What is National Treatment?

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  • Article III of the GATT relating to principle of non-discrimination.
  • Governments are required to impose no internal tax or regulation that protects domestic producers over foreign producers.
  • Imported products must be accorded treatment no less favourable than domestic products.
  • Local content requirements or restrictions on the basis of the national origin of goods used in local production are incompatible with GATT.
  • Exceptions allowed only in the case of regional trade agreements.

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