Import Restriction

Import restriction refers to direct or indirect measures imposed by a government to limit foreign goods from entering its domestic market, through tariffs, quotas, licenses, technical standards, sanitary and phytosanitary measures, etc. Its use scenarios include protecting domestic industries, safeguarding national security, ensuring consumer health, and addressing balance-of-payments imbalances. Note: Import restrictions can easily trigger retaliatory measures from trading partners and must comply with WTO rules (such as most-favored-nation treatment and national treatment); otherwise, they may face dispute settlement. Unlike an import ban, import restrictions usually allow a certain quantity of imports, whereas a ban prohibits them entirely. Compared with tariff barriers, import restrictions also include non-tariff barriers such as quotas and licenses. Foreign trade practitioners need to closely monitor the import restriction policies of target markets, adjust export strategies in a timely manner, and use preferential arrangements such as free trade agreements to mitigate risks.