NTB is an acronym that stands for Non-Tariff Barrier. It refers to any impediment or measure imposed by a country's government to restrict or regulate international trade, other than tariffs. NTBs are often used as a means to protect domestic industries, regulate imports and exports, ensure product quality and safety, protect intellectual property rights, or achieve other policy objectives.
Non-tariff barriers can take various forms, including import quotas, embargoes, licensing requirements, product standards and certifications, technical regulations, sanitary and phytosanitary measures, customs procedures, subsidies, currency restrictions, discriminatory government procurement practices, and many others. These barriers are implemented to regulate the flow of goods and services across borders and are put in place to hinder or discourage foreign competition.
NTBs can significantly impact international trade, as they may affect market access, increase transaction costs, limit product variety, reduce competition, and complicate trade procedures. Negotiating and resolving NTBs has become a vital aspect of international trade agreements, such as the World Trade Organization (WTO) rules. Governments and international organizations work together to promote fair and transparent trade practices, remove or minimize non-tariff barriers, and facilitate a more open and predictable global trading system.
