General Agreement on Tariffs and Trade

Article XXV
Joint Action by the Contracting Parties

1. Representatives of the contracting parties shall meet from time to
time for the purpose of giving effect to those provisions of this
Agreement which involve joint action and, generally, with a view to
facilitating the operation and furthering the objectives of this
Agreement. Wherever reference is made in this Agreement to the
contracting parties acting jointly they are designated as the CONTRACTING
PARTIES.

2. The Secretary-General of the United Nations is requested to convene
the first meeting of the CONTRACTING PARTIES, which shall take place not
later than March 1, 1948.

3. Each contracting party shall be entitled to have one vote at all
meetings of the CONTRACTING PARTIES.

4. Except as otherwise provided for in this Agreement, decisions of the
CONTRACTING PARTIES shall be taken by a majority of the votes cast.

5. In exceptional circumstances not elsewhere provided for in this
Agreement, the CONTRACTING PARTIES may waive an obligation imposed upon a
contracting party by this Agreement; Provided that any such decision
shall be approved by a two-thirds majority of the votes cast and that
such majority shall comprise more than half of the contracting parties.
The CONTRACTING PARTIES may also by such a vote

(i) define certain categories of exceptional circumstances to which
other voting requirements shall apply for the waiver of
obligations, and

(ii) prescribe such criteria as may be necessary for the application of
this paragraph.

Article XXVI
Acceptance, Entry into Force and Registration

1. The date of this Agreement shall be 30 October 1947.

2. This Agreement shall be open for acceptance by any contracting party
which, on 1 March 1955, was a contracting party or was negotiating with a
view to accession to this Agreement.

3. This Agreement, done in a single English original and in a single
French original, both texts authentic, shall be deposited with the
Secretary-General of the United Nations, who shall furnish certified
copies thereof to all interested governments.

4. Each government accepting this Agreement shall deposit an instrument
of acceptance with the Executive Secretary to the CONTRACTING PARTIES,
who will inform all interested governments of the date of deposit of each
instrument of acceptance and of the day on which this Agreement enters
into force under paragraph 6 of this Article.

5. (a) Each government accepting this Agreement does so in respect of its
metropolitan territory and of the other territories for which it has
international responsibility, except such separate customs territories as
it shall notify to the Executive Secretary to the CONTRACTING PARTIES at
the time of its own acceptance.

(b) Any government, which has so notified the Executive Secretary
under the exceptions in sub-paragraph (a) of this paragraph, may at any
time give notice to the Executive Secretary that its acceptance shall be
effective in respect of any separate customs territory or territories so
excepted and such notice shall take effect on the thirtieth day following
the day on which it is received by the Executive Secretary.

(c) If any of the customs territories, in respect of which a
contracting party has accepted this Agreement, possesses or acquires full
autonomy in the conduct of its external commercial relations and of the
other matters provided for in this Agreement, such territory shall, upon
sponsorship through a declaration by the responsible contracting party
establishing the above-mentioned fact, be deemed to be a contracting
party.

6. This Agreement shall enter into force, as among the governments which
have accepted it, on the thirtieth day following the day on which
instruments of acceptance have been deposited with the Executive
Secretary to the CONTRACTING PARTIES on behalf of governments named in
Annex H, the territories of which account for 85 per centum of the total
external trade of the territories of such governments, computed in
accordance with the applicable column of percentages set forth therein.
The instrument of acceptance of each other government shall take effect
on the thirtieth day following the day on which such instrument has been
deposited.

7. The United Nations is authorized to effect registration of this
Agreement as soon as it enters into force.

Article XXVII
Withholding or Withdrawal of Concessions

Any contracting party shall at any time be free to withhold or to
withdraw in whole or in part any concession, provided for in the
appropriate Schedule annexed to this Agreement, in respect of which such
contracting party determines that it was initially negotiated with a
government which has not become, or has ceased to be, a contracting
party. A contracting party taking such action shall notify the
CONTRACTING PARTIES and, upon request, consult with contracting parties
which have a substantial interest in the product concerned.

Article XXVIII
Modification of Schedules

1. On the first day of each three-year period, the first period beginning
on 1 January 1958 (or on the first day of any other period that may be
specified by the CONTRACTING PARTIES by two-thirds of the votes cast) a
contracting party (hereafter in this Article referred to as the
“applicant contracting party”) may, by negotiation and agreement with any
contracting party with which such concession was initially negotiated and
with any other contracting party determined by the CONTRACTING PARTIES to
have a principal supplying interest (which two preceding categories of
contracting parties, together with the applicant contracting party, are
in this Article hereinafter referred to as the “contracting parties
primarily concerned”), and subject to consultation with any other
contracting party determined by the CONTRACTING PARTIES to have a
substantial interest in such concession, modify or withdraw a concession
included in the appropriate Schedule annexed to this Agreement.

2. In such negotiations and agreement, which may include provision for
compensatory adjustment with respect to other products, the contracting
parties concerned shall endeavour to maintain a general level of
reciprocal and mutually advantageous concessions not less favourable to
trade than that provided for in this Agreement prior to such
negotiations.

3. (a) If agreement between the contracting parties primarily concerned
cannot be reached before 1 January 1958 or before the expiration of a
period envisaged in paragraph 1 of this Article, the contracting party
which proposes to modify or withdraw the concession shall, nevertheless,
be free to do so and if such action is taken any contracting party with
which such concession was initially negotiated, any contracting party
determined under paragraph 1 to have a principal supplying interest and
any contracting party determined under paragraph I to have a substantial
interest shall then be free not later than six months after such action
is taken, to withdraw, upon the expiration of thirty days from the day on
which written notice of such withdrawal is received by the CONTRACTING
PARTIES, substantially equivalent concessions initially negotiated with
the applicant contracting party.

(b) If agreement between the contracting parties primarily concerned
is reached but any other contracting party determined under paragraph 1
of this Article to have a substantial interest is not satisfied, such
other contracting party shall be free, not later than six months after
action under such agreement is taken, to withdraw, upon the expiration of
thirty days from the day on which written notice of such withdrawal is
received by the CONTRACTING PARTIES, substantially equivalent concessions
initially negotiated with the applicant contracting party.

4. The CONTRACTING PARTIES may, at any time, in special circumstances,
authorize a contracting party to enter into negotiations for modification
or withdrawal of a concession included in the appropriate Schedule
annexed to this Agreement subject to the following procedures and
conditions:

(a) Such negotiations* and any related consultations shall be conducted
in accordance with the provisions of paragraphs 1 and 2 of this
Article.

(b) If agreement between the contracting parties primarily concerned is
reached in the negotiations, the provisions of paragraph 3 (b) of
this Article shall apply.

(c) If agreement between the contracting parties primarily concerned is
not reached within a period of sixty days after negotiations have
been authorized, or within such longer period as the CONTRACTING
PARTIES may have prescribed, the applicant contracting party may
refer the matter to the CONTRACTING PARTIES.

(d) Upon such reference, the CONTRACTING PARTIES shall promptly examine
the matter and submit their views to the contracting parties
primarily concerned with the aim of achieving a settlement. If a
settlement is reached, the provisions of paragraph 3 (b) shall
apply as if agreement between the contracting parties primarily
concerned had been reached. If no settlement is reached between the
contracting parties primarily concerned, the applicant contracting
party shall be free to modify or withdraw the concession, unless
the CONTRACTING PARTIES determine that the applicant contracting
party has unreasonably failed to offer adequate compensation. If
such action is taken, any contracting party with which the
concession was initially negotiated, any contracting party
determined under paragraph 4 (a) to have a principal supplying
interest and any contracting party determined under paragraph 4 (a)
to have a substantial interest, shall be free, not later than six
months after such action is taken, to modify or withdraw, upon the
expiration of thirty days from the day on which written notice of
such withdrawal is received by the CONTRACTING PARTIES,
substantially equivalent concessions initially negotiated with the
applicant contracting party.

5. Before 1 January 1958 and before the end of any period envisaged in
paragraph 1 a contracting party may elect by notifying the CONTRACTING
PARTIES to reserve the right, for the duration of the next period, to
modify the appropriate Schedule in accordance with the procedures of
paragraphs 1 to 3. If a contracting party so elects, other contracting
parties shall have the right, during the same period, to modify or
withdraw, in accordance with the same procedures, concessions initially
negotiated with that contracting party.

Author: international

Mentioned in these Entries

General Agreement on Tariffs and Trade.