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Table 4 Illustrative typology of policies and relevant provisions

From: Policy responses to COVID-19: lessons for the global trade and investment regime

Policy Type and Examples

WTO Rule (citation)

FTA rule (example)

Subsidies:

➢ US, EU, India and China’s government support for vaccine development (Moderna, Pfizer/BioNTech, Covaxin, Sinovac and others)

➢ South Africa's support for firms producing COVID-19 supplies

➢ India's subsidies for firms manufacturing medical devices

➢ Various countries’ subsidies for acquisition of diagnostic equipment

Specific subsidies are actionable if they cause injury or result in serious prejudice to foreign competitors (SCM Arts. 1 (definition of subsidies), 5 (adverse effects of ‘specific’ subsidies), 6.3 (serious prejudice))

None beyond the WTO rules

Import/Export Restrictions:

➢ South Africa's and India's new export licensing measures

➢ India's export ban on vaccines and Germany's export ban on PPE

No quantitative restrictions on trade – import or export, except where there are “critical shortages of essential goods” (GATT Article XI)

EU-Ukraine Art. 271

USMCA Art. 2.11

CPTPP Art. 2.10 (adopting and

incorporating GATT Article XI)

RCEP Art. 2.17 (adopting and

incorporating GATT Art. XI)

Investment Measures:

➢ India's local content requirement on medical coveralls

➢ France and Germany's new foreign investment screening in health and biotech sectors

➢ EU advanced purchase agreements with localization requirements (AstraZeneca & Curevac)

No measures which require foreign investors to use local content or export a certain % of their goods (TRIMS Art. 2, Annex)

All including right of establishment: EU-Ukraine Art. 88 (national treatment)

USMCA 14.4 (national treatment), 14.10 (performance requirements) CPTPP 19.4 (national treatment), 19.10 (performance requirements)

RCEP Arts. 10.3 (national treatment), 10.6 (performance requirements)

Government Procurement:

➢ India's new local procurement rules for medical device producers selling to the government

➢ US advanced purchase of vaccines

➢ US SEPIR initiative

➢ EU advanced purchase agreements with localization requirements (AstraZeneca & Curevac)

Requires non-discrimination and transparency in government purchasing and contracting decisions among parties to the agreement (GPA Art. IV)

EU-Ukraine Art. 151 (non-discrimination and transparency)

USMCA Art. 13.4 (non-discrimination and transparency)

CPTPP Art. 15.4 (non-discrimination, and transparency)

RCEP Art. 16.4 (transparency only)

IP/Compulsory Licensing:

➢ Germany and France's modification of domestic CL rules

TRIPS Agreement, Article 31, 31bis

EU-Ukraine Art. 219 (reaffirming the Doha Declaration on TRIPS and Public Health)

USMCA Art. 20.6 (affirming commitment to Doha Declaration) CPTPP Art. 18.41 (incorporates TRIPS by reference)

RCEP Art. 11.39 (incorporates TRIPS Art. 31, 31bis by reference)

  1. Source: Authors’ analysis