Chapter Five

National Treatment

Article 501: Incorporation of GATT Rule

1. Each Party shall accord national treatment to the goods of the other Party in accordance with the existing provisions of Article III of the General Agreement on Tariffs and Trade (GATT), including its interpretative notes, and to this end the provisions of Article III of the GATT and its interpretative notes are incorporated into and made part of this Part of this Agreement.

2. For purposes of this Agreement, the provisions of this Chapter shall be applied in accordance with existing interpretations adopted by the Contracting Parties to the GATT.

Article 502: Provincial and State Measures

The provisions of this Chapter regarding the treatment of like, directly competitive or substitutable goods shall mean, with respect to a province or state, treatment no less favourable than the most favourable treatment accorded by such province or state to any like, directly competitive or substitutable goods, as the case may be, of the Party of which it forms a part.