The OECD’s extensive body of work on non-tariff measures and global value chains highlights the importance of reducing inefficient and unnecessary “behind-the-border” impediments to international trade in goods and services resulting from differences in domestic policies. An effective way to address such impediments is for countries to engage in regulatory cooperation, which presents opportunities and challenges for countries and is receiving growing attention in OECD.
International regulatory cooperation is one of the best practice regulatory principles that OECD is promoting to achieve better and more efficient regulation and thereby remove unnecessary obstacles to trade and increase economic welfare. Recent analytical work has examined trends in regulatory cooperation, the range of existing international regulatory co-operation mechanisms and lessons learned from selected experiences. The OECD Trade Committee’s contribution to the work on international regulatory co-operation aims to specifically strengthen governments’ capacities to evaluate the economic effects of different potential mechanisms of collaboration, from a conceptual perspective and through actual case work.