Traditional and New Non-Tariff Barriers***ness and Differences

***ness is that tariffs remain an important barrier in international trade.

1) Differences in procedures:

Non tariff barriers have more flexibility than tariff barriers in that target tariff rates have to be set through a reduction process, which requires relative stability. This is often difficult to accommodate when urgent import restrictions are required. NTB measures are usually set using administrative procedures, which are relatively convenient, and can be adopted at any time to target a particular commodity in a particular country for the purpose of restricting imports more quickly.

2) Tariffs are different:

Non-tariff barriers can be more effective in restricting imports than tariff barriers. Tariff barriers impose high tariffs that increase the cost and price of imported goods, undermine their competitiveness, and indirectly serve the purpose of restricting imports. However, tariffs usually have difficulty in restricting imports of goods if exporting countries use export subsidies, commodity dumping, and other methods to reduce the cost and price of exported goods. However, non-tariff barrier measures are more effective in restricting imports.

3) Hidden Differences:

Non-tariff barriers are more hidden and discriminatory than tariff barriers. When tariff rates are set, they must be enforced by law. It can be understood by exporters in any country, but some NTB measures are usually not disclosed and change frequently, which makes it difficult for foreign exporters to respond and adapt.

Tariff Barriers and Non-Tariff Barriers on Importing and Exporting Countries The effects of the imposition of import duties and the implementation of non-tariff barrier measures on importing countries are mainly in the following ways:

(1) Causing the price of commodities to rise, which will cause the consumers to suffer losses. After the imposition of tariffs, the price of imported goods increased; and non-tariff measures to restrict imports, so that the number of imported goods to reduce the other conditions remain unchanged, will also cause the price of imported goods to rise. The price of the same product in the country will also increase. Causing consumer spending to increase.

(2) Increase the country's revenue. Both fiscal tariffs and protective tariffs have the effect of increasing the state revenue. Although the share of tariff revenue in national revenue has been greatly reduced, it is still one of the important sources of revenue for developing countries.

(3) Protection of domestic industries and markets. The imposition of tariffs on imported goods increases the cost of imported goods, weakens its competitiveness with similar domestic goods, and affects the sales of imported goods, thus playing a role in protecting domestic industries and markets. Higher prices for imported goods will lead to higher prices for similar domestic products, bringing more profits to the manufacturers concerned.

For the exporting countries, the importing countries to impose import taxes or take non-tariff barriers measures, will affect the export commodities, export volume and price decline, so that the exporting countries suffer losses. Tariffs are the basic measures to implement a country's trade policy. Non-tariff barriers in the post-World War II increasingly become an important means for a country to implement the protection of trade policy.