GATS. If a Party grants to a non-Party, after the entry into force of this Agreement, additional benefits with regard to the access to its services markets, it shall be prepared to enter into consultations in the Joint Committee with a view to addressing this matter in light of the objective set out in paragraph 1.
GATS. The Parties recognise that, in certain circumstances, subsidies may have distortive effects on trade in services. Any Party which considers that it is adversely affected by a subsidy of the other Party may request consultations with that Party on such matters. Such request shall be accorded sympathetic consideration.
GATS. [NB: this provision should be removed during negotiations, if there is a similar provision in an horizontal part of the agreement covering this Chapter.]
GATS. Article 9 of the Agreement on the Application of Sanitary and Phytosanitary Measures; and Article 20.3 of the Agreement on Implementation of Article VII of the GATT 1994 (Customs Valuation Agreement).
GATS. With respect to market access through the modes of supply identified in Article I, each Member shall accord services and service suppliers of any other Member treatment no less favourable than that provided for under the terms, limitations and conditions agreed and specified in its Schedule. (Emphasis added)
GATS. 2.2.1. The impact of Art II GATS
GATS. GATS raises particular concerns in relation to the mutual agreement procedure in OECD MC Art 25. Due to Article XXII (3) GATS, disputes regarding agreements on the avoidance of double taxation may be brought before the Council for Trade in Services. A footnote to paragraph 3 contains the important exception that if the dispute relates to international agreements »which exist at the time of the entry into force« of the Agreement, the matter may not be brought to the Council on Trade in Services unless both States agree. In this respect the commentaries to Art 25 OECD-MC regarding the Mu- tual Agreement Procedure should be noticed. The commentaries recommend that the Contracting States' obligations under the GATS could be incorpo- rated in DTC’s by the addition of the following provision: »For purposes of paragraph 3 of Article XXII (Consultation) of the General Agreement on Trade in Services, the Contracting States agree that, notwithstanding that paragraph, any dispute between them as to whether a measure falls within the scope of this Convention may be brought before the Council for Trade in Services, as provided by that paragraph, only with the consent of both Contracting States. Any doubt as to the interpretation of this para- graph shall be resolved under paragraph 3 of Article 25 or, failing agreement under that pro- cedure, pursuant to any other procedure agreed to by both Contracting States.« From a Danish point of view, this recommendation has been followed in the DTC between Denmark and Canada (Art 30 paragraph 5)7. There do not seem to be any other DTC’s with Denmark as party with the same provision.
GATS. Since January 1995, world trade in services has come under a basic framework of WTO rules, the General Agreement on Trade in Services (GATS). A framework of rules for trade in services, similar to the GATT for trade in goods, was negotiated during the Uruguay Round. It includes the same basic principles of the GATT, i.e. transparency (advance publication of trade-related legislation, judicial review) and non-discrimination (MFN, and national treatment once a commitment has been accepted) for service trade. On the rules side three main issues are being pursued, namely negotiations on safeguards, subsidies, and government procurement. World Trade Organisation members are committed to negotiations to bring about further market opening to foreign providers. Negotiations are not about deregulation of services. The GATS is a flexible agreement and it does not cover services which are not supplied on a commercial basis or in competition with other providers. Only when a WTO member decides to subject a public service to the laws of the market is this service open to competition. Moreover GATS does not require reciprocity in the engagement from other WTO members: opening of a sector by a members does not need to be reciprocated with the opening of the same sector by the other party.
GATS. 4 modes of supply
GATS should cover only the specific commitments undertaken by Members as opposed to general application, which would ensure certainty, while also allowing Members to assess future commitments in light of their domestic regulations in place.17
