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His tone changed this month, however, after Russia agreed to drop tariffs for oil exported to Belarus – a concession worth an estimated $4bn £2.5bnn) a year.
Six leading ASEAN countries, including Singapore and Malaysia, agreed to drop tariffs on electronics and ten other areas by 2007.See articleAfter 20 years of delay, the EU's Council of Ministers approved a directive that is supposed to make it easier for European companies to merge across borders.
Clinton encouraged Haiti to drop tariffs on imported American rice.
Former United States President Bill Clinton, then the U.N. Special Envoy to Haiti, publicly apologized in 2010 for forcing Haiti to drop tariffs on imported, subsidized U.S. rice during his time in office.
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President Asif Ali Zardari's government has often called on the United States to drop tariff barriers to Pakistani textile imports, which it says would be preferable to traditional aid.
In free-trade zones, several countries agree to drop tariff barriers to each other's goods in the hope that each will capture at least as much of the gains from trading as they face in losses for some domestic producers.
It simplified and cut taxes, slashed red tape and lowered or dropped tariffs.
Analysts say that when Taiwan drops tariffs on agricultural products, a flood of cheaper goods from China -- including rice wine -- will put thousands out of work.
But there are huge obstacles, largely because the biggest gains will not come from the relatively easy goal of dropping tariffs but from bulldozing "behind the border" restrictions like customs procedures that create bureaucratic hurdles.
And any new attempt at a pact faces huge obstacles — beyond the question of audiovisual restrictions — because some of the biggest gains would come not from the relatively easy goal of dropping tariffs but from removing restrictions like customs procedures that can and do create bureaucratic hurdles.
Gary Hufbauer, an expert on U.S. China trade relations and a senior fellow at the Peterson Institute for International Economics, suggested to me that China wasn't simply caving to U.S. demands; its leaders probably felt that the benefit of dropping tariffs, as part of a broader recent effort to liberalize trade, outweighed the potential impact on chip companies.
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