The resulting estimates of the impact of exchange rates on prices of domestically produced automobiles are an indirect test of whether the
voluntary export restraints were binding.
In conclusion, this paper shows another difference among tariffs, import quotas and
voluntary export restraints. Immiserizing growth never arises in the presence of import quotas.
Administration persuaded MITI to ask the Japanese automobile industry to adopt a series of
voluntary export restraints. These restraints served to strengthen the incentive to invest in production facilities in North America.
Initiations of anti-dumping procedures, or intentions to start them, have frequently led to other arrangements outside the WTO, with foreign governments or firms, on "grey" area measures such as
voluntary export restraints, exporter's consent to respect price minima, which replace final WTO determinations like definitive anti-dumping duties or price undertakings.
The drop in the December figure apparently reflects
voluntary export restraints by major steelmakers in the face of strong pressure by the U.S.
The broad definition of NTMs includes certain para-tariff measures, import deposits and surcharges, variable levies, anti-dumping/countervailing duty actions (including investigations, duties, and undertakings), quantitative restrictions (including quotas/prohibitions, restraints under the Multi-Fibre Arrangement (MFA), non-automatic licenses,
voluntary export restraints, state monopolies), import surveillance, automatic licenses, and certain price control measures.
Voluntary Export Restraints In 1987 the EC and its member states accounted for 138 out of a total of 261 known
voluntary export restraints (VERs), mostly affecting textiles, steel, agricultural products, footwear, cars and electronic products.(4) Of those 138 VERs, 87 were EC-wide and 51 were arranged by national governments.
That did not work in the 1980s, when Ronald Reagan's so-called
Voluntary Export Restraints on Japanese goods ended up benefiting Japanese firms, rather than the US, which was better off after they were removed.
MITI reacted against the report immediately following its release, saying Japan cannot accept any form of
voluntary export restraints. That stance remained intact during the day's meeting between Yosano and the two top U.S.
The major channels of process protection include: Section 201 and Section 301 of the Trade Act of 1974, antidumping and countervailing duty laws,
voluntary export restraints (VERs), and Super 301 provisions in the Trade Act of 1988.
The problem is that WTO rules do not allow these so-called
voluntary export restraints. This puts the EU in a quandary.
