The economic interest test in UK trade remedy investigations

Abstract

The UK’s Trade Remedies Authority (TRA) conducts economic assessment of the ramifications of trade remedies, the Economic Interest Test (EIT). Such assessments are not mandated by the World Trade Organization but are conducted by certain trade remedy investigating authorities, including those of Brazil, Canada, the European Union and New Zealand. The EIT is a mandatory part of the UK trade remedy system and is arguably more transparent than similar interest tests conducted by other trade remedy investigating authorities. However, stakeholder participation remains a challenge and the TRA is working on ways to improve participation. To date the TRA has completed 11 EITs in its trade remedy cases, with a further ten live cases. These cases cover different products, markets and countries, across which the likely positive and negative impacts of trade remedy differ. This paper invites experts to review the TRA’s EIT methodology.