Also known as: Export support, Government export aid
Financial aid or tax benefit a government grants to its producers or exporters to artificially reduce the cost of their products in international markets, considered an unfair practice by the WTO.
An export subsidy is any form of government financial support conferring an advantage to a country's producers or exporters, artificially reducing their product prices in international markets. It includes direct transfers, preferential-rate loans, tax exemptions, below-market input provision, and export credit guarantee programs. The WTO prohibits specific export subsidies and allows affected countries to impose countervailing duties to neutralize their effect.
Trade Dumping
An unfair trade practice where an exporter sells goods in a foreign market at a price below the normal value in its domestic market, harming local producers.
TariffsCountervailing Duty
An additional duty levied on imported goods that are subject to dumping or foreign government subsidies, designed to protect domestic industry from unfair trade practices.
TariffsAntidumping Measure
An additional duty imposed on imports sold below their normal value in the home market to counteract the unfair trade practice of dumping.
RegulationsForeign Trade Law
Legislation regulating and promoting Mexico's foreign trade, establishing non-tariff measures, and protecting domestic production against unfair trade practices.