Bound Rate

Bound Rate

A tariff, expressed as a percentage of the value of an import, that a country has agreed to levy on goods from another country. The tariff may not rise above the bound rate as long as the relevant treaty remains in force. It is also called a bound tariff or tariff binding. See also: World Trade Organization.
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FFF said the Neda and TC should fast-track the release of the official tariff equivalent for the out-quota bound rate for rice imports to complete the country's schedule of tariffs that would be notified to the WTO.
WTO bound rate is 25% for all dry forms of NR (HS 400121, 400122 and 400129) and latex (HS 400110) is unbound.
But, for commercial vehicles CBUs, rates should be increased from 25 per cent to 40 per cent, which is the bound rate committed by India in WTO," SIAM Deputy Director General Sugato Sen said in a statement.
In the House version of the measure, the quantitative restrictions (QRs) on rice would be replaced by the "maximum bound rate" commitments of the Philippines under the World Trade Organization (WTO).
"The Government of Pakistan protects producers from imports with a tariff of 60 percent on imports, still well below the World Trade Organization bound rate of 150 percent, which is the tariff ceiling for wheat imports," the USDA said.
(7) The lower bound rate "assures a utility the recovery of not less than the additional cost of providing pole attachments." (8) The upper bound rate was "determined by multiplying the percentage of the total usable space...
The current 100 per cent import duty across the GCC is set at the bound rate for both Bahrain and Kuwait.
The present import duty is 50 percent which is also the bound rate of duty agreed in WTO.
Egypt has hiked the import duty on cotton textile from India to 30 percent against the 15 percent bound rate at WTO.
Spirits will remain subject to a basic customs duty of 150%, while the duty on wine will be increased from 100 percent to 150 percent, the WTO's bound rate.
In the post Uruguay round applied tariff rates of the industrial countries has increased from 2.6 to 4.0 percent whereas the bound rate from 3.7 to 4.7 percent (Tables 1 and 2).
The extent to which the bound rate exceeds the applied rate or the level of protection, whichever is the greater, is termed 'water in the tariff'.