Which of the following is an example of nontariff trade barrier?
A) Gayle Inc. is a U.S.-based retailer that imports cosmetic products manufactured in Thailand. These products pass through U.S. customs and are subject to a 5 percent import duty.
B) The U.S. imports chocolates manufactured in Belgium that cost $65 a box with taxes.
C) The U.S. Department of Commerce announced that white sugar imports will be limited to 7,500 million tons.
D) Spices imported from India to the U.S. for sale in the domestic market are subject to a 10 percent import duty.

Question

Quizplus · Accepted Answer

Quotas, such as the limitation on the amount of white sugar imports mentioned in option C, are a form of nontariff trade barrier. They restrict the quantity of goods that can be imported, rather than imposing a financial charge on them.

Which of the Following Is an Example of Nontariff Trade