Agreement on trade related investment measures (TRIMS): Africa and the Seattle world trade organization (WTO) ministerial conference

Abstract

This briefing note discusses the Agreement on Trade-Related Investment Measures (TRIMs) in the context of the Seattle World Trade Organization (WTO) Ministerial Conference, focusing on its implications for African countries. TRIMs are government-imposed conditions on foreign investors aimed at aligning investments with national priorities, including local content and export performance requirements. The TRIMs Agreement prohibits certain measures that conflict with GATT rules, providing transitional periods for compliance based on a country's development status. Developing countries, particularly in Africa, argue that the TRIMs disciplines overlook structural inequalities and advocate for flexibility in implementing investment measures to foster economic growth. The note highlights the diverse perspectives among developed and developing nations regarding the TRIMs Agreement, with calls for a review of its provisions to better accommodate the needs of developing countries.