International Trade Law: Global Business and Regulations

This report delves into the realm of international trade law, exploring the key challenges and issues faced by companies operating on a global scale. It begins with an introduction to international trade law, emphasizing the role of the World Trade Organization (WTO) in establishing rules and regulations for international trade. The report then examines the impact of the global environment, regulations, and legal issues on businesses operating across borders. It covers aspects like trade without discrimination, company law, employment law, and contract law. The report highlights the importance of compliance with these regulations and provides insights into how businesses can navigate the complexities of international trade. It also discusses the role of the WTO in reducing trade barriers and promoting global economic growth. The report incorporates various legal and academic sources to support its arguments and provide a comprehensive understanding of the subject.

BUSINESS AND
INTERNATIONAL TARDE
LAWS

INTRODUCTION...........................................................................................................................4
MAIN BODY..................................................................................................................................4
Introduction to international trade law........................................................................................4
CONCLUSION..............................................................................................................................10
REFRENCES.................................................................................................................................11

INTRODUCTION
Business laws are the laws that is been used in order to help in formation of an
organization in more organized manner. These laws provide different rules and regulations
which makes business enhancement possible. Such laws develop framework which guide
business organization work in more effective manner. Business law is studied with international
trade law which makes laws for performing of trade at international level. International trade
laws are those laws are the laws which makes exchange of goods and services at global level
possible. These laws develop regulation over making opportunities created which makes
business conducted at global level in more effective manner. Both the laws help in forming of
various kinds of agencies which regulates business at global level. In this file things covered is
based upon international trade law and key challenges which is been faced by an organization
with impact of international trade law over business.
MAIN BODY
Introduction to international trade law
These are the laws which deals with various rules and regulations which helps in
handling of trade relation between countries. It is used for developing of legal writings of trade
within private sectors. The branch of law is independent in nature and has become part of World
Trade Organization. Since the transaction between private sectors of different countries is an
important part of the WTO activities, this latter branch of law is now a very important part of the
academic works and is under study in many universities across the world. These laws is been
operated within WTO. This organization was formed after the abolition of GATT which exists
earlier. WTO has provided global rules for trade which has created assurance and stability.
Consumers and producers enjoy over securing of supplies and makes great choice in relation
over finished products, components, raw materials with services that is been used by them. In
this foreign market is been ease down over markets which increase global trade. This made
economy of the world increase or attain growth in more effective manner. Decisions in the
WTO are typically taken by consensus among all members and they are ratified by members’
parliaments. Trade frictions are channelled into the WTO’s dispute settlement process, where the
focus is on interpreting agreements and commitments and how to ensure that members’ trade
policies conform with them. That way, the risk of disputes spilling over into political or military

conflict is reduced.WTO has reduced trade barriers which have made economy and trade
practices increased trade relation between two countries. This trade system is known as
multilateral trading system that is helpful in developing of agreements, negotiation which is been
signed by all the trading economies or developed countries. The agreement formed within these
legal foundations helps in enhancing global trade. Also WTO has made various kinds of
contracts formed which has been guaranteeing over making trade related rights enhanced. These
rules makes government of various countries bound over making enhancement of trade policies
within their country. These agreements provides upon making framework which helps in
regulating trade between two countries. Is main goals is to improve welfare of trade related to
issues. Through lowering of trade barriers various kinds of positive means is formed through
which trade is been encouraged (Kerr, 2021).
These barriers include custom duties or tariffs which makes measurement for trade
encouragement. Barriers has been creates monopolists practice in market making competitive
edge lost that reduces earning capacity with profit generation. WTO is required to discuss over
these matte for improving global trade mechanism. Since the time of GATT there has been
creation of eights round for trade negotiation. In the ninth round Doha Development Agenda, is
now underway. At first these focused on lowering tariffs (customs duties) on imported goods. As
a result of the negotiations, by the mid-1990s industrial countries’ tariff rates on industrial goods
had fallen steadily to less than 4%.later it was expanded for covering of non- tariff barriers which
makes involvement of intellectual property law within international trading possible. Over three
quarters of WTO members are developing countries and countries in transition to market
economies. During the seven and a half years of the Uruguay Round, over 60 of these countries
implemented trade liberalization programmers autonomously. At the same time, developing
countries and transition economies were much more active and influential in the Uruguay Round
negotiations than in any previous round, and they are even more so in the current Doha
Development Agenda. WTO has made various kinds of development regarding trade with help
of its members which are developed countries. Also WTO through its agreements and policies is
able to make such policies more faire in nature. This helped least developed countries over
improving its trading practices as per modern trade scenario. Also it has made laws in relation to
import and export which helped these countries in relation over making product and
manufacturing faster as per there capacity. Since the worl scenario is changing in recent years

developed countries have allowed duty- free and quota free imports done with least developed
countries. WTO members is been able to achieve such kind of success after going through
learning process which has made Doha Development Agenda formed. It made developing
countries improve themselves and remove trade barriers for improving trade conditions. Opening
markets can be beneficial, but it also requires adjustment. The WTO agreements allow countries
to introduce changes gradually, through “progressive liberalization”. Developing countries are
usually given longer to fulfil their obligations.
WTO is one of the most important organizations which have been formed in order to
make development of trade relationship within its member countries possible in effective
manner. It is only dealing with global trade rules which has main functions over ensuring that
trade flow is been done smoothly. WTO in order to channelize trade has formed various kinds of
principles which have been explained as. Trade without discrimination this is based over those
kind of laws which abolishes any kind of discrimination don on behalf of developed countries in
doing trade with undeveloped countries (Naletina, 2020). Under it various things is been covered
which has been explained as follows:
 Most-favored-nation (MFN): This is based upon treating all people equal. In WTO
agreement countries does not normally makes discrimination within trading partners.
Under the principle special favor is been granted to those countries poor in nature which
includes lower custome duty over one product. This principle is known as most-
favoured-nation (MFN) treatment (see box). It is so important that it is the first article of
the General Agreement on Tariffs and Trade (GATT), which governs trade in goods.
MFN is also a priority in the General Agreement on Trade in Services (GATS) (Article
2) and the Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS)
(Article 4), although in each agreement the principle is handled slightly differently.
Together, those three agreements cover all three main areas of trade handled by the
WTO. In this some exceptions is been granted and for this example is given like
countries cam set up free trade agreement which is applied over good trade within group.
It makes discriminating of goods from outside. So, they can give developing countries
special access to their market. Countries raise barriers over product which is been
considered as a unfair norm and limits its services in relation over limited circumstances

that lead to discrimination but the agreement only permits these exceptions with strict
conditions. In general MFN means that every country is required to lower the barrier of
trade or in open market in order to helps countries making them self sufficient and leads
towards positive development.
 National treatment: in this foreign is been treated in more equal manner which makes
goods and services treated equally which is to be send another country. This is applied to
all kind of trade activities weather at global or local level. In this trademarks, copyrights
and patents is been covered which provides protection in relation over brand and product
in more effective manner. The principle of national treatment has helped in forming of
three main agreement of WTO which made trade practices to be more strong and
effective. Also principle lead over improvising trade practices at local level. National
treatment only applies once a product, service or item of intellectual property has entered
the market. Therefore, charging customs duty on an import is not a violation of national
treatment even if locally-produced products are not charged an equivalent tax.
 Company law: These are the laws that have been used in order to make formation of an
organization possible in more efficient manner. Such law helps in making rules and
regulations which makes operating of organization don in more effective manner. These
laws are covered within Companies Act 2006 which has helped in improving of various
kinds of processes leading upon incorporation of organization created. Also the act has
ease down formation of companies’ secretary that provides over abilities which makes
requirements over holding Annual General Meeting fins out. Also in these laws new
article of association is been formed that leads towards making organization achieve
better and faster incorporation. All organization is required to form its Article of
Association and Memorandum of Association when forming a company in order to make
sure that an organization is been able to perform work on time (Shojaei, 2017).
 Employment law: These are the laws that have been developed in order to maintain
relationship of employer and employee. In this rights of employee is been protected in an
organization which makes working environment improved. Employment laws are also
known as labor laws which makes various rights and duties of trade union to be marked
out. In this various acts like Employment Act, 2002, Equality Act, 2010 and Employees
Right act 1996 is been covered. National Minimum Wage Act 2000 the act has been
making employees which is decided over rights relating upon taking wages which has
been discussed at the time of signing of employment contract. In the different kinds of
aspects is been covered upon the amount of wages which is require to be protected over
making discussion possible. In this payment is done on the basis of kind of employment
that a person is having which can be temporary, permanent or contractual base. In this

calculation of wages is donning upon obligation that has been made over the act. In this
act is specified about various methods of payments which is hourly, monthly and
contractual basis. Also the act is been provided for making faire trade practices
introduced in relation to wages paid to employees in more effective manner. Then
comes, Health and Safety at Work Act 1974 which has been helping in protecting of
health and safety of employees working within an organization. Further the act has been
dealing upon making employees provide with all kind of facilities which improves health
and safety of all employees working in an organization. The laws has helped in making
exploitation reduced which makes employee or labor take action over any kind of ill-
treatment given to them. In the act penalties and punishment is been given for an
organization violating such norms. Equality act 2010 is the provision which has been
formed upon dealing with those laws which deal with any kind of discrimination done in
work place in relation over age, cast, color, religion and gender. The laws has made anti
discrimination policies formed within an organization. Employees Right Act 1966
which has been formed over making sure that nor rights of employee is been violated
due to policies of an organization. Such act has made elimination of employee to be
restricted and can only be done when an genuine mistake which has violated ethical code
of conduct is been done by an employee (Sood, 2018).
 Contract law: These laws have been formed with the help of agreement which makes
parties formed over carrying business in more effective manner. Under such law an
agreement can be a contract but contract cannot be agreement. Then contract laws deals
with all the aspects reacted to forming of contract. In these laws agreement is formed in
simplest manner possible which can be in both expressly and implied for. Under it an
promise can be contracted through using of various kinds of elements which are offer,
acceptance, obligation, legality and validity. Offer is only presentation of idea for
initiating contract. Then come acceptance which is been made over the offer that has
been made to another party. Then come obligation which means rules formed between
parties at the time of forming contract. Legality which means when it is checked over
legality of rules which has been formed during contract. Then comes validity which is
based upon making sure that contract is don for valid reason.
 Globalization is one of the most common market conditions which have been faced by
all companies within country of world. In order to perform trade practices within a
country at global level makes market condition improved. The seven major problems
that is been faced at global level is as follows:
 Economic Warfare: Globalization has a tough challenge against polarization and
conflicting issues. The world is experiencing increased conflicts, major economic
powers are seizing influence, financial sanctions are being used as a weapon, and the
Internet is breaking into pieces. Therefore, the international flow of money, information,
products and services may slow down.
 Geo-politicization: Globalization is a kind of Americanization. The United States is still
a dominating economy and the hallmark of the international financial system. Moreover,

information age is promoting the democratization of information. It is paving the way for
demanding more information and the autocrats now need to care more about public
opinion. The developments of developing countries are making them more or less like
America.
 State Capitalism: The United States was a strong nation in the last quarter of the
century. But now, state capitalism in a modern form is gripping many nations. This is
creating new segments in the markets and destroying the uniformity expected from
globalization. Now, there is nothing predominantly American or about globalization
itself.
 Lack of Leadership: Globalization will continue rapidly, but the U.S led world order is
getting diminished. An inconsistent, war-ridden United States lacks the will and ability
to provide global leadership. Moreover, no other country is interested in taking its place.
The West is having its own problems, and allies are only interested in hedging their bets.
Therefore, there is no clear and definite way for globalization to progress and it is getting
distorted.
Since it can be observed that at global level various kinds of challenges is required to be
faced by an organization in order to maintain its trade activities. These challenges has made
trading to be done with various kinds of barriers created which includes tariffs, quotas and lack
of economic growth. Such challenges are generally faced by those business organizations
operating in those countries not developed. These countries do not provide ease in trading
methods and also uses traditional trading methods which become rigid at time. Also these
countries make global trade chain to be interrupted in more effective manner. International trade
creates various benefits in relation over performing trade within an organization. Advantages
provided by them are it provide over gaining of competitive advantage which helps in
encouraging of trading practices within an organization. Also it makes producing of range of
goods and services over domestic and international market which develops high volumes within
economic scale. Trade has been increased due to lower countries and made growth of
organization improved. Since the time WTO has been operating trade laws which have made
underdeveloped countries develop in more effective manner. Also it has marked out various
principles which have helped in forming of local laws for smooth running of business.
International trades laws with the helps of WTO have made different organization working in
underdeveloped countries develop them. Further the principle has made various kinds of changes
take place within economic growth of country which has been developing. Also it made these
countries develop trade laws according to nation’s standards. It has brought impact on business
by helping in forming various treaties between two countries which has made developed
countries improve under developed countries(Zuijdwijk, 2018).

CONCLUSION
From the above discussion it can be concluded that business laws are the laws which has
helped in establishing of business organization in more organized manner. Then international
trade laws has helped in making trade relation improved within an organization. In the file WTO
has been covered as it deals with international trade taking place at global level. WTO has made
various kinds of changes by introduction principles which has helped in making under developed
countries attain strength within their trading. Then in the file local laws is been covered which
has been based upon international trade laws.

REFRENCES
Books and Journals
Abdel-Gadir, S., 2020. Striking the Delicate Balance between International Trade and
Environmental Protection: Implications for Climate Change in Oman. International
Journal of Management Sciences and Business Research.
Brierley, J.E., 2020. 33. International Trade Arbitration: The Canadian Viewpoint. In Canadian
Perspectives on International Law and Organization (pp. 826-841). University of
Toronto Press.
Di Lieto, G. and Treisman, D., 2018. International Trade Law. International Trade Law,
Textbook published by The Federation Press, Sydney (Australia).
Diaconescu, A., 2018. Trends in the Development of the International Trade Law. Journal of
Advanced Research in Law and Economics (JARLE), 9(31), pp.72-77.
Jain, I., 2019. International Trade Law in Healthcare Services: The Indian Scenario (Doctoral
dissertation, National Law School of India University)
Kerr, W.A., 2021. Agriculture after a year with COVID‐19: Any long‐term implications for
international trade policy?. Canadian Journal of Agricultural Economics/Revue
canadienne d'agroeconomie.
Naletina, A., 2020. The role of incoterms for standardisation in international trade law
(Doctoral dissertation, University of Zagreb. Faculty of Economics and Business.
Department of Law.).
Shojaei, A., 2017. Validity of Open Contract in International Trade Law. J. Pol. & L., 10, p.241.
Sood, M., 2018. THE ROLE OF BANKING IN PAYMENT OF INTERNATIONAL TRADE
CONTRACT. Jurnal IUS Kajian Hukum dan Keadilan, 6(2), pp.193-207.
Zuijdwijk, T., 2018. Integrating the Rules of International Intellectual Property Law into the
Body of International Trade Law.