What is Trade barriers?

What is Trade barriers?

Trade barriers refers to a country to protect the development of national service industry, take the means of national intervention to restrict the development of foreign services in the country set up obstacles.

Any policy measures that directly or indirectly increase the cost of production or sale of foreign service producers or providers may be considered by foreign service providers to be trade barriers. Trade barriers are not limited to restrictions on foreign services, but also include incentives for domestic services, can be divided into service products, mobile barriers, capital movement barriers, personnel movement barriers, foreign direct investment barriers. The trade barriers also include export restrictions. The purpose of trade in trade barriers is to protect the domestic service market, foster the domestic service sector and enhance its competitiveness. On the other hand, it aims to resist the entry of foreign services and weaken the competitiveness of foreign services.

Product movement barriers include quantitative restrictions, local or local requirements, government procurement, discriminatory technical standards and tax systems, and backward intellectual property protection systems, etc. If the foreign airline does not allow foreign airlines to use their domestic airline System, or given a certain service import quota; local ingredients such as service providers are required to purchase equipment locally, use local sales network or can only lease and not all purchase; local requirements such as Germany, Canada and Switzerland and other countries prohibited in the host country Government subsidies to domestic service providers can also effectively prevent foreign competitors, change subsidies may change a firm in the domestic trade in services on the competitive advantage, such as the British government to change the study of foreign students in the UK subsidy , Which makes the tuition fees high enough to prohibit the degree of study abroad; government procurement, such as the provision of public domain services can only be purchased from their own manufacturers, or the government to sell the way to monopolize the market, which directly or indirectly exclude foreign competitors; Technical standards and tax system Foreign service providers may pay more tax surtaxes, operating income taxes and additional taxes on the use of equipment (such as airports) than domestic manufacturers, such as the type, size and various professional certificates used by foreign service providers. The protection of intellectual property laws or the protection of intellectual property rights ineffective, may be effective in hindering the entry of foreign service providers, because intellectual property is both the conditions of trade in services and trade services constitute the content and form of the US government estimates that every year foreign piracy Entertainment industry export losses of about 1 billion US dollars, 80% of the film can not be recovered from the theater’s box office revenue costs, even with the export, there are still about 60% can not recover the cost.

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