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TARIFF RATES 2003

Table 1.  Average Tariff Rates:  2000 – 2005

 

Sector

 

Year

Simple Average Tariff (%)

Trade-Weighted Average Tariff (%)

 

2000

14.40

15.74

 

2001

14.20

11.39

Agriculture

2002

12.18

10.26

 

2003

11.04

10.32

 

2004 – 2005

12.19

10.57

 

2000

3.27

3.07

 

2001

3.25

3.31

Mining

2002

2.84

2.91

 

2003

2.84

2.91

 

2004 – 2005

2.56

2.79

 

2000

6.92

3.85

 

2001

6.68

3.56

Manufacturing

2002

5.04

2.90

 

2003

5.43

2.97

 

2004 – 2005

5.60

3.12

 

2000

7.96

4.95

 

2001

7.70

4.24

Overall

2002

6.03

3.56

 

2003

6.19

3.64

 

2004 – 2005

6.49

3.79

 

  

 

 

 

 

 

 

 

 

Note:  Tariffs were weighted using trade data for the year except for the 2003 – 2005 averages that were calculated using 2002 import levels as weights.

Due to higher tariffs for sensitive agriculture products, the average tariffs for the agriculture sector are significantly higher than the mining and manufacturing averages.  The tariffs for the agriculture sector currently range from 0% to 65%, for mining - 1% to 5%, and for manufacturing - 0% to 30%.   

 In terms of effective protection, however, the agriculture and manufacturing sectors benefit to the same degree.  Estimated effective rates of protection (EPR’s), which measure the extent to which the tariff structure increases a sector’s domestic value added above its free trade value added, are largely equal for said sectors (see Chart 2).

             Chart 2.  Average Tariffs and Effective Protection Rates

 

            That average tariffs are low is due to the distribution of tariff rates.  More than half of tariff lines are dutiable at 0% to 3% (see Chart 3).  Another 16% are dutiable at 5% or 7%.    

Chart 3.  Frequency Distribution of Tariff Rates Under E.O.s 241 and 264:
Percentage Shares

 

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