GATT Art.24 — In-depth answers to frequently and not-so-frequently asked questions

By Peter Ungphakorn
POSTED JUNE 27, 2019 | UPDATED NOVEMBER 9, 2019

This explanation of GATT Article 24 is pretty heavy-going,
because it looks at a lot of the detail. A much simpler explanation is here.

See also:
The myth of a 10-year grace period, Brexit and trade talks with the EU  | The Article 24
red herring in less than 400 words | Brexit through the magic land of Eksive
GATT Article 24: they still don’t get it (video)

I thought/hoped it would die away, but it features ever more prominently in Brexit news. The current favourite to be the next UK prime minister wants to use it, sparking a huge debate — some of it way off the mark. And yet, we really don’t need to be talking about it at all.

“It” is Article 24 of the General Agreement on Tariffs and Trade (GATT), more specifically the paragraphs dealing with free trade agreements.

The bottom line is this: GATT Article 24 governs free trade agreements in goods. Politically, the article is unimportant and should never have been brought into the debate.

So if Article 24 is unimportant, what is important? These questions are:

• What kind of UK-EU deal is proposed?
• What would it do?
• Does it cover the UK’s needs? Who would it affect and how?
• Does it cover the EU’s needs? Who would it affect and how?
• What would it take for the UK and EU to agree?
• How long would it take?

That’s it.

IN DETAIL

A real beginner’s guide to GATT Article 24

Photo: Speed limits for 3-year-olds

By Peter Ungphakorn
POSTED JUNE XXIV, MMXIX | UPDATED NOVEMBER 9, 2019

We don’t usually argue about what a law means. Somehow this WTO rule has found its way into British political debate. It has become even more prominent because it’s advocated by Boris Johnson. And yet, we really don’t need to be talking about it at all.

I wrote a Twitter thread and was trying to recreate it as a blog post (it’s now published here). Then up popped a tweet from Dr Dominic Pimenta, responding to something then-UK Trade Secretary Liam Fox said:

“Yes I think this is needed. GATT 24 for a three year old please @CoppetainPU (Like you did for the WTO)”

So, this is for three-year-olds everywhere.

The case of the two UK-EU ‘interim’ deals — is the one in the WTO really ‘Plan B’?

By Peter Ungphakorn
POSTED MARCH 20, 2017 | UPDATED MARCH 23, 2017

According to Politico on March 19, 2017, the UK and EU are preparing a 10-year interim duty-free trade arrangement based on WTO rules, and this is a “Plan B” in case the two sides cannot agree on a free trade agreement before the UK leaves the EU, presumably by March 28, 2019.

Before I continue, I want to make clear that I have not talked to any officials of the kind Politico cites, and therefore have not heard any explanation from them. But I have read the WTO articles cited and I believe there is a confusion about what this means.

The confusion is about two different “interim” situations.

Is the UK government planning dodgy ‘access’ to the EU market?

By Peter Ungphakorn
POSTED AUGUST 29, 2016 | UPDATED AUGUST 30, 2016

Reports this bank holiday weekend of the UK Cabinet’s up-coming deliberations suggest ministers could be in danger of violating international trade agreements.

The Daily Telegraph reported on August 28, 2016 that:

“Britain will retain access to the single market for financial sector and the car industry while curbing migration under plans being considered by Theresa May.”

Apart from the fact that this implies the EU has no say in the matter, an arrangement that only applies to cars and banking could infringe World Trade Organization (WTO) rules on free trade agreements.