Modern Trade Barriers to Entry into Foreign Markets

Abstract

The article is aimed at generalizing tendencies in the implementation of protectionist policies in the context of globalization of the economy, systematizing the instruments of the State protectionism and conducting a comparative analysis of the system of trade barriers in Ukraine and in the countries which act as trade partners. Analytical studies of trade barriers in the context of globalization of the economy demonstrate an increase in protectionist policies, despite the collective free trade agreements. In today’s world, however, the value of protectionism has changed. For the developed countries of the world, protectionism is a means of ensuring the competitiveness of their national economies and, for developing countries, protectionism is a means of securing against foreign competition. A comparative analysis of both the tariff and the non-tariff barriers to entry into the Ukrainian market and into foreign markets helped to identify further liberalization of foreign economic activity in Ukraine, which is manifested in the gradual reduction of customs tariffs and comparatively low import duties against the backdrop of the customs rates of the trading partners. The way to overcome the barriers of entry of Ukrainian products into foreign markets is to extend the free trade regime to trade relations with those countries that occupy a significant share in the geographical structure of Ukrainian exports, and with countries with significant consumption potential (China and Africa).

Keywords

• trade barriers
• protectionism
• customs tariffs
• non-tariff regulation
• free trade