Quantitative Restrictions. See also Tariff Quotas – Non-Discriminatory Administration (T.2)

Q.1.1 General elimination of quantitative restrictions – Article XI:1 of the GATT 1994

Q.1.1.1 China – Raw Materials, para. 320

(WT/DS394/AB/R, WT/DS395/AB/R, WT/DS398/AB/R)

… Article XI of the GATT 1994 is entitled “General Elimination of Quantitative Restrictions”. The Panel found that this title suggests that Article XI governs the elimination of “quantitative restrictions” generally. We have previously referred to the title of a provision when interpreting the requirements within the provision. In the present case, we consider that the use of the word “quantitative” in the title of the provision informs the interpretation of the words “restriction” and “prohibition” in Article XI:1 and XI:2. It suggests that Article XI of the GATT 1994 covers those prohibitions and restrictions that have a limiting effect on the quantity or amount of a product being imported or exported.

Q.1.2 Exclusions from the scope of Article XI:1 – Article XI:2 of the GATT 1994

Q.1.2.1 China – Raw Materials, para. 319

(WT/DS394/AB/R, WT/DS395/AB/R, WT/DS398/AB/R)

Article XI:2 refers to the general obligation to eliminate quantitative restrictions set out in Article XI:1 and stipulates that the provisions of Article XI:1 “shall not extend” to the items listed in Article XI:2. Article XI:2 must therefore be read together with Article XI:1. Both Article XI:1 and Article XI:2(a) of the GATT 1994 refer to “prohibitions or restrictions”. The term “prohibition” is defined as a “legal ban on the trade or importation of a specified commodity”. The second component of the phrase “[e]xport prohibitions or restrictions” is the noun “restriction”, which is defined as “[a] thing which restricts someone or something, a limitation on action, a limiting condition or regulation”, and thus refers generally to something that has a limiting effect.

Q.1.2.2 China – Raw Materials, para. 321

(WT/DS394/AB/R, WT/DS395/AB/R, WT/DS398/AB/R)

… we note that the words “prohibition” and “restriction” in [Article XI:2(a)] are both qualified by the word “export”.