The Application of the Concept Relating to “Like Product” to the Case of “Like Services and Service Suppliers” under The General Agreement on Trade in Services

Abstract

Non-discrimination is a fundamental principle of international economic law, with obligations related to non-discrimination, such as the most favored national obligations and national obligations under the World Trade Organization (WTO). These obligations have been enacted in various international agreements, such as the General Agreement on Tariff and Trade 1994 (GATT 1994) in Article 1 Paragraph 1, Article 3 Paragraph 2 and Article 3 Paragraph 4, and the General Agreement on Trade in Services (GATS) in Article 2 Paragraph 1 and Article 17, with a view to giving various rights to products or services of other nations or treating the goods or services of other nations equally to their nations by considering from the word “Like product” which is provided in the GATT 1994 provisions and the word “Like services and service suppliers”, which is provided in the GATS provision. The term of “Like services and service suppliers” has no definitions. On the contrary, the criteria for determining the “likeness” of the product has been developed by the Working Party on Border Tax Adjustment, to be interpreted on a case-by-case basis. The criteria includes Physical Characteristics, End-use, Consumer tastes and habits and Tariffs classification.

Therefore, this article focuses on whether the application of the Like product can be mechanically transposed to like services and service suppliers. The study reveals that the applicable criteria may be a consideration of consumers tastes and habits and end-uses.