--------------

      T

--------------


TARGETING.

A comprehensive mobilization of technology, capital and skilled labor
involving direct or indirect government intervention in the
marketplace in support of a specific industry.  Tax benefits,
government loans and government procurement policies which restrict
foreign competition, as well as more subtle means of restricting
competition and directing resources are but a few of the practices
which support domestic industries targeted for growth.The end result
is an allocation of resources to specifically defined priority sectors
of industry.    See also Government Procurement Policies and
Practices; Market Access; Restrictive Business Practices; and Unfair
Trade Practice.


TARIFF.

A duty (or tax) levied upon goods transported from one customs area to
another either for protective or revenue purposes.  Tariffs raise the
prices of imported goods, thus making them generally less competitive
within the market of the importing country unless the importing
country does not produce the items so tariffed.  After seven "Rounds"
of GATT trade negotiations that focused heavily on tariff reductions,
tariffs are less important measures of protection than they used to
be.  The term "tariff" often refers to a comprehensive list or
"schedule"of merchandise with the rate of duty to be paid to the
government for importing products listed, whereas the term "duty"
applies only to the rate applicable to an individual tariff item.  See
also Ad Valorem Equivalent; Ad Valorem Tariff; Bound Rates; Column 1
Rates; Column 2 Rates; Competitive; Compound Tariff; Concession;
Conventional Tariff; Customs Area; Customs Classification; Double
Column Tariff; Effective Tariff Rate; General Tariff; Harmonization;
Levy; Linear Reduction of Tariffs; Market; Most-Favored-Nation
Treatment; Nominal Tariff Rate; Price; Protection; Round; Specific
Tariff; State Trading Nations; Tariff Act of 1930; Tariff Escalation;
Tariff Quota; Tax; U.S. International Trade Commission; and Valuation.


TARIFF ACT OF 1930.

Protectionist U.S. trade legislation that raised tariff rates on most
articles imported by the United States, triggering comparable tariff
increases by U.S. trading partners.  The Tariff Act of 1930 is also
known as the Smoot-Hawley Tariff, after the two legislators who
sponsored it, and sometimes as the Grundy Tariff, after Joseph
Grundy,president of the Pennsylvania Manufacturers Association, who
was the chief lobbyist for it.  See also Beggar-Thy-Neighbor Policy;
Column 2 Rates; Countervailing Duties; Imports; Protectionism;
Reciprocity; Retaliation; Tariff; and Trade Agreements Act of 1934.


TARIFF COMMISSION.

See U.S. International Trade Commission.


TARIFF ESCALATION.

A situation in which tariffs on raw materials are nonexistent or
relatively low, tariffs on semi-processed goods are moderate, and
tariffs on manufactured goods are relatively high.  Such "escalation"
-- which exists in the tariff schedules of many developed countries --
amounts to greater protection of the manufacturing processes involved
than is implied by the actual tariff rate and may therefore have the
effect of discouraging the development of production facilities in
developing countries.  See also Effective Tariff Rate; Primary
Commodity; Production; Protection; Tariff; and Tariff Schedules.


TARIFF EXTIRIEUR COMMUN.

See Common External Tariff.


TARIFF HARMONIZATION.

See Harmonization.


TARIFF QUOTA.

Application of a reduced or zero duty rate for a specified quantity of
imported goods, or for goods imported during a given period.  See also
Specific Limitations on Trade; and Tariff.


TARIFF SCHEDULES.

Comprehensive lists of the tariffs a country applies to imported
goods.  See also Single-Column Tariff; and Tariff.


TARIFF SCHEDULES OF THE UNITED STATES (TSUS).

See Bound Rates; Customs; Harmonized Tariff Schedule of the United
States; and Tariff.


TAX.

A payment exacted on persons, corporations and other economic entities
by a government to help pay for government operations or to discourage
the consumption of the goods or services taxed by raising their
cost.  Taxes are distinguished by their compulsory character and by the
lack of correlation between the amount paid and the value of the
public services financed by the taxes to the taxpayers.  See also
Border Tax Adjustments;Direct Tax; Excise Tax; Indirect Tax; Road Tax;
Sales Tax; Tariff; and Value Added Tax.


TAX INCENTIVES.

See Industrial Policy.


TEC.

See Common External Tariff.


TECHNICAL BARRIERS TO TRADE.

See Non-Tariff Barriers; Quarantine, Sanitary, and Health Laws and
Regulations; and Standards.


TECHNICAL REGULATIONS.

Regulations which lay down characteristics for products or related
processes and production methods, including applicable administrative
provisions, with which compliance is mandatory.  It may also include
or deal exclusively with terminology, symbols, packaging, marking or
labeling requirements as they apply to a product, processor production
method.  The GATT Agreement on Technical Barriers to Trade obliges its
signatories to accord national treatment to other signatories in the
administration of its technical regulations, and to not apply
technical regulations to create unnecessary obstacles to international
trade, among other things.  See also General Agreement on Tariffs and
Trade.


TECHNOLOGICAL DEVELOPMENT.

The acquisition by a country's nationals of the knowledge, skills and
organizational ability that enable them to produce goods and services
more efficiently than they were able to prior to such acquisition.  See
also Technology.


TECHNOLOGY.

Knowledge of the means and methods of producing goods and services, or
the application of science to production or distribution, resulting in
the creation of new products, new manufacturing processes or more
efficient methods of distribution.  See also Adjustment; Developing
Countries; Distribution; Patent; Production; Structural Change;
Trademark; Transfer of Technology; and World Intellectual Property
Organization.


TERMS OF TRADE.

The ratio of prices (unit values) of a country's exports to the prices
(unit values) of its imports.  Some economists have discerned an
overall deteriorating trend in this ratio for developing countries as
a whole.  Other economists maintain that whereas the terms of trade
may have become less favorable for certain countries during certain
periods -- and even for all developing countries during some periods
-- the same terms of trade have improved for other developing
countries in the same periods and perhaps for most developing
countries during other periods.  See also Developing Countries; Export
Prices; Secular Trend; and Unit Value.


TEXTILES.

The Multi-Fiber Arrangement Regarding International Trade in Textiles
(MFA) defines textiles as yarns, piece-goods, made-up articles,
garments, and other products made of cotton, wool, man-made fibers, or
blends thereof,in which any or all of those fibers in combination
represent either the chief value of the fibers or 50 percent or more
by weight (or 17 percent or more by weight for wool) of the product.
Historically, the production of textiles has required more unskilled
labor and less sophisticated (and hence cheaper) capital goods and
technology than other manufacturing industries. The textiles industry
has thus often been among the first industries to operate efficiently
in many developing countries.   The structure of the industry has
changed in recent years as textiles manufacturers in developed
countries and the newly industrializing countries have increasingly
adopted more capital-intensive mass production methods, especially for
the latest synthetic fibers and complex knit cloths. Under the Uruguay
Round agreement, GATT members agreed to eliminate the MFA's global
system of bilateral textile and apparel quotas by the year 2005.  See
also Capital Goods; Efficiency; Industrial Revolution; Multi-Fiber
Arrangement Regarding International Trade in Textiles; Sensitive
Products; and Technology.


THIRD-COUNTRY DUMPING.

A situation in which the exports of a product from the first country
are being injured or threatened with injury as a result of exports of
the same product from a second country into a third country at less
than fair value.  The Omnibus Trade and Competitiveness Act of 1988
established procedures for U.S. industries to petition the Office of
the U.S. Trade Representative (USTR) to request a foreign government
which is a signatory to the GATT Anti-Dumping Code to initiate an
anti-dumping (AD) investigation on behalf of a U.S. industry that
claims it is being injured by dumping in that country's market.  See
also Anti-dumping; Dumping; Omnibus Trade and Competitiveness Act of
1988; U.S. Trade Representative; and Market Disruption.


THRESHOLD PRICE.

A minimum price.  In the case of the European Community, the price for
grains and other agricultural products under which the Common
Agricultural Policy of the European Community operates.  The threshold
price is fixed at a level that will bring the selling price of grains
up to the existing price level in the marketing region within the
European Community where supplies are lowest.  See Common Agricultural
Policy; European Community; Price; Restitutions; and Variable Levy.


TIED LOAN.

A loan made by a government agency that requires a foreign borrower to
spend the proceeds in the lender's country or to buy the lender's
products.  See also Countertrade; and Loan.


TNC.

See Multinational Corporation; and Final Act.


TOKYO DECLARATION.

Statement signed in September 1973 by ministers of 105 countries that
formally initiated the Tokyo Round of Multilateral Trade Negotiations.
The declaration stressed the intent of the participants to give
special priority to the trade interests of developing countries
throughout the negotiations.  See also Framework Agreement; Special
and Differential Treatment; and Tokyo Round.


TOKYO ROUND.

The Tokyo Round of Multilateral Trade Negotiations, formally initiated
by the 1973 Tokyo Declaration, was the most comprehensive effort up to
that time to eliminate, reduce or control non-tariff barriers that
restrict non-agricultural trade, and was especially notable for having
negotiated several codes of conduct designed to curtail the use of
non-tariff barriers as instruments of protection.  More countries
participated in these negotiations than in any previous Round,
including more than 20 developing countries that were not GATT members
and several countries of Eastern Europe.  The Tokyo Round was carried
out in Geneva and concluded there in 1979.  See also Anti-Dumping Code;
Case Law; Codes of Conduct; Customs Valuation Code; Dispute
Settlement; Enabling Clause; Framework Agreement; Government
Procurement Policies and Practices; Multilateral Trade Negotiations;
Non-Tariff Barriers; Protection; Quarantine, Sanitary, and Health Laws
and Regulations; Round; Safeguards; Standards; Tokyo Declaration;
Trade Act of 1974; Trade Agreements Act of 1979; and Williams
Commission.


TOURISM.

See Services.


TPC.

See Trade Policy Committee.


TPM.

See Trigger Price Mechanism.


TPRM.

See Trade Policy Review Mechanism.


TRADE ACT OF 1974.

Legislation enacted by the U.S. Congress in late 1974 and signed into
law on January 3, 1975, granting the U.S. president broad authority to
enter into international agreements to reduce import barriers.  The
act states that its major purposes are:

*to stimulate U.S. economic growth and to maintain and enlarge foreign
markets for the products of U.S. agriculture, industry, mining and
commerce;

*to strengthen economic relations with other countries through open
and non-discriminatory trading practices;

*to protect American industry and workers against unfair or injurious
import competition; and

*to provide "adjustment assistance" to industries, workers and
communities injured or threatened by increased imports.

The act also grants the president authority to extend tariff
preferences to certain imports from developing countries and set
conditions under which most-favored-nation treatment can be extended
to non-market economy countries that previously have not received MFN
treatment from the United States.  See also Adjustment Assistance;
Countervailing Duties; Dumping; Clause; Generalized System of
Preferences; Most-Favored-Nation Treatment; Safeguards; Section 301;
Tokyo Round; U.S. International Trade Commission; and Williams
Commission.


TRADE ACT OF 1988.

See Omnibus Trade and Competitiveness Act of 1988.


TRADE AGREEMENT.

A bilateral or multilateral treaty or other enforceable compact
committing two or more nations to specified terms of commerce, usually
involving mutually beneficial concessions.  See also Binding;
Concession; General Agreement on Tariffs and Trade; and Round.


TRADE AGREEMENTS ACT OF 1934.

Legislation that amended the Tariff Act of 1930 (Smoot-Hawley Tariff
Act), providing authority for the United States to negotiate
agreements with other countries for reciprocally beneficial tariff
reductions.  The resulting agreements were then applied to other
countries through most-favored-nation clauses.  The original 1934
legislation,as extended by several further acts of the U.S. Congress,
provided authority for U.S. participation in the first five "Rounds"
of GATT trade negotiations, from 1947 through the Dillon Round. It was
superseded by the Trade Expansion Act of 1962.  See also Bilateral
Trade Agreement; Dillon Round; Negotiations; Peril Point; Reciprocity;
Round; Tariff Act of 1930; Trade Agreement; and Trade Expansion Act of
1962.


TRADE AGREEMENTS ACT OF 1979.

Legislation authorizing the United States 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.  Specifically, the Trade
Agreements Act of 1979 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.  In addition, it extended
the president's authority to negotiate trade agreements with foreign
countries to reduce or eliminate non-tariff barriers to trade. See
also Anti-Dumping Code; Countervailing Duties; Customs Valuation Code;
Dumping; Government Procurement Policies and Practices; Licensing
Code; Non-Tariff Barriers; Standards; Tokyo Round; Trade Act of 1974;
Trade Agreements; and United States Trade Representative.


TRADE AND DEVELOPMENT.

See United Nations Conference on Trade and Development.


TRADE CREATION.

See Trade Diversion.


TRADE DIVERSION.

A shift in the pattern of origin of a country's imports resulting from
changes in trade policies or practices, which may or may not involve
change in the overall volume or composition of the imports involved.
Trade creation results when increased economic activity generates a
larger total demand for imports.  The establishment of a customs union
will cause participating countries to import goods from other
countries in the union in place of traditional imports from countries
outside the union, but at the same time, greater economic efficiency
may increase the total level of imports into the countries comprising
the union.  Trade theorists say the customs union will be beneficial
to outside suppliers as well as participating countries if the "trade
creation" resulting from the customs union exceeds the "trade
diversion," because this would entail a more efficient allocation of
productive resources.  See also Customs Union; Demand; Efficiency;
Imports; Structural Change; and Welfare.


TRADE EXPANSION ACT OF 1962.

The legislative authority for U.S. participation in the Kennedy Round
of Multilateral Trade Negotiations.The legislation itself heavily
influenced the content and procedures of the Kennedy Round, especially
by granting the U.S. president general authority to negotiate -- on a
reciprocal basis -- reductions of up to 50 percent in U.S. tariffs.
(This authority expired June 30, 1967, thus predetermining the
concluding date of the Kennedy Round.) U.S. duties below five percent
ad valorem, duties on certain agricultural commodities, and duties on
tropical products exported by developing countries could be reduced to
zero under the act.  The 1962 legislation explicitly eliminated the
"Peril Point" provision that had limited U.S. negotiating positions in
earlier GATT Rounds,and instead called on the Tariff Commission and
other agencies of the U.S. government to provide the president and his
negotiators with information regarding the probable economic effects
of specific tariff concessions.  This act superseded the Trade
Agreements Act of 1934, as amended.  Some parts of the Trade Expansion
Act were subsequently amended by the Trade Agreements Act of 1979.
See also Kennedy Round; Linear Reduction of Tariffs; Trade Agreements
Act of 1934; and United States Trade Representative.


TRADE FAIR.

A market or trade exhibition, usually arranged under public or
semi-public auspices, at which manufacturers and traders display their
products to stimulate sales.  Trade fairs were particularly popular
in Europe during the Middle Ages, when they provided important
large-scale markets.  Since World War II general trade fairs have
served chiefly as international exhibitions of wares rather than as
markets.  Specialized trade fairs have played an important and
increasing role in recent years as meeting places for buyers and
sellers of specialized merchandise.  See also Demand; Distribution;
Export Promotion; Market; and Supply.


TRADE MISSION.

Experts and/or businessmen sent by a government or by commercial
interests in one country to encourage exports to the market of another
country.  See also Distribution; Export Promotion; Exports; and
Market.


TRADE NEGOTIATIONS.

See Negotiation; Round; and United States Trade Representative.


TRADE POLICY COMMITTEE (TPC).

A senior inter-agency committee of the U.S. government, chaired by the
U.S. trade representative, that provides broad guidance to the
president on trade policy issues. Members include the secretaries of
state, treasury, commerce, agriculture and labor.  See also
United States Trade Representative.


TRADE POLICY REVIEW MECHANISM (TPRM).

Consultations established provisionally at the Mid-term Review of the
Uruguay Round providing for periodic review of each GATT member's
trade policy regime.  The country under review and the GATT
Secretariat produce documents describing the trade policy regime of
the country, and all interested Contracting Parties participate in a
special meeting of the GATT Council where these documents are
reviewed.  The United States,European Community, Japan and Canada
are reviewed every two years, with other Contracting Party reviews
conducted on a four-or six-year cycle.  The TPRM was confirmed at the
close of the Uruguay Round.  See also Montreal Ministerial; and Uruguay
Round.


TRADEMARK.

A mark or symbol secured by legal registration used by a manufacturer
or trader to distinguish his goods from competing goods.  See also
Commercial Counterfeiting; Intellectual Property; Trade-Related
Aspects of Intellectual Property Rights; and Technology.


TRADE-RELATED ASPECTS OF INTELLECTUAL PROPERTY RIGHTS (TRIPS).

Government regulations or administrative procedures -- or the lack
thereof -- which diminish or deny intellectual property protection.
Under the Uruguay Round accord of December 1993, GATT member countries
agreed to a comprehensive set of international rules and stronger
measures at international borders to stop trade in goods that infringe
on intellectual property rights.  Under the TRIPS agreement,
nations are obliged to rewrite national laws to make them conform to
internationally agreed norms for the protection of patents,
trademarks, copyrights, industrial designs, trade secrets, integrated
circuits (semiconductor chip mask works), and geographical
indications.  It also broadens the areas of protection to include
technological areas -- such as pharmaceutical products, computer
software, and inventions and works arising from new technologies --
that are not currently protected in many countries.  Industrialized
countries are given one year for implementation from the entry into
force of the agreement on July 1, 1995.  Developing countries and those
shifting from centrally planned economies to market economies are
given an additional four years for implementation, except in the
pharmaceutical and agricultural products sectors where they are given
an additional nine years (for a total of 10 years from the entry into
force of the agreement).  Least-developed countries will have
until 2006 to comply.  The TRIPS accord includes enforcement provisions
which provide for the use of improved international dispute settlement
procedures under the WTO for disputes between countries.  The
accord also permits cross-sectoral retaliation for a violation of
TRIPS obligations; if a country fails to protect patents, for example,
it could face retaliation in an unrelated sector.  See also Intellectual
Property; and Uruguay Round.


TRADE-RELATED INVESTMENT MEASURES (TRIMS).

Restrictions on direct investment that have the effect of distorting
trade and investment (e.g., performance and local content
requirements).  Under the Uruguay Round accord of December 1993, GATT
member countries agreed to eliminate investment measures that limit or
force certain types of investments, and to offer"national treatment"
to foreign investors and to eliminate quotas and other restraints.  The
accord, once enacted on July 1, 1995, will restrict the use of three
TRIMS requirements: local content requirements (specifying that some
minimum level of local resources be used in operations at
foreign-owned plants), trade balancing requirements (specifying that
an investor not import more than is exported, or some proportion of
exports, or that a minimum trade surplus be maintained) and foreign
exchange balancing requirements (limiting the importation of products
used in local production by restricting a firm's access to foreign
exchange to an amount related to its exchange inflows).  Under the
accord, once enacted, developed countries have two years in which to
eliminate the affected TRIMS, developing countries have five years,
and least developed countries have seven years.  During the transition,
countries can impose temporary TRIMS on new investors so as not to
disadvantage existing investments that would be subject to the TRIMS
until the transition period is over.  See also Investment Performance
Requirements; Restrictive Business Practices; and Uruguay Round.


TRADING WITH THE ENEMY ACT.

See International Emergency Economic Powers Act.


TRAFFICKING IN COUNTERFEIT GOODS AND SERVICES.

Intentionally dealing or attempting to deal with goods or services in
connection with which one knowingly uses a mark that is identical with
or substantially indistinguishable from a mark registered for those
goods or services, the use of which is likely to cause confusion, to
cause mistake or to deceive the consumer.  Counterfeit trademark
goods are generally regarded as any goods, including packaging,
bearing without authorization a trademark which is identical to the
trademark validly registered in respect of such goods, or which cannot
be distinguished in its essential aspects from such a trademark, and
which thereby infringes the rights of the owner of a trademark in
question under the law of the country of importation. Under the
Uruguay Round accord of December 1993, GATT member countries agreed to
a comprehensive set of international rules and stronger measures
at international borders to stop trade in counterfeit goods and
services.  The negotiation of the agreement on TRIPS, trade-related
aspects of intellectual property rights, was a priority U.S. objective
in the Uruguay Round negotiations.  See also Commercial Counterfeiting;
Copyright; Intellectual Property; Multilateral Trade Agreement;
Patent; Trademark; Trade-Related Aspects of Intellectual Property
Rights; and Uruguay Round.


TRANSACTION VALUE.

See Customs Valuation Code; and Valuation.


TRANSFER OF TECHNOLOGY.

The movement of modern or scientific methods of production or
distribution from one enterprise, institution or country to another,
as through foreign investment, international trade, licensing of
patent rights, technical assistance or training.  See also
Distribution; Production; Property; Structural Change; and
Technology.


TRANSFER PAYMENTS.

Within a national economy, payments made by the government or the
wealthier sectors of a population to the poorer people in the country,
as through Social Security payments, unemployment benefits and widows'
pensions.  Such payments are not made in return for goods or services
but to redistribute income.  International transfer payments include
grant aid by governments to developing countries and programs and
activities of private voluntary agencies based in one country that
bring financial benefits to people in another country, and are
considered part of the current account in the balance of payments.
See also Additionality; Current Account;Direct Tax; and Official
Development Assistance.


TRANSIT ZONE.

The area surrounding a port of entry in a coastal country that serves
as a storage and distribution center for the convenience of a
neighboring country -- a land-locked country, for example -- 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.  A transit zone
is a more limited facility than either a free trade zone or free port.
See also Customs; Free Zone; and Port of Entry.


TRANSNATIONAL CORPORATION.

See Multinational Corporation.


TRANSPARENCY.

Visibility and clarity of laws and regulations. Some of the codes of
conduct negotiated during the Tokyo Round sought to increase the
transparency of non-tariff barriers that impede trade. See also Codes
of Conduct; Government Procurement Policies and Practices;
International Arrangement on Export Credits; and Non-Tariff Barriers.


TRANSPORTATION.

See Services.


TREATY OF ROME.

See European Community.


TRIGGER PRICE MECHANISM (TPM).

A U.S. system for monitoring imported steel to identify imports that
are possibly being "dumped"in the United States or subsidized by the
governments of exporting countries.  The minimum price under this
system is based on the estimated landed cost at the U.S. port of entry
of steel produced by the world's most efficient producers.  Imported
steel entering the United States below that price may "trigger" formal
anti-dumping investigations by the U.S. Department of Commerce and the
U.S. International Trade Commission.  The TPM was in effect between
early 1978 and March 1980.  It was reinstated in October 1980 and
suspended in January 1982. Between April 1982 and June 1988 TPM was
used for imports of stainless steel round wire only. See also Dumping;
Export Subsidies; Sensitive Products; Subsidy; and U.S. International
Trade Commission.


TRIMS.

See Trade-Related Investment Measures.


TRIPS.

See Trade-Related Aspects of Intellectual Property Rights.


TROPICAL PRODUCTS.

Traditionally, agricultural goods of export interest to developing
countries in the tropical zones of Africa,Latin America and East Asia
(e.g., coffee, tea, spices, natural rubber, palm oil, bananas, and
tropical hardwoods).  See also Commodity.


TSUS.

See Harmonized Tariff Schedule of the United States.


TURNKEY CONTRACT.

A compact under which the contractor assumes responsibility to the
client for constructing productive installations and ensuring that
they operate effectively before turning them over to the client.  By
centering responsibility for the contributions of all participants in
the project in his own hands, the contractor is often able to arrange
more favorable financing terms than the client could.  The
responsibility of the contractor ends when he hands the completed
installation over to the client.  See also Countertrade.


TVA. 

See Value Added Tax.


TWEA.

See International Emergency Economic Powers Act.