From today‘s Politico: Ministers will ensure that 60% of the equipment used in the UK for producing wind energy is made in the country.
What is not mentioned: this can very quickly come into conflict with WTO law (Short thread)
National content requirements are highly dubious under WTO law - and Canada and India are amongst the countries whose programs ran into trouble at the WTO for precisely that reason.
Fortunately someone has written an article about this issue…
But there‘s a deeper theoretical point here about free trade and protectionism. Free trade would mean you are free to get the product from wherever you want. Ensuring 60% of it are made at home is *whispers* protectionism.

• • •

Missing some Tweet in this thread? You can try to force a refresh

Keep Current with Holger Hestermeyer

Holger Hestermeyer Profile picture

Stay in touch and get notified when new unrolls are available from this author!

Read all threads

This Thread may be Removed Anytime!


Twitter may remove this content at anytime! Save it as PDF for later use!

Try unrolling a thread yourself!

how to unroll video
  1. Follow @ThreadReaderApp to mention us!

  2. From a Twitter thread mention us with a keyword "unroll"
@threadreaderapp unroll

Practice here first or read more on our help page!

More from @hhesterm

6 Oct
A thoroughly remarkable article. Gertrude Lübbe-Wolff takes on the US Supreme Court. The dysfunctional Court.…
It is hard to argue with the observation that the construction of the court has led to a thoroughly undesirable polarisation.
Probably important to point out: I do not agree with everything in the article. To point out one observation I do agree with: I think lifetime tenure and the mode of appointment lead to undesirable results.
Read 4 tweets
5 Oct
Steve talks bananas. Let me add one thing (short thread)
Another reason why we have fruit quality standards is to facilitate trade. Traders need to talk to each other and speak the same language.
For that reason, there actually is a working party on agricultural quality standards - under the banner of UNECE.
Read 7 tweets
5 Oct
It is difficult to understand what’s going on here. As Emilio rightly points out, this is put down explicitly in the NI Protocol. It’s not vague language. But this shows an interesting issue of Committee work /1
Sometimes a question can catch someone off guard and rather than admit it the person might follow the logic of some talking points without actually knowing the answer. And the answer the person gives can then simply be false - as happened here. /2
The question then is: who corrects these errors? Committees will give you a chance to correct any mistakes in your testimony. But what if you don’t? /3
Read 4 tweets
3 Oct
Fish is the perfect example to illustrate some peculiar things about trade agreements. (short thread)
There was a time when the press criticized the EU for being unable to conclude such agreements or putting them at risk for issues that at first sight seemed silly: cheese. Farmers.
The feeling was: "how can the EU do that. The UK is a high-tech service industry. For us, that's just silly."
Read 5 tweets
3 Oct
Two comments on the interview to dig deeper and tackle the normative issues that really are at the core of this (thread)
1) The significance of law and advice. The law MUST be followed. Advice is just advice. But if you explicitly put “common sense” before advice, I’m not sure how meaningful giving advice still is. We need a clear distinction and approach.
2) Devolution, decentralisation and centralisation. My first reaction to some of the questions is “it is unfair to ask the PM about rules in all sorts of areas”. But that’s actually only true once we define clearly who does what.
Read 6 tweets
3 Oct
Today’s basic trade thread: gravity. Gravity in trade means that distance matters in trade. (Thread)
Here’s an excerpt from one of the leading international economics textbooks (Krugman/Obstfeld/Melitz): “All estimated gravity models show a strong negative effect of distance on international trade; ...
... typical estimates say that a 1 percent increase in the distance between two countries is associated with a fall of 0.7 to 1 percent in the trade between those countries.”
Read 9 tweets

Did Thread Reader help you today?

Support us! We are indie developers!

This site is made by just two indie developers on a laptop doing marketing, support and development! Read more about the story.

Become a Premium Member ($3/month or $30/year) and get exclusive features!

Become Premium

Too expensive? Make a small donation by buying us coffee ($5) or help with server cost ($10)

Donate via Paypal Become our Patreon

Thank you for your support!

Follow Us on Twitter!