other factors, but also in India and China (the two largest 
industrial users of cotton) for the first time. 
 
The global economic crisis, through its impact on world co tton mill use, is also affecting cotton trade, stocks and 
production.  The lower demand for cotton is causing a 27 per cent drop in imports this season, to 6.1 million 
tons.  The ratio of world cotton imports to world mill us e, which averaged 31 per cent in the last decade, is 
falling to 26 per cent, reflecting tighter credit conditions , tighter operating margins for textile mills and caution 
on the part of textile mill operators.  Chinese imports, wh ich represented 30 per cent of global imports the last 
season, are expected to drop by 42 per cent in 2008/09 to 1.5 million tons.  
 
The tightening of credit conditions worldwide will also affect world cotton production in 2009/10, as it is 
making it more difficult for cotton producers to finance their inputs. 
 
Source :  International Cotton Advisory Committee, World Cotton Situation , 24 April 2009. 
 
 
  Aid for trade 
98. A Second Global Review of Aid for Tr ade will be held on 6-7 July 2009.
32  It provides an 
opportunity to give added impetus to the ambitious  mandate on Aid for Trade, agreed at the WTO's 
Hong Kong Ministerial Conference in 2005, which aims  to help developing countries, and the least 
                                                      
31 World Tourism Organization, "Tourism and Economic Stimulus – Initial Assessment", 6 May 2009. 
32 http://www.wto.org/english/tratop_e/devel _e/a4t_e/second_global_review09_e.doc WT/TPR/OV/W/2 
Page 32  
 
  developed in particular, to build the supply-side  capacity and infrastructure they need to take 
advantage of trade opening and to connect with the global economy.   
99. Preliminary results of monitoring of aid-for-tra de flows were presented in the last Report.  
Further detailed analysis will be presented in a join t OECD and WTO publication, "Aid for Trade at a 
Glance 2009", to be launched at the Second Global Review meeting.  One main conclusion of the 
report is that in 2007, as was the case in 2006, Aid for Trade grew by more than 10 per cent in real 
terms.  Total new commitments from bilateral and multilateral donors stood at US$25.4 billion, while 
non-concessional lending provided an extra US$27.3 billion in trade-relate d financing. Partner 
countries have mainstreamed trade in their develo pment strategies, and clarified their needs and 
priorities.  Donors have scaled up their resources and improved their program ming and delivery.  
100. Three regional reviews of Aid for Trade have taken place since the last monitoring report was 
issued.  A High Level Conference and Aid for Trade Review on the North-South Corridor was held in 
Lusaka, Zambia on 6-7 April 2009.  The Second Re gional Aid for Trade Review for Latin America 
and the Caribbean was held on 7-8 May 2009.  On  28-29 May, a regional meeting on Aid for Trade 
entitled "Global Financial Crisis, Export-Led Gr owth and Aid for Trade: Focus on the ASEAN 
Experience" was held in Siem Reap, Cambodia.  These events have highlighted the economic and 
social impact of the crisis on developing countries.   A key message emerging from these events is the 
role that Aid for Trade can play in helping count ries to overcome the current crisis by laying the 
foundations for future growth.  This and other co nclusions from these events will be fed into the 
Global Review meeting. 
101. Another noteworthy development is the Comm unication submitted to the General Council by 
13 Members on "Possible further action by WTO Members in response to the Financial Crisis".
33  The 
communication reaffirms "commitments made on Aid for Trade and calls upon all the donors 
involved to commit expeditiously to the disburse ment of funds earmarked for Aid for Trade".  
                                                      
33 http://docsonline.wto.org/DDFDocuments/t/WT/GC/w604.doc  WT/TPR/OV/W/2 
 Page 33 
 
 
  ANNEX 1 
Trade and trade-related measures1  
(March 2009 – June 2009)  
VERIFIED INFORMATION 
Country/  
Member State Measure Date Source 
Argentina Incorporation of 12 new items to the list of products 
subject to import licensing procedures such as: 
aluminium, and miscellaneous articles of base metal.  Various dates WTO Document 
G/LIC/N/2/ARG/4/Add.2 of 
1 April  2009. 
Argentina Introduction of "criterion values" (valores criterios) 
for imports of products such as: "cermet" (ceramic 
and metal manufactures); sweaters and pullovers; brake pads, linings, and clutches discs; and electric 
heating radiators and equipments. 17, 27 March, and 
14 April 2009 Permanent Delegation of Argentina 
to the WTO. 
Argentina Initiation of anti-dumpi ng investigation on imports of 
stainless knives from Brazil and China.  26 March 2009 Permanent Delegation of Argentina 
to the WTO. 
Argentina Initiation of anti-dumpi ng investigation on imports of 
denim from China. 30 March 2009 Permanent Delegation of Argentina 
to the WTO. 
Argentina Initiation of anti-dumpi ng investigation on imports of 
CDs from Paraguay. 30 March 2009 Permanent Delegation of Argentina 
to the WTO. 
Argentina Authorization for frozen pork meat from Paraguay to 
transit through Argentina. 28 April 2009 Resolución SENASA No. 343/09. 
Argentina Initiation of anti-dumpi ng investigation on imports of 
piping accessories from Brazil and China. 12 May 2009 Permanent Delegation of Argentina 
to the WTO. 
Australia Gradual reduction of applied tariffs on textiles, 
clothing, and footwear products up to 2015. March 2009 Permanent Delegation of Australia 
to the WTO. 
Australia Initiation of anti-dumpi ng investigation on imports of 
linear low density from Canada and the United States. 28 May 2009 Permanent Delegation of Australia 
to the WTO. 
Bolivia Increase of import tariffs (to 35%) for 324 tariff lines 
(i.e. clothing, textiles, furn iture), as from June 2009. 15 May 2009 Decreto Supremo No. 0125. 
Brazil Initiation of anti-dumpi ng investigation on synthetic 
fibre from China. 4 May 2009 Permanent Delegation of Brazil to 
the WTO. 
Canada Establishment of a tariff rate quota (10,000 tonnes) 
for milk protein substances with a milk protein 
content of 85% or more, that do not originate in a NAFTA country, Chile, Costa Rica, or Israel, for the 
period 1 April 2009 to 31 March 2010 (in-quota tariff 
rate of 0%, and over-quota tariff rate of 270%). 1 April 2009 Permanent Delegation of Canada to 
the WTO. 
Canada Initiation of anti-dumping investigation on imports of 
mattress innerspring units from China. 27 April 2009 Permanent Delegation of Canada to 
the WTO. 
Canada Renewal of the program me allowing the remission of 
customs tariffs on the temporary importation of 
mobile offshore drilling units, for a further five-year period. 4 May 2009 Permanent Delegation of Canada to 
the WTO. 
   Annex 1 (cont'd)  
                                                      
1 The inclusion of any measure in this table implies no judgement by the WTO Secretariat on whether 
or not such measure, or its intent, is protectionist in nature. Moreover, nothing in the table implies any judgement, either direct or  indirect, on the consistency of any measure referred to with the provisions of any 
WTO agreement or such measure's impact on, or relationship with, the global financial crisis.  WT/TPR/OV/W/2 
Page 34  
 
  Country/  
Member State Measure Date Source 
China Initiation of anti-dumping investigation on imports of 
nucleotide-type food add itives from Indonesia and 
Thailand. 24 March 2009 Permanent Delegation of China to 
the WTO. 
China VAT rebate rates increased on exports of certain 
products including: iron and steel; non ferrous metals; 
petrochemicals; electronic and information technology products; and also some light industries such as textiles and clothi ng. None of these rebates 
exceed the current VAT rate of 17%. 1 April 2009 Permanent Delegation of China to 
the WTO. 
China Establishment of cu rrency swaps (Y 650 billion) 
(US$95.2 billion), to facilitate  trade with: Argentina, 
Belarus, Indonesia, Malaysia, Hong Kong China, and 
Korea. 2 April 2009 Permanent Delegation of China to 
the WTO. 
China New Guidelines on "The Opinion on Further 
Strengthening Administration of Government 
Procurement", restating the national treatment 
exemption provided for in the Law on Government 
Procurement.  10 April 2009 Permanent Delegation of China to 
the WTO. 
China Initiation of anti-dumping investigation on imports of 
polyamide-6 (PA6) from the EC, Chinese Taipei, Russia, and the United States. 29 April 2009 Permanent Delegation of China to 
the WTO. 
China Changes in tourism regulation allowing foreign 
invested travel and foreign tourist agencies (already 
established in China) to open local branches. 1 May 2009 Permanent Delegation of China to 
the WTO. 
China Resumption of imports of chicken from Br azil. 20 May 2009 Permanent Delegation of China to 
the WTO. 
Dominican Republic Initiation of safeguard inve stigation on imports of 
glass bottles. 15 April 2009 WTO Document G/SG/N/6/DOM/1 
of 15 April 2009. 
EC Initiation of anti-dumping investigation on imports of 
certain cargo scanning systems from China. 18 March 2009 Commission Notice 2009/C 63/09 
of 18 March 2009. 
EC Initiation of anti-dumping investigation on imports of 
certain molybdenum wires, containing by weight at 
least 99.95% of molybdenum, of which the maximum 
cross-sectional dimensi on exceeds 1.35 mm but does 
not exceed 4 mm (CN Code: 8102 96 00) from China. 8 April 2009 Commission Notice 2009/C 84/07 
(OJ C 84/5). 
EC Increase export refunds for milk and milk products. 5 June 2009 Comm ission Regulations No. 
461/2009 of 4 June 2009 (OJ L 
139/15).  
Ecuador Import tariff elimination for hybrid cars. ... Permanent Delegation of Ecuador 
to the WTO. 
Egypt New import tariffs for products such as cocoa; 
cigarettes; chemicals; steel products; and 
machineries.  ... Presidential Decree No. 51/2009. 
India Removal of duty (20%) on imported crude soybean 
oil (Customs Notification No. 27/2009).  24 March 2009 Permanent Delegation of India to 
the WTO. 
India Import duty exemption on pulses (Customs 
Notification No. 28/2009). 26 March 2009 Permanent Delegation of India to 
the WTO. 
India Initiation of safeguard i nvestigation (China specific) 
on front axle, beam, steeri ng knuckle and crankshaft. 2 April 2009 WTO Document G/SG/N/16/IND/6 
of 11 May 2009. 
Annex 1 (cont'd)  WT/TPR/OV/W/2 
 Page 35 
 
 
  Country/  
Member State Measure Date Source 
India Initiation of safeguard investigation on imports of 
acrylic fibre. 9 April 2009 WTO Document G/SG/N/6/IND/21 
of 11 May 2009. 
India Initiation of safeguard investigation on imports of 
hot-rolled coils, sheet, strips. 9 April 2009 WTO Document G/SG/N/6/IND/22 
of 11 May 2009. 
India Exemption of import tariffs on raw and refined, or 
white sugar, under specified conditions. 17 April 2009 Permanent Delegation of India to 
the WTO. 
India Initiation of safeguard investigation on imports of 
coated paper and paper board. 20 April 2009 WTO Document G/SG/N/6/IND/23 
of 11 May 2009. 
India Initiation of safeguard investigation on imports of 
uncoated paper a nd copy paper. 20 April 2009 WTO Document G/SG/N/6/IND/24 
of 26 May 2009. 
India Initiation of anti-dumping investigation on SDH 
transmission equipment from China and Israel. 21 April 2009 Permanent Delegation of India to 
the WTO. 
India Initiation of safeguard investigation on imports of 
plain particle board. 22 April 2009 WTO Document G/SG/N/6/IND/25 
of 26 May 2009. 
India Initiation of safeguard i nvestigation (China specific) 
on passenger car tyres. 18 May 2009 WTO Document G/SG/N/16/IND/7 
of 4 June 2009. 
Indonesia Stricter enforcement of registration requirements on 
imported and domestic packaged food products. 1 March 2009 Permanent Delegation of Indonesia 
to the WTO. 
Indonesia Recent measures to facilitate trade on iron and steel 
products (reduction in the number of regulated tariffs, 
extension of the coverage of exemptions from registration, and verification requirements). March 2009 Permanent Delegation of Indonesia 
to the WTO. 
Israel Initiation of safeguard investigation on imports of 
steel rebars. 26 March 2009 WTO Document G/SG/N/6/ISR/1 
of 26 March 2009. 
Korea, Rep. of Reduction in the number of work permits for 
unskilled/semi-skilled foreigners, from 100,000 to 
34,000, reflecting reduced domestic labour demands, 
under the Employment Permit System, which 
operates to introduce foreign workers.  Work permits 
for foreign professionals are not affected. 26 March 2009 Permanent Delegation of Korea to 
the WTO. 
Malaysia Liberalization of services sectors including the 
relaxation of foreign equity limits, by removing the 
30% "Bumiputra" equity ownership on 27 services 
sub-sectors (in areas such as health and social; tourism; transport; business; computer and related 
activities; and sporting). 22 April 2009 Permanent Delegation of Malaysia 
to the WTO. 
Mexico Imposition of new restrictions on imports of diesel 
trucks. 31 March 2009 Permanent Delegation of Mexico to 
the WTO. 
Mexico Measures to simplify tr ade procedures (Paquete de 
Simplificación Comercial) through the elimination of tariffs on imports of used parts.  9 April 2009 Permanent Delegation of Mexico to 
the WTO. 
Mongolia Tariff increases for eggs and potatoes (from 5% to 
15%), as from 13 March 2009. 13 March 2009 Permanent Delegation of Mongolia 
to the WTO, and Parliament 
Resolution No. 26 of 12 March 
2009. 
Annex 1 (cont'd) WT/TPR/OV/W/2 
Page 36  
 
  Country/  
Member State Measure Date Source 
Peru Initiation of safeguard investigation on imports of 
cotton yarn. 13 March 2009 WTO Document G/SG/N/6/PER/2 
of 13 March 2009. 
Philippines Reduction and eliminati on of certain import tariffs on 
selected products (raw material inputs and consumer products which are not locally available), under 
Presidential Executive Order No. 790. 6 May 2009 Permanent Delegation of the 
Philippines to the WTO. 
Russian Federation Elimination of import tariffs on polyester th read. 10 March 2009 Permanent Delegation of the 
Russian Federation. 
Russian Federation Increase of import tariffs on flat TV panels (from 
10% to 15%), for nine months. 
Elimination of import tariffs on raw materials used in 
the production of rims for glasses. 31 March 2009 Permanent Delegation of the 
Russian Federation. 
Russian Federation Increase of import tariffs on steel bars and rods 
(HS 7213). 
Elimination of import tariffs on copper waste and 
scrap (HS 7404), for nine months. 3 April 2009 Permanent Delegation of the 
Russian Federation. 
Russian Federation Increase of import tariffs on corn starch and manioc 
starch (from €0.06/kg to €0.15/kg (US$0.1 to 
US$0.2/kg)), for eight months. 
Elimination of import tariffs on components of rims 
for glasses, for six months. 
Extension of duty-free access for: child safety seats; 
and certain types of digital ships, for nine months. 15 April 2009 Permanent Delegation of the 
Russian Federation. 
Russian Federation Elimination of import tariffs on chicken and certain 
types of fertile eggs. 20 April 2009 Permanent Delegation of the 
Russian Federation. 
 Extension of import duty-free access for linear low 
density polyethylene, for nine months.   
Russian 
Federation Increase of import tariffs on radiofrequency cable 
(from 5% to 15%), for nine months. 22 April 2009 Permanent Delegation of the 
Russian Federation. 
Russian Federation Increase of minimum range of import tariffs on cane 
raw sugar (from US$140 to US$165/tonne), for eight 
months. Maximum rate of import tariff on cane sugar remains unchanged. 1 May 2009 Permanent Delegation of the 
Russian Federation. 
Russian Federation Elimination of a seasonal import tariff (€0.07/kg 
(US$0.1/kg)) on rice and milling products, which was 
implemented on 15 February 2009. 15 May 2009 Permanent Delegation of the 
Russian Federation. 
Russian Federation Increase of import tariffs (from duty-free to 10%) on 
certain types of tropical oils (palm oil), for nine months.  1 June 2009 Permanent Delegation of the 
Russian Federation. 
Switzerland Temporary reintroduction of export refunds for cream 
(as from January 2009 until at the latest December 
2009). ... Permanent Delegation of 
Switzerland to the WTO, and 
Federal Law of Agriculture 
(Art. No. 13). 
Annex 1 cont'd)  WT/TPR/OV/W/2 
 Page 37 
 
 
  Country/  
Member State Measure Date Source 
Switzerland Elimination of milk quota system, as from 1 May 
2009 (Federal Law of Agriculture, Art. No. 36a). 1 May 2009 Permanent Delegation of 
Switzerland to the WTO. 
Turkey Initiation of anti-dumping investigation on imports of 
pipe fittings/flanges from China. 18 April 2009 Permanent Delegation of Turkey to 
the WTO. 
Turkey Initiation of safeguard investigation on imports of 
matches. 2 May 2009 WTO Document G/SG/N/6/TUR/15 
of 6 May 2009. 
Ukraine Initiation of safeguard investigation on imports of 
liquid chlorine. 17 March 2009 WTO Document G/SG/N/6/UKR/3 
of 17 March 2009. 
Ukraine Elimination of import duty surcharges of 13% 
(implemented as a temporary BOP measure in March) 
with the exception of cars and refrigerators.  18 May 2009 WTO Document WT/BOP/N/68 of 
18 May 2009. 
United States  Interim rule amending the Federal Acquisition 
Regulation to implement the "Buy American" provision in the American Recovery and 
Reinvestment Act (ARRA) with respect to 
procurement by the Federal Government. 
Updated Implementing Guidance for ARRA which 
provides information relevant to state and local governments on the application of the "Buy 
American" requirement.  
Both regulations required, in procurement covered by 
an international agreement,  that the "Buy American" 
requirement not be applied with respect to iron, steel, 
and manufactured goods of GPA and other trade 
agreements Parties.  31 March and 23 
April 2009 
 Rules and Regulations (Federal 
Register Nos. 14623 and 14633) of 
31 March 2009. 
 
Rules and Regulations (Federal 
Register Nos. 18449 and 18463) of 
23 April 2009. 
 
United States Additional requirements for certain employers of 
H-1B workers. Section 1611 of the ARRA requires 
recipients of Troubled Assets Relief Programme 
(TARP) funds and certain other forms of support to 
comply with additional attestation requirements when hiring H-1B workers. These requirements are 
imposed for two years. March 2009 Permanent Delegation of the United 
States to the WTO. 
United States Initiation of counterv ailing duty investigation on oil 
country tubular goods from China. 8 April 2009 Permanent Delegation of the United 
States to the WTO. 
United States  Imposition of import tariffs (10%) on softwood 
lumber from four Canadian Provinces, in the context 
of the bilateral Softwood Lumber Agreement. 15 April 2009 Federal Register/ Vol. 74, No. 68 of 
10 April 2009 – [Docket No. 
USTR-2009-0011] 
United States Initiation of anti-dump ing investigation on imports of 
plastic bags from Indonesia; Chinese Taipei; and 
Vietnam. 21 April 2009 Permanent Delegation of the United 
States to the WTO. 
United States Initiation of counte rvailing duty investigation on 
imports of plastic bags from Vietnam. 21 April 2009 Permanent Delegation of the United 
States to the WTO. 
United States Initiation of anti-dump ing investigation on imports of 
oil country tubular goods from China. 29 April 2009 Permanent Delegation of the United 
States to the WTO. 
United States  Allocations for dairy export incentive programme 
(reintroduction of export subsidies, which were not 
used since 2003, for skimmed milk powder; cheese; and butter). 22 May 2009 USDA Release No. 0178.09 (FAS 
PR 0081-09). 
Venezuela Establishment of import quota for vehicles (up to 
10,000) originating from Colombia (priority for 
buses, taxis and trucks) for the year 2009. 16 April 2009 Permanent Delegation of Venezuela 
to the WTO. 
Annex 1 (cont'd) 
NON-VERIFIED INFORMATION  WT/TPR/OV/W/2 
Page 38  
 
  Country/  
Member State Measure Date Source 
Argentina Reported delays in obtaining the necessary import 
licence (average processing times in excess of 100 days). Various dates Press reports, and industry sources. 
Argentina Initiation of anti-dumpi ng investigation on imports of 
steel rollers from China. 2 March 2009 Press reports. 
Argentina Initiation of anti-dumpi ng investigation on imports of 
elevator engines from China. 2 June 2009 Press reports. 
Belarus Elimination of the list of "non-critical" imports (16 
food and 15 non-food items) granting preferential 
access for Russian products.  3 March 2009 Press reports. 
Belarus Ban on fish imports. 14 April 2009 Press reports. 
Belarus Increase of import tariffs  on certain goods such as 
meat (40%); wines (30%); butter, fats, starch and ice 
cream (20%); home appliances (from 25% to 40%); wood products (from 25% to 30%); and vegetables 
(180%).  21 April 2009 Press reports, referring to 
Presidential Edict No. 214. 
Brazil New tax incentives (In tegrated Drawback) for 
exporters (mainly agri-businesses); consisting in the 
elimination of the IPI excise tax (5%), or the 
PIS/Cofins social security  tax (9.5%) on the purchase 
of inputs (local and imported) to be used in the manufacturing of export products. 
A similar scheme was already in place for machine 
parts, and equipment. 8 April 2009 The Bureau of National Affairs. 
Brazil Increase of import tariffs (from duty free to 12-14%) 
on steel products (included on its national list of 
exemptions to the Mercosur Common Tariff). 5 June 2009 Resolução da Câmara de Comércio 
Exterior (Camex) No. 28. 
China New Postal Law, repeating the relevant provisions in 
previous legislation which excluded foreign 
companies from providing local express delivery of letters (weighing less than 150 grams), effective as from 1 October 2009. 24 April 2009 Xinhua's China Economic 
Information Service. 
China Press reports indicate that some provincial and city 
governments encourage the domestic purchases of 
products. 
It is reported that on 1 June the Chinese National 
Development and Reform Commission issued a notice jointly with seven other ministries reminding 
all authorities to apply "Buy Chinese" rules in all procurement financed by the stimulus package.  17 June 2009 Press reports referring to official 
announcement (2009-No. 1361), 
and the Financial Times. 
Egypt Elimination of import tariffs on yarn , tin and textiles. 10 April 2009 Global Insight. 
Egypt Elimination of additional tariffs (10%) on imports of 
steel.  18 April 2009 Press reports. 
Egypt Elimination of a "precautionary fee" of 25%, which 
was imposed in January 2009, on imports of cotton 
yarn; fabric; and sugar; from India. 23 April 2009 The Press Trust of India Limited. 
Egypt Extension of export ban on ri ce until October 2009. ... Press reports. 
Annex 1 (cont'd)   WT/TPR/OV/W/2 
 Page 39 
 
 
  Country/  
Member State Measure Date Source 
India Different charges levied  on steel imports: import duty 
(5%); ocean freight (US$50/tonne); and incidental charges (US$85/tonne). 16 April 2009 The Economic Times. 
India New export subsidies to cotton farmers (Textile 
Upgradation Funds Scheme (TUFS); drawback 
programmes; tax holidays for export products; and preferential export financing). 
Increase of Minimum Support Prices for cotton 
(US$0.75/pound). 22 April 2009 The Dow Jones Commodities 
Services, and the Press Trust of 
India Limited. 
India Removal of a two-year ban on wheat exports. 15 May 2009 Business Standard Ltd. 
India Initiation of anti-dumping investigation on imports of 
circular weaving machines from China. 18 May 2009 Press reports. 
India Initiation of anti-dumping investigation on imports of 
barium carbonate from China. 16 June 2009 Press reports. 
Indonesia Certain new measures addressing local content 
requirements in investment in the telecommunication sector. Procedures for implementation of this 
regulation seem still to be under consideration. ... Press reports referring to Decree 
07/PER/M.KOMINFO/01/2009. 
Israel Initiation of anti-dumping investigation on imports of 
stretch wrap and paper. 2 April 2009 Press reports. 
Japan A few local governments reported to be 
implementing policies to encourage purchases of 
local products (such as cars, TV sets, and other electronic equipment). March 2009 Press reports. 
Morocco Temporary increase of import tariffs (to 170%) on 
durum wheat. 8 June 2009 Agra Europe (Agra-net.com). 
Pakistan Initiation of anti-dumpi ng investigation on imports of 
phthalic anhydride from Brazil, China, Indonesia, 
Korea, and Chinese Taipei. 29 May 2009 Press reports. 
Pakistan Imposition of taxes on imports of fresh vegetables 
from India.   18 June 2009 The Economic Times. 
Paraguay Import tariff reduction on: raw materials, plastics, 
chemical products, medici nes, telecommunications 
equipment, and computer equipment. 15 April 2009 Adnmundo.com. 
Saudi Arabia Reduction of import  tariffs on 92 products, as from 
6 June 2009. 3 June 2009 Arab News. 
Ukraine Initiation of anti-dumping investigation on imports of 
halves and quarters, legs and their parts, of domestic 
hens from Brazil and the United States. 6 March 2009 Press reports. 
Ukraine New legislation restricting access of foreign 
companies to government procurement (except for 
goods which are not produced locally). This measure is in force until 31 December 2010. ... Press reports. 
Annex 1 (cont'd)  WT/TPR/OV/W/2 
Page 40  
 
  Country/  
Member State Measure Date Source 
United States Initation of anti-dumping investigation on imports of 
PC strand from China. 17 June 2009 Press reports. 
United States Initiation of counte rvailing duty investigation on 
imports of PC strand from China.  17 June 2009 Press reports. 
Uruguay Amendment of the Law on drawback and temporary 
admission, granting more flexibility to exporters. 8 June 2009 El Pais digital referring to MEF 
Decretos Nos. 255/09 and 256/09. 
Vietnam Increase of import tariffs for 15 dairy products 
(including powdered milk). 3 March 2009 Press reports, referring to Ministry 
of Finance Circular No 
39/2009/TT-BTC. 
Vietnam Increase of import tariffs on meat and poultry (from 
17% to 33%), frozen beef (from 17% to 20%) and fresh pork (from 24% to 28%). 20 March 2009 Press reports, referring to Ministry 
of Finance Circular No. 52/2009/TT-BTC. 
Vietnam Reduction on cotton import tariffs.  April 2009  Press reports. 
Vietnam Increase of import tariffs on steel, such as semi-
finished steel products (from 5% to 8%); steel 
products for construction (from 12% to 15%); cold 
rolled steel sheets and coils (from 7% to 8%); and 
coated steel sheets and coils (from 12% to 13%). 1 April 2009 Press reports, referring to Ministry 
of Finance Circular No. 
58/2009/TT-BTC. 
Vietnam Increase of import tariffs on alloy steel (long 
products) from 0% to 10%.  20 April 2009 Press reports, referring to Ministry 
of Finance Circular No. 75/2009/TT-BTC. 
Vietnam Reduction of import tari ffs on diesel and kerosene 
diesel fuel by 5%; as well as on feed and raw 
materials used to produce feed from 7% to zero.  20 April 2009 Press reports. 
... Not Available .  WT/TPR/OV/W/2 
 Page 41 
 
 
  ANNEX 2 
General Economic Stimulus Measures 
(March 2009 – June 2009)  
VERIFIED INFORMATION 
Country/  
Member State Measure Date Source 
Argentina State loan (Arg$300,000 (US$80,128)) for 
construction or renovation of houses, with 
preferential interest rate (10%). 27 May 2009 Permanent Delegation of Argentina 
to the WTO. 
Australia Programme of nation building investment in 
infrastructure, including roads, metro rail, ports, 
universities and energy efficiency, under the Government's 2009-10 Budget. 12 May 2009 Permanent Delegation of Australia 
to the WTO. 
Australia Ford Credit Australia wa s authorized to participate in 
the Special Purpose Vehicle (SPV) funding mechanism (up to $A 550 million (US$454.2 million) 
over 12 months). Activation of the SPV is expected to occur shortly after the passage of relevant legislation 
in June 2009. 13 May 2009 Permanent Delegation of Australia 
to the WTO. 
Austria Temporary aid scheme granting compatible aid of up 
to €500,000 (US$704,750), in the form of direct 
grants, interest rate subsid ies, subsidised public loans 
and public guarantees. Aid can be granted until 
31 December 2010. (Beneficiary: companies that 
were not in difficulty on 1 July 2008). 20 March 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Austria Temporary modification of the existing risk capital 
investment scheme ‘Eigenkapitalgarantien’. In particular, the measure allows an increase of the 
maximum investment tranches from €1.5 million (US$2.1 million) to €2.5 million (US$3.5 million) 
over each 12-month period until 31 December 2010. 
The minimum private participation for risk capital investments is temporarily reduced from 50% to 30%. 
(Beneficiary: businesses). 25 March 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Bangladesh Stimulus package (US$492 million) for a number of 
sectors such as agriculture, electricity generation, and 
social safety net programmes (financial year 2008-
09).  ... Permanent Delegation of 
Bangladesh to the WTO. 
Belgium Temporary scheme providing aid in the form of 
subsidized guarantees fo r investment and working 
capital loans. The reduction of the guarantee fee can 
be applied during the period of up to two years for 
loan guarantees contracted no later than 31 December 2010. Where the duration of the underlying loan exceeds two years, the safe harbour 
premiums, may be applied for the remaining period 
of the guarantee. The maximum duration of guarantees granted under the scheme is limited to five 
years. (Beneficiary: companies in Flanders that were 
not in difficulty on 1 July 2008). 20 March 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Brazil Additional credit line (US$4 billion) for state 
Governments through the National Development Bank (BNDES). 17 April 2009 Permanent Delegation of Brazil to 
the WTO. 
Canada Disbursement of govern ment loans to GM of Canada 
and Chrysler Canada. The G overnment has also taken 
an ownership position in these companies. 30 March 2009 Permanent Delegation of Canada to 
the WTO. 
Annex 2 (cont'd) WT/TPR/OV/W/2 
Page 42  
 
  Country/  
Member State Measure Date Source 
Canada Additional measures for the automotive industry, 
including the Canadian Warranty Commitment Programme, to guarantee warranties from GM of 
Canada and Chrysler Canada  during the restructuring 
period, and expanded acc ounts receivable insurance 
for automotive parts suppliers. April 2009 Permanent Delegation of Canada to 
the WTO. 
Canada Allocation to the Cana dian Secured Credit Facility 
(Can$10 billion (US$9.1 billion)) to purchase term asset-back securities (A BS) backed by loans and 
leases on vehicles and equipment. 8 May 2009 Permanent Delegation of Canada to 
the WTO. 
Canada Government support (Can$1 billion (US$911 
million)) to the pulp and paper industry.   18 June 2009 Permanent De legation of Canada to 
the WTO. 
China Financial refund for farmers purchasing light cargo 
vehicles (measure valid from 1 March until 
31 December 2009). 1 March 2009 Permanent Delegation of China to 
the WTO. 
China Expansion of the scope of the support policy for 
disposal and renewal of used vehicles (refund of no more than the purchase tax of the vehicle). March 2009 Permanent Delegation of China to 
the WTO. 
China Pilot programme of incentives (10% refund of the 
sale price) for the purchase of energy-efficient 
appliances including: TV, refrigerators, washing 
machines, air conditioners, and computers (Y 20 
billion (US$2.9 billion)). June 2009 Permanent Delegation of China to 
the WTO. 
Costa Rica Economic and social stimulus programme (Plan 
Escudo) including measures (among others) aimed at strengthening the banking system, facilitating credit 
for SMEs, and capitalization of State banks. ... Permanent Delegation of Costa 
Rica to the WTO. 
Czech Republic Temporary scheme which allows government, 
regional and local authorities to grant aid in the form 
of reduced interest rates on loans. The lower rates 
available for loans contracted no later than 
31 December, but only on interest payments up to 31 December 2012. After that date firms have to pay 
market rates. (Beneficiary: companies that were not 
in difficulty on 1 July 2008). 6 May 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Czech Republic Temporary scheme granting compatible aid of up to 
€500,000 (US$704,750) per company over the period 2009-10. The aid can be granted in the form of direct 
grants, reimbursable grants, interest rate subsidies, subsidised public loans and public guarantees. 
(Beneficiary: companies that were not in difficulty on 
1 July 2008). 7 May 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Denmark Export credit insurance scheme, under which, the 
Danish state export-cred it agency Eksport Kredit 
Fonden (EKF) can provide export-credit reinsurance 
to complement insurance cover available on the private market. Under the re insurance agreement with 
the private credit insurer, EFK takes over the part of 
the risk related to those tr ansactions for which private 
insurers have withdrawn their cover. Both, the private 
insurers and the exporters retain part of the 
underlying risk. (Beneficiary: export firms). 6 May 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Annex 2 (cont'd)  WT/TPR/OV/W/2 
 Page 43 
 
 
  Country/  
Member State Measure Date Source 
EC Increase (from €25 billion to €50 billion (US$35.2- 
US$70.5 billion)) for the outstanding amount of loans to be granted under the EC medium-term assistance 
for balance-of-payments facility. 18 May 2009 Council Regulation No. 431/2009 
of 18 May 2009 (OJ L 128/1). 
France Modification of risk capital scheme. The temporary 
modification consists of raising the maximum 
investment tranches from  €1.5 million to €2.5 million 
(US$2.1-US$3.5 million) ove r each 12-month period. 
This amendment is valid until the end of 2010. 
(Beneficiary: businesses). 16 March 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Hong Kong, 
China Enhancement of a number of support schemes for 
SMEs (Special Loan Guar antee Scheme, SME Loan 
Guarantee Scheme, and SME Export Marketing 
Fund). 15 June 2009 Permanent Delegation of Hong 
Kong, China to the WTO. 
Hungary Temporary scheme allowing authorities to grant aid 
in the form of subsidized guarantees for investment and working capital. During the period of up to two 
years the guarantee fee for loan and leasing guarantees contracted no later than 31 December can 
be reduced by 25% compared with the market level 
fee. The guarantee coverage can amount to 90% of the underlying loan or leasing. Guarantees can only 
be given under the scheme to small and medium-
sized enterprises up to a total of €2.5 million (US$3.5 million) per beneficiary. (Beneficiary: companies that 
were not in difficulty on 1 July 2008). 10 March 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Hungary Temporary scheme allowing authorities to grant aid 
in the form of subsidized guarantees for investment 
and working capital. The reduction of the guarantee 
fee can be applied during a period of up to two years 
for a loan guarantees contracted no later than 31 December 2010. Where the duration of the underlying loan exceeds two years, the safe harbour 
premiums may be applied for an additional maximum 
period of eight years. The maximum duration of guarantees granted under the scheme is limited to ten 
years. The scheme is a national framework scheme 
allowing aid to be granted at central, regional and local level. It can be applied to small and medium-
 sized enterprises as well as to large firms and the 
guarantees amount can also be higher than €2.5 million (US$3.5 million). (Beneficiary: companies 
that were not in difficulty on 1 July 2008). 24 April 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Ireland Temporary measure allowing the State to grant aid of 
up to €500,000 (US$704,750) per firm in 2009 and 
2010. The aid can be granted in the form of direct 
grants, reimbursable grants, interest rate subsidies, 
and subsidized public loan s. (Beneficiary: companies 
that were not in difficulty on 1 July 2008). 14 April 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Japan New Stimulus Pack age (¥15.4 trillion (US$161 
billion)) (3% GDP) to ease credit squeeze; provide 
safety net for unemployed, and stimulate consumer demand. April 2009 Permanent Delegation of Japan to 
the WTO. 
Annex 2 (cont'd) WT/TPR/OV/W/2 
Page 44  
 
  Country/  
Member State Measure Date Source 
Japan Government program me (¥370 billion (US$3.87 
billion)), to encour age the purchase of 
environmentally friendly vehicles (local and 
imported). The amount of subsidies depends on the type of the vehicle, the age of the car to be replaced, 
or simply purchase of new one without replacement. 
Programme applicable from 19 June 2009 to 31 March 2010. June 2009 Permanent Delegation of Japan to 
the WTO. 
Jordan Monetary and fiscal measures (such as tax reduction 
on accommodation services) to minimize the impact 
of the global crisis on the economy. March 2009 Permanent Delegation of Jordan to 
the WTO. 
Korea, Rep of 70% cut on individual consumption tax and 
acquisition/registration tax for new automobiles 
(local and imported) purchased to replace old automobiles (registered before 31 December 1999). 
Measure effective until 31 December 2009. 1 May 2009 Permanent Delegation of Korea to 
the WTO. 
Latvia Temporary measure allowing the State to grant aid of 
up to €500,000 (US$704,750) per firm in 2009 and 
2010. The aid will be provided in the form of short-
term export credit guarantees (up to two years). 
(Beneficiary: export firms that were not in difficulty on 1 July 2008). 19 March 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Latvia Scheme aimed at providing relief to companies 
encountering financial difficulties as a result of the 
credit crunch. The scheme allows the granting of subsidized guarantees for initial investment and 
working capital loans concluded by 
31 December 2009.  22 April 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Luxembourg Temporary guarantee scheme enabling the 
Government to grant aid to businesses until 31 December 2010 in the form of guarantees for 
investment and working capital. The reduction in the guarantee premium will apply for a maximum of two years. If the duration of the underlying loan exceeds 
two years, the safe harbour premium can be applied 
for an additional maximum pe riod of eight years. No 
further reduction can be applied to these guarantee 
premiums. The guarantees granted under this aid 
scheme will last for ten years at most. (Beneficiary: companies that were not in difficulty on 1 July 2008). 11 March 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Malta The European Commission authorized a support 
measure for businesses. Aid of up to €500,000 
(US$704,750) per firm may be granted in 2009 and 2010. (Beneficiary: businesses facing funding 
problems because of the current credit crunch). 20 May 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Netherlands Temporary measure allowing the State to grant aid of 
up to €500,000 (US$704,750) per firm in 2009 and 
2010. The aid can be granted in the form of grants, 
interest rate subsidies, loans and public guarantees. 
(Beneficiary: companies that were not in difficulty on 
1 July 2008). 1 April 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Annex 2 (cont'd)  WT/TPR/OV/W/2 
 Page 45 
 
 
  Country/  
Member State Measure Date Source 
Norway Revised National Budget increasing the spending of 
oil revenues by a furthe r NKr 9.5 billion (US$1.5 
billion) (to a total of NKr 130 billion (US$20.7 
billion)) during the 2009 fis cal year, equivalent to 
around 3% of non-oil GDP). Additional funds will be 
provided to areas such as investment in the 
agriculture sector, municipalities, and credit facilitation. 19 June 2009 Permanent Delegation of Norway to 
the WTO. 
Singapore Stimulus Package (US$13.7 billion). The package 
covers areas such as saving jobs; stimulating bank 
lending; and enhancing business cash flow and 
competitiveness. Various dates Permanent Delegation of Singapore 
to the WTO. 
Slovak Rep. Temporary measure allowing the State to grant aid of 
up to €500,000 (US$704,750) per firm in 2009 and 
2010. The aid can be granted in the form of grants 
and remission of penalties fo r non-payment of taxes. 
(Beneficiary: companies that were not in difficulty on 
1 July 2008). 29 April 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Spain Temporary scheme allowing interest rate subsidies 
for the production of environmentally-friendly 
("green") cars. Subsidized loans may be granted until 
31 December 2009 with a maximum term of two 
years. The reduction in the interest rate may not 
exceed 50% for small and medium-sized enterprises (SMEs) and 25% for large businesses, in relation to 
the reference rate, and must take into account the 
enterprise’s risk profile wh en the loan is granted. 
(Beneficiary: companies (car and car component 
industry) that were not in difficulty on 1 July 2008). 29 March 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Thailand "Abhisit" Stimulus Packag e (B 116.7 billion (US$3.4 
billion)).  
Financial support for SMEs, and measures to 
stimulate tourism. March 2009  Permanent Delegation of Thailand 
to the WTO. 
Thailand Second "Abhisit" Stim ulus Package (B 1.56 trillion 
(US$45.6 billion)) for 2010- 2012. Measures include 
education and public health development. 7 April 2009 Permanent Delegation of Thailand 
to the WTO. 
United Kingdom The European Commission authorized under EC 
Treaty on State Aid Rules a scheme aimed at 
relieving firms that encount ered financial difficulties 
as a result of the current credit crunch. The measure 
allows national, regional a nd local authorities to grant 
aid in the form of reduced interest rates on loans of 
any duration concluded by 31 December 2010.  15 May 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
United States Auto Supplier S upport Programme (US$5 billion) 
available to all critical suppliers. The programme 
provides the same benefits to foreign and local 
suppliers, through financial protection on receivables 
from any domestic auto companies.  March 2009 Permanent Delegation of the United 
States to the WTO. 
United States New loan to GM (U S$2 billion) to provide working 
capital for the company (prior to its bankruptcy filling).  
GM has filed for bankruptcy protection, and has been 
offered approximately US$30 billion debtor-in-
possession loan by the US Treasury. The loan is 
intended to benefit all of GM's continuing operations 
without regard to geographic location.  April-May 2009 Permanent Delegation of the United 
States to the WTO. 
Annex 2 (cont'd) WT/TPR/OV/W/2 
Page 46  
 
  NON-VERIFIED INFORMATION 
Country/  
Member State Measure Date Source 
Argentina Government loan (Arg$150 million (US$40 million)) 
for auto parts manufacturers. 22 April 2009 Lanacion.com. 
Argentina State Loan (US$70 m illion) to local branch of car 
manufacturer GM.  4 June 2009 Clarin.com. 
Egypt Increase in economic stimulus plan to LE 30 billion 
(US$5.35 billion), half of th e amount to be spent in 
the first semester of the year. ... Press reports. 
France State Aid (€30,000 m illion (US$42.3 million)) to 
guarantee prices of milk at €280/1,000 litres (US$394.7/1,000 litres) for producers during 2009. 5 June 2009 Le Monde. 
Germany Tax relief (€0.2556 /litre (US$0.36/litre)) on fuel 
(diesel) purchased by German farmers, potentially 
saving more than €500 million (US$704.7 million) 
over the next two years. 26 May 2009 Welt.de and Financial Times. 
Germany Bridging loans for six months guaranteed by Federal 
Government (€1.5 billion (US$2.1 billion)) to car 
manufacturer Opel. 3 June 2009  Press reports. 
Israel Stimulus package including measures such as 
guarantee for exporters (US$4.7 billion). 23 April 2009 Press reports. 
Kazakhstan Stimulus package (T 1.2 trillion (US$7.98 million)). 
US$10 billion from the National Oil Fund for 
agricultural development. ... Press reports. 
Mexico Stimulus package (US$2.1 billion), including 
measures for the tourism sector. 7 May 2009 Les Echos. 
New Zealand Government grant scheme (US$36 million) for 
biodiesel. 4 June 2009 Ruralnews.co.nz. 
Portugal Government loan (US $1.2 billion) for footwear and 
textile industries. 2 April 2009 Press reports. 
Russian 
Federation Loan (€500 million (US$704.8 milllion)) from 
Russian bank Sberbank to Opel car manufacturer 
(35% of shares). 4 June 2009 Reuters Limited. 
South Africa Stimulus Package (Framework for South Africa's 
response to the International Economic Crisis)  
including measures such as increase of tariffs; use of administrative measures to minimize imports; use of 
preference price system; and preferential margin for 
domestic firms in government procurement. 9 April 2009 The Star (Business Report). 
Spain Loan (US$500 million) to car industry (Nissan), 
through the European Investment Bank. 4 April 2009 BBC Mundo.com 
Spain New stimulus package, including measures such as 
loans (€2,000 (US$2,819)) for purchase of new cars. 12 May 2009 BBC News. 
United 
Kingdom Loan (US$400 million) to car industry (Jaguar, Land 
Rover and Nissan), through the European Investment 
Bank. 4 April 2009 BBC Mundo.com. 
   Annex 2 (cont'd)  WT/TPR/OV/W/2 
 Page 47 
 
 
  Country/  
Member State Measure Date Source 
United 
Kingdom "Scrapping scheme" (£2,000 (US$3,311)) for vehicles 
older than 10 years, and weighing less than 3.5 tonnes, as from 18 May 2009. 14 April 2009 BBC News. 
United 
Kingdom Incentive (£5,000 (US$8,277)) for purchase of an 
electric car. 16 April 2009 The Guardian. 
United 
Kingdom Government loan (£5 million (US$8.3 million)) to 
Malaysian firm Weststar, for taking over UK van 
maker LDV (Birmingham). 6 May 2009 BBC News. 
Vietnam Fiscal Stimulus (US$6 billion) (6% of GDP) to 
stimulate domestic demand,  export incentives, credit 
incentives for exporters. 
Stimulus package (US$700 million) to improve 
agricultural productivity and increase rural income 
through: lending interest rate programmes for the 
purchase of fertilizers, farm equipment, and 
construction material in rural areas.  22 April 2009  Press reports making reference to 
Prime Minister's Decision No. 497/QD/TTg. 
... Not Available . WT/TPR/OV/W/2 
Page 48  
 
  ANNEX 3 
Measures For Financial Institutions  
(March 2009 – June 2009)  
VERIFIED INFORMATION 
Country/  
Member State Measure Date Source 
Belgium/ 
France/ 
Luxembourg Initiation by the European Commission of an 
investigation under the EC Treaty on State Aid Rules, 
to establish whether the restructuring plan for the Dexia Group will restore the group's long term 
viability.  13 March 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Belgium/ 
Luxembourg Additional aid measures stemming from amendments 
of the agreement between  Fortis Holding, BNP 
Paribas, Fortis Bank and the Belgium and 
Luxembourg authorities. Belg ium accepted to assume 
a larger part of the risk of the investment vehicle 
which will purchase impaired assets from Fortis 
Bank, Fortis Holding’s exposure being reduced accordingly. Belgium offere d to provide guarantees 
on a new €1 billion (US$1.4 b illion) loan from Fortis 
Bank to Fortis Holding and on financial liabilities of 
Fortis Holding towards For tis Bank. Belgium gave to 
Fortis Bank a call option on the BNP Paribas shares it 
would acquire. Belgium accepted to provide Fortis Bank with a second loss guarantee on the structured 
credit portfolio retained by Fortis Bank. Belgium 
accepted that the investment vehicle, in which it assumes the largest part of the risk, purchases 
additional impaired asse ts from Fortis Bank. 
(Beneficiary: Fortis). 12 May 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Brazil Liquidity provision to the banking system (US$25 
billion). 
Expansion of access to freel y convertible currencies. 
Banco Do Brasil and Ca ixa Economica Federal 
(Federal banks) authorized to constitute subsidiaries and acquire participation in financial institutions. 4 March 2009 Permanent Delegation of Brazil to 
the WTO. 
China New rules governing financial services information 
providers, allowing them to compete more freely in 
local market. 1 June 2009 Permanent Delegation of China to 
the WTO. 
Denmark Aid to Fiona Bank's rest ructuring, in the form of a 
credit facility (up to €685 million (US$965.5 
million)), and capital injection (€134 million (US$189 million)). Under the te rms of the rescue aid, 
all assets and liabilities (ex cept subordinated debt and 
equity) will be transf erred to a new entity.  20 May 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Finland Extension of support scheme (the instruments 
guaranteed under the scheme may be issued until 31 December 2009). Also, th e scope of the scheme 
has been broadened, so th at guarantees can now cover 
instruments with a maturity of up to five years. 
Previously, the maximum maturity was three years 
(except for covered bonds). (Beneficiary: financial institutions). 30 April 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Annex  3 (cont'd)  WT/TPR/OV/W/2 
 Page 49 
 
 
  Country/  
Member State Measure Date Source 
France Amendment to capital injection scheme. The 
amendment relates to the terms governing the remuneration and reimbursement of the preference 
shares issued by the benefi ciary banks in return for 
their recapitalization by the State. (Beneficiary: credit 
institutions). 24 March 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
France Further €2.45 billion (US$3.45 billion) capital 
injection into the instituti on to be created by the 
merger between the Caisse d'Epargne and Banque 
Populaire. (Beneficiary: Caisse d'Epargne and Banque Populaire). 8 May 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
France Extension of scheme for refinancing credit 
institutions. Apart from the period of the application, 
all other conditions (such as eligible institutions, remuneration and safeguards against possible abuse) 
remain as laid down in the original decision. 
(Beneficiary: cred it institutions). 12 May 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Germany Recapitalization of Comm erzbank. Second tranche of 
the capital injection in the amount of €10 billion (US$14.1 billion). Presenta tion of a business plan 
setting out measures to restore the viability of the bank. (Beneficiary: Commerzbank). 7 May 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Germany Prolongation of the risk shield and accompanying 
measures. The aid is conditional upon the approval of 
the restructuring plan (reorientation of WestLB’s business into less risky activities as well as change of 
the bank’s ownership structure through a public 
tender procedure before the end of 2011) by the statutory bodies of all of WestLB’s owners. 
(Beneficiary: WestLB bank). 12 May 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Germany Liquidity facility and State Guarantee for German 
bank Sachsen LB, in the context of its sale to 
Landesbank Baden Württemberg (LBBW).  4 June 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Ireland Emergency recapitalization worth €3.5 million 
(US$4.9 million) granted by  State authorities. The 
shares to be issued will qualify as core tier 1 capital. 
They will produce a dividend of 8% payable annually, at the discretion of the bank and in priority 
to dividends on ordinary shares, with detachable 
warrants after five years. The shares will carry 25% of the voting rights in Bank of Ireland. The bank can 
repurchase the shares at par during maximum five 
years. After that period, shares can be repurchased at 125% of par. On purchase of the preference shares, 
the State will also receive an option to purchase 25% 
of the existing ordinary shares in the bank. This option may be exercised from the fifth to the tenth 
anniversary of the preferred shares’ purchase. 
(Beneficiary: Bank of Ireland). 26 March 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Ireland Emergency recapitalization of Allied Irish Bank (€3.5 
million (US$4.9 million)). 12 May 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Annex 3 (cont'd) WT/TPR/OV/W/2 
Page 50  
 
  Country/  
Member State Measure Date Source 
Korea, Rep of Extension of St ate guarantee (US$100 billion) for up 
to five years for foreign currency denominated banks' borrowings made between 20 October 2008 and 
31 December 2009. The programme applies equally to local and foreign banks constituted under Korean 
Law. March 2009 Permanent Delegation of Korea to 
the WTO. 
Luxembourg Temporary export-credit insurance scheme, under 
which the export-credit agen cy concerned, Ducroire 
Luxembourg, will provide export-credit insurance to 
complement insurance policies taken out with private insurance companies. Ducroi re can provide credit up 
to a higher limit where evid ence exists that private 
insurers have excessively reduced or even refused 
credit. The budget earmarked for this measure 
amounts to €25 million (US$35.2 million). 
(Beneficiary: Insurance market). 20 April 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Malaysia Increase in foreign equ ity limits: greater flexibility for 
domestic Islamic banks to enter into strategic partnership with foreign players through an increase 
foreign equity limit (up to  70%); increase in foreign 
equity limits on investment banks, insurance 
companies and "takaful" (Islamic insurance) 
operators (from 49% to 70%). 
Issuance of new licences: two commercial banking 
licences to be granted in 2009 to foreign players (three in 2011); two Islamic banking licences to be 
granted in 2009 to foreign players; and two family "takaful" licences to be granted in 2009. 
Locally incorporated foreign banks, will be allowed 
to establish 10 microfinance branches, and four new branches in 2010. 
Locally incorporated fore ign insurance companies 
and "takaful" operators are allowed to establish 
branches nationwide without restriction. 28 April 2009 Permanent Delegation of Malaysia 
to the WTO. 
Netherlands Illiquid a sset back-up facility. U nder the transaction, 
the Dutch State will buy the right to receive the cash 
flows on 80% of US$39 billion portfolio, mostly consisting of "Alt-A" mortgages, by paying ING 
about US$28 billion. That amount will be paid by the 
Dutch State in accordance w ith a pre-agreed payment 
schedule. (Beneficiary: financial group ING). 31 March 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Portugal State guarantee, assisted by collaterals, on a €450 
million (US$634.3 million) loan granted by six 
Portuguese banks to Banco Privado Portugues. The loan has a duration of six months and can only be 
used to face liabilities as registered in the balance 
sheet on 24 November 2008. The aid constitutes a temporary measure and Portugal has committed to 
provide a restructuring plan for Banco Privado 
Portugues within six months of the state intervention. (Beneficiary: Banco Privado Portugues). 13 March 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Annex 3 (cont'd)  WT/TPR/OV/W/2 
 Page 51 
 
 
  Country/  
Member State Measure Date Source 
Portugal Bank recapitalization scheme. The measure will make 
available new capital to elig ible credit institutions, in 
exchange for instruments eligible as tier 1 capital 
(ordinary or preference sh ares). The size of the 
scheme is limited both as regard the overall amount 
(capped at €4 billion (US$5. 6 billion)) and in respect 
of individual beneficiaries (maximum 2% of the credit institutions' risk weighted assets).  20 May 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Singapore Special Risk Sharing Initiative (SRI) to address 
constraints of limited private insurance capacity:  
- Loan Insurance Scheme (LIS) provides private 
insurance against default risks (maximum loan of 
S$15 million per group (US$10. 4 million)). As from 
1 February 2009, "Loan Insu rance Scheme Plus" was 
launched as a complementary to the existing LIS. 
- Export Coverage Scheme (ECS) intended to cover 
insolvency and protracted defaults of end buyers 
(coverage up to 90%).  
The ECS would be effective from 1 March 2009 to 
28 February 2010. Various dates Permanent Delegation of Singapore 
to the WTO. 
Slovenia Liquidity scheme for fina ncial sector, to provide short 
and medium-term financing to credit institutions 
unable to obtain funds on the financial markets.  20 March 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Sweden Amendments to the Sw edish State guarantee scheme 
for financial institutions. The changes concern the prolongation of the scheme’s validity until 
31 October 2009 (instead of 30 April 2009) and the extension of its scope by including uncollateralized 
debt instruments with a term of up to five years 
(instead of three years), which could amount up to one third only of a total of SKr 1,500 billion (US$200.6 billion). Changes to the eligibility criteria 
for institutions covered by the scheme. Participating 
banks will only need to meet the basic legal capital requirements (and not the enhanced capital levels like 
before). (Beneficiary: financial institutions). 28 April 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
United Kingdom Guarantee scheme to support the provision of 
working capital loans to financial businesses 
operating in the UK market, including subsidiaries of 
foreign firms. The UK Government will provide a 
guarantee of up to 50% in respect of portfolios of working capital loans to sound, credit-worthy 
companies with an annual turnover of up to £500 
million (US$709 million). This scheme has a budget of £10 billion (US$14.2 billio n), and its duration is 
limited to two years. (Beneficiary: banks). 24 March 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Annex 3 (cont'd) WT/TPR/OV/W/2 
Page 52  
 
  Country/  
Member State Measure Date Source 
United 
Kingdom Extension of financial support measures until 
13 October 2009. Banks that benefit from the schemes have to agree in turn to provide loans to 
companies in the real economy and individuals. The UK considered that the original limit on guaranteed 
issue of £250 billion (US$354.5 billion) remained 
appropriate. The amount set aside for recapitalization remained £50 billion (US$70.9 billion). The eligible 
beneficiaries remained fundamentally sound banks, 
with eligible liabilities of above £500 million (US$709 million). A capital injection into a bank that 
has already accessed the recapitalization scheme, 
however, will be subject to individual notification and 
approval. (Beneficiary: banks). 15 April 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
 
 
  
 NON-VERIFIED INFORMATION 
Country/  
Member State Measure Date Source 
Iceland Straumur Burdaras taken over by the Financial 
Supervisory Authorithy. 
Glitnir, Landsbanki, Kaupthing, and Straumur: 
brought under State control. 9 March 2009 Press reports. 
Kazakhstan Takeover of two of the six biggest banks (BTA). ... Press reports. 
Kuwait Stimulus package to guarantee bank loans to local 
businesses. 30 March 2009 Thai News Service. 
Ukraine Nationalization of three troubled banks (Ukrgazbank; 
Rodovidbank; and Kievbank). June 2009 Press reports. 
Venezuela Banco Industrial de Venezuela:  State intervention.  14 May 2009 BBC Mundo. 
... Not Available.  WT/TPR/OV/W/2 
 Page 53 
 
 
  Financial Sector Support Measures 
 
1. Without pretending to be e xhaustive, given the increasing number and continuous adoption of 
measures, initiatives in this sector have taken the following forms:  (a) separation of "good" assets 
from "bad" assets, and placing the latter off banks' bala nce sheets;  (b) takeovers of failing banks by 
better capitalized banks;  (c) recapita lization of troubled financial in stitutions;  (d) nationalization of 
financial institutions;  and (e ) expanded government guarantees for different forms of banks' 
liabilities.  In analysing these programmes, reference will be made not only to recent initiatives (listed 
in Annex 3), but also to the programmes summarized in the previous report. 
(a) Separation of "good" assets from "bad" assets 
2. The basic objective of separating "good" assets from "bad" assets, and placing the latter off 
banks' balance sheets, is to allow affected financia l institutions to clean-up their balance sheets and re-
start lending under more "normal" ci rcumstances.  This objective ca n be attained through various 
mechanisms.  The most common "asset side" policy is  the purchase of troubled mortgage assets from 
banks and other lende rs – basically swapping troubled assets for cash.  The Canadian, Swiss, and US 
(TARP) programmes are examples of this type of policy.   
3. In the case of Switzerland, on 16 October 2008, the Swiss National Bank (SNB) announced 
the transfer of UBS' illiquid securities and other trou bled assets to a special purpose vehicle (SPV), in 
the amount of US$60 billion (US$54 billion provided by the SNB and US$6 billion by UBS itself).   
4. Under the Insured Mortgage Purchase Progr amme (IMPP), the Canada Mortgage and 
Housing Corporation (CMHC) is allowed to pur chase securities comprise d of pools of insured 
residential mortgages from Canadian financial ins titutions. The first tranche of the programme, for 
purchases up to Can$25 billion, was announced on 10 October 2008;  while the second tranche, for 
purchases up to Can$50 billion, was announced on 12  November 2008, bringing the total to Can$75 
billion (some US$ 58.7 billion).  This initiative is  available to all deposit-taking institutions 
incorporated, amalgamated or continued under the Bank Act or the Trust and Loan Companies Act, 
and associations or central cooperative credit societies regulated under the Cooperative Credit Associations Act. 
5. The US Troubled Asset Relief Program (TARP) , established by the Emergency Economic 
Stabilization Act of 2008 (EESA), allows the Secretary of the Treasury to purchase, and to make and 
fund commitments to purchase, troubled assets from any financial institution.  The total amount 
foreseen is US$700 billion (US$250 billion upon enactment, other US$100 billion if requested by the US President, and US$350 billion subject to Congressi onal approval).  Beneficiaries  are "financial 
institutions", which are defined by the Act as includi ng "any institution, including, but not limited to, 
any bank, savings association, credit union, security broker or dealer, or insurance company, 
established and regulated under the laws of the Unite d States or any State, territory, or possession of 
the United States ... but excluding any central bank of, or institution owned by, a foreign 
government".   
(b) Takeovers of failing institutions 
6. In some cases, governments have also encour aged the takeover of failing banks by better 
capitalized banks.  This has entailed government support in some cases.  On 9 January 2009, for 
example, the German government announced a cap ital injection of €10 billion into Commerzbank (in 
addition to €8.2 billion previously), and a take up of  25 per cent equity stake to allow it to complete 
the takeover of Dresdner Bank from insurance gi ant Allianz.  On 22 October 2008, the Brazilian 
Government authorized the two largest state- owned banks, Banco do Br asil and Caixa Econômica WT/TPR/OV/W/2 
Page 54  
 
  Federal (CEF), to buy equity stakes in other tr oubled banks.  On 13 October 2008, the US Federal 
Reserve approved a US$12 billion takeover of Wac hovia and its subsidiaries by Wells Fargo.  
(c) Recapitalization schemes 
7. Recapitalization schemes (for which specific amounts have been earmarked) are generally 
available to financial institutions falling under specifi c eligibility criteria.  The French recapitalization 
scheme (approved by the European Commission on 8 D ecember 2008) has been capped at €21 billion, 
of which the first tranche (€10.5 billion) was alread y utilized to recapitalize the top six French banks: 
Crédit Agricole, BNP Paribas, Société Généra le, Crédit Mutuel, Caisse d'Epargne, and Banque 
Populaire.  
8. On 17 October 2008, the German Government in troduced a "Stabilization Law", comprising a 
€500 billion package of measures, of which €70 billion will be available for direct capital injections 
and, if necessary, for purchases of risky assets by the fund.  Potential bene ficiaries include banks 
(including subsidiaries of foreign banks licensed in Germany), insurers, pension funds, stock and 
derivative exchanges, and investment companies.   The amount available to any single financial 
institution and its affiliates for recapitalization pur poses will be limited to €10 billion, and capital 
injections by the fund may be conditioned on concurre nt capital contributions by other shareholders of 
the recipient institutions. 
9. In some cases, the recapitalization of individu al financial institutions has been decided on a 
case-by-case basis.  These include the following exam ples:  Belgium's recapitalization scheme of €3.5 
billion for KBC Group N.V.;  and the Netherlands  recapitalization of SNS REAAL, Aegon N.V., and 
ING Groep N.V.   
10. International initiatives have also focused on r ecapitalization of financ ial institutions.  In 
December 2008, the World Bank set up a US$3 billion Bank Recapitalization Fund, to be managed by 
the IFC, aimed at helping recapitalize banks in sma ll emerging market economies.  It will offer capital 
to banks currently lacking alternative financing, and provide advisory services aimed at strengthening 
private sector development and improving economic and financial performance.  The Fund will be 
financed, initially, by the IFC (US$1 billion) and Japan (US$2 billion). 
11. In February 2009, the European Bank for R econstruction and Development (EBRD), the 
European Investment Bank (EIB) and the World Bank have pledged up to €24.5 billion (US$31 
billion) to help central and east European banks a nd businesses cope with the global financial crisis.  
The EBRD will provide about €6 billion, the EIB about €11 billion, and the World Bank about €7.5 
billion.  The aid will take the form of equity and debt financing, credit lines and political risk insurance.  
(d)  Nationalization of financial institutions 
12. Some Members have resorted to the partial or total nationalization of financial institutions.  
These include the nationalization of Bank Medici by Austria;  the nationalization by Iceland of Kaupthing (largest bank), Landsbanki (second largest bank), Glitnir (third largest bank), and  Icesave; 
the partial nationalization (84 per cent stake) of JS C Parex Banka by Latvia;  the nationalization of 
Fortis Bank Nederland and ABN AM RO Bank Nederland by the Nether lands;  the nationalization of 
Banco Portugués de Negocios by Portugal;  the na tionalization of Carnegie Investment Bank AB 
(largest investment bank) by Sweden;  the acquisition of 43.4 per cent stake in the merged Lloyds HBOS bank by the United Kingdom;  the nationaliza tion of Northern Rock by the United Kingdom;  
and the acquisition of 79.9 per cent stake in AIG by the United States.   WT/TPR/OV/W/2 
 Page 55 
 
 
  13. In some cases, nationalization has taken place after other measures had turned out to be  
unsuccessful to avoid the failure of a systemically im portant institution.  The nationalization of Hypo 
Real Estate in Germany, a leading mortgage lend er, is a case in point.  In October 2008, loan 
guarantees of up to €35 billion were provided to Hypo by the German Government and a group of 
German financial institutions.  Additional guarantees of €20 billion and €10 billion were granted in 
November 2008 and February 2009, respectively.  On 18 February 2009, the German Government 
finally passed a draft law that would pave the way for the nationalization of Hypo Real Estate.  
(e) Expanded government guarantees 
14. Expanded government guarantees have taken basical ly two forms:  increases in the threshold 
on savings eligible for deposit insurance, and pr ovision of loan guarantees, including guarantees on 
interbank loans or on banks' issues of debt.1   
15. Deposit insurance guarantees apply to the liabilit y side of banks' balance sheet.  Members 
having recently increased their deposit protection levels  in reaction to the crisis include Australia; 
Chinese Taipei;  the European Communities (in c oncerted action);  Malaysia;  New Zealand;  
Philippines;  Switzerland;  and the United St ates.  Members having introduced guarantees on 
interbank lending or on banks' issues of debt incl ude Australia, Austria, Canada, Denmark, Finland, 
Germany, Greece, Ireland, Italy, Korea, Latvia, th e Netherlands, Portugal, Slovenia, Spain, Sweden, 
United Kingdom, and the United States.  
16. The main stated purpose of these measures has been to ensure the continued access of banks 
to funding.  The close timing of these actions, howev er, reflects the nature of relations between 
banking markets, which are both interconnected a nd competitive. In many cases, the "financial 
stability" rationale has been accompanie d by a "level playing field" rati onale.  In other words, "trade" 
concerns have been at the heart of many of these actions.  
17. In Asia, four economies – Chinese Taipei;  Hong Kong, China;  Malaysia;  and Singapore – 
introduced unlimited guarantees of all deposits on a temporary basis.  The "trade" rationale has 
influenced some of these decisions  such as when Singapore authorities stated that "the announcement 
by a few jurisdictions in the region of Governme nt guarantees for bank deposits has set off a dynamic 
that puts pressure on other jurisdictions to res pond or else risk disadvantaging and potentially 
weakening their own financial institutions and fi nancial sectors. This is why although Singapore’s 
banking system continues to be so und and resilient, the Government has decided to take precautionary 
action to avoid an erosion of banks’ deposit base an d ensure a level international playing field for 
banks in Singapore."2  Indonesia and the Philippines also increased their protection without making it 
unlimited, though.  
18. Australia's and New Zealand's unlimited deposit guarantee (for three years for the former and 
two years for the latter) have also been motivated  by "level playing field" considerations.  
19. In Europe, "level playing field" considerati ons have also prompted common action regarding 
deposit guarantees.  On 7 October 2008, EC finance ministers decide d to raise minimum bank deposit 
guarantees across all 27 member States and to take coordinated action to save financial institutions.  
On 15 October 2008, the European Commission put forward a revision of EC rules on deposit guarantee schemes, making it mandatory for EC member States to increase the coverage level to at 
                                                     
 
1 At the same time, central banks, in their role as ‘lenders of last resort’ continued to be a source of 
liquidity support to financial institutions, most often in the form of loans extended against collateral. 
2 See, for example, the joint statement by the Ministry of Finance and the Monetary Authority of 
Singapore, 16 October 2008, and the press conference given by the Australian Prime Minister, when announcing 
their respective initiatives.  WT/TPR/OV/W/2 
Page 56  
 
  least €50,000 and within a further year to at least €100,000.  In its opinion of 18 November 2008, the 
European Central Bank emphasized "that any increase in the coverage exceeding the latter of the 
above mentioned amounts should be preceded by clo se coordination at the EC level, as substantial 
differences between national measures may have a count er-productive effect and create distortions in 
the single market."
3  The ECB reiterated its concerns rega rding distortions to competition in its 
Recommendations on Government Guarantees for Ba nk Debt, issued on 19 December 2008, in which 
it said that "the framework for the granting of g overnment guarantees on bank  debt should aim at:  
(i) addressing the funding problems of liquidity -constrained solvent banks by improving the 
functioning of the market for bank debt of longer term maturities;  [and] (ii) preserving the level-
playing field among financial institutions and avoiding market distortions ...".  
20. Loan Guarantees, which apply to the asset si de of banks, have also been used.  These 
guarantees are a form of insurance that covers a lender – typically a commercial bank – against 
default on its loan to either another financial institu tion or a non-financial ins titution.  In light of the 
dry up of inter-bank liquidity last year, several governments have granted guarantees for inter-bank 
lending, with a view to unlocking credit among fina ncial institutions in pa rticular and enhancing 
credit availability more generally.  
21. More recently however, countries have also reso rted to more general loan guarantees, aiming 
at compensating for the insufficient loan activity by private banks and thus improving the access of 
firms to investment and working capital loans.  These guarantees confer an advantage by relieving the final beneficiaries (e.g. corporations) of higher costs in terms of fees and/or interest rates, which they 
would otherwise have to bear under normal market conditions.   
                                                     
 
3 Opinion of 18 November 2008 at the request of the Council of the European Union on a proposal for 
a Directive of the European Directive 94/19/EC on deposit-guarantee schemes as regards the coverage level and 
the payout delay (CON/2008/70). WT/TPR/OV/W/2 
Page 57 
 
 
  ANNEX 4 
Compilation of measures by  Member/Observer Governments1  
(March 2009 – June 2009)  
Country/  
Member State Measure Date Source 
Argentina Incorporation of 12 new items to the list of products 
subject to import licensing procedures such as: aluminium, and miscellaneous articles of base metal.  Various dates WTO Document 
G/LIC/N/2/ARG/4/Add.2 of 1 April 2009. 
Argentina Introduction of "criterion values" (valores criterios) 
for imports of products such as: "cermet" (ceramic and metal manufactures); sweaters and pullovers; 
brake pads, linings, and clutches discs; and electric heating radiators and equipments. 17, 27 March, and 
14 April 2009 Permanent Delegation of Argentina 
to the WTO. 
Argentina Initiation of anti-dumpi ng investigation on imports of 
stainless knives from Brazil and China.  26 March 2009 Permanent Delegation of Argentina 
to the WTO. 
Argentina Initiation of anti-dumpi ng investigation on imports of 
denim from China. 30 March 2009 Permanent Delegation of Argentina 
to the WTO. 
Argentina Initiation of anti-dumpi ng investigation on imports of 
CDs from Paraguay. 30 March 2009 Permanent Delegation of Argentina 
to the WTO. 
Argentina Authorization for frozen pork meat from Paraguay to 
transit through Argentina. 28 April 2009 Resolución SENASA No. 343/09. 
Argentina Initiation of anti-dumpi ng investigation on imports of 
piping accessories from Brazil and China. 12 May 2009 Permanent Delegation of Argentina 
to the WTO. 
Argentina Reported delays in obtaining the necessary import 
licence (average processing times in excess of 100 days). Various dates Press reports, and industry sources. 
Argentina Initiation of anti-dumpi ng investigation on imports of 
steel rollers from China. 2 March 2009 Press reports. 
Argentina Initiation of anti-dumpi ng investigation on imports of 
elevator engines from China. 2 June 2009 Press reports. 
Argentina State loan (Arg$300,000 (US$80,128)) for 
construction or renovation of houses, with 
preferential interest rate (10%). 27 May 2009 Permanent Delegation of Argentina 
to the WTO. 
Argentina Government loan (Arg$150 million (US$40 million)) 
for auto parts manufacturers. 22 April 2009 Lanacion.com. 
Argentina State Loan (US$70 m illion) to local branch of car 
manufacturer GM.  4 June 2009 Clarin.com. 
Armenia Import ban of animal origin food, raw materials, 
feedstuffs, live pigs, pork, pork semen, and feedstuff 
and feed additives for pigs  prepared from pork from 
Mexico and the United States.  ... Ministry of Agriculture website. 
Azerbaijan Import ban of pork products from North America. ... Global Public Health Intelligence 
Network (GPHIN). 
Annex 4 (cont'd) 
                                                      
1 The inclusion of any measure in this table implies no judgement by the WTO Secretariat on whether 
or not such measure, or its intent, is protectionist in nature. Moreover, nothing in the table implies any judgement, either direct or  indirect, on the consistency of any measure referred to with the provisions of any 
WTO agreement or such measure's impact on, or relationship with, the global financial crisis.  WT/TPR/OV/W/2 
Page 58  
 
  Country/  
Member State Measure Date Source 
Australia Gradual reduction of applied tariffs on textiles, 
clothing, and footwear products up to 2015. March 2009 Permanent Delegation of Australia 
to the WTO. 
Australia Initiation of anti-dumpi ng investigation on imports of 
linear low density from Canada and the United States. 28 May 2009 Permanent Delegation of Australia 
to the WTO. 
Australia Programme of nation building investment in 
infrastructure, including roads, metro rail, ports, 
universities and energy efficiency, under the 
Government's 2009-10 Budget. 12 May 2009 Permanent Delegation of Australia 
to the WTO. 
Australia Ford Credit Australia wa s authorized to participate in 
the Special Purpose Vehicle (SPV) funding 
mechanism (up to $A 550 million (US$454.2 million) 
over 12 months). Activation of the SPV is expected to 
occur shortly after the passage of relevant legislation in June 2009. 13 May 2009 Permanent Delegation of Australia 
to the WTO. 
Bahrain Import ban of pork products from: Mexico, the 
United States, and any country with confirmed cases. ... Global Public Health Intelligence 
Network (GPHIN). 
Bangladesh Stimulus package (US$492 million) for a number of 
sectors such as agriculture, electricity generation, and 
social safety net programmes (financial year 2008-2009).  ... Permanent Delegation of 
Bangladesh to the WTO. 
Belarus Import ban of meat, cattle, and poultry feed from: 
Canada, France, Israel, Mexico, New Zealand, Spain, 
and the United States. 
As from 7 May import ban of pigs, pork and pork 
products from Poland. ... Press reports. 
Belarus Elimination of the list of "non-critical" imports (16 
food and 15 non-food items) granting preferential 
access for Russian products.  3 March 2009 Press reports. 
Belarus Ban on fish imports. 14 April 2009 Press reports. 
Belarus Increase of import tariffs on certain goods such as: 
meat (40%); wines (30%); butter, fats, starch and ice 
cream (20%); home appliances (from 25% to 40%); wood products (from 25% to 30%); and vegetables 
(180%).  21 April 2009 Press reports, referring to 
Presidential Edict No. 214. 
Bolivia Import ban of pork a nd subproducts from: Canada, 
Mexico and the United Sates.  Global Public Health Intelligence 
Network (GPHIN). 
Bolivia Increase of import tariffs (to 35%) for 324 tariff lines 
(i.e. clothing, textiles, furn iture), as from June 2009. 15 May 2009 Decreto Supremo No. 0125. 
Bosnia & 
Herzegovina Import ban of pork products from any country with 
confirmed cases. ... Global Public Health Intelligence 
Network (GPHIN). 
Brazil Initiation of anti-dumpi ng investigation on synthetic 
fibre from China. 4 May 2009 Permanent Delegation of Brazil to 
the WTO. 
Annex 4 (cont'd)  WT/TPR/OV/W/2 
 Page 59 
 
 
  Country/  
Member State Measure Date Source 
Brazil New tax incentives (In tegrated Drawback) for 
exporters (mainly agri-businesses); consisting in the elimination of the IPI excise tax (5%), or the 
PIS/Cofins social security  tax (9.5%) on the purchase 
of inputs (local and imported) to be used in the 
manufacturing of export products. 
A similar scheme was already in place for machine 
parts, and equipment. 8 April 2009 The Bureau of National Affairs. 
Brazil Increase of import tariffs (from duty free to 12-14%) 
on steel products (included on its national list of 
exemptions to the Mercosur Common Tariff). 5 June 2009 Resolução da Câmara de Comércio 
Exterior (Camex) No. 28. 
Brazil Additional credit line (US$4 billion) for State 
Governments through the National Development 
Bank (BNDES). 17 April 2009 Permanent Delegation of Brazil to 
the WTO. 
Brazil Liquidity provision to the banking system (US$25 
billion). 
Expansion of access to freel y convertible currencies. 
Banco Do Brasil and Ca ixa Economica Federal 
(Federal banks) authorized to constitute subsidiaries 
and acquire participation in financial institutions. 4 March 2009 Permanent Delegation of Brazil to 
the WTO. 
Brunei Darussalam Import ban of pork meats from any country with 
confirmed cases. ... Global Public Health Intelligence 
Network (GPHIN). 
Cameroon Import ban of pork products from any country with 
confirmed cases. ... Global Public Health Intelligence 
Network (GPHIN). 
Canada Establishment of a tariff rate quota (10,000 tonnes) 
for milk protein substances with a milk protein 
content of 85% or more, that do not originate in a NAFTA country, Chile, Costa Rica, or Israel, for the 
period 1 April 2009 to 31 March 2010 (in-quota tariff 
rate of 0%, and over-quota tariff rate of 270%). 1 April 2009 Permanent Delegation of Canada to 
the WTO. 
Canada Initiation of anti-dumping investigation on imports of 
mattress innerspring units from China. 27 April 2009 Permanent Delegation of Canada to 
the WTO. 
Canada Renewal of the program me allowing the remission of 
customs tariffs on the temporary importation of mobile offshore drilling units, for a further five-year 
period. 4 May 2009 Permanent Delegation of Canada to 
the WTO. 
Canada Disbursement of govern ment loans to GM of Canada 
and Chrysler Canada. The G overnment has also taken 
an ownership position in these companies. 30 March 2009 Permanent Delegation of Canada to 
the WTO. 
Canada Additional measures for the automotive industry, 
including the Canadian Warranty Commitment 
Programme, to guarantee warranties from GM of 
Canada and Chrysler Canada  during the restructuring 
period, and expanded acc ounts receivable insurance 
for automotive parts suppliers. April 2009 Permanent Delegation of Canada to 
the WTO. 
Canada Allocation to the Cana dian Secured Credit Facility 
(Can$10 billion (US$9.1 billion)) to purchase term 
asset-back securities (A BS) backed by loans and 
leases on vehicles and equipment. 8 May 2009 Permanent Delegation of Canada to 
the WTO. 
Canada Government support (Can$1 billion (US$911 
million)) to the pulp and paper industry.   18 June 2009 New York Times. 
Annex 4 (cont'd) WT/TPR/OV/W/2 
Page 60  
 
  Country/  
Member State Measure Date Source 
Chad Import ban of pork products from any country with 
confirmed cases. ... Global Public Health Intelligence 
Network (GPHIN). 
China Import ban of live pigs, pork products from: Mexico 
and a number of US states (26 and 29 April), and Canada (Alberta) (3 May). ... Permanent Delegation of China to 
the WTO. 
China Initiation of anti-dumping investigation on imports of 
nucleotide-type food add itives from Indonesia and 
Thailand. 24 March 2009 Permanent Delegation of China to 
the WTO. 
China VAT rebate rates increased on exports of certain 
products including: iron and steel; non ferrous metals; petrochemicals; electronic and information 
technology products; and also some light industries such as textiles and clothi ng. None of these rebates 
exceed the current VAT rate of 17%. 1 April 2009 Permanent Delegation of China to 
the WTO. 
China Establishment of cu rrency swaps (Y 650 billion) 
(US$95.2 billion), to facilitate  trade with: Argentina, 
Belarus, Indonesia, Malaysia, Hong Kong China, and 
Korea. 2 April 2009 Permanent Delegation of China to 
the WTO. 
China New Guidelines on "The Opinion on Further 
Strengthening Administration of Government 
Procurement", restating the national treatment 
exemption provided for in the Law on Government 
Procurement.  10 April 2009 Permanent Delegation of China to 
the WTO. 
China Initiation of anti-dumping investigation on imports of 
polyamide-6 (PA6) from the EC, Chinese Taipei, Russia, and the United States. 29 April 2009 Permanent Delegation of China to 
the WTO. 
China Changes in tourism regulation allowing foreign 
invested travel and foreign tourist agencies (already 
established in China) to open local branches. 1 May 2009 Permanent Delegation of China to 
the WTO. 
China Resumption of imports of chicken from Br azil. 20 May 2009 Permanent Delegation of China to 
the WTO. 
China New Postal Law, repeating the relevant provisions in 
previous legislation which excluded foreign 
companies from providing local express delivery of letters (weighing less than 150 grams), effective as 
from 1 October 2009. 24 April 2009 Xinhua's China Economic 
Information Service. 
China Press reports indicate that some provincial and city 
governments encourage the domestic purchases of 
products. 
It is reported that on 1 June the Chinese National 
Development and Reform Commission issued a notice jointly with seven other ministries reminding 
all authorities to apply "Buy Chinese" rules in all 
procurement financed by the stimulus package.  17 June 2009 Press reports referring to official 
announcement (2009-No. 1361), 
and the Financial Times. 
China Financial refund for farmers purchasing light cargo 
vehicles (measure valid from 1 March until 31 December 2009). 1 March 2009 Permanent Delegation of China to 
the WTO. 
China Expansion of the scope of the support policy for 
disposal and renewal of used vehicles (refund of no 
more than the purchase tax of the vehicle). March 2009 Permanent Delegation of China to 
the WTO. 
Annex 4 (cont'd)  WT/TPR/OV/W/2 
 Page 61 
 
 
  Country/  
Member State Measure Date Source 
China Pilot programme of incentives (10% refund of the 
sale price) for the purchase of energy-efficient appliances including: TV, refrigerators, washing 
machines, air conditioners, and computers (Y 20 billion (US$2.9 billion)). June 2009 Permanent Delegation of China to 
the WTO. 
China New rules governing financial services information 
providers, allowing them to compete more freely in 
local market. 1 June 2009 Permanent Delegation of China to 
the WTO. 
Costa Rica Economic and social stimulus programme (Plan 
Escudo) including measures (among others) aimed at 
strengthening the banking system, facilitating credit 
for SMEs, and capitalization of State banks. ... Permanent Delegation of Costa 
Rica to the WTO. 
Croatia Import ban of pork products and live hogs from 
several countries with confirmed cases in North and 
South America (ban introduced on 29 April, abolished for all countries except Mexico on 8 May, 
and completely eliminated on 16 June 2009).  ... Permanent Delegation of Croatia to 
the WTO. 
Dominican Republic Initiation of safeguard inve stigation on imports of 
glass bottles. 15 April 2009 WTO Document G/SG/N/6/DOM/1 
of 15 April 2009. 
EC Initiation of anti-dumping investigation on imports of 
certain cargo scanning systems from China. 18 March 2009 Commission Notice 2009/C 63/09 
of 18 March 2009. 
EC Initiation of anti-dumping investigation on imports of 
certain molybdenum wires, containing by weight at 
least 99.95% of molybdenum, of which the maximum cross-sectional dimensi on exceeds 1.35 mm but does 
not exceed 4 mm (CN Code: 8102 96 00) from China. 8 April 2009 Commission Notice 2009/C 84/07 
(OJ C 84/5). 
EC Increase export refunds for milk and milk products. 5 June 2009 Comm ission Regulations No. 
461/2009 of 4 June 2009 (OJ L 
139/15).  
EC Increase (from €25 billion to €50 billion (US$35.2- 
US$70.5 billion)) for the outstanding amount of loans 
to be granted under the EC medium-term assistance for balance of payments facility. 18 May 2009 Council Regulation No. 431/2009 
of 18 May 2009 (OJ L 128/1). 
Austria Temporary aid scheme granting compatible aid of up 
to €500,000 (US$704,750), in the form of direct grants, interest rate subsid ies, subsidised public loans 
and public guarantees. Aid can be granted until 31 December 2010. (Beneficiary: companies that 
were not in difficulty on 1 July 2008). 20 March 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Austria Temporary modification of the existing risk capital 
investment scheme ‘Eigenkapitalgarantien’. In 
particular, the measure allows an increase of the 
maximum investment tranches from €1.5 million 
(US$2.1 million) to €2.5 million (US$3.5 million) 
over each 12 month period until 31 December 2010. 
The minimum private participation for risk capital 
investments is temporarily reduced from 50% to 30%. (Beneficiary: businesses). 25 March 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Annex 4 (cont'd) WT/TPR/OV/W/2 
Page 62  
 
  Country/  
Member State Measure Date Source 
Belgium Temporary scheme providing aid in the form of 
subsidized guarantees fo r investment and working 
capital loans. The reduction of the guarantee fee can 
be applied during the period of up to two years for loan guarantees contracted no later than 
31 December 2010. Where the duration of the 
underlying loan exceeds two years, the safe harbour premiums, may be applied for the remaining period 
of the guarantee. The maximum duration of 
guarantees granted under the scheme is limited to five years. (Beneficiary: companies in Flanders that were 
not in difficulty on 1 July 2008). 20 March 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Belgium/ France/ Luxembourg Initiation by the European Commission of an 
investigation under the EC Treaty on State Aid Rules, to establish whether the restructuring plan for the 
Dexia Group will restore the group's long term viability.  13 March 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Belgium/ Luxembourg Additional aid measures stemming from amendments 
of the agreement between  Fortis Holding, BNP 
Paribas, Fortis Bank and the Belgium and Luxembourg authorities. Belg ium accepted to assume 
a larger part of the risk of the investment vehicle 
which will purchase impaired assets from Fortis Bank, Fortis Holding’s exposure being reduced 
accordingly. Belgium offere d to provide guarantees 
on a new €1 billion (US$1.4 b illion) loan from Fortis 
Bank to Fortis Holding and on financial liabilities of 
Fortis Holding towards For tis Bank. Belgium gave to 
Fortis Bank a call option on the BNP Paribas shares it would acquire. Belgium accepted to provide Fortis 
Bank with a second loss guarantee on the structured 
credit portfolio retained by Fortis Bank. Belgium 
accepted that the investment vehicle, in which it assumes the largest part of the risk, purchases 
additional impaired asse ts from Fortis Bank. 
(Beneficiary: Fortis). 12 May 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Czech Republic Temporary scheme which allows government, 
regional and local authorities to grant aid in the form of reduced interest rates on loans. The lower rates 
available for loans contracted no later than 31 December, but only on interest payments up to 
31 December 2012. After that date firms have to pay 
market rates. (Beneficiary: companies that were not in difficulty on 1 July 2008). 6 May 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Czech Republic Temporary scheme granting compatible aid of up to 
€500,000 (US$704,750) per company over the period 
2009-10. The aid can be granted in the form of direct grants, reimbursable grants, interest rate subsidies, 
subsidised public loans and public guarantees. 
(Beneficiary: companies that were not in difficulty on 
1 July 2008). 7 May 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Annex 4 (cont'd)  WT/TPR/OV/W/2 
 Page 63 
 
 
  Country/  
Member State Measure Date Source 
Denmark Export credit insurance scheme, under which, the 
Danish state export-cred it agency Eksport Kredit 
Fonden (EKF) can provide export-credit reinsurance 
to complement insurance cover available on the private market. Under the re insurance agreement with 
the private credit insurer, EFK takes over the part of 
the risk related to those tr ansactions for which private 
insurers have withdrawn their cover. Both, the private 
insurers and the exporters retain part of the 
underlying risk. (Beneficiary: export firms). 6 May 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Denmark Aid to Fiona Bank's rest ructuring, in the form of a 
credit facility (up to €685 million (US$965.5 
million)), and capital injection (€134 million (US$189 million)). Under the te rms of the rescue aid, 
all assets and liabilities (ex cept subordinated debt and 
equity) will be transf erred to a new entity.  20 May 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Finland Extension of support scheme (the instruments 
guaranteed under the scheme may be issued until 31 December 2009). Also, the scope of the scheme has 
been broadened, so that guarantees can now cover instruments with a maturity of up to five years. 
Previously, the maximum maturity was three years 
(except for covered bonds). (Beneficiary: financial institutions). 30 April 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
France Modification of risk capital scheme. The temporary 
modification consists of raising the maximum 
investment tranches from  €1.5 million to €2.5 million 
(US$2.1-US$3.5 million) ove r each 12-month period. 
This amendment is valid until the end of 2010. 
(Beneficiary: businesses). 16 March 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
France State Aid (€30,000 m illion (US$42.3 million)) to 
guarantee prices of milk at €280/1,000 litres 
(US$394.7/1,000 litres) for producers during 2009. 5 June 2009 Le Monde. 
France Amendment to capital injection scheme. The 
amendment relates to the terms governing the 
remuneration and reimbursement of the preference shares issued by the benefi ciary banks in return for 
their recapitalisation by the State. (Beneficiary: credit 
institutions). 24 March 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
France Further €2.45 billion (US$3.45 billion) capital 
injection into the instituti on to be created by the 
merger between the Caisse d'Epargne and Banque 
Populaire. (Beneficiary: Caisse d'Epargne and Banque Populaire). 8 May 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
France Extension of scheme for refinancing credit 
institutions. Apart from the period of the application, 
all other conditions (such as eligible institutions, remuneration and safeguards against possible abuse) 
remain as laid down in the original decision. 
(Beneficiary: cred it institutions). 12 May 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Germany Tax relief (€0.2556 /litre (US$0.36/litre)) on fuel 
(diesel) purchased by German farmers, potentially saving more than €500 million (US$704.7 million) 
over the next two years. 26 May 2009 Welt.de and Financial Times. 
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  Country/  
Member State Measure Date Source 
Germany Bridging loans for six months guaranteed by Federal 
Government (€1.5 billion (US$2.1 billion)) to car manufacturer Opel. 3 June 2009  Press reports. 
Germany Recapitalization of Comm erzbank. Second tranche of 
the capital injection in the amount of €10 billion 
(US$14.1 billion). Presenta tion of a business plan 
setting out measures to restore the viability of the bank. (Beneficiary: Commerzbank). 7 May 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Germany Prolongation of the risk shield and accompanying 
measures. The aid is conditional upon the approval of 
the restructuring plan (reorientation of WestLB’s business into less risky activities as well as change of 
the bank’s ownership structure through a public 
tender procedure before the end of 2011) by the statutory bodies of all of WestLB’s owners. 
(Beneficiary: WestLB bank). 12 May 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Germany Liquidity facility and State Guarantee for German 
bank Sachsen LB, in the context of its sale to 
Landesbank Baden Württemberg (LBBW).  4 June 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Hungary Temporary scheme allowing authorities to grant aid 
in the form of subsidized guarantees for investment 
and working capital. During the period of up to two years the guarantee fee for loan and leasing 
guarantees contracted no later than 31 December can 
be reduced by 25% compared with the market level fee. The guarantee coverage can amount to 90% of 
the underlying loan or leasing. Guarantees can only 
be given under the scheme to small and medium-sized enterprises up to a total of €2.5 million (US$3.5 
million) per beneficiary. (Beneficiary: companies that 
were not in difficulty on 1 July 2008). 10 March 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Hungary Temporary scheme allowing authorities to grant aid 
in the form of subsidized guarantees for investment 
and working capital. The reduction of the guarantee 
fee can be applied during a period of up to two years 
for a loan guarantees contracted no later than 31 December 2010. Where the duration of the 
underlying loan exceeds two years, the safe harbour 
premium, may be applied for an additional maximum period of eight years. The maximum duration of 
guarantees granted under the scheme is limited to ten 
years. The scheme is a national framework scheme allowing aid to be granted at central, regional and 
local level. It can be applied to small and medium-
sized enterprises as well as to large firms and the guarantees amount can also be higher than €2.5 
million (US$3.5 million). (Beneficiary: companies 
that were not in difficulty on 1 July 2008). 24 April 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Ireland Temporary measure allowing the State to grant aid of 
up to €500,000 (US$704,750) per firm in 2009 and 2010. The aid can be granted in the form of direct 
grants, reimbursable grants, interest rate subsidies, and subsidized public loan s. (Beneficiary: companies 
that were not in difficulty on 1 July 2008). 14 April 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
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  Country/  
Member State Measure Date Source 
Ireland Emergency recapitalization worth €3.5 million 
(US$4.9 million) granted by  State authorities. The 
shares to be issued will qualify as core tier 1 capital. 
They will produce a dividend of 8% payable annually, at the discretion of the bank and in priority 
to dividends on ordinary shares, with detachable 
warrants after five years. The shares will carry 25% of the voting rights in Bank of Ireland. The bank can 
repurchase the shares at par during maximum five 
years. After that period, shares can be repurchased at 125% of par. On purchase of the preference shares, 
the State will also receive an option to purchase 25% 
of the existing ordinary shares in the bank. This option may be exercised from the fifth to the tenth 
anniversary of the preferred shares’ purchase. 
(Beneficiary: Bank of Ireland). 26 March 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Ireland Emergency recapitalization of Allied Irish Bank (€3.5 
million (US$4.9 million)). 12 May 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Latvia Temporary measure allowing the State to grant aid of 
up to €500,000 (US$704,750) per firm in 2009 and 2010. The aid will be provided in the form of short-
term export credit guarantees (up to two years). (Beneficiary: export firms that were not in difficulty 
on 1 July 2008). 19 March 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Latvia Scheme aimed at providing relief to companies 
encountering financial difficulties as a result of the 
credit crunch. The scheme allows the granting of 
subsidized guarantees for initial investment and 
working capital loans concluded by 31 December 2009.  22 April 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Luxembourg Temporary guarantee scheme enabling the 
Government to grant aid to businesses until 31 December 2010 in the form of guarantees for 
investment and working capital. The reduction in the guarantee premium will apply for a maximum of two 
years. If the duration of the underlying loan exceeds 
two years, the safe harbour premium can be applied for an additional maximum pe riod of eight years. No 
further reduction can be applied to these guarantee 
premiums. The guarantees granted under this aid scheme will last for ten years at most. (Beneficiary: 
companies that were not in difficulty on 1 July 2008). 11 March 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Luxembourg Temporary export-credit insurance scheme, under 
which the export-credit agen cy concerned, Ducroire 
Luxembourg, will provide export-credit insurance to 
complement insurance policies taken out with private 
insurance companies. Ducroi re can provide credit up 
to a higher limit where evid ence exists that private 
insurers have excessively reduced or even refused 
credit. The budget earmarked for this measure amounts to €25 million (US$35.2 million). 
(Beneficiary: Insurance market). 20 April 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Malta The European Commission authorized a support 
measure for businesses. Aid of up to €500,000 
(US$704,750) per firm may be granted in 2009 and 
2010. (Beneficiary: businesses facing funding 
problems because of the current credit crunch). 20 May 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
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  Country/  
Member State Measure Date Source 
Netherlands Temporary measure allowing the State to grant aid of 
up to €500,000 (US$704,750) per firm in 2009 and 2010. The aid can be granted in the form of grants, 
interest rate subsidies, loans and public guarantees. (Beneficiary: companies that were not in difficulty on 
1 July 2008). 1 April 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Netherlands Illiquid a sset back-up facility. U nder the transaction, 
the Dutch State will buy the right to receive the cash flows on 80% of US$39 billion portfolio, mostly 
consisting of "Alt-A" mortgages, by paying ING about US$28 billion. That amount will be paid by the 
Dutch State in accordance w ith a pre-agreed payment 
schedule. (Beneficiary: financial group ING). 31 March 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Portugal Government loan (US $1.2 billion) for footwear and 
textile industries. 2 April 2009 Press reports. 
Portugal State guarantee, assisted by collaterals, on a €450 
million (US$634.3 million) loan granted by six 
Portuguese banks to Banco Privado Portugues. The loan has a duration of six months and can only be 
used to face liabilities as registered in the balance 
sheet on 24 November 2008. The aid constitutes a temporary measure and Portugal has committed to 
provide a restructuring plan for Banco Privado 
Portugues within six months of the state intervention. (Beneficiary: Banco Privado Portugues). 13 March 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Portugal Bank recapitalization scheme. The measure will make 
available new capital to elig ible credit institutions, in 
exchange for instruments eligible as tier 1 capital (ordinary or preference sh ares). The size of the 
scheme is limited both as regard the overall amount 
(capped at €4 billion (US$5. 6 billion)) and in respect 
of individual beneficiaries (maximum 2% of the credit institutions' risk weighted assets).  20 May 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Slovak Rep. Temporary measure allowing the State to grant aid of 
up to €500,000 (US$704,750) per firm in 2009 and 
2010. The aid can be granted in the form of grants and remission of penalties fo r non-payment of taxes. 
(Beneficiary: companies that were not in difficulty on 
1 July 2008). 29 April 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Slovenia Liquidity scheme for fina ncial sector, to provide short 
and medium term financing to credit institutions unable to obtain funds on the financial markets.  20 March 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
Spain Temporary scheme allowing interest rate subsidies 
for the production of environmentally-friendly 
("green") cars. Subsidized loans may be granted until 
31 December 2009 with a maximum term of two 
years. The reduction in the interest rate may not exceed 50% for small and medium-sized enterprises 
(SMEs) and 25% for large businesses, in relation to 
the reference rate, and must take into account the enterprise’s risk profile wh en the loan is granted. 
(Beneficiary: companies (car and car component 
industry) that were not in difficulty on 1 July 2008). 29 March 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Spain Loan (US$500 million) to car industry (Nissan), 
through the European Investment Bank. 4 April 2009 BBC Mundo.com 
Annex 4 (cont'd)  WT/TPR/OV/W/2 
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  Country/  
Member State Measure Date Source 
Spain New stimulus package, including measures such as 
loans (€2,000 (US$2,819)) for purchase of new cars. 12 May 2009 BBC News. 
Sweden Amendments to the Sw edish State guarantee scheme 
for financial institutions. The changes concern the prolongation of the scheme’s validity until 31 
October 2009 (instead of 30 April 2009) and the extension of its scope by including uncollateralized debt instruments with a term of up to five years 
(instead of three years), which could amount up to 
one third only of a total of SKr 1,500 billion (US$200.6 billion). Changes to the eligibility criteria 
for institutions covered by the scheme. Participating 
banks will only need to meet the basic legal capital requirements (and not the enhanced capital levels like 
before). (Beneficiary: financial institutions). 28 April 2009 Public information available on the 
European Commission's website transmitted by the EC Delegation. 
United Kingdom The European Commission authorized under EC 
Treaty on State Aid Rules a scheme aimed at 
relieving firms that encount ered financial difficulties 
as a result of the current credit crunch. The measure 
allows national, regional a nd local authorities to grant 
aid in the form of reduced interest rates on loans of 
any duration concluded by 31 December 2010.  15 May 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
United 
Kingdom Loan (US$400 million) to car industry (Jaguar, Land 
Rover and Nissan), through the European Investment 
Bank. 4 April 2009 BBC Mundo.com. 
United 
Kingdom "Scrapping scheme" (£2,000 (US$3,311)) for vehicles 
older than 10  years, and weighing less than 3.5 
tonnes, as from 18 May 2009. 14 April 2009 BBC News. 
United 
Kingdom Incentive (£5,000 (US$8,277)) for purchase of an 
electric car. 16 April 2009 The Guardian. 
United 
Kingdom Government loan (£5 million (US$8.3 million)) to 
Malaysian firm Weststar, for taking over UK van 
maker LDV (Birmingham). 6 May 2009 BBC News. 
United 
Kingdom Guarantee scheme to support the provision of 
working capital loans to financial businesses 
operating in the UK market, including subsidiaries of 
foreign firms. The UK Government will provide a 
guarantee of up to 50% in respect of portfolios of working capital loans to sound, credit worthy 
companies with an annual turnover of up to £500 
million (US$709 million). This scheme has a budget of £10 billion (US$14.2 billio n), and its duration is 
limited to two years. (Beneficiary: banks). 24 March 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
United 
Kingdom Extension of financial su pport measures until 13 
October 2009. Banks that benefit from the schemes 
have to agree in turn to pr ovide loans to companies in 
the real economy and individuals. The UK considered 
that the original limit on guaranteed issue of £250 billion (US$354.5 billion) re mained appropriate. The 
amount set aside for recapitalization remained £50 
billion (US$70.9 billion). The eligible beneficiaries 
remained fundamentally sound banks, with eligible 
liabilities of above £500 million (US$709 million). A 
capital injection into a bank that has already accessed the recapitalisation scheme, however, will be subject 
to individual notification and approval. (Beneficiary: 
banks). 15 April 2009 Public information available on the 
European Commission's website 
transmitted by the EC Delegation. 
Annex 4 (cont'd) WT/TPR/OV/W/2 
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  Country/  
Member State Measure Date Source 
Ecuador Import ban of live pigs and pork products from 
Canada. (A ban on imports coming from Mexico was lifted on 12 May). ... Permanent Delegation of Ecuador 
to the WTO. 
Ecuador Import tariff elimination for hybrid cars. ... Permanent Delegation of Ecuador 
to the WTO. 
Egypt New import tariffs for products such as: cocoa; 
cigarettes; chemicals; steel products; and 
machineries.  ... Presidential Decree No. 51/2009. 
Egypt Elimination of import tariffs on yarn , tin and textiles. 10 April 2009 Global Insight. 
Egypt Elimination of additional tariffs (10%) on imports of 
steel.  18 April 2009 Press reports. 
Egypt Elimination of a "precautionary fee" of 25%, which 
was imposed in January 2009, on imports of cotton 
yarn; fabric; and sugar; from India. 23 April 2009 The Press Trust of India Limited. 
Egypt Extension of export ban on ri ce until October 2009. ... Press reports. 
Egypt Increase in economic stimulus plan to LE 30 billion 
(US$5.35 billion), half of th e amount to be spent in 
the first semester of the year. ... Press reports. 
El Salvador Temporary import ban (introduced on 25 April) of 
pork products from: Canada , Mexico, and the United 
States. On May 1, the ban was lifted. ... Permanent Delegation of El 
Salvador to the WTO. 
Gabon Import ban of pork and pork products from Mexico. ... Global Public Health Intelligence 
Network (GPHIN). 
Ghana Import ban of pork products from any country with 
confirmed cases. ... Press reports. 
Honduras Import ban of pork meat from: Canada, Mexico, and 
the United States. On 4 May, the ban on imports coming from Mexico and the United States was 
lifted. ... Global Public Health Intelligence 
Network (GPHIN). 
Hong Kong, China Enhancement of a number of support schemes for 
SMEs (Special Loan Guar antee Scheme, SME Loan 
Guarantee Scheme, and SME Export Marketing 
Fund). 15 June 2009 Permanent Delegation of Hong 
Kong, China to the WTO. 
Iceland Straumur Burdaras taken over by the Financial 
Supervisory Authorithy. 
Glitnir, Landsbanki, Kaupthing, and Straumur 
brought under State control. 9 March 2009 Press reports. 
India Removal of duty (20%) on imported crude soybean 
oil (Customs Notification No. 27/2009).  24 March 2009 Permanent Delegation of India to 
the WTO. 
India Import duty exemption on pulses (Customs 
Notification No. 28/2009). 26 March 2009 Permanent Delegation of India to 
the WTO. 
India Initiation of safeguard i nvestigation (China specific) 
on front axle, beam, steeri ng knuckle and crankshaft. 2 April 2009 WTO Document G/SG/N/16/IND/6 
of 11 May 2009. 
India Initiation of safeguard investigation on imports of 
acrylic fibre. 9 April 2009 WTO Document G/SG/N/6/IND/21 
of 11 May 2009. 
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  Country/  
Member State Measure Date Source 
India Initiation of safeguard investigation on imports of 
hot-rolled coils, sheet, strips. 9 April 2009 WTO Document G/SG/N/6/IND/22 
of 11 May 2009. 
India Exemption of import tariffs on raw and refined, or 
white sugar, under specified conditions. 17 April 2009 Permanent Delegation of India to 
the WTO. 
India Initiation of safeguard investigation on imports of 
coated paper and paper board. 20 April 2009 WTO Document G/SG/N/6/IND/23 
of 11 May 2009. 
India Initiation of safeguard investigation on imports of 
uncoated paper a nd copy paper. 20 April 2009 WTO Document G/SG/N/6/IND/24 
of 26 May 2009. 
India Initiation of anti-dumping investigation on SDH 
transmission equipment from China and Israel. 21 April 2009 Permanent Delegation of India to 
the WTO. 
India Initiation of safeguard investigation on imports of 
plain particle board. 22 April 2009 WTO Document G/SG/N/6/IND/25 
of 26 May 2009. 
India Initiation of safeguard i nvestigation (China specific) 
on passenger car tyres. 18 May 2009 WTO Document G/SG/N/16/IND/7 
of 4 June 2009. 
India Different charges levied  on steel imports: import duty 
(5%); ocean freight (US$50/tonne); and incidental 
charges (US$85/tonne). 16 April 2009 The Economic Times. 
India New export subsidies to cotton farmers (Textile 
Upgradation Funds Scheme (TUFS); drawback 
programmes; tax holidays for export products; and preferential export financing). 
Increase of Minimum Support Prices for cotton 
(US$0.75/pound). 22 April 2009 The Dow Jones Commodities 
Services, and the Press Trust of 
India Limited. 
India Removal of a two-year ban on wheat exports. 15 May 2009 Business Standard Ltd. 
India Initiation of anti-dumping investigation on imports of 
circular weaving machines from China. 18 May 2009 Press reports. 
India Initiation of anti-dumping investigation on imports of 
barium carbonate from China. 16 June 2009 Press reports. 
Indonesia Import ban of pigs a nd pork products from countries 
with confirmed cases (ban not applied to processed 
pork derivatives). ... Permanent Delegation of Indonesia 
to the WTO. 
Indonesia Stricter enforcement of registration requirements on 
imported and domestic packaged food products. 1 March 2009 Permanent Delegation of Indonesia 
to the WTO. 
Indonesia Recent measures to facilitate trade on iron and steel 
products (reduction in the number of regulated tariffs, extension of the coverage of exemptions from 
registration, and verification requirements). March 2009 Permanent Delegation of Indonesia 
to the WTO. 
Indonesia Certain new measures addressing local content 
requirements in investment in the telecommunication sector. Procedures for implementation of this 
regulation seem still to be under consideration. ... Press reports referring to Decree 
07/PER/M.KOMINFO/01/2009. 
Israel Initiation of safeguard investigation on imports of 
steel rebars. 26 March 2009 WTO Document G/SG/N/6/ISR/1 
of 26 March 2009. 
Israel Initiation of anti-dumping investigation on imports of 
stretch wrap and paper. 2 April 2009 Press reports. 
Annex 4 (cont'd) WT/TPR/OV/W/2 
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  Country/  
Member State Measure Date Source 
Israel Stimulus package including measures such as 
guarantee for exporters (US$4.7 billion). 23 April 2009 Press reports. 
Japan A few local governments reported to be 
implementing policies to encourage purchases of 
local products (such as: cars, TV sets, and other 
electronic equipment). March 2009 Press reports. 
Japan New Stimulus Pack age (¥15.4 trillion (US$161 
billion)) (3% GDP) to ease credit squeeze; provide 
safety net for unemployed, and stimulate consumer 
demand. April 2009 Permanent Delegation of Japan to 
the WTO. 
Japan Government program me (¥370 billion (US$3.87 
billion)), to encour age the purchase of 
environmentally friendly vehicles (local and 
imported). The amount of subsidies depends on the 
type of the vehicle, the age of the car to be replaced, or simply purchase of new one without replacement. 
Programme applicable from 19 June 2009 to 31 
March 2010. June 2009 Permanent Delegation of Japan to 
the WTO. 
Jordan Import ban of live swine, their meat and meat 
products (including transit) from countries with confirmed cases.  ... WTO Document G/SPS/N/JOR/20 
of 25 May 2009. 
Jordan Monetary and fiscal measures (such as tax reduction 
on accommodation services) to minimize the impact 
of the global crisis on the economy. March 2009 Permanent Delegation of Jordan to 
the WTO. 
Kazakhstan Import ban of raw meat from: Mexico and a number 
of US states. 
On May 12, the ban on imports coming from Mexico 
was lifted.  ... Global Public Health Intelligence 
Network (GPHIN). 
Kazakhstan Stimulus package (T 1.2 trillion (US$7.98 million)). 
US$10 billion from the National Oil Fund for 
agricultural development. ... Press reports. 
Kazakhstan Takeover of two of the six biggest banks (BTA). ... Press reports. 
Korea, Rep of Temporary import ban of swine from North America.  
Imports of pork allowed after testing. ... Permanent Delegation of Korea to 
the WTO. 
Korea, Rep. of Reduction in the number of work permits for 
unskilled/semi-skilled foreigners, from 100,000 to 34,000, reflecting reduced domestic labour demands, 
under the Employment Permit System, which operates to introduce foreign workers.  Work permits 
for foreign professionals are not affected.. 26 March 2009 Permanent Delegation of Korea to 
the WTO. 
Korea, Rep of 70% cut on individual consumption tax and 
acquisition/registration tax for new automobiles 
(local and imported) purchased to replace old 
automobiles (registered before 31 December 1999). 
Measure effective until 31 December 2009. 1 May 2009 Permanent Delegation of Korea to 
the WTO. 
Korea, Rep of Extension of St ate guarantee (US$100 billion) for up 
to five years for foreign currency denominated banks' borrowings made between 20 October 2008 and 31 
December 2009. The programme applies equally to local and foreign banks constituted under Korean 
Law. March 2009 Permanent Delegation of Korea to 
the WTO. 
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  Country/  
Member State Measure Date Source 
Kuwait Stimulus package to guarantee bank loans to local 
businesses. 30 March 2009 Thai News Service. 
Kyrgyz Rep. Import ban of all meat and meat products from: 
Mexico and certain US states. Import ban on pork and pork products from a number of Central American 
countries (27 April). ... Permanent Delegation of Kyrgyz 
Republic to the WTO. 
Lebanon Import ban of pigs and pork from countries with 
confirmed cases. ... WHO. 
Former 
Yugoslav Republic of 
Macedonia Import ban of live pigs from: Mexico, the United 
States, and countries with confirmed cases. ... Global Public Health Intelligence 
Network (GPHIN). 
Malaysia Import ban of pork products from countries with 
confirmed cases. On 4 June, the ban was lifted. ... Permanent Delegation of Malaysia 
to the WTO. 
Malaysia Liberalization of services sectors including the 
relaxation of foreign equity limits, by removing the 
30% "Bumiputra" equity ownership on 27 services sub-sectors (in areas such as health and social; 
tourism; transport; business; computer and related 
activities; and sporting). 22 April 2009 Permanent Delegation of Malaysia 
to the WTO. 
Malaysia Increase in foreign equ ity limits: greater flexibility for 
domestic Islamic banks to enter into strategic partnership with foreign players through an increase 
foreign equity limit (up to  70%); increase in foreign 
equity limits on investment banks, insurance 
companies and "takaful" (Islamic insurance) 
operators (from 49% to 70%). 
Issuance of new licences: two commercial banking 
licenses to be granted in 2009 to foreign players 
(three in 2011); two Islamic banking licences to be granted in 2009 to foreign players; and two family "takaful" licences to be granted in 2009. 
Locally incorporated foreign banks, will be allowed 
to establish 10 microfinance branches, and four new branches in 2010. 
Locally incorporated fore ign insurance companies 
and "takaful" operators are allowed to establish branches nationwide without restriction. 28 April 2009 Permanent Delegation of Malaysia 
to the WTO. 
Mexico Imposition of new restrictions on imports of diesel 
trucks. 31 March 2009 Permanent Delegation of Mexico to 
the WTO. 
Mexico Measures to simplify tr ade procedures (Paquete de 
Simplificación Comercial) through the elimination of 
tariffs on imports of used parts.  9 April 2009 Permanent Delegation of Mexico to 
the WTO. 
Mexico Stimulus package (US$2.1 billion), including 
measures for the tourism sector. 7 May 2009 Les Echos. 
Moldova Import ban of pork and pork meat products from 
Canada. 
Ban on transit of live animals from countries with 
confirmed cases. ... Press reports. 
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  Country/  
Member State Measure Date Source 
Mongolia Tariff increases for eggs and potatoes (from 5% to 
15%), as from 13 March 2009. 13 March 2009 Permanent Delegation of Mongolia 
to the WTO, and Parliament Resolution No. 26 of 12 March 
2009. 
Montenegro Import ban of pork from: North America, and 
countries with confirmed cases. ... Global Public Health Intelligence 
Network (GPHIN). 
Morocco Import ban of pork products from any country with 
confirmed cases. ... Press reports. 
Morocco Temporary increase of import tariffs (to 170%) on 
durum wheat. 8 June 2009 Agra Europe (Agra-net.com). 
New Zealand Government grant scheme (US$36 million) for 
biodisel. 4 June 2009 Ruralnews.co.nz. 
Norway Revised National Budget increasing the spending of 
oil revenues by a furthe r NKr 9.5 billion (US$1.5 
billion) (to a total of NKr 130 billion (US$20.7 
billion) during the 2009 fiscal  year, equivalent to 
around 3% of non-oil GDP). Additional funds will be provided to areas such as investment in the 
agriculture sector, municipalities, and credit 
facilitation. 19 June 2009 Permanent Delegation of Norway to 
the WTO. 
Pakistan Initiation of anti-dumpi ng investigation on imports of 
phthalic anhydride from Brazil, China, Indonesia, Korea, and Chinese Taipei. 29 May 2009 Press reports. 
Pakistan Imposition of taxes on imports of fresh vegetables 
from India.   18 June 2009 The Economic Times. 
Paraguay Import tariff reduction on: raw materials, plastics, 
chemical products, medici nes, telecommunications 
equipment, and computer equipment. 15 April 2009 Adnmundo.com. 
Peru Initiation of safeguard investigation on imports of 
cotton yarn. 13 March 2009 WTO Document G/SG/N/6/PER/2 
of 13 March 2009. 
Philippines Reduction and eliminati on of certain import tariffs on 
selected products (raw material inputs and consumer 
products which are not locally available), under 
Presidential Executive Order No. 790. 6 May 2009 Permanent Delegation of the 
Philippines to the WTO. 
Russian Federation Import ban of all meat and meat products from: 
Mexico, one province of Canada, four US states, and 
24 Central American and Caribbean countries. 
Import ban of pig meat and live pigs from: one 
province of Canada, seven US states, and the United 
Kingdom. 
Some of the bans imposed at the end of April have 
been lifted on imports coming from different countries and states, on a case by case basis.  ... WHO, Global Public Health 
Intelligence Network (GPHIN), and 
Official website of 
Rosselkhoznadzor (http://fsvps.ru). 
Russian Federation Elimination of import tariffs on polyester th read. 10 March 2009 Permanent Delegation of the 
Russian Federation. 
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  Country/  
Member State Measure Date Source 
Russian 
Federation Increase of import tariffs on flat TV panels (from 
10% to 15%), for nine months. 
Elimination of import tariffs on raw materials used in 
the production of rims for glasses. 31 March 2009 Permanent Delegation of the 
Russian Federation. 
Russian Federation Increase of import tariffs on steel bars and rods 
(HS 7213). 
Elimination of import tariffs on copper waste and 
scrap (HS 7404), for nine months. 3 April 2009 Permanent Delegation of the 
Russian Federation. 
Russian Federation Increase of import tariffs on corn starch and manioc 
starch (from €0.06/kg to €0.15/kg (US$0.1 to 
US$0.2/kg)), for eight months. 
Elimination of import tariffs on components of rims 
for glasses, for six months. 
Extension of duty-free access for: child safety seats; 
and certain types of digital ships, for nine months. 15 April 2009 Permanent Delegation of the 
Russian Federation. 
Russian Federation Elimination of import tariffs on chicken and certain 
types of fertile eggs. 20 April 2009 Permanent Delegation of the 
Russian Federation. 
 Extension of import duty-free access for linear low 
density polyethylene, for nine months.   
Russian 
Federation Increase of import tariffs on radiofrequency cable 
(from 5% to 15%), for nine months. 22 April 2009 Permanent Delegation of the 
Russian Federation. 
Russian Federation Increase of minimum range of import tariffs on cane 
raw sugar (from US$140 to US$165/tonne), for eight 
months. Maximum rate of import tariff on cane sugar remains unchanged. 1 May 2009 Permanent Delegation of the 
Russian Federation. 
Russian Federation Elimination of a seasonal import tariff (€0.07/kg 
(US$0.1/kg)) on rice and milling products, which was 
implemented on 15 February 2009. 15 May 2009 Permanent Delegation of the 
Russian Federation. 
Russian Federation Increase of import tariffs (from duty free to 10%) on 
certain types of tropical oils (palm oil), for nine months.  1 June 2009 Permanent Delegation of the 
Russian Federation. 
Russian Federation Loan (€500 million (US$704.8 milllion)) from 
Russian bank Sberbank to Opel car manufacturer 
(35% of shares). 4 June 2009 Reuters Limited. 
Saint Lucia Import ban of raw pork meat, animals, and semen 
from the United States. ... Global Public Health Intelligence 
Network (GPHIN). 
Saudi Arabia Reduction of import  tariffs on 92 products, as from 
6 June 2009. 3 June 2009 Arab News. 
Serbia Import ban (and transit) of pigs and pork products 
originating from North and Latin America. On 2 
June, the ban for imports coming from the United 
States was lifted. ... Permanent Delegation of Serbia to 
the UN Office in Geneva. 
Singapore Stimulus Package (US$13.7 billion). The package 
covers areas such as saving jobs; stimulating bank 
lending; and enhancing business cash flow and 
competitiveness. Various dates Permanent Delegation of Singapore 
to the WTO. 
Annex 4 (cont'd) WT/TPR/OV/W/2 
Page 74  
 
  Country/  
Member State Measure Date Source 
Singapore Special Risk Sharing Initiative (SRI) to address 
constraints of limited private insurance capacity:  
- Loan Insurance Scheme (LIS) provides private 
insurance against default risks (maximum loan of 
S$15 million per group (US$10. 4 million)). As from 
1 February 2009, "Loan Insu rance Scheme Plus" was 
launched as a complementary to the existing LIS. 
- Export Coverage Scheme (ECS) intended to cover 
insolvency and protracted defaults of end buyers 
(coverage up to 90%).  
The ECS would be effective from 1 March 2009 to 28 
February 2010. Various dates Permanent Delegation of Singapore 
to the WTO. 
South Africa Stimulus Package (Framework for South Africa's 
response to the International Economic Crisis)  including measures such as increase of tariffs; use of 
administrative measures to minimize imports; use of preference price system; and preferential margin for 
domestic firms in government procurement. 9 April 2009 The Star (Business Report). 
Sudan Import ban of pork produc ts from any country with 
confirmed cases. ... Global Public Health Intelligence 
Network (GPHIN). 
Suriname Import ban of live animals, animal product, raw pork, 
and semen from any country with confirmed cases.  
On 14 May, the ban for imports coming from Mexico 
was lifted. ... Global Public Health Intelligence 
Network (GPHIN). 
Switzerland Temporary reintroduction of export refunds for cream 
(as from January 2009 until at the latest December 2009). ... Permanent Delegation of 
Switzerland to the WTO, and Federal Law of Agriculture (Art. 
No. 13). 
Switzerland Elimination of milk quota system, as from 1 May 
2009 (Federal Law of Agriculture, Art. No. 36a). 1 May 2009 Permanent Delegation of 
Switzerland to the WTO. 
Tajikistan Import ban of pork and poultry from: El Salvador, 
Mexico, Russia, and certain US states. ... Press reports. 
Thailand Import ban of live pigs from countries with confirmed 
cases (from 27 April to 20 May 2009). ... Permanent Delegation of Thailand 
to the WTO. 
Thailand "Abhisit" Stimulus Packag e (B 116.7 billion (US$3.4 
billion)).  
Financial support for SMEs, and measures to 
stimulate tourism. March 2009  Permanent Delegation of Thailand 
to the WTO. 
Thailand Second "Abhisit" Stim ulus Package (B 1.56 trillion 
(US$45.6 billion) for 2010- 12. Measures include 
education and public health development. 7 April 2009 Permanent Delegation of Thailand 
to the WTO. 
Turkey Initiation of anti-dumping investigation on imports of 
pipe fittings/flanges from China. 18 April 2009 Permanent Delegation of Turkey to 
the WTO. 
Turkey Initiation of safeguard investigation on imports of 
matches. 2 May 2009 WTO Document G/SG/N/6/TUR/15 
of 6 May 2009. 
Annex 4 (cont'd)  WT/TPR/OV/W/2 
 Page 75 
 
 
  Country/  
Member State Measure Date Source 
Ukraine Import ban of live pigs and pork meat from: Canada, 
Mexico, New Zealand and the United States.  ... Global Public Health Intelligence 
Network (GPHIN). 
Ukraine Initiation of safeguard investigation on imports of 
liquid chlorine. 17 March 2009 WTO Document G/SG/N/6/UKR/3 
of 17 March 2009. 
Ukraine Elimination of import duty surcharges of 13% 
(implemented as a temporary BOP measure in March) 
with the exception of cars and refrigerators.  18 May 2009 WTO Document WT/BOP/N/68 of 
18 May 2009. 
Ukraine Initiation of anti-dumping investigation on imports of 
halves and quarters, legs and their parts, of domestic hens from Brazil and the United States. 6 March 2009 Press reports. 
Ukraine New legislation restricting access of foreign 
companies to government procurement (except for 
goods which are not produced locally). This measure 
is in force until 31 December 2010. ... Press reports. 
Ukraine Nationalization of three troubled banks (Ukrgazbank; 
Rodovidbank; and Kievbank). June 2009 Press reports. 
United Arab 
Emirates Import ban of pigs and pork products from countries 
with confirmed cases (26 April).  On 7 May the ban 
was lifted. ... Permanent Delegation of the UAE 
to the WTO. 
United States  Interim rule amending the Federal Acquisition Regulation to implement the "Buy American" provision in the American Recovery and 
Reinvestment Act (ARRA) with respect to 
procurement by the Federal Government. 
Updated Implementing Guidance for ARRA which 
provides information relevant to state and local 
governments on the application of the "Buy 
American" requirement.  
Both regulations required, in procurement covered by 
an international agreement,  that the "Buy American" 
requirement not be applied with respect to iron, steel, 
and manufactured goods of GPA and other trade 
agreements Parties.  31 March and 23 
April 2009 
 Rules and Regulations (Federal 
Register Nos. 14623 and 14633) of 
31 March 2009. 
 
Rules and Regulations (Federal 
Register Nos. 18449 and 18463) of 
23 April 2009. 
 
United States Additional requirements for certain employers of H-
1B workers. Section 1611 of the ARRA requires recipients of Troubled Assets Relief Programme 
(TARP) funds and certain other forms of support to comply with additional attestation requirements when 
hiring H-1B workers. These requirements are 
imposed for two years. March 2009 Permanent Delegation of the United 
States to the WTO. 
United States Initiation of counterv ailing duty investigation on oil 
country tubular goods from China. 8 April 2009 Permanent Delegation of the United 
States to the WTO. 
United States  Imposition of import tariffs (10%) on softwood 
lumber from four Canadian Provinces, in the context 
of the bilateral Softwood Lumber Agreement. 15 April 2009 Federal Register/ Vol. 74, No. 68 of 
10 April 2009 – [Docket No. 
USTR-2009-0011] 
United States Initiation of anti-dump ing investigation on imports of 
plastic bags from Indonesia; Chinese Taipei; and 
Vietnam. 21 April 2009 Permanent Delegation of the United 
States to the WTO. 
United States Initiation of counte rvailing duty investigation on 
imports of plastic bags from Vietnam. 21 April 2009 Permanent Delegation of the United 
States to the WTO. 
United States Initiation of anti-dump ing investigation on imports of 
oil country tubular goods from China. 29 April 2009 Permanent Delegation of the United 
States to the WTO. 
Annex 4 (cont'd) WT/TPR/OV/W/2 
Page 76  
 
  Country/  
Member State Measure Date Source 
United States  Allocations for dairy export incentive programme 
(reintroduction of export subsidies, which were not used since 2003, for skimmed milk powder; cheese; 
and butter). 22 May 2009 USDA Release No. 0178.09 (FAS 
PR 0081-09). 
United States Initation of anti-dumping investigation on imports of 
PC strand from China. 17 June 2009 Press reports. 
United States Initiation of counte rvailing duty investigation on 
imports of PC strand from China.  17 June 2009 Press reports. 
United States Auto Supplier S upport Programme (US$5 billion) 
available to all critical suppliers. The programme 
provides the same benefits to foreign and local 
suppliers, through financial protection on receivables 
from any domestic auto companies.  March 2009 Permanent Delegation of the United 
States to the WTO. 
United States New loan to GM (U S$2 billion) to provide working 
capital for the company (prior to its bankruptcy filling).  
GM has filed for bankruptcy protection, and has been 
offered approximately US$30 billion debtor-in-
possession loan by the US Treasury. The loan is 
intended to benefit all of GM's continuing operations 
without regard to geographic location.  April-May 2009 Permanent Delegation of the United 
States to the WTO. 
Uruguay Amendment of the Law on drawback and temporary 
admission, granting more flexibility to exporters. 8 June 2009 El Pais digital referring to MEF 
Decretos Nos. 255/09 and 256/09. 
Uzbekistan Import ban of pork a nd pork products from several 
countries with confirmed cases in North and South 
America (21 April 2009).  ... Permanent Delegation of 
Uzbekistan to the UN Office in 
Geneva. 
Venezuela Import ban of live pigs from any country with 
confirmed cases. ... Permanent Delegation of Venezuela 
to theWTO. 
Venezuela Establishment of import quota for vehicles (up to 
10,000) originating from Colombia (priority for 
buses, taxis and trucks) for the year 2009. 16 April 2009 Permanent Delegation of Venezuela 
to the WTO. 
Venezuela Banco Industrial de Venezuela:  State intervention.  14 May 2009 BBC Mundo. 
Vietnam Increase of import tariffs for 15 dairy products 
(including powdered milk). 3 March 2009 Press reports, referring to Ministry 
of Finance Circular No 
39/2009/TT-BTC. 
Vietnam Increase of import tariffs on meat and poultry (from 
17% to 33%), frozen beef (from 17% to 20%) and fresh pork (from 24% to 28%). 20 March 2009 Press reports, referring to Ministry 
of Finance Circular No. 52/2009/TT-BTC. 
Vietnam Reduction on cotton import tariffs.  April 2009  Press reports. 
Vietnam Increase of import tariffs on steel, such as semi-
finished steel products (from 5% to 8%); steel 
products for construction (from 12% to 15%); cold 
rolled steel sheets and coils (from 7% to 8%); and 
coated steel sheets and coils (from 12% to 13%). 1 April 2009 Press reports, referring to Ministry 
of Finance Circular No. 
58/2009/TT-BTC. 
Vietnam Increase of import tariffs on alloy steel (long 
products) from 0% to 10%.  20 April 2009 Press reports, referring to Ministry 
of Finance Circular No. 75/2009/TT-BTC. 
Annex 4 (cont'd)  WT/TPR/OV/W/2 
 Page 77 
 
 
  Country/  
Member State Measure Date Source 
Vietnam Reduction of import tari ffs on diesel and kerosene 
diesel fuel by 5%; as well as on feed and raw materials used to produce feed from 7% to zero.  20 April 2009 Press reports. 
Vietnam Fiscal Stimulus (US$6 billion) (6% of GDP) to 
stimulate domestic demand,  export incentives, credit 
incentives for exporters. 
Stimulus package (US$700 million) to improve 
agricultural productivity and increase rural income 
through: lending interest rate programmes for the 
purchase of fertilizers, farm equipment, and 
construction material in rural areas.  22 April 2009  Press reports making reference to 
Prime Minister's Decision No. 
497/QD/TTg. 
... Not Available .  
 
 
 
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