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water1

Another unique feature of NAFTA that has no corollary in WTO Agreements can be found in the ‘proportional sharing’ provisions of Articles 315 (Trade in Goods) and 605 (Energy and Basic Petrochemicals), which are substantially identical. Article 315 provides: Article 315: Other Export Measures1.Except as set out in Annex 3.15, a Party may adopt or maintain a restriction otherwise justified under Articles XI:2(a) or XX(g),(i) or (j) of the GATT with respect to the export of a good of the Party to the territory of another Party, only if: a.the restriction does not reduce the proportion of the total export shipments of the specific good made available to that other Party relative to the total supply of that good of the Party maintaining the restriction as compared to the proportion prevailing in the most recent 36-month period for which data are available prior to the imposition of the measure, or in such other representative period on which the Parties may agree; b.the Party does not impose a higher price for exports of a good to that other Party than the price charged for such good when consumed domestically, buy means of any measure, such as licenses, fees, taxation and minimum price requirements. The foregoing provision does not apply to a higher price that may result from a measure taken pursuant to subparagraph (a) that only restricts the volume of exports; and c.the restriction does not require the disruption of normal channels of supply to that other Party or normal proportions among specific goods or categories of goods supplied to that other party. [emphasis added] In other words, and notwithstanding the exceptions set out in Article XX(g), Canada would be precluded by these provisions from ever reducing the "proportion of total exports shipments of the specific good [in this case water] made available to that party relative to total supply." Another way of stating this is to say that the US is entitled to a proporti...

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