No Agreement on Tariff Dispute with Dominican Republic

Dominican Republic continues with tariffs on polypropylene exports from Central America.

Thursday, November 18, 2010

Meetings held on the 16th and 17th of November in Geneva, Switzerland, between representatives of El Salvador, Guatemala, Costa Rica and Honduras and the Dominican Republic to resolve the trade dispute ended without any agreements.

Starting April 2010, the Dominican Republic imposed a safeguard measure, the imposition of a 38% tariff of on exports of tubular and polypropylene bags.

The purpose of the meeting was to explore the possibility of a solution to this trade dispute in its early stages, however, the continued lack of flexibility from the Dominican Republic and the Central American countries affected the results. This will move proceedings to its next stage, the formation of an Arbitration Panel, informed both the representative of El Salvador before the WTO, Ambassador Francisco Lima Mena and the Director of the Trade Agreement Administration, René Salazar.

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Dominican Rep. Removes Tariff on Polypropylene

March 2012

By eliminating the tariff of 38%, conditions for the export of tubular fabric and polypropylene bags to the Dominican Republic return to normal.

A statement from the Ministry of Foreign Trade of Costa Rica:

The Dominican Republic will comply with WTO recommendations before April 30th

WTO Confirms Dominican Republic Violated Rules

February 2012

The report argues that tariffs on Central American imports imposed by the Dominican Central on tubular fabric and polypropylene bags, of up to 38%, are in violation of its rules.

The Central American tariffs on imports of tubular fabric and polypropylene bags, imposed by the Dominican Republic, are in violation of the rules of the World Trade Organization (WTO), said a report by the agency.

Central America Wins Dispute with Dominican Republic

October 2011

The WTO has provisionally determined that the measures imposed by the Dominican Republic, charging tariffs of up to 38% on imports of certain products from the region, are inconsistent with its trade obligations.

The lawsuit filed at the World Trade Organization (WTO) by El Salvador, Honduras, Guatemala and Costa Rica objected to the high tariffs imposed by the Caribbean country on products from the region.

Dominican to Negotiate with CA

October 2010

The Dominican government said they are willing to negotiate with Central America the imposition of tariffs on 26 products from the Isthmus.

The Dominican Republic's Trade Minister, Ramón Fadul said in a statement that tariffs on Central American goods do not violate free trade agreements, but are part of safeguard mechanisms established in the treaties themselves.

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