NBS

REFERENCE PUBLICATIONS

NBSIK 85-3152

AlllDb 3 M ( 5 ^ GATT Standards

Code Activities of the

National Bureau of

Standards 1984

JoAnne R. Overman

Office of Product Standards Policy

National Bureau of Standards

. Q(J U.S. Department of Commerce

100

- U 5 6

85-3152

1985

April 1985

RATIONAL BU OF 5‘ uggffii

NBSIR 85-3132

GATT STANDARDS CODE ACTIVITES OF

THE NATIONAL BUREAU OF STANDARDS

1984

JoAnne R. Overman

U S. DEPARTMENT OF COMMERCE

National Bureau of Standards

Office of Product Standards Policy

Gaithersburg, MD 20899

April 1985

U.S. DEPARTMENT OF COMMERCE, Malcolm Baldrige, Secretary

NATIONAL BUREAU OF STANDARDS, Ernest Ambler. Director

ABSTRACT

This report describes the GATT Standards Code activities performed by the

Standards Code and Information program, National Bureau of Standards (NBS),

for calendar year 1 984 . NBS responsibilities include operating the U.S. GATT

inquiry point for information on standards and certification activities;

notifying the GATT Secretariat of proposed U.S. Federal government

standards-based rules that may significantly affect trade; assisting U.S.

industry with trade-related standards problems; and responding to inquiries

on foreign and U.S. proposed regulations.

Key Words: foreign proposed regulations; GATT Standards Code; notifications;

standards information; technical assistance

iii
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INTRODUCTION

The international Agreement on Technical Barriers to Trade (Standards

Code) has been in effect since January 1, 1980. There are currently 37

signatories V to the Code, 26 of which have actively implemented the

Code in their countries. The Code is administered by the Secretariat

of the General Agreement on Tariffs and Trade (GATT) in Geneva,

Switzerland.

The Office of Product Standards Policy (OPSP) has several

responsibilities for implementing provisions of Title IV of the U.S.

Trade Agreements Act of 1979 related to establishment of a U.S. inquiry

point, £/ standards information center, and technical office for

non-agr icultural products. This report summarizes Standards Code

activities performed by the Standards Code and Information (SCI)

program in OPSP for calendar year 1 98^4 . These functions are performed

within the traditional framework of NBS standards-related programs.

Highlights of 1984 included publication of a directory of standards

activities in the United States; development of databases for private

sector, Federal, and state certification systems; background research

for bilateral standards discussions; participation in an international

symposium in Brazil on the Standards Code; publication of a report

describing the benefits U.S. industry receives by participating in

international standards activities; and initiation of a Foreign

Commercial Service orientation program.

INQUIRY POINT

Notif i cations

Signatories of the Standards Code must notify the GATT Secretariat of

all proposed mandatory government regulations and certification

procedures that might significantly affect international trade. The

Secretariat, in turn, issues notifications of these proposals and

disseminates them to all signatories. (Table 1 lists the total number

of notifications issued for the past five years.)

As the official U.S. GATT inquiry point for information on standards

and certification activities, SCI notifies the Secretariat of proposed

U.S. Federal Government rules that might significantly affect trade;

receives foreign notifications and disseminates them along with

supplementary information to appropriate U.S. companies and industry

groups; and responds to inquiries about foreign or U.S. notifications.

SCI's GATT notification activities are reported quarterly to cognizant

NBS managers and other Federal Government officials concerned with the

Code’s implementation ,_3/

In 1984, the GATT Secretariat issued 223 notifications. Twenty-two of

the 37 signatories reported at least one proposed regulation (see Tab’. • 2). Japan had the most notifications with 34. Seven other signal >r:--: - Canada, European Economic Community, Finland, India, Sweden, Unit'-i

Kingdom, and the United States - reported 10 or more proposed

regulat ions

.
The USTR Office in Geneva receives notifications from the Secretariat

and cables them to the United States. The notifications, which are issued in English, include name of country proposing the regulation;

TBT/Notif ication number; brief description of the regulation; and the

final date for comments. In order to provide wide access to this

information in the United States, all foreign notifications are published in the Commerce Business Daily , the American National

Standards Institute’s ANSI Reporter , the Department of Agriculture's

Export Briefs , and several other publications. SCI maintains a computerized data base on all GATT notifications and a telephone GATT

hotline where up-to-date notification information can be obtained.

The hotline number is (301) 921-3200.

Proposed U.S. Regulations

Proposed U.S. Government rules (mandatory standards or certification

systems) are published in the Federal Register (FR). SCI staff

regularly review the FR to identify those proposed regulations that

might significantly affect trade and which, therefore, should be

notified to the GATT Secretariat. Notices are sent directly to the GATT

Secretariat via telex.

In 1984, 28 proposed U.S. regulations were reported. Twelve of the 28

regulations reported were proposed by the Environmental Protection

Agency. The number of notifications from each issuing agency is shown

below. The regulations covered such products as food, drugs, motor

vehicles and lifesaving equipment (see Table 3)*

Consumer Product Safety Commission (CPSC) 2 Department of Energy (DOE) 1 Department of Transportation (DOT) 1 Environmental Protection Agency (EPA) , 12

Food and Drug Administration (FDA) 7 National Oceanic and Atmospheric Administration (NOAA) 1 Occupational Safety and Health Administration (OSHA) 1 Department of Agriculture (USDA) _3

Total 28

Proposed Foreign Regulations

The GATT Secretariat issued 195 notifications from countries other than

the United States in 1984 (see Table 4). The foreign regulations

covered a wide variety of products such as telecommunications

equipment, food additives, electrical equipment, appliances and motor

vehicles. The SCI inquiry point maintains a Key-Word-0ut-0f-Context

(KWOC) index on all products that are the subject of foreign

notifications (see Appendix 1 for 1984 index). A KWOC is an indexing

method in which keywords (in this instance products) appear as headings

in a separate line index flush with the left margin. Records are kept of the names and addresses of individuals who have expressed

interest in specific products. A notification concerning a particular

product is routinely sent to all individuals who have indicated that

they wish to be kept informed.

2
Foreign notifications are sent regularly to the American National

Standards Institute, Bureau of Industrial Economics (Department of

Commerce), Industry Functional Advisory Committee (IFAC) members,

V

selected representatives on the Interagency Committee on Standards

Policy (ICSP),^/ and several other groups and individuals to serve

their information needs and allow them to disseminate or publish as appropr iate.

Inquiries

SCI processed 385 letter or telephone requests for GATT notification

information (210 U.S., 75 foreign) in 1984. Many requesters asked for

copies of more than one regulation. In addition to requests for

specific regulations, many individuals asked for general information on

the Standards Code. SCI responds to such requests by sending an information package consisting of the latest issue of its newsletter,

tbt news , a list of recent foreign notifications, a brochure describing

the Standards Code, and ordering information for the Commerce Business

Daily .

In 1984, U.S. exporters were most interested in regulations from

Sweden, Japan, Canada, Finland and the European Economic Community.

The regulations most often requested concerned telecommunications

equipment, agricultural equipment, chemicals, food, and motor vehicles.

In addition, 428 calls were received on the GATT hotline for

up-to-date information on foreign notifications.

Translations

SCI requests the texts of all proposed foreign regulations from the

inquiry points of the issuing signatories. A little more then half of

the 195 regulations received in 1984 (103) were in languages other than

English. SCI has arranged for a translation service which can provide

English translations of any proposed foreign regulations. The cost of

the translation is paid for by the requester; if more than one request

is received for the same translation, the cost is divided equally among

the requesters. In 1984, SCI received requests for translations of two

regulations.

Other Activities

SCI publishes tbt news , a newsletter intended to inform U.S. industry

and other interested groups of the U.S. Government programs and

activities in support of the Standards Code. Subscription to the

newsletter is free and can be obtained by contacting the SCI office.

STANDARDS INFORMATION

The National Center for Standards and Certification Information . is the national repository for standards documentation. NCSCI su' ; r*.: the GATT inquiry point activities by supplying information concern.:..- both domestic and foreign standards information. NCSCI, which - established in 1965, is designed to meet the needs of governm- r *

.

3
industry and the public for information on standards, regulations,

certification programs and related activities that affect trade and commerce.

NCSCI' s objectives are accomplished by maintaining a microform and hard

copy collection of engineering standards and specifications,

regulations, certification rules, directories, reference books and

special publications. NCSCI staff respond to more than 5000 requests

annually from all over the world on the existence, source and

availability of standards and related documents. To the degree

possible, NCSCI responds to trade-related queries regarding regulations

and other requirements of foreign countries for the export of U.S.

manufactured products.

In 1984, NCSCI published Standards Activities of Organizations in the

United States (NBS Special Publication 681), which replaces the

Directory of United States Standardization Activities (NBS Special

Publication 617). This directory is an up-to-date guide to mandatory

and voluntary standards activities in the United States at Federal and

state levels and by nongovernment (trade associations, technical and

other professional societies). Over 750 current descriptive

commentaries are formatted, with subject headings to facilitate access

to specific information. Organizations have been included if they

develop standards or contribute to the standardization process, whether

voluntary or mandatory, or are sources of standards documents of

information. Copies of SP681 may be ordered from the National Technical

Information Service, Springfield, VA 22161 (order number PB85-106151,

$40.00) or Global Engineering Documents, 2625 Hickory St., P.0. Box

2504, Santa Ana, CA 92707; (714) 540-9870 ($29.95).

NCSCI is currently developing directories of private sector, federal

and state certification programs. These will together constitute the

first comprehensive database of this type of information compiled in a single source. Publication of the private sector directory is planned

for summer 1985.

TECHNICAL OFFICE

The SCI program performs the technical office functions for

non-agricultural products. These include: a) providing assistance to

U.S. exporters on specific technically based standards-related trade

issues; b) assisting the ITA and USTR in developing technical

background for bilateral and multilateral discussions with

representatives from other Code signatories; c) monitoring the level

of U.S. participation in international standardization activities;

d) participating in the Trade Policy Staff Committee's Subcommittee on Standards and the Industry Functional Advisory Committee; e) serving as the focal point for information on international noise standards; and

f) coordinating comments on proposed foreign regulations. Technical

office staff also assist individuals in determining whether or not a proposed foreign regulation is consistent with current U.S.

regulations/standards and international regulations/standards.

4
Assistance to Industry

Technical office staff work closely with industry representatives to

address standards-related trade problems and develop a technical basis

for negotiated resolutions. In 198*4, the following items were among

those receiving attention in work with the private sector:

1.

A U.S. manufacturer and exporter of U.S .-produced household hot

water heater systems alleged that the United Kingdom enforced

regulations that did not recognize hot water heaters of the

pressure type produced by the firm and used in most U.S. homes and

businesses. Technical office staff developed background

information on the problem from locally available sources and

contacts with the British Department of Environment and various

British Water Boards, through the American Embassy in London.

2. Representatives from the Farm and Industrial Equipment Institute

and one of its member firms requested assistance in identifying

standards-related trade problems limiting export of U.S. produced

agricultural tractors to Japan. Technical office staff prepared a summary analysis of the Japanese Agricultural Mechanization

Promotion Law and its implementing regulations, the Organization

for Economic Cooperation and Development Tractor Test Code, and

similar U.S. requirements. The analysis, forwarded to the groups

for further action, presented evidence to support the conclusion

that the Japanese requirements were restrictive.

3. As the focal point for the collection and maintenance of

information on developments involving international noise

standards, technical office staff provided representatives from

several industry and trade associations with information on these

standards and related development activities.

Other Agency Assistance

The following technical office activities assisted USTR and ITA in

developing information for bilateral consultations:

o to determine the degree of U.S. success in resolving

standards-related complaints, the technical office staff analyzed

past bilateral standards consultations between the U.S. and several

trading partners (Federal Republic of Germany, EEC, United Kingdom,

France and Canada). Problems still pending resolution concern

agricultural tractors and can sizes for processed food (France),

automobiles, metal alloys, and construction machinery (Germany) in:

cosmetics and earthmoving machinery (EEC);

o developed guidelines to assist industry in providing pertinent

information to the technical office on standards-related trad*-1 problems. This information is used to prepare discussion papers i bilateral talks and serve as background for technical analysis;

5
o prepared background papers for 1984 bilateral standards

consultations with the Federal Republic of Germany and the European

Economic Community (specific bilateral issues included autos,

asbestos, fertilizer and rail-mounted vehicles (EEC) and plywood,

agricultural machinery and micro-wave devices (Germany);

o organized U.S. response to generic and product specific complaints

raised by the Federal Republic of Germany regarding various U.S.

standards practices; and

o prepared technical background information based on analysis of U.S.

industry complaints concerning alleged discriminatory practices in

the United Kingdom, Federal Republic of Germany and France against

U.S. manufactured fire protective coatings and electrical

equipment

.

Other Activities

In 1984, technical office staff published Benefits Perceived by U.S.

Industry from Participation in International Standards Activities

(NBSIR 84-2886, May 1984). This report summarizes results of an analysis of major areas of U.S. export trade and the extent of U.S.

representation in international standards organizations which are open

to U.S. participation.

The government of Brazil hosted an international seminar in September

on technical barriers to trade to inaugurate Brazil's emergence as an operating signatory to the GATT Standards Code, inviting experts from

Canada, France, Japan, West Germany and the United State to

participate. The SCI program manager served as one of the two U.S.

delegates and described technical aspects of Standards Code

implementation in the United States.

SCI and the Commerce Department's Foreign Commercial Service (FCS)

instituted a cooperative arrangement in 1984 to assist FCS officers

with standards information and interpretation and, in turn, help SCI

locate additional foreign information sources. SCI distributed

information packages to all posts and briefed eight FCS officers before

they went to their new posts. The briefing sessions included meetings

with SCI staff who explained standardization practices in the country

of the Officer's assignment and how NBS could assist them in their

duties.

At the request of the OPSP Director, technical staff investigated

causes for the lack of U.S. participation in standards development

activities of ISO Technical Committee 48, Laboratory Glassware and

Related Apparatus, between 1971 and 1982. A new U.S. technical

advisory group has stimulated new interest and involvement with broad

based industry support.

The technical office began a research project in 1984 to compare

selected product regulations and standards in several foreign countries

to help exporters in identifying and coping with an apparent "maze" of

6
foreign standards and regulations. The countries selected were Canada,

Japan, France, Federal Republic of Germany, United Kingdom, Ireland,

India and Philippines. The products are medical products, air

conditioners, microwave ovens and hand tools. Unusually long delays in

getting copies of the relevant documents and the fact that many of the

documents are in a language other than English, are among the problems

which will be addressed in an interim report.

Comment Handling

A major objective of the Standards Code is to allow exporters and

government agencies to comment on foreign regulations which they feel

would unjustifiably impede their country's exports. SCI provides the

text of proposed foreign regulations to all interested parties and

encourages them to make comments if the regulation might create

unnecessary trade barriers. SCI transmits the comments to the

appropriate foreign government and coordinates any follow-up activity.

In 1984, SCI handled comments on two foreign regulations: - EEC - rail

mounted vehicles (84.11) and Sweden - cosmetic or hygenic preparations

(84.119). Informal comments are frequently made by industry

representatives who become aware of proposed regulations even before

they are notified through the GATT. Some of these representatives use

the notification system as a follow-up means of ensuring awareness of

foreign developments.

Comment Periods

To provide signatories with adequate time to receive the text of a regulation (and to translate it if necessary), review it, and prepare

comments, the Standards Code recommends a comment period of at least 60

days. If the comment period is insufficient (e.g., due to late receipt

of an English version or complicated technical issues), the technical

office will request that the issuing country extend the comment period.

In 1984, nine such requests were made and granted. In many cases extensions are requested to enable individuals to translate and study

the regulation and do not necessarily indicate that comments will be

made.

The average length of the comment period £/ in 1984 was 37 days for

U.S. regulations and 47 days for foreign regulations. (In comparison,

the corresponding averages for 1983 were 41 and 45.) Table 5 lists all

U.S. regulations and the length of the comment period for each. The

average length of comment period by U.S. agency was:

CPSC 27

DOE 44

DOT 44

EPA 22

FDA 40

NOAA 168

OSHA 43

USDA 42

7
Comment period for foreign regulations ranged from none at all to 227

days. Table 6 lists all foreign regulations for which notifications

were received and the length of comment period for each. The average

length of comment period by country was:

Austria 31 Japan 64

Belgium 52 Korea 52

Canada 38 Netherlands 46

Denmark 0 New Zealand 47

EEC 96 Norway 43

Finland 67 Philippines 72

France 61 Romania 5

Germany 30 Spain 0

India 18 Sweden 47

Ireland 2 Switzerland 57

United Kingdom 27

Future Activities

SCI will continue to work with U.S. industry to assist them in solving

standards-related trade problems and to make sure they receive relevant

notifications on proposed foreign regulations which may affect trade.

SCI also plans to continue developing databases on pertinent

certification systems, updating the index of U.S. voluntary standards

(SP329), and preparing background research for bilateral standards

discussion. Activities are planned to assist developing countries in

establishing or improving standards information exchange programs.

Follow-up

Requests for further information on or comments about subjects covered

in this report should be directed to the Standards Code and Information

Office, National Bureau of Standards, Administration Building, Room

A629, Gaithersburg, MD 20899; (301) 921-2092. For specific

information from NCSCI call (301)921-2587.

8
FOOTNOTES

*_/As of December 1984, the signatories are: Argentina, Austria, Belgium,

Brazil, Canada, Chile, Czechoslovakia, Denmark, Egypt, European Economic

Community (EEC), Finland, France, Germany, Greece, Hong Kong, Hungary, India,

Ireland, Italy, Japan, Korea, Luxembourg, Netherlands, New Zealand, Norway,

Pakistan, Philippines, Romania, Rwanda, Singapore, Spain, Sweden,

Switzerland, Tunisia, United Kingdom, United States and Yugoslavia.

2_/The Code requires that each signatory provide an inquiry point to answer

all reasonable inquiries on technical regulations, standards and

certification systems.

3_/0ther Federal offices with Standards Code responsibilities are located in

the International Trade Administration (ITA) (Department of Commerce), Office

of the U.S. Trade Representative (USTR), and the U.S. Departments of

Agriculture and State.

^_/The IFAC is comprised of representatives from private industry engaged in

standards-related activities. It advises the Department of Commerce and USTR

on trade matters, the operation of any adlopted trade agreements and other

subjects related to U.S. trade policy.

5_/The ICSP consists of senior executives from 26 Federal Government agencies.

It is concerned with facilitating the effective participation by the Federal

Government in domestic and international standards activities and promoting

the development of uniform policies among agencies participating in these

activities

.

6_/Number of calendar days between the date the notification was issued by the

GATT Secretariat and the closing date for comments.

9

TABLE 1

Number of Notifications Issued

1984-1980

1984 1983 1982 1981 1980

U.S. Notifications 28 15 25 91 32

Foreign Notifications 195 240 177 204 67

Total 223 255 202 295 99

TABLE 2

NUMBER OF GATT NOTIFICATIONS ISSUED IN 1984

NUMBER OF

SIGNATORY NOTIFICA'

AUSTRIA 3

BELGIUM 1 CANADA 20

DENMARK 1 EEC 11 FINLAND 19

FRANCE 3

GERMANY 5

INDIA 23

IRELAND 2

JAPAN 34

KOREA 3

NETHERLANDS 2

NEW ZEALAND 1 NORWAY 8

PHILIPPINES 2

ROMANIA 5

SPAIN 5

SWEDEN 28

SWITZERLAND 9

UNITED KINGDOM 10

UNITED STATES 28

TOTAL 223
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U.S. DEPT. OF COMM.

BIBLIOGRAPHIC DATA

SHEET (See instructions)

1. PUBLICATION OR 2. Performing Organ. Report No. 3. Publication Date REPORT NO.

NBSIR 85- 3152 April 1985

4. TITLE AND SUBTITLE

GATT STANDARDS CODE ACTIVITIES OF THE NATIONAL BUREAU OF

STANDARDS 1984

5. AUTHOR(S)

JoAnne R. Overman

6. PERFORMING ORGANIZATION (If joint or other than NBS. see instructions)

NATIONAL BUREAU OF STANDARDS

DEPARTMENT OF COMMERCE

WASHINGTON, D.C. 20234

7. Contract/Grant No.

8. Type of Report & Period Covered

Final, 1984

9.

SPONSORING ORGANIZATION NAME AND COMPLETE ADDRESS (Street. City. State. ZIP)

10.

SUPPLEMENTARY NOTES

Document describes a computer program; SF-185, FIPS Software Summary, is attached.

11.

ABSTRACT (A 200-word or less factual summary of most significant information. If document includes a significant

bi bl iography or literature survey, mention it here)

This report describes the GATT Standards Code activities performed by the

Standards Code and Information program. National Bureau of Standards (NBS),

for calendar year 1984. NBS responsibilities include operating the U.S.

GATT inquiry point for information on standards and certification activities;

notifying the GATT Secretariat of proposed U.S. Federal government standardsbased rules that may significantly affect trade; assisting U.S. industry

with trade-related standards problems; and responding to inquiries on foreign

and U.S. proposed regulations.

12. KEY WORDS (Six to twelve entries; alphabetical order; capitalize only proper names; and separate key word , tv foreign proposed regulations; GATT Standards Code; notifications; standards

information; technical assistance

13. AVAILABILITY 14. NO. OF

Unlimited

1 | For Official Distribution. Do Not Release to NTIS

PRINTED PAGES

4 2

H Order From Superintendent of Documents, U.S. Government Printing Office, Washington, D.C.

' 20402. IS. Price

[Xl Order From National Technical Information Service (NTIS), Springfield, VA. 22161 $0.50

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