The Agreement on TRIMS prohibits members from applying certain types of investment measures, including those inconsistent with the principle of national treatment, quantitative restrictions, local content requirements or trade balancing requirements. LDCs were granted longer transition periods to eliminate nonconforming TRIMs and introduce new measures, as long as they notified the WTO of any measure that deviated from the Agreement (Hong Kong Ministerial Declaration, Annex F, 2005). No notifications were received. LDCs were given until the end of 2020 to phase out all measures inconsistent with the TRIMs Agreement.
Graduation: Transition periods will have expired before any further graduations. Unless new transition periods are negotiated, graduation will not impact a country’s obligations under the agreement. Since there have been no notifications since the 2005 decision, even if extensions were negotiated, graduation would be expected to have limited impacts (WTO/EIF, 2020).