Chief Supplier Provision

Chief supplier provision in Global Commerce Policy

In this regard, chief supplier provision is: one of the main features of the United States Reciprocal Trade Agreements Program. The entries on trade policy are here. It stipulated that no tariff concession would be made to any country unless it was the chief supplier of the product. The provision was intended to preserve United States bargaining power with countries yet to conclude a reciprocal trade agreement after earlier reductions had been applied to other trade agreement partners under the most-favoured-nation rule. The chief supplier provision was carried forward into the GATT in the form of the principal supplier right.[1]

Chief supplier provisionin the wold Encyclopedia

For an introductory overview on international trade policy, see this entry.

Resources

Notes and References

1. Dictionary of Trade Policy, “Chief supplier provision” entry (OAS)

See Also