Gatt (Noun)
Meaning
A United Nations agency created by a multinational treaty to promote trade by the reduction of tariffs and import quotas.
Classification
Nouns denoting groupings of people or objects.
Examples
- The General Agreement on Tariffs and Trade, commonly referred to as GATT, was established in 1947 to promote free trade and economic cooperation among its member countries.
- As a result of GATT negotiations, many countries have significantly reduced their tariffs and import quotas, making it easier for businesses to export goods and services.
- The Uruguay Round of GATT talks led to the creation of the World Trade Organization in 1995, which replaced GATT as the primary international trade organization.
- Under GATT, countries are encouraged to use tariffs instead of quotas, as tariffs are seen as a more transparent and predictable way to regulate trade.
- GATT's "most favored nation" clause requires countries to treat imports from all member countries equally, which helps to promote fair and non-discriminatory trade practices.