Voluntary Export Restraints
- Voluntary Export Restraints
A voluntary export restraint (VER) is a restriction set by a government on the quantity of goods that can be exported out of a country during a specified period of time. Often the word voluntary is placed in quotes because these restraints are typically implemented upon the insistence of the importing nations.
Typically VERs arise when the import-competing industries seek protection from a surge of imports from particular exporting countries. VERs are then offered by the exporter to appease the importing country and to avoid the effects of possible trade restraints on the part of the importer. Thus VERs are rarely completely voluntary.
Also, VERs are typically implemented on a bilateral basis, that is, on exports from one exporter to one importing country. VERs have been used since the 1930s at least, and have been applied to products ranging from textiles and footwear to steel, machine tools and automobiles. They became a popular form of protection during the 1980s, perhaps in part because they did not violate countries' agreements under the GATT. As a result of the Uruguay round of the GATT, completed in 1994, WTO members agreed not to implement any new VERs and to phase out any existing VERs over a four year period. Exceptions can be granted for one sector in each importing country.
Some interesting examples of VERs occurred with auto exports from Japan in the early 1980s and with textile exports in the 1950s and 60s.
Wikimedia Foundation.
2010.
Look at other dictionaries:
Voluntary Export Restraints — (VERs) Bilateral agreement between the EC and other countries where the latter voluntarily agree to limit the volume of their exports to the EC of particular products … Glossary of the European Union and European Communities
Non-tariff barriers to trade — (NTBs) are trade barriers that restrict imports but are not in the usual form of a tariff. Some common examples of NTB s are anti dumping measures and countervailing duties, which, although they are called non tariff barriers, have the effect of… … Wikipedia
Japanese consumer electronics industry — The Japanese consumer electronics industry is a prominent industry and home to companies such as Sony, Casio, Hitachi, Denon, Toshiba, NEC, TDK, JVC, Panasonic, Roland, Fujitsu, Canon, Sharp, Fujifilm, Rohm, Plextor, Korg, Pioneer, Kyocera,… … Wikipedia
Protectionism — For the protectionist Australian political party from the 1880s to 1909, see Protectionist Party Protectionism is the economic policy of restraining trade between nations, through methods such as tariffs on imported goods, restrictive quotas, and … Wikipedia
Commercial policy — World trade A series on Trade … Wikipedia
restraint — noun 1 limit/control on sth ADJECTIVE ▪ voluntary ▪ agreements on voluntary export restraints ▪ conventional ▪ What happens when the conventional restraints on human cruelty are removed? ▪ … Collocations dictionary
Big Three (automobile manufacturers) — The Big Three, when used in relation to the automotive industry, most generally refers to the three major American automotive companies:Ford, General Motors, and Chrysler[citation needed]. The term is also sometimes used in relation to the three… … Wikipedia
Electronics industry in Japan — JVC professional video camera The Japanese consumer electronics industry is one of the most prominent industries in the world and is the world s largest electronics manufacturer by companies such as Sony, Pentax, Casio, Citizen Watches, Hitachi,… … Wikipedia
Free trade — Not to be confused with Free market. World trade A series on Trade … Wikipedia
Currency war — Brazilian Finance Minister Guido Mantega, who made headlines when he raised the alarm about a Currency War in September 2010. In July 20 … Wikipedia
