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Export Reference Directory - Section Q-T


Q R S T

Select the first letter of the topic you need from the list above to jump to appropriate section of the

Export Reference Directory


- Q -

Quadrilateral Meetings - These are meetings involving trade ministers from the U.S., the European Community, Canada, and Japan to discuss trade policy matters. 

Quantitative Restrictions - Explicit limits, usually by volume, on the amount of a specified commodity that may be imported into a country, sometimes also indicating the amounts that may be imported from each supplying country. Compared to tariffs, the protection afforded by QR's tends to be more predictable, being less affected by changes in competitive factors. Quotas have been used at times to favor preferred sources of supply. The GATT generally prohibits the use of quantitative restrictions, except in special cases, such as those cited in Articles XX (which permits exceptions to protect public health, national gold stocks, goods of archeological or historic interest, and a few other special categories of goods), or Article XXI (which permits exceptions in the interest of "national security"), or for safeguard purposes, when the appropriate procedures in Article XIX have been followed.

Quotas and Quota System - Absolute quotas permit a limited number of units of specified merchandise to be entered or withdrawn for consumption during specified periods. Tariff-rate quotas permit a specified quantity of merchandise to be entered or withdrawn at a reduced rate during a specified period.  Quotas are established by Presidential Proclamations, Executive Orders, or other legislation.  The Quota System, a part of Customs' Automated Commercial System, controls quota levels (quantities authorized) and quantities entered against those levels. Visas control exports from the country of origin. Visa authorizations are received from other countries and quantities entered against those visas are transmitted back to them. Control of visas and quotas simplify reconciliation of other countries' exports and U.S. imports.  See: International Monetary Fund.

Quotation - An offer to sell goods at a stated price and under specified conditions.

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- R - 

Rank in Person - The personal rank that a Foreign Service officer maintains even when occupying a job of higher or lower rank. 

Reciprocal Defense Procurement Memoranda of Understanding - Reciprocal memoranda of understanding (MOU) are broad bilateral umbrella MOUs that seek to reduce trade barriers on defense procurement. They usually call for the waiver of "buy national" restrictions, customs and duties to allow the contractors of the signatories to participate, on a competitive basis, in the defense procurement of the other country. These agreements were designed in the late 1970's to promote rationalization, standardization, and interoperability of defense equipment within NATO. At that time, the MOU's were also intended to reduce the large defense trade advantage the United States possessed over the European allies. The first agreements were signed in 1978.

Reciprocity - reduction of a country's import duties or other trade restraints in return for comparable trade concessions from another country.  Reciprocity includes the lowering of customs duties on imports in return for tariff concessions from other countries; the negotiated reduction of a country's import duties or other trade restraints in return for similar concessions from another country. Reciprocity is a traditional principle of GATT trade negotiations that implies an approximate equality of concessions accorded and benefits received among or between participants in a negotiation. In practice this principle applies only in negotiations between developed countries. Because of the frequently wide disparity in their economic capacities and potential, the relationship between developed and developing countries is generally not one of equivalence. The concept of "relative reciprocity" has emerged to characterize the practice by developed countries to seek less than full reciprocity from developing countries in trade negotiations.

Reexports - For export control purposes: the shipment of U.S. origin products from one foreign destination to another. For statistical reporting purposes: exports of foreign-origin merchandise which have previously entered the United States for consumption or into Customs bonded warehouses for U.S. Foreign Trade Zones.

Remitting bank - The bank that sends the draft to the overseas bank for collection.

Representative - See Foreign sales agent.

Request/Offer - A negotiating approach whereby requests are submitted by a country to a trading partner identifying the concessions another seeks through negotiations. Compensating offers are similarly tabled and negotiated by delegates of the countries involved.

Reserve Tranche - Member countries of the International Monetary Fund (IMF) have a reserve tranche position to the extent that their quotas exceed the IMF's holdings of its currency in the General Resources Account, excluding holdings arising out of purchases made by the member under all policies on the use of the IMF's general resources. A member may purchase up to the full amount of its reserve tranche at any time, subject only to the requirement of balance of payments need. A reserve tranche position does not constitute a use of IMF credit and is not subject to charges or to an expectation or obligation to repurchase.  See: International Monetary Fund. 

Residual Restrictions - Quantitative restrictions that have been maintained by governments before they became contracting parties to GATT and, hence, permissible under the GATT "grandfather clause." Most of the residual restrictions still in effect are maintained by developed countries against the imports of agricultural products.

Restrictive Business Practices - Actions in the private sector, such as collusion among the largest international suppliers, designed to restrict competition so as to keep prices relatively high.

Retaliation - Action taken by a country whose exports are adversely affected by the raising of tariffs or other trade restricting measures by another country.  The GATT permits an adversely affected contracting party (CP) to impose limited restraints on imports from another CP that has raised its trade barriers (after consultations with countries whose trade might be affected). In theory, the volume of trade affected by such retaliatory measures should approximate the value of trade affected by the precipitating change in import protection.

Returned Without Action - For export control purposes: the return of a license application without action is used when the application is incomplete, additional information is required, or the product is eligible for a General License. 

Reverse Preferences - Tariff advantages once offered by developing countries to imports from certain developed countries that granted them preferences. Reverse preferences characterized trading arrangements between the European Community and some developing countries prior to the advent of the Generalized System of Preferences (GSP) and the signing of the Lom Convention.

Revocable letter of credit - A letter of credit that can be canceled or altered by the drawee (buyer) after it has been issued by the drawee's bank.  Compare Irrevocable letter of credit.

Revocation of Antidumping Duty Order & Termination of Suspended - Investigation  - An antidumping duty order may be revoked or a suspended investigation may be terminated upon application from a party to the proceeding. Ordinarily the application is considered only if there have been no sales at less than fair value for at least the two most recent years. However, the International Trade Administration may on its own initiative revoke an antidumping duty order or terminate a suspended investigation if there have not been sales at less than fair value for a period of 3 years. See: Tariff Act of 1930.

Rio Group - The Rio Group is a political forum of Latin American and Caribbean countries which promotes regional political, economic and social cooperation. The Group is comprised of 13 countries, including 11 permanent members: Argentina, Bolivia, Brazil, Colombia, Chile, Ecuador, Mexico, Paraguay, Peru, Uruguay and Venezuela and two rotating members which representing the Central American countries and the Caribbean nations.

Rollback - Rollback refers to an agreement among Uruguay Round participants to dismantle all trade-restrictive or distorting measures that are inconsistent with the provisions of the GATT. Measures subject to rollback would be phased out or brought into conformity within an agreed timeframe, no later than by the formal completion of the negotiations. The rollback agreement is accompanied by a commitment to "standstill" on existing trade-restrictive measures. Rollback is also used as a reference to the imposition of quantitative restrictions at levels less than those occurring in the present.  See: Standstill.

Rounds - Cycles of multilateral trade negotiations under GATT, culminating in simultaneous agreements among participating countries to reduce tariff and non-tariff trade barriers.  - 1st Round: 1947, Geneva (creation of the GATT) - 2nd Round: 1949, Annecy, France (tariff reduction) - 3rd Round: 1951, Torquay, England (accession & tariff reduction) - 4th Round: 1956, Geneva (accession and tariff reduction) - 5th Round: 1960-62, Geneva ("Dillon" Round; revision of GATT; addition of more countries) - 6th Round: 1964-67, Geneva ("Kennedy" Round) - 7th Round: 1973-79, Geneva ("Tokyo" Round) - 8th Round: 1986-93, Geneva ("Uruguay" Round)

Russian Project Finance Bank - The RPFB is a new financial institution set up with the assistance of the European Community. The Bank is intended to develop efficient financial systems in Russia capable of channeling foreign and domestic investment into priority areas by providing medium and long-term financial and high quality investment banking advisory services to businesses.

Russian Union of Industrialists and Entrepreneurs - RUIE promotes commercial links between Western firms and Soviet defense firms. The Union, an independent agency created by the Russian Central government, consists of hundreds of major enterprises and associations. 

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- S - 

Safeguards - The General Agreement on Tariffs and Trade (GATT) permits two forms of multilateral safeguards: (a) a country's right to impose temporary import controls or other trade restrictions to prevent commercial injury to domestic industry, and (b) the corresponding right of exporters not to be deprived arbitrarily of access to markets.  Article XIX of the GATT permits a country whose domestic industries or workers are adversely affected by increased imports to withdraw or modify concessions the country had earlier granted, to impose, for a limited period, new import restrictions if the country can establish that a product is "being imported in such increased quantities as to cause or threaten serious injury to domestic producers," and to keep such restrictions in effect for a such time as may be necessary to prevent or remedy such injury.

Sales Representative - An agent who distributes, represents, services, or sells goods on behalf of foreign sellers.

Saudi Arabian Standards Organization - SASO was established in April 1972 as the sole Saudi Arabian government organization to promulgate standards and measurements in the kingdom.  Primarily, SASO promulgates standards for electrical equipment and some food products. Some of these standards have been adopted by the Gulf Cooperation Council.

Schedule B - Schedule B is a U.S. Bureau of the Census publication and is based on the Harmonized Commodity Description and Coding System (Harmonized System). Export statistics are initially collected and compiled in terms of approxiximately 8,000 commodity classifications in Schedule B, Statistical Classification of Domestic and Foreign Commodities Exported from the United States.  See: Tariff Schedules of the United States Annotated.

Scope Determinations - Scope determinations deal with the product coverage of antidumping and countervailing duty orders. The Department of Commerce will determine -- in response to an application from an interested party or on its own initiative -- whether a certain product is included within the scope of an antidumpting and countervailing duty order. 

Secretaria de Comercio y Fomento Industrial - SECOFI is Mexico's Ministry of Commerce and Industrial Promotion.

Section 201 - Section 201, the "escape clause" provision of the Trade Act of 1974, permits temporary import relief, not to exceed a maximum of eight years, to a domestic industry which is seriously injured, or threatened with serious injury, due to increased imports. Import relief, granted at the President's discretion, generally takes the form of increased tariffs or quantitative restrictions. To be eligible for section 201 relief, the International Trade Commission (ITC) must determine that: (a) the industry has been seriously injured or threatened to be injured and (b) imports have been a substantial cause (not less than any other cause) of that injury.  Industries need not prove that an unfair trade practice exists, as is necessary under the antidumping and countervailing duty laws. However, under section 201, a greater degree of injury -- "serious" injury -- must be found to exist, and imports must be a "substantial" cause (defined as not less than any other cause) of that injury.  If the ITC finding is affirmative, the President's remedy may be a tariff increase, quantitative restrictions, or orderly marketing agreements. At the conclusion of any relief action, the Commission must report on the effectiveness of the relief action in facilitating the positive adjustment of the domestic industry to import competition. If the decision is made not to grant relief, the President must provide an explanation to the Congress.  See: Escape clause, Trade Act of 1974.

Section 232 - Under section 232 of the Trade Expansion Act of 1962, as amended, Commerce determines whether articles are being imported into the U.S. in quantities or circumstances that threaten national security. Based on the investigation report, the President can adjust imports of the article(s) in question.  Commerce must report on the effects these imports have on national security and make recommendations for action or inaction within 270 days after starting an investigation. Within 90 days of the report, the President decides whether to take action to adjust imports on the basis of national security. The President must notify Congress of his decision within 30 days.  See: Trade Expansion Act of 1962.

Section 301 - Under section 301, firms can complain about a foreign country's trade policies or practices that are harmful to U.S. commerce. The section empowers the USTR to investigate the allegations and to negotiate the removal of any trade barriers. USTR may also self-initiate investigations.  Specific timeframes for conducting the investigations are specified by law. Section 301 requires that GATT's dispute resolution process be invoked where applicable and, if negotiations fail, to retaliate within 180 days from the date that discovery of a trade agreement violation took place.  See: Special 301, Super 301.

Section 337 - Section 337 of the Tariff Act of 1930 requires investigations of unfair practices in import trade. Under this authority, the International Trade Commission applies U.S. statutory and common law of unfair competition to the importation of products into the United States and their sale. Section 337 prohibits unfair competition and unfair importing practices and sales of products in the U.S., when these threaten to: (a) destroy or substantially injure a domestic industry, (b) prevent the establishment of such an industry, or (c) restrain or monopolize U.S. trade and commerce. Section 337 also prohibits infringement of U.S. patents, copyrights, registered trademarks, or mask works. See: Tariff Act of 1930.

Section 416 - Section 416 of the Agricultural Act of 1949 provides for the donation of food and feed commodities owned by Agriculture's Commodity Credit Corporation and is focused on people in developing countries.  See: Food For Peace, Food For Progress.

Selling, General and Administrative (Expenses) - SGA is the sum of: - General and administrative expenses (such as: salaries of non-sales personnel, rent, heat, and light); - Direct selling expenses (that is, expenses that can be directly tied to the sale of a specific unit, such as: credit, warranty, and advertising expenses); and - Indirect selling expenses (that is, expenses which cannot be directly tied to the sale of a specific unit but which are proportionally allocated to all units sold during a certain period, such as: telephone, interest, and postal charges). 

Semiconductor Trade Arrangement - The U.S.-Japan Semiconductor Trade Arrangement is a bilateral agreement which came into effect on August 1, 1991, replacing the prior 1986 Semiconductor Trade Arrangement. The new Arrangement contains provisions to: (a) increase foreign access to the Japanese semiconductor market and (b) deter dumping of semiconductors by Japanese suppliers into the U.S. market, as well as in third country markets. In evaluating market access improvement, both governments agreed to pay particular attention to market share. The expectation of a 20 percent foreign market share by the end of 1992 is included in the Arrangement. The Arrangement explicitly states, however, that the 20 percent figure is not a guarantee, a ceiling, or a floor on the foreign market share.

Senior Commercial Officer - The SCO is the senior U.S. and Foreign Commercial Officer at an embassy and reports in-country to the Ambassador. At major posts, this position carries the title of Commercial Counselor; in key posts, Minister Counselor. Usually reporting to the SCO are a Commercial Attache and Commercial officers. The latter are sometimes assigned to subordinate posts throughout the country.

Shared Foreign Sales Corporation - A shared FSC is a foreign sales corporation consisting of more than one and less than 25 unrelated exporters. See: Foreign Sales Corporation.

SHIELD - SHIELD is an interagency export control committee that reviews licenses involving chemical or biological weapons.

Shipment - A shipment is all of the cargo carried under the terms of a single bill of lading.

Shipper's Export Declaration (7525-V) - A form required for all shipments by the U.S. Treasury Department and prepared by a shipper, indicating the value, weight, destination, and other basic information about an export shipment.  For additional information, please see our companion guide: Shippers Export Declaration.

Ship's manifest - An instrument in writing, signed by the captain of a ship, that lists the individual shipments constituting the ship's cargo.

Shipping Weight - Shipping weight represents the gross weight in kilograms of shipments, including the weight of moisture content, wrappings, crates, boxes, and containers (other than cargo vans and similar substantial outer containers).

Short Supply - Commodities in short supply may be subject to export controls to protect the domestic economy from the excessive drain of scarce materials and to reduce the serious inflationary impact of satisfying foreign demand. Items that the U.S. controls for short supply purposes include petroleum and petroleum products, unprocessed western red cedar, and shipment of horses by sea. The controls are included in the Export Administration Regulations.

Sight draft (S/D) - A draft that is payable upon presentation to the drawee. Compare Date draft and Time draft.

Singapore-Jahor-Riau Growth Triangle - SIJORI is a subregional economic grouping composed of the nation of Singapore, the Malaysian State of Johor, and Indonesia's Riau Province. 

Single Currency Peg - See: Exchange Rate Classifications.

Single European Act - The SEA, which entered into force in July 1987, was the first significant revision of the Treaty of Rome. The SEA provides the legal and procedural support for achievement of the single European Market by 1992. The SEA revised the EEC Treaty and, where not already provided for in the Treaty, majority decisions were introduced for numerous votes facing the Council of Ministers, particularly those affecting establishment of the single European Market and the European financial common market. The role of the European Parliament was strengthened; decisions on fiscal matters remained subject to unanimity.

Single Internal Market Information Service - SIMIS, operated by the Commerce Department's International Trade Administration, provides information, assistance, and advice on how to do business in the European Community's internal market. Telephone: 202-482-5276.

Sistema de Informacion al Comercio Exterior - SICE (English: Foreign Trade Information System) is a databank which provides foreign trade information to the public and private sectors of member countries of the Organization of American States (OAS). The System includes information on the U.S. import and export markets, markets of other OAS member countries, and trade information on the European Community and Japan.

Sistema Economico Latinoamericano - See: Latin American Economic System.

Sociedad Anonima - S.A. (Spanish: "incorporated company") is a form of corporation which must have at least five shareholders, who may be either Mexican or foreign. Each shareholder is liable only up to the amount of their contribution. No shares may be held by the company name. "S.A." must follow the firm name, indicating that it is a corporation. 

Sociedad Anonima de Capital Variable - SA de CV (Spanish: "variable capital company"), similarly to SA, must have at least five shareholders, who may be either Mexican or foreign. Each shareholder is liable only up to the amount of their contribution. SA de CV differs from SA in that an SA de CV may own its shares. "S.A. de C.V." must follow the firm name indicating that it a corporation with variable capital.

Societ a Responsabilit Limitata - "Srl" (Italian) is a private company.

Societ in Nome Collettivo - "Snc" (Italian) is a general partnership in which there is no limit on the liability of the partners.

Societ Per Azioni - "SpA" (Italian: public corporation) must have at least two shareholders at formation; after formation, the requirement is reduced to one shareholder. 

Socit Anonyme - S.A. (French: "incorporated") is a form of corporation which must have at least seven shareholders, who may be either French or foreign. Each member is liable only up to the amount of stock owned.

Socit Responsabilit Limite - SARL (French: limited liability company") has features of both a corporation and a partnership. The number of partners cannot exceed 50.  Partners may be either French or foreign. Partner liabilities are limited to the amount of their contribution, which may be in cash or in kind but not in skills. While shares may be freely traded among partners, they may not be transferred to third parties without majority agreement of partners representing at least 75 percent of the capital.

Socit en Commandit Simple - Socit en commandit simple (French: "limited partnership") is composed of general partners, of which the managing partner at least must have unlimited liability, and silent partners whose liability is limited to the amount of their capital contributions. Silent partners are not permitted to perform any management functions vis-a-vis other partners. In a limited partnership without shares, transfer of shares of the limited partners is only allowable with the consent of all the partners. In a limited partnership with shares (Socit en commandit par actions), these are transferred in a manner similar to corporations.

Socit en Nom Collectif - Socit en nom collectif, SNC, (French: "general partnership") is organized with all partners being allocated shares for their contributions, which may be cash, in-kind, or services. There is no required minimum or maximum capital, nor any share par value. Shares in the firm are not negotiable and cannot be transferred without agreement of all the partners.  Each partner is liable for the totality of the firm's debts and obligations.

Socit Internationale Financire pour les Investissements et le Dveloppement en Afrique  - SIFIDA fosters the formation of profitable business in Africa by identifying and nurturing productive projects, by arranging for syndicated loans, and by providing export finance. The Society is a holding company affiliated with the African Development Bank (AfDB); headquarters are in Chne-Bourg, Switzerland. Major shareholders include the AfDB, the International Finance Corporation and more than 100 financial, industrial, and commercial institutions around the world. 

Socit par Actions Simplifie - SAS (French: "private limited company") is designed for joint ventures and permits the rights and liability of each shareholder to be defined by mutual agreement between the parties. Only two shareholders are required.  

Society for Worldwide Interbank Financial Telecommunications - SWIFT is a cooperative organized under Belgian law, with headquarters in La Hulpe, near Brussels. SWIFT provides communications services to the international banking industry, including payments and administrative messages and, more recently, securities settlements. Traffic in 1991 was about 362 million messages. SWIFT is owned by the member banks -- approximately 1,600 -- including the central banks of most countries. The U.S. Federal Reserve is not a member, but participates in certain types of payments. Securities brokers and dealers, clearing and depository institutions, exchanges for securities, and travellers checks issuers also participate in SWIFT. SWIFT was organized in 1973 and started operations in 1977.

Soft Currency - The currency of a nation in which exchange may be made only with difficulty. Soft currency countries typically have minimal exchange  reserves and deficits in their balance of payments.  See: Hard Currency.

Soft Loan - Commonly, a loan from a government or multilateral development bank with a long repayment period and below-market interest. 

South Asian Association for Regional Cooperation - SAARC promotes economi , technical, scientific, and social cooperation among members. The Association was founded in 1985 by seven countries: Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan, and Sri Lanka. The Association plans to establish a South Asian Preferential Trading Arrangement (SAPTA) by 1997 as a step toward creating an economic community in south Asia.

South Asia Preferential Trading Arrangement - See: South Asian Association for Regional Cooperation.

Southern Africa Development Community - SADC, established in April 1980 (as the Southern Africa Development Coordination Conference), is a regional economic pact comprising Angola,  Botswana, Lesotho, Malawi, Mozambique, Namibia, Swaziland, Tanzania, Zambia, and Zimbabwe. Since a change in name and focus in mid-1992, the Community focuses solely on development, leaving trade matters to the Preferential Trade Agreement for Eastern and Southren Africa (PTA). Community headquarters are in Gaborone, Botswana.

Southern African Customs Union - SACU, established in 1910, includes Botswana, Lesotho, Namibia, South Africa, and Swaziland. SACU provides for the free exchange of goods within the area, a common external tariff, and a sharing of custom revenues.  External tariffs, excise duties, and several rebate and refund provisions are the same for all SACU members. SACU's revenues are apportioned among its members according to a set formula. These funds constitute a significant contribution to each member's government revenues.

Southern Common Market - See: Mercosur.

Southern Cone - The southern cone consists of Argentina, Brazil, Chile, Paraguay, and Uruguay. With the exception of Chile, these countries also comprise the Southern Common Market.

South Group - See: Danish International Development Assistance.

South Pacific Bureau for Economic Cooperation - See: South Pacific Forum.

South Pacific Forum - The SPF is a regional arrangement for convening 15 governments and territories for deliberations on issues of mutual interest. The Forum was established in 1971; headquarters are in Suva, Fiji; members include: Australia, the Cook Islands, Fiji, Kirbati, Marshall Islands, Micronesia, Nauru, New Zealand, Niue, Papua New Guinea, Samoa, Solomon Island, Tonga, Tuvalu, and Vanatu. The South Pacific Bureau for Economic Cooperation (SPEC) is a subsidiary organization which promotes regional cooperation in the development of the island members in partnership with the more industrially developed countries of the region: Australia and New Zealand. 

Special American Business Internship Training Program - SABIT, originally the Soviet-American Business Internship Training Program, is a cooperative program that brings business executives and scientists from the former Soviet Union or three-to six-month internships with American companies. The program teaches these managers and scientists how to operate in a market economy at the same time that American businesses development market contacts once their interns return home. Soviet business managers are referred by the Commerce Department's International Trade Administration to sponsoring U.S. companies, which make the final selection of their interns. The program matches U.S. corporate sponsors with Soviet business executives from the same industries. The Independent States provide transportation; the companies provide living expenses and training in management techniques (production, distribution, marketing, accounting, wholesaling, and publishing).

Special and Differential Treatment - The principle, enunciated in the Tokyo Declaration, that the Tokyo Round negotiations should seek to accord particular benefits to the exports of developing countries, consistent with their trade, financial, and development needs. Among proposals for special or differential treatment are reduction or elimination of tariffs applied to exports of developing countries under the Generalized System of Preferences (GSP), expansion of product and country coverage of the GSP, accelerated implementation of tariff cuts agreed to in the Tokyo Round for developing country exports, substantial reduction or elimination of tariff escalation, special provisions for developing country exports in any new codes of conduct covering nontariff measures, assurance that any new multilateral safeguard system will contain special provisions for developing country exports, and the principle that developed countries will expect less than full reciprocity for trade concessions they grant developing countries. 

Special Drawing Rights - SDRs are international reserve assets, created by the International Monetary Fund (IMF) in 1970 and allocated to individual member nations. Within conditions set by the IMF, SDRs can be used by a nation with a deficit in its balance of international payments to settle debts with another nation or with the IMF. The value of SDRs is computed as a weighted average of five currencies: deutsche mark, French franc, Japanese yen, pound sterling, and U.S. dollar.

Specially Designated Nationals - The Office of Foreign Assets Control (OFAC), Department of the Treasury, implements and enforces financial and trade sanctions. FAC has the authority to include within the definition of the sanctioned government those individuals and entities that FAC has determined are owned by, controlled by, or acting directly or indirectly on behalf of the target government. Parties so identified are known as Specially Designated Nationals or SDNs. In practice, an SDN is a target government body, representative, intermediary, or front (whether overt or covert) that usually is located in a third country and functions as an extension of the sanctioned government. An SDN may also be a third-party company that otherwise becomes owned or controlled by the target government or that operates on its behalf. No criminal linkage is necessary. Ownership by, control by, acting on behalf of, or profiting from trade with the target government or country would suffice to qualify a person for designation. 

Special 301 - The Special 301 statute requires the United States Trade Representative (USTR) to review annually the condition of intellectual property protection among U.S. trading partners. Submissions are accepted from industry after which the USTR, weighing all relevant information, makes a determination as to whether a country presents excessive barriers to trade with the United States by virtue of its inadequate protection of intellectual property. If the USTR makes a positive determination, a country may be named to the list of: (a) Priority Foreign Countries (the most egregious), (b) the Priority Watch List, or (c) the Watch List. Special 301 (a variation of Section 301) was created by the Omnibus Trade and Competitiveness Act of 1988.  See: Section 301, Super 301.

Spot exchange - The purchase or sale of foreign exchange for immediate delivery.

Spot Transaction - See: Forward Exchange Rate.

Standard industrial classification (SIC) - A standard numerical code system used to classify products and services.

Standard international trade classification (SITC) - A standard numerical code system developed by the United Nations to classify commodities used in international trade.

Standards - As defined by the Multilateral Trade Negotiations "Agreement on Technical Barriers to Trade" (Standards Code), a standard is a technical specification contained in a document that lays down characteristics of a product such as levels of quality, performance, safety, or dimensions.  Standards may include, or deal exclusively with, terminology, symbols, testing and test methods, packaging, marking, or labeling requirements as they apply to a product.  The GATT Standards Code, negotiated and accepted during the Tokyo Round in the 1970s, is designed to eliminate the use of standards, technical regulations, and conformity assessment (certification) procedures as unnecessary barriers to trade. The Standards Code is administered by the GATT Secretariat in Geneva, Switzerland. The Commerce Department's National Institute of Standards and Technology is responsible for several provisions of the Standards Code which relate to the establishment of a U.S. inquiry point, a standards information center, and a technical office for non-agricultural products.

Stand-By Arrangements - A stand-by arrangement, like an extended arrangement, assures a member country of the International Monetary Fund (IMF) that it will be able to make purchases up to a specified amount from the IMF during a given period, as long as the member has observed the performance criteria and other terms specified in the arrangement. Stand-by arrangements extend up to three years.  See: International Monetary Fund.

Standstill - Standstill refers to a commitment of GATT contracting parties not to impose new trade-restrictive measures during the Uruguay Round negotiations. See: Rollback.

State Export Program Database - The SEPD is a trade lead system maintained by the National Association of State Development Agencies (NASDA). The SEPD includes information on state operated trade lead systems.

State/Industry-Organized, Government Approved - See: Certified Trade Missions.

State Trading Enterprises - STEs are entities established by governments to import, export and/or produce certain products. Examples include: government-operated import/export monopolies and marketing boards or private companies that receive special or exclusive privileges from their governments to engage in trading activities.

Statistical Office of the European Community - EUROSTAT provides European Economic Community-wide statistics on economics, finance, foreign trade, services, transportation, industry, population, social conditions, energy, atricutlrual, forestry, and other topics. Eurostat offices are located in Luxembourg.

Steamship conference - A group of steamship operators that operate under mutually agreed-upon freight rates.

Straight bill of lading - A nonnegotiable bill of lading in which the goods are consigned directly to a named consignee.

Strategic Level of Controls - Commodity groupings used for export control purposes.  See: Export Control Classification Number.

Structural Adjustment Facility - See: Enhanced Structural Adjustment Facility.

Structural Impediments Initiative - The SII was started in July 1989 to identify and solve structural problems that restrict bringing two-way trade between the U.S. and Japan into better balance.  Both the U.S. and Japanese governments chose issues of concern in the other's economy as impediments to trade and current account imbalances.  The areas which the U.S. Government chose as focus included: (a) Japanese savings and investment patterns, (b) land use, (c) distribution, (d) keiretsu, (e) exclusionary business practices, and (f) pricing. Areas which the Japanese Government chose as focus included: (a) U.S. savings and investment patterns, (b) corporate investment patterns and supply capacity, (c) corporate behavior, (d) government regulation, (e) research and development, (f) export promotion, and (g) workforce education and training.  In a June 1990 report, the U.S. and Japan agreed to 7 meetings in the following three years to review progress, discuss problems, and produce annual joint reports.  

fiscal year 1990. Since then support has been provided under the Foreign Assistance Act of 1991.  See: Foreign Assistance Act of 1991.

Suspension of Investigation - A decision to suspend an antidumping investigation if the exporters who account for substantially all of the imported merchandise agree to stop exports to the U.S. or agree to revise their prices promptly to eliminate any dumping margin. An investigation may be suspended at any time before a final determination is made. No agreement to suspend an investigation may be made unless effective monitoring of the agreement is practicable and is determined to be in the public interest.  See: Tariff Act of 1930.

Suspension of Liquidation - If affirmative, the preliminary determination of dumping or subsidization, or final determination after a negative preliminary determination, provides for suspension of liquidation of all entries of merchandise subject to the determination which are entered, or withdrawn from warehouse, for consumption, on or after the date of the publication of the notice in the Federal Register. Customs is directed to require a cash deposit, or the posting of a bond or other security, for each entry affected equal to the estimated amount of the subsidy or the amount by which the fair value exceeds the U.S. price. When an administrative review is completed, Customs is directed to collect the final subsidy rate or amount by which the foreign market value exceeds the U.S. price, and to require for each entry thereafter a cash deposit equal to the newly determined subsidy rate or margin of dumping.  See: Tariff Act of 1930.

Swap Network - The swap network is a series of bilateral arrangements between the Federal Reserve and fourteen foreign central banks and the Bank for International Settlements providing standby reciprocal facilities for obtaining foreign currencies. The facilities provide for the swap (simultaneous spot purchase and forward sale) of each other's currency by the Federal Reserve and the respective foreign central bank. Swap drawings typically have a three-month maturity, with an understanding that they may be more or less automatically rolled over for another three months. 

Swaps - Swaps take dozens of forms but often entail the exchange of one type of asset or payment for another. Some of the more common forms are: cross-border; currency; debt-for-charity; debt-for-commodity; debt-for-debt; debt-for-development; debt-for-equity; debt-for-export; debt-for-local-currency; debt-for-nature; discount; dual currency; interest rate; inward; premium; reverse; and vanilla. Minor variation in names is common.  Currency swaps convert principal from the lender's currency into the debtor's currency and receiving interest payments in the debtor's currency.  The swap, made to protect the principal from future changes in foreign exchange rates, involves a forward exchange contract to recover the currency involved.  Debt swaps entail replacing the foreign liabilities of a debtor country with ownership or rights of value. A debt-for-equity swap replaces foreign liabilities with a stake in the debtor country's national enterprises; a debt-for-export swap replaces foreign liabilities with an arrangement to receive proceeds from the overseas sale of the debtor country's products or commodities; a debt-for-debt swap replaces an existing foreign liability with a new commitment from the debtor country.  Interest rate swaps involve agreements on the means for exchanging future cash flows. Single currency interest rate swaps concern exchanging future cash flow in the same currency and offer a means for modifying the impact of future changes in interest rates on a company's profitability. Cross currency interest rate swaps concern exchanging future cash flows between one currency and another, traded either on a fixed or floating rate, and offer a means for limited the risk of converting financial interests between currencies.  Swaps also involve arrangements whereby different sellers of similar commodities swap and deliver them to each other's customer if such action saves transportation costs.  See: Derivatives.

Swedish International Development Authority - SIDA, an agency responsible to the Ministry for Foreign Affairs, administers the greater portion of Swedish development cooperation.  Swedish development assistance is directed toward five goals: economic growth, economic and social equality, economic and political independence, democratic development, and environmental quality. About 50 percent of Sweden's development assistance is directed toward a limited number of designated "program countries" in Africa, Asia, and Latin America and involves negotiated efforts to integrate external assistance and long-term development strategies. The remaining assistance is allocated to UN agencies, international development banks, and about 90 countries. The Authority was established in 1965; headquarters are in Stockholm, Sweden. See: Swedish International Enterprise Development Corporation.

Swedish International Enterprise Development Corporation - SwedeCorp, a government funded under Sweden's aid program, supports enterprise development through joint venture investments in developing countries and in Central and Eastern Europe. The Corporation also encourages the transfer of industrial and commercial knowledge from Sweden to third world countries and promotes exports from developing countries to Sweden. The Corporation was formed in July 1991 based on a reorganization of international industry assistance programs; headquarters are in Stockholm, Sweden.  See: Swedish International Development Authority.

Switch Arrangements - A form of countertrade in which unused purchase rights under government-to-government trade (clearing agreements) on unwanted goods received by a firm in a countertrade transaction are sold at a discount to buyers for cash.

System for Tracking Export License Applications - STELA is a BXA computer-generated voice unit that interfaces with the BXA database: ECASS (Export Control Automated Support System). STELA enables a caller to check on an export license by making a telephone call.  202-482-2752

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Table of Denial Orders - The TDO is a list of individuals and firms that have been disbarred from shipping or receiving U.S. goods or technology. Firms and individuals on the list may be disbarred with respect to either controlled commodities or general destination (across-the-board) exports. The list is published in the Export Administration Regulations.

Tare weight - The weight of a container and packing materials without the weight of the goods it contains. Compare Gross weight. 

Targeted Export Assistance Program  See: Market Promotion Program. o Tariff A tax assessed by a government in accordance with its tariff schedule on goods as they enter (or leave) a country. May be imposed to protect domestic industries from imported goods and/or to generate revenue. Types include ad valorem, specific, variable, or some combination. 

Tariff Act of 1930 Title VII of the Tariff Act of 1930, as amended, provides for the imposition of antidumping duties on imported merchandise found to have been sold in the United States at "less than fair value," if these sales have caused or are likely to cause material injury to, or materially retard the establishment of, an industry in the United States. The following terms and phrases are commonly used in connection with procedings under The Tariff Act of 1930, as amended. See: Administrative Review Antidumping Duty Antidumping Investigation Notice Antidumping Duty Order Antidumping Petition Assessment "Class or Kind" of Merchandise Constructed Value Cost of Production Critical Circumstances Deposit of Estimated Duties Disclosure Meeting Dismissal of Petition Dumping Margin Exporter's Sales Price Fair Value Final Determination Foreign Market Value Hearing Period of Investigation Preliminary Determination Protective Order Purchase Price Revocation of Antidumping Duty Order & Termination of Suspended Investigation Section 337 Summary Investigation Suspension of Investigation Suspension of Liquidation. o Tariff Anomaly A tariff anomaly exists when the tariff on raw materials or semi-manufactured goods is higher than the tariff on the finished product. 

Tariff Escalation A situation in which tariffs on manufactured goods are relatively high, tariffs on semi-processed goods are moderate, and tariffs on raw materials are nonexistent or very low. 

Tariff Quotas Application of a higher tariff rate to imported goods after a specified quantity of the item has entered the country at a lower prevailing rate. 

Tariff Schedule A comprehensive list of the goods which a country may import and the import duties applicable to each product. 

Tariff Schedules of the United States See: Tariff Schedules of the United States Annotated. 

Tariff Schedules of the United States Annotated Effective 1979 to January 1989, the U.S. import statistics were initially collected and compiled in terms of the commodity classifications in the Tariff Schedules of the United States Annotated (TSUSA), an official publication of the U.S. International Trade Commission embracing the legal text of the Tariff Schedules of the United States (TSUS) together with statistical annotations. This publication was superseded by the Harmonized Tariff Schedule of the United States Annotated for Statistical Reporting Purposes (HTSUSA) in January 1989. Effective 1979 to January 1989, the U.S. export statistics were initially collected and compiled in terms of the commodity classifications in Schedule B, Statistical Classification of Domestic and Foreign Commodities Exported from the United States. Schedule B is a U.S. Bureau of the Census publication and, during this period, was based on the framework of the TSUS. In January 1989, this publication was replaced by Schedule B based on the Harmonized System. See: Schedule B.

Tax Information Exchange Agreement - A TIEA imposes on the agreeing countries a mutual and reciprocal obligation to exchange information relating to the enforcement of their respective tax laws. A TIEA provides a means by which a signatory government can pursue certain tax evaders, particularly in cases involving large tax claims or drug enforcement. Countries that sign a TIEA agree to: (a) exhange tax information at the government level in a form admissable to U.S. or host country courts; (b) collect information without regard to the taxpayer's nationality; (c) establish a means for compelling the production of tax information; and (d) ensure that local laws do not prohibit the sharing of tax information. A TIEA can support tourism in a signatory country because the Agreement facilitates Internal Revenue Service approval of the destination as a necessary business expense (deductible for Federal income tax purposes) for U.S. citizens and companies which seek to justify attendance at business conventions and seminars in a signatory country. 

Technical Advisory Committees - The TACs are voluntary groups of industry and government representatives who provide guidance and expertise to Commerce on export control matters including evaluation of technical issues; worldwide availability, use and production of technology; and licensing procedures related to specific industries. TACs have been set up for: (a) materials (Materials Technical Advisory Committe, MATAC), (b) biotechnology (Biotechnology Technical Advisory Committee, BIOTAC), (c) computer systems (CSTAC), (d) electronics (ETAC) (formerly "semiconductors"), (e) sensors (STAC) (formerly "electronic instrumentation"), (f) materials processing equipment (MPETAC) (formerly "automated manufacturing equipment"), (g) regulations and procedures (RPTAC), (h) telecommunications equipment (TETAC), and (i) transportation and related equipment (TRANSTAC).

Technical Barrier to Trade - According to the Standards Code, a specification which sets forth characteristics or standards a product must meet (such as levels of quality, performance, safety, or dimensions) in order to be imported. 

Technology - BXA regulations define technical data as "information of any kind that can be used, or adapted for use, in the design, production, manufacture, utilization, or reconstruction of articles or materials. Technology can be either "tangible" or "intangible." Models, prototypes, blueprints or operating manuals (even if stored on recording media) are examples of tangible technology. Intangible technology consists of technical services, such as training, oral advice, information guidance and consulting. 

Technology Transfer - This term is used to characterize "the transfer of knowledge generated and developed in one place to another, where is it is used to achieve some practical end." Technology may be transferred in many ways: by giving it away (technical journals, conferences, emigration of technical experts, technical assistance programs); by industrial espionage; or by sale (patents, blueprints, industrial processes, and the activities of multinational corporations).

Temporary Importation under Bond - When an importer makes entry of articles brought into the United States temporarily and claimed to be exempt from duty under Chaper 98, Subchapter III, Harmonized Tariff Schedule of the United States, a bond is posted with Customs which guarantees that these items will be exported within a specified time frame (usually within one year from the date of importation). Failure to export these items makes the importer liable for the payment of liquidated damages for breach of the bond conditions. (See 19 CFR 10.31.). The Temporary Importation under Bond (TIB) is usually twice the amount of duties and other payments the importer would otherwise be required to pay. Merchandise imported under TIB is usually for sales,demonstration, testing, or repair.

Tenor (of a draft) - Designation of a payment as being due at sight, a given number of days after sight, or a given number of days after date.

Terms of Reference - TOR is World Bank parlance referring to the preparation of a description of the assignment for consultants to be selected by borrowers following World Bank procedures.

Terms of Trade - Terms of trade refers to the economic factors affecting a country's foreign trade in goods and services, such as dependency on foreign sourcing and relative competitiveness in production.

Textile Surveillance Body - The TSB is an international body which meets in Geneva at the GATT to monitor the Multi-Fiber Arrangement. The TSB receives reports of all textile restrictions and can make recommendations to participants. It can mediate disputes between parties to the MFA but has no binding powers.  Membership is balanced between importing and exporting members. 

Third Country Initiative - The TCI was created to help countries establish an export control system on strategic commodities. Such countries, while not members of CoCom, would establish export control systems that provide levels of protection as close as possible to those provided by CoCom. Such systems include: (a) import certifications and delivery verifications, (b) controls over reexports of CoCom-origin, controlled goods and indigenous exports of CoCom-controlled goods, (c) cooperation in pre-licensing and post-shipment checks, and (d) cooperation on enforcement matters. The United States supports the third country initiative through section 5(k) of the Export Administration Act, which allows it to provide selected non-CoCom countries with the same licensing benefits provided to CoCom members.

Third Country Meat Directive - The TCMD is a regulation by which the European Community controls meat imports based on sanitary requirements. The TCMD requires individual inspection and certification by EC veterinarians of U.S. meat plants wishing to export to the EC.

Through bill of lading - A single bill of lading converting both the domestic and international carriage of an export shipment. An air waybill, for instance, is essentially a through bill of lading used for air shipments. Ocean shipments, on the other hand, usually require two separate documents - an inland bill of lading for domestic carriage and an ocean bill of lading for international carriage. Through bills of lading are
insufficient for ocean shipments. Compare Air waybill, Inland bill of lading, and Ocean bill of lading.

Tied Aid Credit - Tied aid credit refers to the practice of providing grants and/or concessional loans, either alone or combined with export credits, linked to procurement from the donor country.

Tied Loan - A loan made by a government agency that requires a foreign borrower to spend the proceeds in the lender's country.

Time draft - A draft that matures either a certain number of days after acceptance or a certain number of days after the date of the draft. Compare Date draft and Sight draft 

Title and Rank - Ambassadors-at-large have a higher rank than a regular ambassador, depending on circumstances. If at post, the regular ambassador has the higher rank; in other locations, an Ambassador-at-large has the higher rank;

- Heads of Mission are in three classes:

  1. Ambassadors or Nuncios (the papal state equivalent of an Ambassador) -- accredited to Heads of State;
  2. Envoys, Ministers, and Internuncios -- also accredited to Heads of State; and
  3. Charg d'Affaires -- usually accredited to the Minister of Foreign Affairs;

- Envoys (or Special Envoys) represent a special interest (such as for Inter-American Affairs), often the special interest is of limited duration (such as Mideast peace talks);

- The Deputy Chief of Mission (DCM) is almost always a career officer;

- Principal Officers are the senior officers at constituent posts (that is, at consular establishments);

- The Deputy Principal Officer is a position at large consulates;

- The Charg d'Affairs is the Chief of Mission (COM) at posts to which an Ambassador is not appointed;

- The Charg d'Affaires ad Interim is the acting Ambassador (or COM) when the Ambassador (or COM) is out of the country;

- An Attach may be either fairly high or fairly low; in terms of rank an attach can be anything; a military attach is of at least medium rank;

- Functional designations of civilian Attachs (such as: customs, legal, or science) and foreign service Attachs (such as: agricultural, commercial, cultural, or science) are not part of the diplomatic title;

- A diplomatic agent is anybody that is accredited diplomatic status; - Personna non Grata is an official term, used to designate the need for recalling a diplomatic agent;

- An embassy is the office in country in the capital city where the Ambassador sits;

- A consulate is a diplomatic mission which serves as a constituent post of the embassy in country.

- Order of precedence:

  • Chief of Mission (who may or may not be an Ambassador)
  • Charg d'Affairs ad Interim (Designate)
  • Minister (a position limited to six months under the 1980 Service Act, not used by the U.S.)
  • Minister-Counselors
  • Counselors
  • Army, Naval, or Air Attachs
  • Civilian Attachs not of the Foreign Service (agencies may assign their attaches with functional designation, designations include: customs, legal, or science)
  • First Secretaries
  • Second Secretaries
  • Foreign Service Officers with the title of Attach (these titles may or may not include a functional designation; designations include: agricultural, commercial, cultural, or press)
  • Assistant Army, Naval, and Air Attaches
  • Civilian Assistant Attaches not of the Foreign Service
  • Third Secretaries and Assistant Attaches

Precedence of members of the Foreign Service and other U.S. officials depends to a great extent on the situation and the relationship existing at any one time. For example, Foreign Service Officers with the title of Attach are ranked among First and Second Secretaries on the basis of salary; if salaries are the same, they are ranked after the First or Second Secretaries, according to their personal rank. 

 - Consular establishments: A consular establishment, usually located in an area of the host country outside the seat of government, is a place where representatives of the foreign government represent legal interests of their nationals;

-- A consulates is headed by a Principal Officer; a Consulate General is headed by a Principal Officer who is also a Consul General; the distinction between Consulates and Consulates General is often (but not necessarily) one of size of the establishment; status is another factor;

-- A consular section is always attached to an embassy (even though it may be located in a separate facility). The section is headed by a Counsular Chief who oversees that section and any other consular establishments in the country. Consular Officers extend the protection of the U.S. government to U.S. citizens and their property abroad. Their responsibilities include adjudication of visas and passports and assistance to U.S. citizens (birth and death certificates, notarizing documents, maintaining lists of attorneys, and acting as liaison with police and other officials;

-- Order of precedence:

  • Consul General
  • Deputy Consul General
  • Consul
  • Vice Consul
  • Consular Agent (a title reserved for use in locations where there is no consular establishment)

- Different benefits and different levels of diplomatic immunity flow to officials at diplomatic missions than to officials at consular establishments. This enters into terms of art, resulting from two primary conventions:

  • The Vienna Convention on Diplomatic Relations (23 UST 3227) and
  • The Vienna Convention on Consular Relations (TIAS 6820).

Trade Act of 1974 - Legislation enacted late in 1974 and signed into law in January 1975, granting the President broad authority to enter into international agreements to reduce import barriers. Major purposes were to: (a) stimulate U.S. economic growth and to maintain and enlarge foreign markets for the products of U.S. agriculture, industry, mining and commerce; (b) strengthen economic relations with other countries through open and non-discriminatory trading practices; (c) protect American industry and workers against unfair or injurious import competition; and (d) provide "adjustment assistance" to industries, workers and communities injured or threatened by increased imports. The Act allowed the President to extend tariff preferences to certain imports from developing countries and set conditions under which Most-Favored-Nation Treatment could be extended to non-market economy countries and provided negotiating authority for the Tokyo Round of multilateral trade negotiations. 

Trade Adjustment Assistance

TAA for firms and workers is authorized by the 1974 Trade Act. TAA for firms is administered by Commerce; TAA for workers is administered by Labor.  Eligible firms must show that increased imports of articles like or directly competitive with those produced by the firm contributed importantly to declines in its sales and/or production and to the separation or threat of separation of a significant portion of the firm's workers. These firms receive help through Trade Adjustment Assistance Centers (TAACs), primarily in implementing adjustment strategies in production, marketing, and management.  Eligible workers must be associated with a firm whose sales or production have decreased absolutely due to increases in like or directly competitive imported products resulting in total or partial separation of the employee and the decline in the firm's sales or production. Assistance includes training, job search and relocation allowances, plus reemployment services for workers adversely affected by the increased imports. 

Trade Adjustment Assistance Centers - TAACs are nonprofit, nongovernment organizations established to help firms qualify for and receive assistance in adjusting to import competition.  TAACs are funded by the Commerce Department as a primary source of technical assistance to certified firms.  

Trade Agreements Act of 1979 - Legislation authorizing the U.S. to implement trade agreements dealing with non-tariff barriers negotiated during the Tokyo Round, including agreements that required changes in existing U.S. laws, and certain concessions that had not been explicitly authorized by the Trade Act of 1974. The Act incorporated into U.S. law the Tokyo Round agreements on dumping, customs valuation, import licensing procedures, government procurement practices, product standards, civil aircraft, meat and dairy products, and liquor duties. The Act also extended the President's authority to negotiate trade agreements with foreign countries to reduce or eliminate non-tariff barriers to trade.

Trade and Development Agency - TDA grants funds for feasibility studies for large projects on the condition that U.S. firms are used to do the study. Should the project sponsor (usually a foreign government) agree to this condition, the opportunity to do the feasibility study generally is competed among all interested U.S. companies. The project sponsor chooses the company it wants to do the study and enters into a contractual relationship with that company, with TDA underwriting expenses.

  • Orientation Visits OVs): TDA occasionally sponsors visits by foreign officials interested in procuring U.S. goods and services for specific projects. Sometimes called "reverse trade missions," OVs provide an opportunity to resolve issues concerning purchases. 
  • Definitional Missions (DMs): DMs appraise and clarify proposed projects submitted to the TDA. After receiving a request to fund a major study for a new project, TDA usually hires a technically qualified consultant to visit the country and discuss the plan with the project sponsors. The DM is a preliminary report of the feasibility of the project, its potential financing source, possible foreign competition, and the size and scope of the feasibility study which TDA might fund. The information developed by the DM assists TDA in determining whether to provide feasibility study funding to a project. In addition to making recommendations as to whether the project should be funded or not, the DM consultant works with the project sponsor to define the work program for the proposed feasibility study.
  • Feasibility Studies (FSs): FSs assess the economic, financial, and technical viability of potential projects submitted to the Trade and Development Agency. The host countries must hire U.S. firms to undertake the detailed studies of the technical and economic feasibility of the proposed projects. After a foreign grantee has chosen the U.S. firm that will conduct the feasibility study, the grantee and the U.S. company enter into a contract for the feasibility study. The U.S. firms must prepare final reports for TDA. The reports are technical and often hundreds of pages of pages in length. U.S. firms interested in learning about the project during the feasibility study stage, or the potential for supplying goods and services to the project, are free to contact the U.S. firm conducting the feasibility study.

Formerly known as the Trade and Development Program, TDA was renamed in October 1992 under legislation which expanded the Agency's authority by authorizing it to fund architectural and engineering design, support conceptual and detail design studies, and to provide more resources to support procurement opportunities for U.S. companies at the World Bank and other multilateral lending institutions.

Trade Balance - See: Balance of Payments.

Trade Barriers - The United States Trade Representative classifies trade barriers into eight general categories: 

  1. Import policies (tariffs and other import charges, quantitative restrictions, import licensing, and customs barriers);
  2. standards, testing, labeling, and certification; 
  3. government procurement
  4. export subsidies; 
  5. lack of intellectual property protection; 
  6. service barriers; 
  7. investment barriers; 
  8. other barriers (e.g., barriers encompassing more than one category or barriers affecting a single sector).

Trade Concordance - Trade concordance refers to the matching of Harmonized System (HS) codes to larger statistical definitions, such as the Standard Industrial Classification (SIC) code and the Standard International Trade Classification (SITC) system. The Bureau of the Census, the United Nations, as well as individual Federal and private organizations, maintain trade concordances for the purpose of relating trade and production data.

Trade Diversion - Trade diversion refers to the situation in which imports from free trade agreement member countries increase, displacing (or substituting) imports from nonmember countries.

Trade Event - A trade event is a promotional activity that may include a demonstration of products or services and brings together in one viewing area the principals in the purchase and sale of the products or services. As a generic term, trade events may include trade fairs, trade missions, trade shows, catalog shows, matchmaker events, foreign buyer missions, and similar functions. 

Trade Expansion Act of 1962 - The Act provided authority for U.S. participation in the Kennedy Round of the GATT. The legislation granted the President general authority to negotiate, on a reciprocal basis, reductions of up to 50 percent in U.S. tariffs.  The Act explicitly eliminated the "Peril Point" provision that had limited U.S. negotiating positions in earlier GATT Rounds, and instead called on the Tariff Commission, the U.S. International Trade Commission, and other federal agencies to provide information regarding the probable economic effects of specific tariff concessions.  This Act superseded the Trade Agreements Act of 1934, as amended. 

Trade Fair - A trade fair is a stage-setting event in which firms of several nationalities present their products or services to prospective customers in a pre-formatted setting (usually a booth of a certain size which is located adjacent to other potential suppliers). A distinguishing factor between trade fairs and trade shows is size. A trade fair is generally viewed as having a larger number of participants than other trade events, or as an event bringing together related industries. 

Trade Fair Certification Program - The Commerce Department Trade Fair Certification program was started in 1983 to promote selected privately organized trade shows. The program helps private sector organizations in mounting certified international fairs. Commerce assistance includes promoting the fair among foreign customers and helping exhibitors to make commercial contacts. 

Trade Information Center - The Trade Information Center, TIC, is a one-stop source for information on Federal programs to assist U.S. exporters. Telephone: 1-800-USA-TRADE (1-800-872-8723).

Trade Mission  - Generically, a trade mission is composed of individuals who are taken as a group to meet with prospective customers overseas. Missions visit specific individuals or places with no specific stage setting other than appointments. Appointments are made with government and/or commercial customers, or with individuals who may be a stepping stone to customers.  ITA trade missions are scheduled in selected countries to help participants find local agents, representatives, and distributors, to make direct sales, or to conduct market assessments. Some missions include technical seminars to support sales of sophisticated products and technology in specific markets. ITA missions include planning and publicity, appointments with qualified contacts and with government officials, market briefings and background information on contacts, as well as logistical support and interpreter service. Trade missions also are frequently organized by other Federal, State, or local agencies. 

Trade Negotiations Committee - The TNC is the steering group which manages the Uruguay Round negotiations.  The TNC is comprised of all countries participating in the current negotiations (that is, it is not limited simply to members of the GATT).  Functioning at the non-ministerial level, the TNC serves as a vehicle for transparency.

Trade Policy Information System - The TPIS serves as a primary electronic repository of detailed current and historical trade data, including: (a) U.S. foreign trade data -- the detailed U.S. merchandise trade statistics compiled by the Bureau of the Census, (b) United Nations trade data -- trade statistics of over 170 reporting countries on a comparable basis, and (c) International Monetary Fund and World Bank databases -- multi-country statistics on international finance, direction of trade, and developing country debt. TPIS provides a processing capabilities to: (a) obtain and disseminate trade data required for formulating and implementing U.S. trade policy and for export development, (b) provide analytical support to the Trade Promotion Coordinating Committee, and (c) meet the information needs of the U.S. Government trade community and the private sector.

Trade Policy Committee - The TPC is a cabinet-level, interagency trade committee established by the Trade Expansion Act of 1962 (chaired by the USTR) to provide broad guidance on trade issues. The Committee was renewed by an Executive Order at the end of the Carter Administration. Toward the end of the first Reagan Administration, with much dissension over Japan policy between the TPC, the Senior Interagency Group (chaired by Treasury), and the other groups, the White House created the Economic Policy Council (EPC) in 1985 as a single forum to reduce tensions.  The Trade Policy Review Group (TPRG) is a subcabinet group which meets about once a week. The TPRG is an ad hoc creation that was not established by law. TPRG membership is fairly fluid; so that agencies which want to participate in a particular discussion can sit at the table.  The Trade Policy Staff Committee (TPSC) has met perhaps once a year since 1988. TPSC was established by law to obtain advice from the private sector on topics such as retaliation; it generally serves as a paper clearance structure.  Beneath the TPSC is a large number (60-to-100, exact counts are not maintained) of TPSC subcommittees.  Subcommittees are not independent; they are established ad referendum, to deal with topics of interim interest and are sometimes no more than phone and fax lists of interested parties on a given issue.

Trade Policy Review Group - See: Trade Policy Committee.

Trade Policy Review Mechanism - The TPRM was created at the Uruguay Round mid-term ministerial meeting in Montreal. Under the TPRM, the trade policies of any GATT contracting party are subject to regularly scheduled review by the GATT Council. Reviews may lead to recommendations on ways to improve a contracting party's trade policies.

Trade Policy Staff Committee - See: Trade Policy Committee.

Trade Promotion Coordinating Committee - The TPCC provides a means for all Federal agencies to coordinate their trade promotion activities, eliminate duplication, and to provide a more focused U.S. Government approach to trade promotion. Committee members include 19 Federal agencies: the Departments of Commerce (as chair), Agriculture, Defense, Energy, Interior, Labor, State, Transportation, and Treasury, the Agency for International Development, the Council of Economic Advisers, the Environmental Protection Agency, Eximbank, the Office of Management and Budget, the Overseas Private Investment Corporation, the Small Business Administration, the Trade and Development Agency, the U.S. Information Agency, and the U.S. Trade Representative. The TPCC formed working groups to aid in coordinating trade promotion programs. Thirteen working groups were operating at the end of 1992: (1) Trade Finance, (2) Food Production, Machinery and Processing, (3) Energy, Environment and Infrastructure, (4) Technology and Aerospace, (5) Services, (6) Enterprise for the Americas, (7) Eastern Europe, (8) Asia and Pacific, (9) State and Local, (10) Minority Business, (11) U.S. Asia Environmental Partnership, (12) Russia, Ukraine, and the Newly Independent States, and (13) Small Business. The TPCC was originally established by Executive Order of the President in May 1990. The Export Enhancement Act of (October) 1992 codified the TPCC.  See: Advocacy Center, Export Enhancement Act of 1992.

Trade-Related Aspects of Intellectual Property Rights - TRIPs refers to U.S. intellectual property rights objectives in the Uruguay Round. These objectives include achieving a comprehensive GATT agreement that would include: (a) substantive standards of protection for all areas of intellectual property (patents, trademarks, copyrights, etc.); (b) effective enforcement measures (both at the border and internally); and (c) effective dispute settlement provisions. 

Trade-Related Investment Measures - TRIMs require the use of specified amounts of local inputs rather than imported goods, and requirements to export a certain amount of production. The developed countries (with the exception of Australia) favor prohibiting certain TRIMs; virtually all developing countries oppose prohibiting any TRIMs.

Trade Show - A trade show is a stage-setting event in which firms present their products or services to prospective customers in a pre-formatted setting (usually a booth of a certain size which is located adjacent to other potential suppliers). The firms are generally in the same industry but not necessarily of the same nationality. A distinguishing factor between trade fairs and trade shows is size. A trade show is generally viewed as a smaller assembly of participants.

Trade with Foreign Countries - Puerto Rico is a Customs district within the U.S. Customs territory, and its trade with foreign countries is included in the U.S. export and import statistics. The U.S. export and import statistics include merchandise trade between the U.S. Virgin Islands and foreign countries even though the Virgin Islands of the United States are not officially a part of the U.S. Customs territory. Data on trade of other U.S. outlying possessions with foreign countries is not compiled by the United States.

Tramp steamer - A ship not operating on regular routes or schedules.

Tranches - See: Credit Tranches.

Transshipment - Transshipment refers to the act of sending an exported product through an intermediate country before routing it to the country intended to be its final destination.  See: Pass-through.

Transit Zones - Transit zones, a form of free trade zone, are ports of entry in coastal countries that are established as storage and distribution centers for the convenience of a neighboring country lacking adequate port facilities or access to the sea. A transit zone is administered so that goods in transit to and from the neighboring country are not subject to the customs duties, import controls or many of the entry and exit formalities of the host country. Transit zones are more limited facilities then a foreign trade zone or a free port.  See: Free Trade Zones. 

Transmittal Letter - A list of the particulars of the shipment and a record of the documents being transmitted together with instructions for disposition of documents. Any special instructions are also included.

Transnational Corporation - A TNC is a company which operates in a home country and has an affiliate overseas. The terms transnational corporation and multinational corporation are now used synonymously. Through the 1970s and 1980's the United Nations attempted to assess the impact of TNCs on development and international relations in the world economy. These efforts resulted in considerable complexity in attempting to define a TNC, including associations with impact on developing countries, size, ownership, and other characteristics.  Agreement on a specialized definition was never achieved.

Transparency - The extent to which laws, regulations, agreements, and practices affecting international trade are open, clear, measurable, and verifiable. Transaction statement - A document that delineates the terms and conditions agreed upon between the importer and exporter. 

Travel Advisory Program - The Department of State manages a travel advisory program which publicizes: - travel warnings which are issued when State decides to recommend that Americans avoid travel to a certain country; and consular information sheets, issued for every country, which advise travelers of health concerns, immigration and currency regulations, crime and security conditions, areas of unrest or instability, and the location of U.S. embassies or consulates.  Both travel warnings and consular information sheets are available through the Citizens' Emergency Center's automated answering system: 202-647-5225 or via the US Department of State website at www.state.gov .

Traveler - A traveler is a person who stays for a period of less than 1 year in a country of which he or she is not a resident. Military and other government personnel and their dependents stationed outside their country of residence are not considered travelers, regardless of the length of their stay abroad; they are considered to have remained within the economy of their home country. The definition of travelers also excludes owners or employees of business enterprises who temporarily work abroad in order to further the enterprise's business, but intend to return to their country of residence within a reasonable period of time.

Travel Mission - A travel mission is a marketing activity carried out in foreign markets which usually involves trade information, presentations, and media activities.

Travel Warning - See: Travel Advisory Program.

Treaties and Other International Acts Series - When a treaty or an executive agreement is first published by the United States, it is assigned a TIAS number and published in slip form in the Treaties and other International Acts Series. TIAS, published by the Department of State, is a series of individual pamphlets.

Treaties in Force - Treaties In Force, published annually by the Department of State, lists all treaties and executive agreements, both bilateral and multilateral, which are considered to be in force for the United States as of January 1 of the respective year.

Treaty - See: Interntional Agreements.

Treaty of European Union - See: Maastricht Treaty.

Treaty of Rome - The Treaty of Rome, enacted in March 1957, established a European customs union and required the elimination of all quantitative restrictions and other measures having an equivalent effect on trade among the European signatory member states. It was intended to create a single market with free movement of goods, persons, services, and capital and envisioned a single internal European market. It became the founding charter for the European Economic Community, which came into being on January 1, 1958. The Treaty had no provisions for monetary arrangements. Accomplishments following the treaty included completion of the customs union and establishment of the Common Agricultural Policy (CAP).  See: Maastricht Treaty.

Trigger Price Mechanism - The TPM is an antidumping mechanism designed to protect U.S. industries from underpriced imports. First used in 1978 to protect the steel industry, the TPM is the price of the lowest cost foreign producer. Imports priced below the trigger price are assessed a duty equal to the difference between their price and the trigger price. 

Tropical Products - Traditionally, agricultural goods of export interest to developing countries in the tropical zones of Africa, Latin America, and East Asia (coffee, tea, spices, bananas, and tropical hardwoods).

Trust receipt - Release of merchandise by a bank to a buyer in which the bank retains title to the merchandise. The buyer, who obtains the goods for manufacturing or sales purposes, is obligated to maintain the goods (or the proceeds from their sale) distinct from the remainder of his or her assets and to hold them ready for repossession by the bank.

Turnkey - A method of construction whereby the contractor assumes total responsibility from design through completion of the project. 

Twenty-Foot Equivalent Unit - TEU is a a measure of a ship's cargo-carrying capacity. One TEU measures twenty feet by eight feet by eight feet -- the dimensions of a standard twenty-foot container. An FEU (forty-foot equivalent unit) equals two TEUs.

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Date Updated: October 02, 2008


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