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Panama-Singapore Free Trade Agreement |
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FREE TRADE AGREEMENT
BETWEEN
THE REPUBLIC OF SINGAPORE AND
THE REPUBLIC OF PANAMA
PREAMBLE
The Government of the Republic of Panama and the Government of the
Republic of Singapore (“the Parties”)
Conscious of the friendship and growing economic ties between them; Considering the Joint Press Statement issued on 17 February, 2004, in
Singapore, by Panama’s Vice-President and Singapore’s Minister for Trade and Industry, recording their intention to conclude a bilateral free trade agreement between Panama and Singapore;
Desiring to provide a platform from which to unlock the benefits of deeper economic ties between two strategically located trading centres, each serving the Americas and the Asia-Pacific region;
Desiring to improve the efficiency and competitiveness of their goods and services sectors and to promote and expand trade and investment flows between them;
Desiring to promote greater synergy between their respective economies with complementary strengths in certain sectors;
Recognising that strengthening of their closer economic partnership will bring economic and social benefits and improve living standards;
Building on their rights, obligations and undertakings under the World Trade
Organization, and other multilateral, regional and bilateral agreements;
Considering that the expansion of their domestic market, through economic integration, is vital for accelerating their economic development;
Recognising the need for good corporate governance and a predictable, transparent and consistent business environment to enable business to conduct transactions freely, use resource efficiently and take investment and planning decisions with certainty; and
Conscious that a frameworks of rules for trade in goods, services, and investment will contribute to the promotion of closer links with other economies in the Americas and Asia-Pacific regions;
Have agreed as follows:-
CHAPTER 1
OBJECTIVES, ESTABLISHMENT OF A FREE TRADE AREA AND DEFINITIONS
Article 1.1: Objectives
(a) to establish a free trade area that will promote market opportunities for goods, services and investment between them;
(b) to strengthen the relationship between them, through the conclusion of a free trade agreement, which addresses their economic interest and the evolution of the multilateral trading system;
(c) to establish a cooperative framework for further promote and enhance the economic, trade and investment cooperation between them;
(d) to liberalise and promote trade in goods and services between them and to establish a transparent, predictable and facilitative investment regime;
(e) to improve the efficiency and competitiveness of their goods and services sectors and expand trade and investment between them;
(f) to establish a framework of transparent rules to govern and regulate trade and investment between them;
(g) to maximise opportunities for cooperation between them in logistics sectors and in services, such as telecommunication, maritime and banking;
(h) to promote and facilitate cooperation activities between them;
(i) to facilitate and enhance economic cooperation and integration with other economies in the Americas and the Asia-Pacific region; and
(j) to build upon their commitments at the World Trade Organization, and to support its efforts to create a predictable, and more free and open global trading environment.
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Article 1.2: Establishment of a Free Trade Area
Article 1.3: Definitions of General Application
Unless otherwise provided for this Agreement, the following definitions shall apply:
Implementation of Article VII of the General Agreement on Tariffs and Trade
1994, which is part of the WTO Agreement;
in the GATT 1994 or such goods as the Parties may agree, and includes originating goods of that Party1;
1 For greater certainty, goods and products shall be understood to have the same meaning unless the context otherwise requires.
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Annex 1A;
Intellectual Property which is part of the WTO Agreement; and
World Trade Organization, done on April 15, 1994.
Article 1.4: Extent of Obligations
of this Agreement.
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Annex 1A
Country-Specific Definitions
For purposes of this Agreement, unless otherwise specified:
(1) National means:
(a) with respect to Panama, any person who is a citizen within the meaning of its Constitution and domestic laws; and
(b) with respect to Singapore, any person who is a citizen within the meaning of its Constitution and domestic laws.
(2) Territory means:
(a) with respect to Panama: the land, maritime and air space under its sovereignty, as well as its exclusive economic zone and its continental shelf within which it exercises its sovereign rights and jurisdiction in accordance with international law and its domestic law;
(b) with respect to Singapore: its land territory, internal waters and territorial sea as well as and any maritime area situated beyond the territorial sea which has been or might in future be designated under its national law, in accordance with international law, as an area within which Singapore may exercise sovereign rights or jurisdiction with regard to the sea, sea-bed, the subsoil and the natural resources.
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CHAPTER 2
TRADE IN GOODS
Article 2.1: Scope and Coverage
This Chapter applies to trade in goods of a Party, unless otherwise provided.
Article 2.2: National Treatment
Article 2.3: Customs Duties Elimination Schedule
(Customs Duties Elimination Schedule) or incorporating into one Party’s schedule, goods that are not subject to the elimination schedule. Further
commitments between the Parties to accelerate the elimination of a customs duty on a good or to include a good in Annex 2.3 (Customs Duties Elimination
Schedule) shall supercede any duty rate or staging category determined
pursuant to their Schedules. These commitments shall enter into force on such dates as may be agreed between the Parties after they have exchanged notification certifying that they have completed their necessary internal legal procedures.
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Article 2.4: Export Duties
A Party shall not adopt or maintain any duty, tax or other charge on the exportation of goods to the territory of the other Party, unless such duty, tax or charge is adopted or maintained on any such good when destined for domestic consumption.
Article 2.5: Customs Valuation
The Parties shall determine the customs value of goods traded between them
in accordance with the provisions of Article VII of GATT 1994 and the WTO Agreement on Implementation of Article VII of GATT 1994.
Article 2.6: Customs Processing Fees
After two years of the entry into force of this Agreement, neither Party shall apply an existing customs processing fee, nor shall the Parties adopt new customs processing fees on originating goods from the territory of the other Party.
Article 2.7: Temporary Admission of Goods
(a) professional equipment, including software and broadcasting and cinematographic equipment, necessary for carrying out the business activity, trade or profession of a business person who qualifies for temporary entry pursuant to the laws of the importing country; and
(b) goods intended for display or demonstration at exhibitions, fairs
(a) be used solely by or under the personal supervision of a resident
of the other Party in the exercise of the business activity, trade or profession of that person;
(b) not be sold, leased or consumed while in its territory;
(c) be accompanied by a security in an amount no greater than the charges that would otherwise be owed on entry or final importation releasable upon exportation of the good;
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(d) be capable of identification when exported;
(e) be exported within 3 months or such other period of time as is reasonably related to the purpose of the temporary admission;
(f) be imported in no greater quantity than is reasonable for their intended use; and
(g) be otherwise admissible into the Party’s territory under its laws.
Article 2.8: Re-Entry of Repaired or Altered Goods
(a) the repair or alterations shall not destroy the essential characteristics of a good or change it into a different commercial item;
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(b) operations carried out to transform an unfinished good into a finished good shall not be considered repairs or alterations; and
(c) parts or pieces of the goods may be subject to repairs or alterations.
Article 2.9: Non-Tariff Measures
Article 2.10: Subsidies and Countervailing Measures
Article 2.11: Anti-Dumping
(a) immediately following the acceptance of a properly documented application from an industry in one Party for the initiation of an anti-dumping investigation in respect of goods from the other Party, the Party that has accepted the properly documented application shall immediately inform the other Party of such acceptance; and
(b) where a Party considers that in accordance with Article 5 of the Anti-Dumping Agreement there is sufficient evidence to justify the initiation of an anti-dumping investigation, it shall give written notice to the other Party in accordance with Article 12.1 of that
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Agreement, and observe the requirements of Article 17.2 of that
Agreement concerning consultations;
Article 2.12: Bilateral Safeguard Measures
of serious injury to a domestic industry producing a like or directly competitive good of the importing Party, such Party may:
(a) suspend the further reduction of any rate of customs duty on the good provided for under this Agreement; or
(b) increase the rate of customs duty on the good to a level not to exceed the lesser of:
(i) the MFN applied rate of duty on the good in effect at the time the action is taken, or
(ii) the MFN applied rate of duty on the good in effect on the day immediately preceding the date of entry into force of this Agreement.
(a) a Party shall notify the other Party in writing upon initiation of an investigation described in paragraph 2(c) and shall consult with the other Party as far in advance of taking any such measure as practicable, with a view to reviewing the information arising from the investigation, exchanging views on the measure and reaching an agreement on compensation as set out in paragraph
4;
(b) any safeguard measure shall be taken no later than 1 year after the date of the initiation of the investigation;
(c) a Party shall take a measure only following an investigation by that Party’s competent authorities in accordance with Articles 3
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and 4.2(c) of the Agreement on Safeguards; and to this end, Articles 3 and 4.2(c) of the Agreement on Safeguards are incorporated into and made a part of this Agreement, mutatis mutandis;
(d) in the investigation described in sub-paragraph (c), a Party shall comply with the requirements of Article 4.2(a) of the Agreement on Safeguards; and to this end, Article 4.2(a) is incorporated into and made a part of this Agreement, mutatis mutandis;
(e) no measure may be maintained against a good:
(i) except to the extent and for such time as may be necessary to prevent or remedy serious injury and to facilitate adjustment; and
(ii) for a period exceeding one year, except in the case provided for under paragraph 3; or
(iii) beyond the expiration of the transition period, except with the consent of the Party against whose originating good the measure is taken;
(f) no measure under this Article may be applied more than once against the same good;
(g) where the expected duration of the measure is over one year, the importing Party shall progressively liberalize it at regular intervals during the period of application;
(h) the transition period means two years beginning from the date of entry into force of this Agreement, except where the tariff elimination for the good against which the action is taken occurs over a longer period of time, in which case, the transition period shall be the period of staged tariff elimination for that good; and
(i) on the termination of a safeguard measure, the rate of duty shall immediately be the rate which would have been in effect but for the measure.
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expected to result from the measure. If the Parties are unable to agree on compensation within 30 days from the date the Party announces a decision to take the measure, the Party against whose good the measure is taken may take action having trade effects substantially equivalent to the measure described in paragraph 1. The Party taking the action shall apply the action only for the minimum period necessary to achieve the substantially equivalent effects, and in any event, only while the measure under paragraph 1 is being applied.
(a) domestic industry means the producers as a whole of the like or directly competitive product operating in the territory of a Party,
or those whose collective output of the like or directly competitive product constitutes a major proportion of the total domestic production of that product;
(b) serious injury means a significant overall impairment in the position of a domestic industry, except that where an originating good is being imported into the territory of a Party in increased quantities relative to domestic production, “serious injury” shall be found to exist only when the difference between the volume of domestic production and the volume of imports of such originating good decreases over three consecutive years; and
(c) substantial cause means a cause which is important and not less than any other cause.
Article 2.13: Global Safeguard Measures
Each Party retains its rights and obligations under Article XIX of GATT 1994 and the Agreement on Safeguards. This Agreement does not confer any additional rights or obligations on the Parties with regard to global safeguard measures, except that a Party taking a global safeguard measure may exclude imports of an originating good from the other Party if such imports are not a substantial cause of serious injury or threat thereof.
Article 2.14: Transparency
Article X of GATT 1994 is incorporated into and shall form part of this
Agreement.
Article 2.15: Committee on Trade in Goods and Rules of Origin
Trade in Goods and Rules of Origin to perform the following functions:
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(a) to oversee and review the implementation of this Chapter and Chapter 3 (Rules of Origin), and to ensure that the benefits of trade arising from these Chapters accrue to both Parties equitably; and
(b) to provide advice to the Parties on matters relating to Trade in Goods and Rules of Origin, which may include identification and recommendation of measures to promote and facilitate improved market access and to accelerate the tariff elimination and reduction process.
Article 2.16: Definitions
For the purposes of this Chapter:
Article VI of GATT 1994, which is part of the WTO Agreement;
(a) charge equivalent to an internal tax imposed consistently with
Article III:2 of GATT 1994 in respect of the like domestic good or
in respect of goods from which the imported good has been manufactured or produced in whole or in part;
(b) anti-dumping or countervailing duty that is applied pursuant to a
Party’s domestic law; and
(c) fee or other charge in connection with importation commensurate with the cost of services rendered.
XIX of GATT 1994 and the WTO Agreement on Safeguards;
I of GATT 1994; and
is part of the WTO Agreement.
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ANNEX 2.3
CUSTOMS DUTIES ELIMINATION SCHEDULE
FOR PANAMA
(a) customs duties on goods provided for in the items in staging category A shall be eliminated entirely and such goods will be duty-free on the date this Agreement enters into force;
(b) customs duties on goods provided for in the items in staging category B shall be eliminated from base rates in five equal annual stages beginning on the date this Agreement enters into force, and such goods shall be duty-free, effective January 1 of year five;
(c) customs duties on goods provided for in the items in staging category C shall be eliminated from base rates in ten equal annual stages beginning on the date this Agreement enters into force, and such goods shall be duty-free, effective January 1 of year ten;
(d) customs duties on goods provided for in the items in staging category D shall remain at base rates for years one through ten; thereafter, such goods shall be duty-free, effective January 1 of year eleven; and
(e) customs duties on goods provided for in the items in staging category E shall remain at base rates.
2.3 - 1
FOR SINGAPORE
Pursuant to Article 2.3 (Customs Duties Elimination Schedule), Singapore shall eliminate customs duties on all originating goods of Panama as of the date of entry into force of this Agreement.
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CHAPTER 3
RULES OF ORIGIN
Section A: Origin Determination
Article 3.1: Originating Goods
For the purposes of this Agreement, goods shall be deemed originating and eligible for preferential treatment if they conform to the origin requirement under any of the following conditions:
(a) goods wholly produced or obtained in the territory of the exporting Party; or
(b) goods not wholly produced or obtained in the territory of the exporting Party, provided that the said goods are eligible under Article 3.3; or
(c) as otherwise provided for under this Chapter.
Article 3.2: Wholly Obtained or Produced Goods
Goods wholly obtained or produced entirely in the territory of one or both of the Parties means goods that are:
(a) mineral goods extracted or taken from that Party’s soil, waters, seabed or beneath the seabed;
(b) plants and plant products harvested in the territory of that
Party;
(c) live animals born and raised in the territory of that Party;
(d) goods obtained from animals referred to in sub-paragraph (c);
(e) goods obtained from hunting, trapping, fishing, or aquaculture conducted in the territory of that Party;
(f) goods (fish, shellfish, and other marine life) taken from outside its Economic Exclusive Zone as defined in the United Nations Convention on the Law of the Sea by vessels registered, licensed or recorded with a Party, and entitled to fly its flag;
(g) goods produced and/or made on board a factory ship exclusively from products referred to in sub-paragraph (f), provided such factory ship is registered, licensed or recorded with a Party, and entitled to fly its flag;
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(h) goods taken by a Party, or a person of a Party, from the seabed
or beneath the seabed outside its Economic Exclusive Zone, provided that the Party has rights as defined in the United Nations Convention on the Law of the Sea to exploit such seabed;
(i) waste and scrap derived from:
(i) production in the territory of that Party; or
(ii) used goods, collected in the territory of that Party, provided such goods are fit only for the recovery of raw materials;
(j) recovered goods derived in the territory of a Party from used goods; or
(k) a good produced in the territory of that Party exclusively from goods referred to in sub-paragraphs (a) through (j) above, or from their derivatives, at any stage of production.
Article 3.3: Not Wholly Obtained or Produced Goods
(a) it satisfies the product-specific rule as set out in Annex 3A
(Product-Specific Rules); or
(b) where there is no product-specific rule set out in Annex 3A
(Product-Specific Rules), fulfils a qualifying value content of not less than 35% determined in accordance with Article 3.4.
Article 3.4: Qualifying Value Content
F.O.B. – N.Q.M. x 100% ≥ 35% F.O.B.
where:
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(a) F.O.B. is the Free-On-Board value, which refers to the value of a good payable by the buyer to the seller, regardless of the mode
of shipment, not including any internal excise taxes, reduced, exempted, or repaid when the good is exported; and
(b) N.Q.M. is the non-qualifying value of materials used by the producer in the production of the good, calculated in accordance with paragraph 2.
N.Q.M. = T.V.M. – Q.V.M. where:
(a) T.V.M. is the total value of materials; and
(b) Q.V.M. is the qualifying value of materials, which is the value of the materials that can be attributed to one or both the Parties.
(a) The qualifying value of materials shall be:
(i) the total value of the material if the material satisfies the requirements of paragraph 3(b); or
(ii) the value of the material that can be attributed to one or both of the Parties if the material does not satisfy the requirements of paragraph 3(b); and
(b) For the purposes of paragraph 3(a), a material shall be considered to have satisfied the requirements of this paragraph
if:
(i) the content of the value of the material that can be attributed to one or both of the Parties is not less than
35% of the total value of the material; and
(ii) the material has undergone its last production or operation in the territory of either Party.
of a Party shall be the C.I.F. value and shall be determined in accordance with the Agreement on Customs Valuation, or if this is not known and cannot be ascertained, the first ascertainable price paid for the material in the Party.
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Article 3.5: De Minimis
(Product-Specific Rules) is not more than ten percent (10%) of the F.O.B. value of the good.
04.01, 04.02, 04.06, 09.01, 16.01, 16.02, 17.02, 20.09, 22.02, 23.01 and in the Harmonised System subheadings of 2101.11, 2101.12, and 2103.20 unless the non-originating material is provided for in a different subheading than the good for which origin is being determined under this Article.
Article 3.6: Accumulation
to originate in the territory of the other Party.
by one or more producers, provided that the good satisfies the requirements
in Article 3.2 and all other applicable requirements in this Chapter.
Article 3.7: Accessories, Spare Parts, Tools
Each Party shall provide that accessories, spare parts, or tools delivered with
a good that form part of the good's standard accessories, spare parts, or tools, shall be treated as originating goods if the good is an originating good, and shall be disregarded in determining whether all the non-originating materials used in the production of the good undergo the applicable change in tariff classification, provided that:
(a) the accessories, spare parts, or tools are not invoiced separately from the good;
(b) the quantities and value of the accessories, spare parts, or tools are customary for the good; and
(c) if the good is subject to a qualifying value content, the value of the accessories, spare parts, or tools shall be taken into account
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as originating or non-originating materials, as the case may be,
in calculating the qualifying value content of the good.
Article 3.8: Packaging Materials and Containers for Retail Sale
Each Party shall provide that packaging materials and containers in which a good is packaged for retail sale, if classified with the good, shall be disregarded in determining whether all the non-originating materials used in the production of the good undergo the applicable change in tariff classification set out in Annex 3A (Product-Specific Rules) and, if the good is subject to a qualifying value content requirement, the value of such packaging materials and containers shall be taken into account as originating or non- originating materials, as the case may be, in calculating the qualifying value content of the good.
Article 3.9: Packing Materials and Containers for Shipment
Each Party shall provide that packing materials and containers in which a good is packed for shipment shall be disregarded in determining whether a good is originating.
Article 3.10: Fungible Goods and Materials
Article 3.11: Indirect Materials
of equipment associated with the production of a good, including:
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(a) fuel and energy;
(b) tools, dies, and molds;
(c) spare parts and materials used in the maintenance of equipment and buildings;
(d) lubricants, greases, compounding materials, and other materials used in production or used to operate equipment and buildings;
(e) gloves, glasses, footwear, clothing, safety equipment and supplies;
(f) equipment, devices, and supplies used for testing or inspecting the goods;
(g) catalysts and solvents; and
(h) any other goods that are not incorporated into the good but whose use in the production of the good can reasonably be demonstrated to be a part of that production.
Section B: Consignment Criteria
Article 3.12: Third Country Transportation
A good shall not be considered to be an originating good if the good undergoes subsequent production or any other operation outside the territories of the Parties, other than unloading, reloading, or any other operation necessary to preserve it in good condition or to transport the good
to the territory of a Party.
Section C: Consultation and Modifications
Article 3.13: Committee on Trade in Goods and Rules of Origin
(a) to oversee and review the implementation of this Chapter and Chapter 2 (Trade in Goods), and to ensure that the benefits of trade arising from these Chapters accrue to both parties equitably;
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(b) to provide advice to the Parties on matters relating to Trade in Goods and Rules of Origin, which may include identification and recommendation of measures to promote and facilitate improved market access and to accelerate the tariff elimination and reduction process; and
(c) review the rules set out in this Chapter as and when necessary upon the request of either Party and make such modifications as may be agreed upon.
Section D: Definitions
Article 3.14: Definitions
For purposes of this Chapter:
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(a) the complete disassembly of used goods into individual parts;
and
(b) the cleaning, inspecting, or testing, and as necessary for improvement to sound working condition one or more of the following processes: welding, flame spraying, surface machining, knurling, plating, sleeving, and rewinding in order for such parts to be assembled with other parts, including other recovered parts in the production of a remanufactured good;
(a) is entirely or partially comprised of recovered goods;
(b) has the same life expectancy and meets the same performance standards as a new good; and
(c) enjoys the same factory warranty as such a new good; and
Section E: Application and Interpretation
Article 3.15: Application and Interpretation
For purposes of this Chapter:
(a) the basis for tariff classification is the Harmonised Commodity
Description and Coding System;
(b) any cost and value referred to in this Chapter shall be recorded and maintained in accordance with the generally accepted accounting principles applicable in the territory of the Party in which the good is produced.
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CHAPTER 4
CUSTOMS PROCEDURES
Article 4.1: Scope
This Chapter shall apply, in accordance with the Parties’ respective national laws, rules and regulations, to customs procedures required for clearance of goods traded between the Parties.
Article 4.2: General Provisions
Article 4.3: Publication and Notification
Article 4.4: Risk Management
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Article 4.5: Paperless Trading
Article 4.6: Certification of Origin
(“certification of origin”).
(a) require an exporter in its territory to complete and sign a certification of origin for any exportation of good for which an importer may claim preferential tariff treatment upon importation
of the goods into the territory of the other Party; and
(b) provide that where an exporter in its territory is not the producer
of the good, the exporter may complete and sign a certification of origin on the basis of:
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(i) his knowledge of whether the good qualifies as an originating good;
(ii) his reasonable reliance on the producer's written representation that the good qualifies as an originating good; or
(iii) a completed and signed certification for the good voluntarily provided to the exporter by the producer.
of both Parties shall be made by the Administrative Commission established
Agreement).
Article 4.7: Waiver of Certification of Origin
(a) importation of goods where the customs value does not exceed
US$1,000 or its equivalent in the currency of the importing Party
or a greater value to be established by the Party, except that it may require that the invoice accompanies a declaration certifying that the good qualifies as an originating good; or
(b) importation of goods for which the importing Party has waived the requirement to present a certification of origin.
Article 4.8: Obligations Relating to Importations
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(a) request preferential tariff treatment at the time of importation of an originating product, whether or not he has a certification of origin;
(b) make a written declaration that the good qualifies as an originating good;
(c) have the certification of origin in its possession at the time that the declaration is made, if it is required by the importing Party's customs administration;
(d) provide an original or a copy of the certification of origin as may be requested by the importing Party's customs administration and, if required by that Customs administration, any other such documentation relating to the importation of the product; and
(e) promptly make a corrected declaration and pay any duties owing where the importer has reason to believe that a certification of origin on which a declaration was based contains information that is not correct, before the competent authority notices the error.
by the importing Party's law, apply for a refund of any excess duties paid as a result of the goods not having been accorded preferential treatment.
Article 4.9: Record Keeping Requirement
(a) purchase of, cost of, value of, shipping of, and payment for, the good that is exported from its territory;
(b) sourcing of, the purchase of, cost of, value of, and payment for, all materials, including indirect materials, used in the production
of the good that is exported from its territory; and
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(c) production of the good in the form in which the good is exported from its territory.
of the certification of origin, as the Party may require relating to the importation of the good.
Article 4.10: Origin Verification
(a) requests for information from the importer;
(b) request for assistance from the competent authority of the exporting Party as provided for in paragraph 2 below;
(c) written questionnaires to an exporter or a producer in the territory of the other Party through the competent authority;
(d) visits to the premises of an exporter or a producer in the territory
of the other Party, subject to the consent of the exporter or the producer, in accordance with any procedures that the Parties jointly adopt pertaining to the verification; or
(e) such other procedures as the Parties may agree.
(a) may request the competent authority of the exporting Party to assist it in:
(i) verifying the authenticity of a certification of origin; and /
or
(ii) verifying the accuracy of any information contained in the certification of origin; and / or
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(iii) conducting in its territory some related investigations or inquiries, and to issue the corresponding reports.
(b) shall provide the competent authority of the other Party with:
(i) the reasons why such assistance is sought;
(ii) the certification of origin, or a copy thereof; and
(iii) any information and documents as may be necessary for the purpose of providing such assistance.
Party shall co-operate in any action to verify eligibility.
(a) the exporter, producer or importer fails to respond to written requests for information or questionnaires within a reasonable period of time; or
(b) after receipt of a written notification for a verification visit agreed upon by the importing and exporting Parties, the exporter or producer does not provide its written consent within a reasonable period of time.
Article 4.11: Advance Rulings
its territory or to an exporter or producer of the good in the other Party, as to whether the good qualifies as an originating good. The importing Party shall issue its determination regarding the origin of the good within 120 days of an application for advance ruling.
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(a) if the ruling was based on an error of fact;
(b) if there is a change in the material facts or circumstances on which the ruling was based;
(c) to conform with a modification of this Chapter; or
(d) to conform with a judicial decision or a change in its domestic law.
in accordance with its terms and conditions.
Article 4.12: Penalties
Each Party shall maintain criminal, civil or administrative penalties, whether solely or in combination, for violations of its laws and regulations relating to this Chapter.
Article 4.13: Review and Appeal
(a) at least one level of administrative review of determinations by
its customs authorities independent1 of either the official or office responsible for the decision under review; and
(b) judicial review2 of decisions taken at the final level of administrative review.
1 For greater certainty, it is understood that the level of administrative review may include the
Ministry supervising the customs administration.
2 The review of the determination or decision taken at the final level of administrative review may take the form of common law judicial review.
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Article 4.14: Confidentiality
or which would prejudice the legitimate commercial interests of particular enterprises, public or private.
Article 4.15: Sharing of Best Practices and Cooperation
(a) a determination of origin issued as the result of verification conducted pursuant to Article 4.10, once the petitions of review and appeal referred to in Article 4.13 are exhausted;
(b) a determination of origin that the Party considers contrary to a ruling issued by the customs authority of the other Party with respect to the tariff classification or value of a good, or of materials used in the production of a good;
(c) a measure establishing or significantly modifying an administrative policy that is likely to affect future determinations
of origin; and
(d) an advance ruling or its modification, pursuant to Article 4.11.
(a) for purposes of facilitating the flow of trade between their territories, such customs-related matters as the collection and exchange of statistics regarding the importation and exportation
(b) the collection and exchange of documentation on customs procedures.
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ANNEX 4.6
LIST OF DATA ELEMENTS FOR THE CERTIFICATION OF ORIGIN
In accordance with the provision set out in Article 4.6.3, the data elements of the certification of origin are as follows:
The full legal name, address (including city and country), telephone number, and email address if applicable of the exporter or producer(s). State whether the exporter is also the producer.
The full legal name, address (including city and country), telephone number and e-mail address if applicable, of the importer.
This entails a full description of each good. The description should contain sufficient detail to relate it to the invoice description and to the Harmonised System (HS) description of the good. If the certification covers a single shipment of goods, it should list the quantity and unit of measurement of each good, including the series number, if possible, as well as the invoice number, such as the shipping order number, purchase order number or any other number that can be used to identify the goods.
The HS tariff classification to six digits, or as otherwise specified in the Rules
of Origin, for each good.
The exporter or producer of the goods covered by this certification of origin declares that these goods meet the Panama-Singapore Free Trade Agreement Rules of Origin.
This includes the date and signature of the exporter or producer.
4.6 - 1
CHAPTER 5
SANITARY AND PHYTOSANITARY MEASURES
Article 5.1: Objectives
The objectives of this Chapter are to protect human, animal, or plant life or health in the territory of the Parties, and to provide a framework to address any bilateral sanitary and phytosanitary matters so as to facilitate and increase trade between the Parties.
Article 5.2: Scope and Coverage
(a) Sanitary or Phytosanitary measure means any measure referred
to in Annex A, paragraph 1 of the WTO Agreement on the
Application of Sanitary and Phytosanitary Measures (“SPS Agreement”);
(b) Trade between the Parties refers to trade in goods produced, processed or manufactured in the territory of the Parties.
Article 5.3: General Provisions
Article 5.4: Trade Facilitation
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Article 5.5: Coordinators
(a) monitoring the implementation and administration of this
Chapter;
(b) enhancing communication between the Parties’ agencies and ministries with responsibility for sanitary and phytosanitary matters, seeking to facilitate a Party’s response to written requests for information from the other Party in print or electronically without undue delay, and in any case within 30 days after the date of receipt of the request, at no cost or at reasonable cost;
(c) facilitating information exchange so as to enhance mutual understanding of each Party’s sanitary and phytosanitary measures and the regulatory processes that relate to those measures and their impact on trade in such goods between the Parties;
(d) promptly addressing any bilateral sanitary and phytosanitary issue that a Party raises to enhance cooperation and consultation between the Parties to facilitate trade between the Parties;
(e) promoting the use of international standards by both Parties in their respective adoption and application of sanitary and phytosanitary measures;
(f) reviewing progress on addressing sanitary and phytosanitary matters that may arise between the Parties’ agencies and ministries with responsibility for such matters; and
(g) without prejudice to Article 17.1 (Administrative Commission of the Agreement), convening, as necessary and appropriate, an ad hoc technical working group for addressing requests for technical clarification with the objective of identifying practical
5 - 2
and workable solution that would facilitate trade. Both Parties shall endeavour to convene the ad hoc technical working group without undue delay.
Article 5.6: Final Provisions
(a) Panama shall be:
Ministry of Trade and Industries
Edison Plaza, Ave, Ricardo J. Alfaro, El Paical, 2nd Floor
Panama, Republic of Panama
Tel: (507) 360-0690
Fax : (507) 360-0691
Email: admtratados@mici.gob.pa
(b) Singapore shall be:
Ministry of Trade and Industry, Trade Division,
100 High Street # 09-01, The Treasury, Singapore 179434, Republic of Singapore Tel: (65) 6225 9911
Fax: (65) 6332 7260
Email: mti_fta@mti.gov.sg
or their successors or designated contact points.
5 - 3
CHAPTER 6
TECHNICAL BARRIERS TO TRADE
Article 6.1: Objective and Scope
or indirectly affect trade in goods and / or assessments of manufacturers or manufacturing processes of goods traded between the Parties.
Article 6.2: Coverage
or manufacturing processes of goods traded between the Parties, regardless
of the origin of those goods, unless otherwise specified by a Party under the modalities in this framework.
Article 6.3: International Standards
to the maximum extent possible, relevant international standards as a basis for its technical regulations.
6 - 1
and Recommendations adopted by the Committee since 1 January 1995, G/TBT/1/Rev.8, 23 May 2002, Section IX (Decision of the Committee on Principles for the Development of International Standards, Guides and Recommendations with relation to Articles 2, 5 and Annex 3 of the TBT Agreement) issued by the WTO Committee on Technical Barriers to Trade.
Article 6.4: Trade Facilitation
a view to facilitating market access. In particular, the Parties shall seek to identify initiatives that are appropriate for the particular issues or sectors. Such initiatives may include cooperation on regulatory issues, such as unilateral recognition or harmonisation of technical regulations and standards, alignment to international standards, reliance on a supplier’s declaration of conformity, and use of accreditations to qualify conformity assessment bodies.
Article 6.5: Conformity Assessment Procedures
(a) the importing Party’s reliance on a supplier’s declaration of conformity;
(b) voluntary arrangements between conformity assessment bodies from each Party’s territory;
(c) agreements on mutual acceptance of the results or certification
of conformity assessment procedures with respect to specified regulations conducted by bodies located in the territory of the other Party;
(d) accreditation procedures for qualifying conformity assessment bodies;
(e) government designation of conformity assessment bodies; and
(f) recognition by one Party of the results of conformity assessment procedures performed in the other Party’s territory on a unilateral basis for a sector nominated by that Party.
6 - 2
its territory and it refuses to accredit, approve, license, or otherwise recognise
a body assessing conformity with that technical regulation or standard in the territory of the other Party, it shall, on request, explain the reasons for its refusal.
17.1 (Administrative Commission of the Agreement)
Article 6.6: Equivalence of Standards and Technical Regulations
of the Agreement).
6 - 3
Article 6.7: Information Exchange
Each Party shall respond expeditiously to any enquiry from the other Party on standards, technical regulations or conformity assessment procedures relating
to any good and / or assessments of manufacturers or manufacturing processes of goods traded between the Parties. Any information or explanation that is provided shall be given in print or electronically.
Article 6.8: Confidentiality
(a) be contrary to its essential security interests;
(b) be contrary to the public interest as determined by its domestic laws, regulations and administrative provisions;
(c) be contrary to any of its domestic laws, regulations and administrative provisions including but not limited to those protecting personal privacy or the financial affairs and accounts
of individual customers of financial institutions;
(d) impede law enforcement; or
(e) prejudice legitimate commercial interests of particular public or private enterprises.
Article 6.9: Coordinators
(a) monitoring the implementation and administration of this
Chapter;
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(b) promptly addressing any issue that a Party raises related to the development, adoption, application, or enforcement of standards, technical regulations or conformity assessment procedures;
(c) enhancing cooperation in the development and improvement of standards, technical regulations, and conformity assessment procedures;
(d) exchanging information on standards, technical regulations, and conformity assessment procedures, in response to all reasonable requests for such information from a Party;
(e) considering and facilitating any sector-specific proposal a Party makes for further cooperation among governmental and non- governmental conformity assessment bodies;
(f) facilitating the consideration of a request by a Party for the recognition of the results of conformity assessment procedures, including a request for the negotiation of an agreement, in a sector nominated by that Party;
(g) facilitating cooperation in the areas of specific technical regulations by referring enquiries from a Party to the appropriate regulatory authorities;
(h) promptly consulting on any matter arising under this Chapter upon request by a Party; and
(i) reviewing this Chapter in light of any developments under the TBT Agreement, and developing recommendations for amendments to this Chapter in light of those developments.
Article 6.10: Final Provisions
6 - 5
(a) Panama shall be:
Ministry of Trade and Industries
Edison Plaza, Ave, Ricardo J. Alfaro, El Paical, 2nd Floor
Panama, Republic of Panama
Tel: (507) 360-0690
Fax: (507) 360-0691
Email: admtratados@mici.gob.pa
(b) Singapore shall be:
Ministry of Trade and Industry, Trade Division,
100 High Street # 09-01, The Treasury, Singapore 179434, Republic of Singapore Tel: (65) 6225 9911
Fax: (65) 6332 7260
Email: mti_fta@mti.gov.sg
or their successors or designated contact points.
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CHAPTER 7
COMPETITION POLICY
Article 7.1: Anti-competitive Business Conduct
(a) anti-competitive horizontal arrangements between competitors;
(b) misuse of market power, including predatory pricing by businesses;
(c) anti-competitive vertical arrangements between businesses; and
(d) anti-competitive mergers and acquisitions.
of its national competition laws. The enforcement policy of each Party’s national competition authority is not to discriminate on the basis of the nationality of the subjects of their proceedings. Each Party shall ensure that:
(a) before it imposes a sanction or remedy against any person for violating its competition law, it affords the person the opportunity
to be heard and to present evidence, within a reasonable time;
and
(b) a domestic court or tribunal, at the person’s request, reviews any such sanction or remedy.
its competition laws.
Article 7.2: Confidentiality
7 - 1
(a) classified as confidential by a Party or its competition authority;
or
(b) contrary to a Party’s laws or policies.
Article 7.3: Cooperation
The Parties agree to cooperate in the area of competition law and policy development by establishing consultation mechanisms and exchanging information. The Parties recognise the importance of cooperation and coordination in order to further effective competition law and policy development in the free trade area, in a manner consistent with their domestic laws, by establishing consultation mechanisms and exchanging information.
Article 7.4: Transparency and Information Requests
Article 7.5: Consultations
To foster understanding between the Parties, or to address specific matters that arise under this Chapter, a Party shall, on request of the other Party, enter into consultations. In its request, the requesting Party shall indicate, if relevant, how the matter affects trade or investment between the Parties. The requested Party shall accord full and sympathetic consideration to the concerns of the other Party.
7 - 2
Article 7.6: Disputes
No Party may have recourse to the provisions for Dispute Settlement under Chapter 15 (Dispute Settlement) of this Agreement for any matter related to this Chapter.
7 - 3
CHAPTER 8
GOVERNMENT PROCUREMENT
Article 8.1: General
(a) ensuring the opportunity exists for their suppliers to compete on an equal and transparent basis for government procurements;
(b) ensuring the non-application against their suppliers of preferential schemes and other forms of discrimination based on the place of origin of goods and services;
(c) promoting the use of electronic means for government procurement; and
(d) ensuring fair and non-discriminatory processes, and mechanisms to eliminate any potential conflict of interest between persons administering the processes and suppliers participating in the processes.
8A, the more favourable offer shall immediately and unconditionally apply.
Article 8.2: Scope and Coverage
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(a) non-contractual agreements or any form of governmental assistance, including cooperative agreements, grants, loans, equity infusions, guarantees, fiscal incentives, and governmental provision of products and services to persons or governmental authorities not specifically covered under Annex 8A;
(b) purchases funded by loans and grants made to a Party or to an entity of a Party by a person, international entities, associations, international organizations or other States or foreign governments, to the extent that the conditions of such assistance are inconsistent with the provisions of this Chapter. In the case of such inconsistency, the conditions of the assistance shall prevail;
(c) acquisition of fiscal agency services or depository services, liquidation and management services for regulated financial institutions, and sale and distribution services for government debt;
(d) hiring of government employees and related employment measures; and
(e) purchases made under exceptionally advantageous conditions which only arise in the very short term. This provision is:
(i) intended to cover unusual disposals by companies which are not normally suppliers, or disposal of assets of businesses in liquidation or receivership; and
(ii) not intended to cover routine purchases from regular suppliers.
(Investment), 10 (Cross-Border Trade in Services) and 11 (Financial
Services).
8 - 2
Article 8.3: National Treatment and Non-Discrimination
of the other Party offering such goods and services, treatment no less favourable than that accorded to domestic goods, services and suppliers.
(a) treat a locally established supplier less favourably than another locally established supplier on the basis of degree of foreign affiliation or ownership; and
(b) discriminate against a locally established supplier on the basis that that the good or services offered by that supplier are goods
or services of the other Party.
Article: 8.4: Valuation of Contracts
The following provisions shall apply in determining the value of contracts for purposes of implementing this Chapter:
(a) valuation shall take into account all forms of remuneration, including any premiums, fees, commissions and interest receivable;
(b) the selection of a valuation method by a government body shall not be made, nor shall any procurement requirement be divided, with the intention of avoiding the application of this Chapter; and
(c) in cases where an intended procurement includes option clauses, the basis for valuation shall be the total value of the maximum permissible procurement, inclusive of optional purchases.
8 - 3
Article 8.5: Rules of Origin
A Party shall not apply rules of origin to goods supplied for purposes of government procurement covered by this Chapter from the other Party, which are different from the rules of origin applied in the normal course of trade and
at the time of the transaction in question to supplies of the same goods from that other Party.
Article 8.6: Offsets
Entities shall not, in the course of a procurement, impose, seek or consider offsets.
Article 8.7: Publication of Procurement Measures
Article 8.8: Publication of Notice of Intended Procurement
in the procurement, the name of the entity issuing the notice, the address where suppliers may obtain all documents relating to the procurement, the time limits and address for submission of tenders and the delivery dates of the goods or services to be procured.
Article 8.9: Time Limits for the Tendering Processes
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shall provide no less than 30 days between the date on which it publishes the notice of intended procurement and the deadline for submitting tenders.
by electronic means.
Article 8.10: Tender Documentation
(a) to all suppliers that are participating in the procurement at the time the criteria was modified, if the identities of such suppliers are known, and in all other cases, in the same manner the original information was transmitted; and
(b) in adequate time to allow such suppliers to modify and re-submit their tenders, as appropriate.
Article 8.11: Technical Specifications
8 - 5
(a) in terms of performance requirements rather than design or descriptive characteristics; and
(b) based on international standards, where applicable; otherwise, on recognised national standards.
of precluding competition, advice that may be used in the preparation or adoption of any technical specification for a specific procurement from a person that may have a commercial interest in that procurement.
Article 8.12: Registration and Qualification of Suppliers
a Party shall not discriminate between domestic suppliers and suppliers of the other Party.
at any time, and that all registered and qualified suppliers are included in the lists within a reasonably short time.
Article 8.13: Limited Tendering Procedures
in the course of which any interested supplier may submit a tender.
or to protect domestic suppliers, entities may award contracts by means other
8 - 6
than open tendering procedures in the following circumstances, where applicable:
(a) in the absence of tenders that conform to the essential requirements in the tender documentation provided in a prior invitation to tender, including any conditions for participation, on condition that the requirements of the initial procurement are not substantially modified in the contract as awarded;
(b) where, for works of art, or for reasons connected with the protection of exclusive rights, such as patents or copyrights, or proprietary information, or where there is an absence of competition for technical reasons, the goods or services can be supplied only by a particular supplier and no reasonable alternative or substitute exists;
(c) for additional deliveries by the original supplier that are intended either as replacement parts, extensions, or continuing services for existing equipment, software, services or installations, where
a change of supplier would compel the entity to procure goods
or services not meeting requirements of inter-changeability with existing equipment, software, services, or installations;
(d) for goods purchased on a commodity market;
(e) where an entity procures a prototype or a first good or service that is developed at its request in the course of, and for, a particular contract for research, experiment, study or original development. When such contracts have been fulfilled, subsequent procurements of such goods or services shall be subject to the principles and procedures laid down in this Chapter;
(f) where additional construction services that were not included in the initial contract but that were within the objectives of the original tender documentation have, due to unforeseeable circumstances, become necessary to complete the construction services described therein. However, the total value of contracts awarded for additional construction services may not exceed 50 percent of the amount of the initial contract;
(g) for new construction services consisting of the repetition of similar construction services which conform to a basic project for which an initial contract was awarded in accordance with Articles 8.3 to 8.12;
(h) in so far as is strictly necessary where, for reasons of urgency brought about by events unforeseeable by the entity, the goods
or services could not be obtained in time by means of an open tendering procedure and the use of an open tendering
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procedure would result in serious injury to the entity, or the entity's program responsibilities, or the Party; or
(i) in the case of contracts awarded to the winner of a design contest provided that the contest has been organized in a manner which is consistent with the principles of this Chapter. The contest shall be judged by an independent jury with a view
to design contracts being awarded to the winners.
Article 8.14: Information on Awards
|
(a)
|
the name of the entity;
|
|
|
(b)
|
a description of the goods or services procured;
|
|
|
(c)
|
the name of the winning supplier;
|
|
|
(d)
|
the value of the contract award; and
|
|
|
(e)
|
where the entity has not used open tendering procedure,
|
an
|
indication of the circumstances according to Article 8.13 (Limited
Tendering Procedures) justifying the procedures used.
Article 8.15: Modifications and Rectifications to Coverage
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a legal entity, this Chapter shall no longer apply to that entity or the party thereof that is so corporatised or privatized. A Party shall notify the other Party
of the name of such an entity before it is corporatised or privatized or as soon
as possible thereafter. The Parties agree that no claim for compensatory adjustments shall be made in all such cases.
its coverage under this Chapter, or minor amendments to its schedules in Annex 8A to this Chapter, provided that it notifies the other Party in writing and that the other Party does not object in writing within 30 days of the notification. For such technical rectifications or minor amendments, no compensatory adjustments need to be provided to the other Party.
Article 8.16: Transparency
The Parties shall apply all procurement laws, regulations, procedures and practices consistently, fairly and equitably so that their corporate governance structures provide transparency to potential suppliers.
Article 8.17: Electronic Procurement
to as “e-procurement”.
in the fiscal year, information regarding the entity’s indicative procurement plans in the e-procurement portal.
Article 8.18: Challenge Procedures
a breach of this Chapter in the context of procurement by an entity of the other Party, that Party shall encourage the supplier to seek resolution of its complaint in consultation with the entity of the other Party. In such instances the entity of the other Party shall accord timely and impartial consideration to
8 - 9
any such complaint, in such a manner that is not prejudicial to obtaining corrective measures under the challenge system.
Article 8.19: Exceptions
(a) necessary to protect public morals, order or safety;
(b) necessary to protect human, animal or plant life or health;
(c) necessary to protect intellectual property; or
(d) relating to the products or services of handicapped persons, of philanthropic institutions or of prison labour.
Article 8.20: Non-Disclosure of Information
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Article 8.21: Cooperation
The Parties agree make available information and share best practices relating to government procurement, including the development and use of electronic means in government procurement systems.
Article 8.22: Definitions
For purposes of this Chapter:
|
1.
|
entity means an entity of a Party listed in Annex 8A;
|
|
|
2.
|
offsets means measures used to encourage local
development
|
or
|
improve the balance-of-payments accounts by means of domestic content, licensing of technology, investment requirements, counter-trade or similar requirements;
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ANNEX 8A GOVERNMENT PROCUREMENT
Section A: Central Level of Government Entities
or exceed the following relevant threshold, for procurement of:
|
(a)
|
Goods and Services:
|
SDR
|
130,000; and
|
|
(b)
|
Construction services:
|
SDR
|
5,000,000.
|
subordinate to the entities listed in each Party’s Schedule.
Schedule of Panama
Asamblea Legislativa
Contraloría General de la República Ministerio de Comercio e Industrias Ministerio de Desarrollo Agropecuario Ministerio de Economía y Finanzas Ministerio de Educación (Note 2) Ministerio de Desarrollo Social Ministerio de Obras Públicas
Ministerio de Relaciones Exteriores Ministerio de Trabajo y Desarrollo Laboral Ministerio de Vivienda
Órgano Judicial
Notes to the Schedule of Panama
of goods classified under Divisions 21, 22, 23, 24, 26, 27, 28 and 29 of the
United Nations Central Product Classification (CPC).
8A - 1
Schedule of Singapore
Auditor-General's Office Attorney-General's Office Cabinet Office
Istana
Judicature
Ministry of Transport
Ministry of Community Development and Sports
Ministry of Education Ministry of Environment Ministry of Finance Ministry of Foreign Affairs Ministry of Health
Ministry of Home Affairs
Ministry of Information, Communications and the Arts
Ministry of Manpower
Ministry of Law
Ministry of National Development Ministry of Trade and Industry Parliament
Presidential Councils
Prime Minister's Office Public Service Commission Ministry of Defence
Notes to the Schedule of Singapore
8A - 2
Equipment
Equipment
8A - 3
(a) construction contracts for chanceries abroad and headquarters buildings made by the Ministry of Foreign Affairs; and
(b) contracts made by the Internal Security Department, Criminal Investigation Department, Security Branch and Central Narcotics Bureau of the Ministry of Home Affairs as well as procurement that have security considerations made by the Ministry.
Section B: Other Government Entities
|
(a)
|
Goods and Services:
|
SDR
|
400,000; and
|
|
(b)
|
Construction services:
|
SDR
|
5,000,000.
|
in each Party’s Schedule in this Section.
Schedule of Panama
Autoridad de Aeronáutica Civil
Autoridad de la Micro Pequeña y Mediana Empresa
Autoridad de la Región Interoceánica
Autoridad del Tránsito y Transporte Terrestre (Note 1) Autoridad Marítima de Panamá
Autoridad Nacional del Ambiente Banco de Desarrollo Agropecuario Bingos Nacionales
Comisión de Libre Competencia y Asuntos del Consumidor
Comisión Nacional de Valores
Defensoría del Pueblo
Ente Regulador de los Servicios Públicos Instituto de Investigación Agropecuaria Instituto de Mercadeo Agropecuario Instituto de Seguro Agropecuario
Instituto Nacional de Cultura
8A - 4
Instituto Nacional de Deportes
Instituto Nacional de Formación Profesional Instituto Panameño Autónomo Cooperativo Instituto Panameño de Habilitación Especial Instituto Panameño de Turismo
Instituto para la Formación y Aprovechamiento de Recursos Humanos
Registro Público de Panamá Superintendencia de Bancos Universidad Autónoma de Chiriquí
Universidad Especializada de las Américas
Universidad Tecnológica de Panamá
Zona Libre de Colón
Notes to the Schedule of Panama
Schedule of Singapore
Agency for Science, Technology and Research
Board of Architects
Civil Aviation Authority of Singapore Building and Construction Authority Economic Development Board Housing and Development Board
Info–communications Development Authority of Singapore
Inland Revenue Authority of Singapore
International Enterprise Singapore
Land Transport Authority of Singapore
Jurong Town Corporation
Maritime and Port Authority of Singapore
Monetary Authority of Singapore Nanyang Technological University National Parks Board
National University of Singapore Preservation of Monuments Board Professional Engineers Board Public Transport Council
Sentosa Development Corporation Singapore Broadcasting Authority Singapore Tourism Board
Standards, Productivity and Innovation Board
Urban Redevelopment Authority
8A - 5
Note to the Schedule of Singapore
This Chapter shall not apply to any procurement made by a covered entity on behalf of a non-covered institution.
Section C: Goods
This Chapter applies to all goods procured by the entities listed in Sections A and B for each Party, subject to the Notes to the respective Sections and the General Notes of each Party.
Section D: Services
This Chapter applies to services procured by the entities listed in Sections A and B, only if are included in each Party’s Schedule to this Section (others being excluded), subject to the Notes to the respective Sections, the General Notes, and the Notes to this Section.
Schedule of Panama
This positive list includes the following services, in accordance with the United Nations Central Product Classification (Provisional CPC) System and the MTN.GNS/W/120 Classification system.
Code Provisional CPC Description
h. electronic mail; i. voice mail; j. information extraction online and from databases; k. electronic data interchange (EDI) services; l. broadened/value-added facsimile services, including storage and retrieval services; m. code and protocol conversion; n. processing of data and / or online information
|
|
(including transaction processing); o. other.
|
|
|
84
|
Information technology and related services
|
|
|
86401
|
Market research services
|
|
|
865
|
Management consulting services
|
|
|
8672
|
Engineering services
|
|
|
8675
|
Related scientific and technical consulting services
|
|
|
871
|
Advertising services
|
|
|
88442
|
Publishing and printing. Editorials only. Excludes: Press
|
|
|
9404
|
Cleaning services of exhaust gases
|
|
|
9405
|
Noise abatement services
|
|
|
9406
|
Nature and landscape protection services. (Part of
|
CPC
|
94060) Exclusively: Services for conducting studies on the relationship between the environment and climate, including natural disaster assessment services and services to mitigate the effects of natural disasters.
8A - 6
Code MTN.GNS/W/120 Description
641-643 Hotels and Restaurants (including catering)
8861-8866 Maintenance and repair of equipment (not including maritime vessels, aircraft or other transport equipment)
Others
- Biotechnology Services
- Exhibition Services
- Commercial Market Research
- Interior Design Services, Excluding Architecture
- Professional, Advisory and Consulting Services Relating to Agriculture, Forestry, Fishing and Mining, Including Oilfield Services
Notes to the Schedule of Panama
Schedule of Singapore
The following services as contained in document MTN.GNS/W/120 are offered: CPC Description
641-643 Hotels and Restaurants (incl. catering)
8A - 7
Hardware
8861-8866 Maintenance and repair of equipment (not including maritime vessels, aircraft or other transport equipment) (Note 2)
- Biotechnology Services
- Exhibition Services
- Commercial Market Research
- Interior Design Services, Excluding Architecture
- Professional, Advisory and Consulting Services Relating to Agriculture, Forestry, Fishing and Mining, Including Oilfield Services
Notes to the Schedule of Singapore
Section E: Construction Services
This Chapter applies to construction services procured by the entities listed in
Sections A and B, only if are included in each Party’s Schedule to this Section
8A - 8
(others being excluded), subject to the Notes to the respective Sections, the
General Notes, and the Notes to this Section.
Schedule of Panama
This positive list includes the following construction services, in accordance with the United Nations Central Product Classification System (Provisional CPC).
Code: Provisional CPC Description
Notes to the Schedule of Panama
Schedule of Singapore
The following list of construction services as contained in document
MTN.GNS/W/120 are offered:
514, 516 Installation and assembly work
511, 515, 518 Others
8A - 9
Notes to the Schedule of Singapore
Section F: General Notes
Unless otherwise specified herein, the following General Notes in each Party’s Schedule apply without exception to this Chapter, including to all sections of this Annex.
Schedule of Panama
This Chapter shall not apply to:
Schedule of Singapore
This Chapter shall not apply to:
Procurements made by a covered entity on behalf of a non-covered institution.
8A - 10
CHAPTER 9
INVESTMENT
Article 9.1: Definitions
For the purposes of this Chapter:
or controlled, including a corporation, trust, partnership, sole proprietorship, joint venture, association, or similar organization; and a branch of an enterprise;
(a) an enterprise;
(b) shares, stock, and other forms of equity participation in an enterprise, including rights derived therefrom;
(c) bonds, debentures, and loans and other debt instruments of an enterprise2 3, including rights derived therefrom;
1 For the purpose of the definition of “investment”, returns that are invested shall be treated as investments and any alteration of the form in which assets are invested or reinvested shall not affect their character as investments. “Return” means an amount yielded by or derived from
an investment, including profits, dividends, interest, capital gains, royalty payments, payments
in connection with intellectual property rights, and all other lawful income.
2 For the purpose of this Chapter, “loans and other debt instruments” described in paragraph
4(c) and “claims to money or to any contractual performance” described in paragraph 4(f) refers to assets which relate to a business activity and do not refer to assets which are of a personal nature, unrelated to any business activity. The Parties further agree that claims to payment immediately due resulting from the sale of goods and services are not investments. Some forms of debt, such as bonds, debentures and long-term notes, are more likely to have the characteristics of an investment, while other forms of debt are less likely to have such
characteristics.
3 Subject to Panama’s non-conforming measure on Panama Canal Authority in Annex II (Non- Conforming Measures) and based on the constitutional financial autonomy given to the
Panama Canal Authority (“PCA”), the following are excluded from the scope of this Chapter:
(i) with respect to paragraph (c) to the definition of “investment”, loans and other debt instruments that are issued by the PCA; and (ii) with respect to paragraph (e) to the definition
of “investment”, construction contracts that are awarded by the PCA.
9 - 1
(d) futures, options, and other derivatives;
(e) turnkey, construction, management, production, concession, revenue-sharing, and other similar contracts;
(f) claims to money or to any contractual performance related to a business and having an economic value;
(g) intellectual property rights and goodwill;
(h) licenses, authorizations, permits, and similar rights conferred pursuant to applicable domestic law4 5, including any concession
to search for, cultivate, extract or exploit natural resources; and
(i) other tangible or intangible, movable or immovable property, and related property rights, such as leases, mortgages, liens, and pledges.
Article 9.2: Scope and Coverage
(a) investors of the other Party;
(b) investments of investors of the other Party, made, in the process
of being made, or sought to be made, in the territory of the former Party;
(c) with respect to Article 9.6, all the investments in the territory of the Party.
(a) any taxation measure unless otherwise provided;
(b) government procurement; and
4 Whether a particular type of license, authorisation, permit, or similar instrument (including a concession, to the extent that it has the nature of such an instrument) is an investment within the scope of this Chapter depends on such factors as the nature and extent of the rights that the holder has under the domestic law of the Party.
5 The term “investment” does not include an order or judgment entered in a judicial or administrative action.
9 - 2
(c) services supplied in the exercise of governmental authority within the territory of each respective Party. For the purposes of this Chapter, a service supplied in the exercise of governmental authority means any service that is supplied neither on a commercial basis nor in competition with one or more service suppliers.
Party to the extent that they are covered by Chapter 11 (Financial Services).
Article 9.3: National Treatment
Article 9.4: Most-Favoured Nation Treatment
in its territory.
9 - 3
establishment, acquisition, expansion, management, conduct, operation, and sale or other disposition of investments.
Article 9.5: Minimum Standard of Treatment
of treatment of aliens6, including fair and equitable treatment and full protection and security.
(a) “fair and equitable treatment” includes the obligation not to deny justice in criminal, civil or administrative adjudicatory proceedings; and
(b) “full protection and security” requires each Party to provide the level of police protection required under customary international law.
of the other Party, and to investments of investors of the other Party, non- discriminatory treatment with respect to measures it adopts or maintains relating to losses suffered by investments in its territory owing to armed conflict or civil strife.
or grants, or to any conditions attached to the receipt or continued receipt of such subsidies or grants, whether or not such subsidies or grants are offered exclusively to investors of the Party or investments of investors of the Party, that would be inconsistent with Articles 9.3 and Article 9.4 but for Article
9.10.4.
6 Customary international law results from a general and consistent practice of States that they follow from a sense of legal obligation. With regards to this article, the customary international law minimum standard of treatment of aliens refers to all customary international
law principles that protect the economic rights and interests of aliens.
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Article 9.6: Performance Requirements
(a) export a given level or percentage of goods or services;
(b) achieve a given level or percentage of domestic content;
(c) purchase, use or accord a preference to goods produced in its territory, or to purchase goods from persons in its territory;
(d) relate in any way the volume or value of imports to the volume
or value of exports or to the amount of foreign exchange inflows associated with such investment;
(e) restrict sales of goods or services in its territory that such investment produces or provides by relating such sales in any way to the volume or value of its exports or foreign exchange earnings;
(f) transfer a particular technology, production process or other proprietary knowledge to a person in its territory;
(g) supply exclusively from the territory of the Party the goods that it produces or the services that it provides to a specific regional market or to the world market.
in its territory of an investor of a Party or of a non-Party, on compliance with any of the following requirements:
(a) to achieve a given level or percentage of domestic content;
(b) to purchase, use or accord a preference to goods produced in its territory or to purchase goods from persons in its territory;
(c) to relate in any way the volume or value of imports to the volume
or value of exports or to the amount of foreign exchange inflows associated with such investment; or
(d) to restrict sales of goods or services in its territory that such investment produces or provides by relating such sales in any way to the volume or value of its exports or foreign exchange earnings.
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(b) The provisions of paragraph 1(f) do not apply:
(i) when a party authorizes use of an intellectual property right in accordance with Article 31 of the TRIPS Agreement, or to measures requiring the disclosure of proprietary information that fall within the scope of, and are consistent with Article 39 of the TRIPS Agreement; or
(ii) when the requirement is imposed or the commitment or undertaking is enforced by a court, administrative tribunal or competition authority to remedy a practice determined after judicial or administrative process to be anti- competitive under the Party’s competition laws.
(c) Paragraphs (1)(a), (b) and (c), and (2)(a) and (b) do not apply to qualification requirements for goods or services with respect to export promotion and foreign aid programs;
(d) The provisions of paragraphs (2)(a) and (b) do not apply to requirements imposed by an importing Party relating to the content of goods necessary to qualify for preferential tariffs or preferential quotas.
Article 9.7: Expropriation and Compensation7
7Article 9.7 is to be interpreted in accordance with Annex 9A (Expropriation).
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other Party unless such a measure is taken on a non-discriminatory basis, for
a public purpose, in accordance with due process of law, and upon payment
of compensation in accordance with this Article.
of the expropriating Party on the date of entry into force of this Agreement, shall be for a purpose and upon payment of compensation made in accordance with the aforesaid legislation. Such compensation shall be subject
to any subsequent amendments to the aforesaid legislation relating to the amount of compensation where such amendments follow the general trends
in the market value of the land.
or creation of intellectual property rights, to the extent that such issuance, revocation, limitation or creation is consistent with the Agreement on Trade- Related Aspects of Intellectual Property Rights in Annex 1C to the TRIPS Agreement.
Article 9.8: Transfers
(a) contributions to capital;
(b) profits, dividends, capital gains, and proceeds from the sale of all or any part of the investment or from the partial or complete liquidation of the investment;
(c) interest, royalty payments, management fees, and technical assistance and other fees;
(d) payments made under a contract entered into by the investor, or its investment, including payments made pursuant to a loan agreement;
(e) payments made pursuant to Articles 9.7 and 9.5.4; and
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(f) payments arising under Article 9.13.
(a) bankruptcy, insolvency, or the protection of the rights of creditors;
(b) issuing, trading, or dealing in securities, futures, options, or derivatives;
(c) financial reporting or record keeping of transfers when necessary to assist law enforcement or financial regulatory authorities;
(d) criminal or penal offences;
(e) ensuring compliance with orders or judgments in judicial or administrative proceedings; or
(f) social security, public retirement or compulsory savings schemes.
Article 9.9: Senior Management and Board of Directors
Article 9.10: Non-Conforming Measures
(a) any existing non-conforming measure that is maintained by a Party as set out by that Party in its Schedule to Annex I (Non- Conforming Measures);
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(b) the continuation or prompt renewal of any non-conforming measure referred to in sub-paragraph (a); or
(c) an amendment to any non-conforming measure referred to in sub-paragraph (a) to the extent that the amendment does not decrease the conformity of the measure, as it existed immediately before the amendment, with Articles 9.3, 9.4, 9.6 and 9.9.
by a Party, or to any conditions attached to the receipt or continued receipt of such subsidies or grants, whether or not such subsidies or grants are offered exclusively to investors of the Party or investments of investors of the Party, including government-supported loans, guarantees and insurance.
Article 9.11: Denial of Benefits
Subject to prior notification and consultation, according to the procedures set out in Article 15.3 (Consultations), a Party may deny the benefits of this Chapter to an investor of the other Party that is an enterprise of such Party and to investments of such an investor where the Party establishes that the enterprise is owned or controlled by persons of a non-Party, or of the denying Party, and has no substantive business operations in the territory of the other Party.
Article 9.12: Subrogation
its investors under a guarantee, a contract of insurance or other form of indemnity it has granted in respect of an investment of an investor of that Party, the other Party shall recognise the subrogation or transfer of any right
or title in respect of such investment. The subrogated or transferred right or claim shall not be greater than the original right or claim of the investor.
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to an investor of that Party and has taken over rights and claims of the investor, that investor shall not, unless authorised to act on behalf of the Party
or the designated agency of the Party making the payment, pursue those rights and claims against the other Party.
Article 9.13: Investor-State Dispute Settlement
2 within 6 months from the date of a request for consultations and negotiations, then unless the disputing investor and the disputing Party agree otherwise or if the investor concerned has already submitted the dispute for resolution before the courts or administrative tribunals of the disputing Party
(excluding proceedings for interim measures of protection referred to in paragraph 5, below), the investor concerned may submit the dispute for settlement to:
(a) the International Centre for Settlement of Investment Disputes
(“ICSID”) for conciliation or arbitration pursuant to the Convention on the Settlement of Investment Disputes between States and Nationals of Other States, if both Contracting Parties are parties to the ICSID Convention; or
(b) arbitration under the rules of the United Nations Commission on
International Trade Law (“UNCITRAL”).
(a) the submission of the dispute to such conciliation or arbitration taking place within three years of the time at which the disputing investor became aware, or should reasonably have become aware, of a breach of an obligation under this Chapter causing loss or damage to the disputing investor or its investment;
(b) the disputing investor not being an enterprise of the disputing Party until the disputing investor refers the dispute for conciliation or arbitration pursuant to paragraph 3; and
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(c) the disputing investor providing written notice, which shall be submitted at least 30 days before the claim is submitted, to the disputing Party of its intent to submit the dispute to such conciliation or arbitration and which:
(i) nominates either paragraph 3(a) or (b) as the forum for dispute settlement (and, in the case of ICSID, nominates whether conciliation or arbitration is being sought);
(ii) waives its right to initiate or continue any proceedings
(excluding proceedings for interim measures of protection referred to in paragraph 5) before any of the other dispute settlement fora referred to in paragraph 3 in relation to the matter under dispute; and
(iii) briefly summarises the alleged breach of the disputing Party under this Chapter (including the articles alleged to have been breached) and the loss or damage allegedly caused to the disputing investor or its investment.
of public international law.
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to be a breach is within the scope of a non-conforming measure as set out in
Measures), the Tribunal shall, on the request of the disputing Party, request the interpretation of the Administrative Commission of the Agreement established in Article 17.1 (Administrative Commission of the Agreement) on the issue. The Administrative Commission shall issue in writing, its interpretation on the issue within 60 days after the date of receipt of the request. An interpretation issued by the Administrative Commission under this paragraph shall be binding on the Tribunal and an award by the Tribunal must be consistent with that interpretation. If the Administrative Commission fails to submit an interpretation within 60 days, the Tribunal shall decide the issue.
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ANNEX 9A EXPROPRIATION
The Parties confirm their shared understanding that:
(a) The determination of whether an action or series actions by a Party, in a specific fact situation, constitutes a measure equivalent to expropriation requires a case-by-case, fact-based inquiry that considers, among other factors:
(i) the economic impact of the government action, although the fact that an action or series of actions by a Party has an adverse effect on the economic value of an investment, standing alone, does not establish that a measure equivalent to expropriation has occurred;
(ii) the extent to which the government action interferes with distinct, reasonable investment-backed expectations; and
(iii) the character of the government action.
rare circumstances, non-discriminatory regulatory
a Party that are designed and applied to protect legitimate public welfare objectives, such as public health, safety and the environment, do not constitute indirect expropriations.
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CHAPTER 10
CROSS BORDER TRADE IN SERVICES
Article 10.1: Definitions
For purposes of this Chapter:
means the supply of a service:
(a) from the territory of one Party into the territory of the other Party;
(b) in the territory of one Party by a person of that Party to a person
of the other Party; or
(c) by a service supplier of a Party, through presence of natural persons of a Party in the territory of the other Party;
but does not include the supply of a service in the territory of a Party by an investor of the other Party or an investment of an investor of the other Party
as defined in Article 9.1 (Definitions);
or controlled, including a corporation, trust, partnership, sole proprietorship, joint venture, association, or similar organization and a branch of an enterprise;
1 The Parties understand that seeks to supply or supplies a service has the same meaning
as supplies a service as used in GATS Article XXVIII (g). The Parties understand that for purposes of Articles 10.3 (National Treatment), 10.4 (Most-Favoured Nation Treatment), and
10.5 (Market Access) of this Agreement, service suppliers has the same meaning as
services and service suppliers as used in GATS Articles II, XVI, and XVII.
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(a) involved solely in the carriage and transportation of cargo for or belonging to; or
(b) used in the service of the Government of either Party; and
“Operated” means owned, managed, chartered, time chartered, or space chartered.
Article 10.2: Scope and Coverage
(a) the production, distribution, marketing, sale and delivery of a service;
(b) the purchase or use of, or payment for, a service;
(c) the access to and use of distribution, transport, or telecommunications networks and services in connection with the supply of a service; and
(d) the presence in its territory of a service supplier of the other
Party2; and
(e) the provision of a bond or other form of financial security as a condition for the supply of a service.
by an investor or an investment as defined in Article 9.1 (Definitions)3.
(a) financial services, as defined in Article 11.16 (Definitions), except as otherwise provided for in Chapter 11 (Financial Services);
2 It is clarified that this paragraph 1(d) is without prejudice to and is to be read together with
Article 10.1.1.
3 The Parties understand that nothing in this Chapter, including this paragraph, is subject to investor-state dispute settlement pursuant to Article 9.13 (Investor-State Dispute Settlement).
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(b) government procurement, as referred to in Chapter 8
(Government Procurement);
(c) air services, including domestic and international air transportation services, whether scheduled or non-scheduled, and related services in support of air services, other than:
(i) aircraft repair and maintenance services during which an aircraft is withdrawn from service;
(ii) the selling and marketing of air transport services;
(iii) computer reservation system (“CRS”) services; and
(d) subsidies or grants provided by a Party or to any conditions attached to the receipt or continued receipt of such subsidies or grants, whether or not such subsidies or grants are offered exclusively to domestic services, service consumers or service suppliers, including government-supported loans, guarantees and insurance.
a natural person of the other Party seeking access to its employment market,
or employed on a permanent basis in its territory, and does not confer any right on that natural person with respect to that access or employment.
to regulate the entry of natural persons of the other Party into, or their temporary stay in, its territory, including those measures necessary to protect the integrity of, and to ensure the orderly movement of natural persons across
its borders, provided that such measures are not applied in such a manner as
to nullify or impair the benefits accruing to the other Party under the terms of this Chapter.4
III of Chapters 9 (Investment), 10 (Cross-Border Trade in Services) and
Chapter 11 (Financial Services).
4 The sole fact of requiring a visa for natural persons of the other Party shall not be regarded
as nullifying or impairing benefits under a specific commitment.
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(Investment), 10 (Cross-Border Trade in Services) and Chapter 11 (Financial
Services).
Article 10.3: National Treatment
Each Party shall accord to service suppliers of the other Party treatment no less favourable than that it accords, in like circumstances, to its own service suppliers.
Article 10.4: Most-Favoured Nation Treatment
Each Party shall accord to service suppliers of the other Party treatment no less favorable than that it accords, in like circumstances, to service suppliers
of a non-Party.
Article 10.5: Market Access
A Party shall not adopt or maintain, either on the basis of a regional subdivision or on the basis of its entire territory, measures that5:
(a) impose limitations on:
(i) the number of service suppliers whether in the form of numerical quotas, monopolies, exclusive service suppliers or the requirement of an economic needs test;
(ii) the total value of service transactions or assets in the form of numerical quotas or the requirement of an economic needs test;
(iii) the total number of service operations or the total quantity of services output expressed in terms of designated numerical units in the form of quotas or the requirement of an economic needs test6; or
5 Subject to the reservations that a Party makes in respect of market access pursuant to Article 10.7, where the cross-border movement of capital is an essential part of a services supplied through the mode of supply referred to in Article 10.1.1(a), that Party is hereby committed to allow such movement of capital.
6 This paragraph does not cover measures of a Party which limit inputs for the supply of services.
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(iv) the total number of natural persons that may be employed in a particular service sector or that a service supplier may employ and who are necessary for, and directly related to, the supply of a specific service in the form of numerical quotas or the requirement of an economic needs test; and
(b) restrict or require specific types of legal entity or joint venture through which a service supplier may supply a service.
Article 10.6: Local Presence
A Party shall not require a service supplier of the other Party to establish or maintain a representative office or any form of enterprise, or to be resident, in
its territory as a condition for the cross-border supply of a service.
Article 10.7: Non-Conforming Measures
(a) any existing non-conforming measure that is maintained by a
Party as set out by that Party in its Schedule to Annex I;
(b) the continuation or prompt renewal of any non-conforming measure referred to in sub-paragraph (a); or
(c) an amendment to any non-conforming measure referred to in sub-paragraph (a) to the extent that the amendment does not decrease the conformity of the measure, as it existed immediately before the amendment, with Articles 10.3, 10.4,
10.5 and 10.6.
(a) any existing non-conforming measure that is maintained by a
Party as set out in its Schedule to Annex I; or
(b) any existing or new measure that a Party adopts or maintains with respect to sectors, sub sectors or activities as set out in its Schedule to Annex II.
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Article 10.8: New Services
(a) such conditions are not applied in a manner which would constitute a means of arbitrary or unjustifiable discrimination between the Parties where like conditions prevail, or a disguised restriction on trade in services, and
(b) in seeking such review and imposing such conditions, the Party shall ensure that there is an overall balance of services commitments undertaken by each Party under this Agreement.
if so, such conditions shall be incorporated in its relevant reservations Annex under Article 10.7 by giving written notice to the other Party, except that a Party shall not make a reservation in respect of new services against Article
10.4. Where such conditions are likely to be of a temporary nature, the Party imposing the conditions shall, if it deems fit, phase them out progressively as circumstances giving rise to the need to impose such conditions improve and allow for.
(a) not currently in existence in the territory of a Party; or
(b) an existing service not covered or defined in the United Nations
Central Product Classification (“CPC”) and which is not subject
to any regulatory framework in the territory of a Party owing to its infant stage of development as the Party concerned considers it to be as such.
Article 10.9: Domestic Regulation
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services are open on a non-discriminatory basis to service suppliers of the other Party. Where such procedures are not independent of the agency entrusted with the administrative decision concerned, the Party shall ensure that the procedures in fact provide for an objective and impartial review.
to trade in services, the Parties shall jointly review the results of the negotiations on disciplines on these measures, pursuant to Article VI.4 of GATS, with a view to their incorporation into this Agreement. The Parties note that such disciplines aim to ensure that such requirements are inter alia:
(a) based on objective and transparent criteria, such as competence and the ability to supply the service;
(b) not more burdensome than necessary to ensure the quality of the service; and
(c) in the case of licensing procedures, not in themselves a restriction on the supply of the service.
(a) does not comply with the criteria outlined in paragraphs 5(a), (b)
or (c); and
(b) could not reasonably have been expected of that Party at the time the obligations were undertaken.
7 The term “relevant international organisations” refers to international bodies whose membership is open to relevant bodies of both Parties.
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Article 10.10: Mutual Recognition
or otherwise, may be based upon an agreement or arrangement with the country concerned or may be accorded autonomously.
to the education or experience obtained, requirements met or licenses or certifications granted in the territory of the other Party.
a means of discrimination between countries in the application of its standards
or criteria for the authorisation, licensing or certification of services suppliers,
or a disguised restriction on trade in services.
Article 10.11: Transfers and Payments
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of its law relating to:
(a) bankruptcy, insolvency or the protection of the rights of creditors;
(b) issuing, trading or dealing in securities, futures, options, or derivatives;
(c) financial reporting or record keeping of transfers when necessary to assist law enforcement or financial regulatory authorities;
(d) criminal or penal offences;
(e) ensuring compliance with orders or judgments in judicial or administrative proceedings; or
(f) social security, public retirement or compulsory savings schemes.
Article 10.12: Denial of Benefits
Subject to prior notification and consultation, according to the procedures set out in Article 15.3 (Consultations), a Party may deny the benefits of this Chapter to a service supplier of the other Party if the service is being supplied
by an enterprise that has no substantial business activities in the territory of the other Party and it is owned or controlled by persons of a non-Party or the denying Party.
Article 10.13: Transparency
at the latest by the time of their entry into force, all relevant measures of general application which pertain to or affect the operation of this Chapter. International agreements which pertain to or affect cross-border trade in services to which a Party is a signatory shall also be published.
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Article 10.14: Monopolies and Exclusive Service Suppliers
its territory does not, in the supply of the monopoly service in the relevant market, act in a manner inconsistent with its obligations under Articles 10.3,
10.4, 10.5 and 10.6.
its monopoly rights and which is subject to that Party’s obligations under Articles 10.3, 10.4, 10.5 and 10.6., the Party shall ensure that such a supplier does not abuse its monopoly position to act in its territory in a manner inconsistent with such obligations.
or 2, it may request the other Party establishing, maintaining or authorising such supplier to provide specific information concerning the relevant operations in its territory.
(a) authorises or establishes a small number of service suppliers;
and
(b) substantially prevents competition among those suppliers in its territory.
Article 10.15: Cooperation
Both Parties shall encourage and facilitate, as appropriate:
(a) public and private cooperation through the exchange of knowledge, experience and best practices in key industries so as to position them as leaders in their respective regions; and
(b) promoting the use and development of their respective logistics services to facilitate international trade, including, where applicable, cooperating in the multilateral fora to ensure that countries with interests in logistics facilities are addressed.
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ANNEX 10A
MOVEMENT OF BUSINESS PERSONS
Article 1: Scope
This Annex applies to measures affecting the movement of natural persons of
a Party who enter the territory of the other Party for business purposes.
Article 2: Definitions
For the purposes of this Annex, the following definitions shall apply:
(Investment), who has been so employed for a period of not less than one year immediately preceding the date of the application for temporary entry,
and who is:
(a) a manager, meaning a business person within an organisation who primarily directs the organisation or a department or sub- division of the organisation, supervises and controls the work of other supervisory, professional or managerial employees, has the authority to hire and fire or take other personnel actions
(such as promotion or leave authorisation), and exercises discretionary authority over day-to-day operations. This does not include a first-line supervisor, unless the employees supervised are professionals, nor does this include an employee who primarily performs tasks necessary for the provision of the service or operation of an investment;
(b) an executive meaning a business person within an organisation who primarily directs the management of the organisation, exercises wide latitude in decision-making, and receives only general supervision or direction from higher level executives, the board of directors, or stockholders of the business. An executive would not directly perform tasks related to the actual provision of the service or the operation of an investment; or
(c) a specialist meaning a business person within an organisation who possesses knowledge at an advanced level of expertise and who possesses proprietary knowledge of the organisation’s service, research equipment, techniques, or management (a
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specialist may include, but is not limited to, members of a licensed profession);
Article 3: Intra-Corporate Transferees
A Party shall grant temporary entry to an intra-corporate transferee of the other Party who otherwise meets its criteria for the grant of an immigration formality unless there has been a breach of any of the conditions governing temporary entry, or an application for an extension of an immigration formality has been refused on such grounds of national security or public order by the granting Party as it deems fit:
(a) in the case of Singapore, for an initial period of up to two years which may be extended for periods of up to three years at a time for a total term not exceeding 8 years; and
(b) in the case of Panama, for an initial period of up to two years which may be extended for periods of up to three years at a time for a total term not exceeding 8 years.
Article 4: Provision of Information
A Party shall:
(a) publish or otherwise make available to the other Party such information as will enable the other Party to become acquainted with its measures relating to this Annex; and
(b) no later than six months after the date of entry into force
of this Agreement, prepare, publish or otherwise make available
Article 5: Dispute Settlement
(a) the matter involves a pattern of practice; and
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(b) its natural persons affected have exhausted the available domestic administrative remedies regarding the particular matter.
Article 6: Expeditious Application Procedures
A Party shall process expeditiously applications for immigration formalities from natural persons of the other Party, including further immigration formality requests or extensions thereof, particularly applications from members of professions for which mutual recognition arrangements have been concluded.
Article 7: Notification of Outcome of Application
A Party shall notify the applicants for temporary entry, either directly or through their prospective employers, of the outcome of their applications, including the period of stay and other conditions.
Article 8: Online Lodgement and Processing
Where possible, after the date of entry into force of this Agreement, the
Parties shall provide facilities for online lodgement and processing:
(a) in the case of Singapore, of employment passes which shall be applied for by the prospective employers; and
(b) in the case of Panama, of working permits which shall be applied for by the prospective employers.
Article 9: Resolution of Problems
The relevant authorities of both Parties shall endeavour to favourably resolve any specific or general problems (within the framework of their domestic laws, regulations and other similar measures governing the temporary entry of natural persons), which may arise from the implementation and administration
of this Annex.
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Article 10: Labour Market Testing
Neither Party shall require labour market testing, labour certification tests or other procedures of similar effect as a condition for temporary entry in respect
of natural persons on whom the benefits of this Annex are conferred.
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ANNEX 10B
MARITIME TRANSPORT SERVICES
Article 1: Scope
This Annex applies to measures adopted or maintained by a Party affecting maritime transport services by maritime transport service suppliers of the other Party.
Article 2: Taxes, Tariffs and Port Access Fees
Article 3: Coastwise Transportation of Empty Vans, Tanks and Barges
Notwithstanding any other provision of law or treaty, a vessel of a Party may transport the following goods between points embraced within the coastwise laws of either Party:
(a) Empty cargo vans, empty lift vans, and empty shipping tanks; equipment for use with cargo vans, lift vans, or shipping tanks; empty barges specifically designed for carriage aboard a vessel and equipment, excluding propulsion equipment, for use with such barges; and empty instruments of international traffic, including containers, if such articles are owned or leased by the owner or operator of the transporting vessel and are transported for his use in handling his cargo in foreign trade; and
1 It is understood that such taxes, fees and levies correspond to those imposed on the basis
of a jurisdictional exercise of a Party.
2 Port Services such as: pilotage; towing and tug assistance; provisioning, fuelling and watering; garbage collecting and ballast waste disposal; port captain’s services; navigation aids; shored-based operational services essential to ship operations, including communications, water and electrical supplies; emergency repair facilities; and anchorage,
berth and berthing services.
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(b) Stevedoring equipment and material, if such equipment and material is owned or leased by the owner or operator of the transporting vessel, or is owned or leased by the stevedoring company contracting for the lading or unlading of that vessel, and is transported without charge for use in the handling of cargo in foreign trade.
Article 4: International Maritime Transport and Feeder Services
Transportation between a port of a Party and a port of the other Party is open.
In addition, international maritime transport services suppliers of a Party can operate between ports of the other Party for the purposes of pre and onward carriage of their own international cargo.
Article 5: Bilateral of Multilateral Agreements in Force
A Party that is a party to an agreement or arrangement regarding maritime transport services, whether existing or in future, shall, upon a written request, afford adequate opportunity for the other Party, if that other Party is interested, to negotiate its accession to such an agreement or arrangement or
to negotiate comparable ones with it.
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CHAPTER 11
FINANCIAL SERVICES
Article 11.1: Scope and Coverage
(a) financial institutions of the other Party;
(b) investors of the other Party, and investments of such investors,
in financial institutions in the Party’s territory; and
(c) cross-border trade in financial services.
(a) Articles 9.7 (Expropriation and Compensation), 9.8 (Transfers),
9.11 (Denial of Benefits) and 10.12 (Denial of Benefits) are hereby incorporated into and made a part of this Chapter;
(b) Article 9.13 (Investor-State Dispute Settlement) is hereby incorporated into and made a part of this Chapter solely for claims that a Party has breached Articles 9.7 (Expropriation and Compensation), 9.8 (Transfers), 9.11 (Denial of Benefits) as incorporated into this Chapter; and
(c) Article 10.11 (Transfers and Payments), is incorporated into and made a part of this Chapter to the extent that cross-border trade
in financial services is subject to obligations pursuant to Article
11.5.
Party relating to:
(a) activities or services forming part of a public retirement plan or statutory system of social security; or
(b) activities or services conducted for the account or with the guarantee or using the financial resources of the Party, including its public entities,
except that this Chapter shall apply if a Party allows any of the activities or services referred to in sub-paragraphs (a) or (b) to be conducted by its financial institutions in competition with a public entity
or a financial institution.
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or use in the supply of services for commercial sale.
Article 11.2: National Treatment
Article 11.3: Most-Favoured Nation Treatment
Each Party shall accord to investors of the other Party, financial institutions of the other Party, investments of investors in financial institutions, and cross- border financial service suppliers of the other Party treatment no less favorable than that it accords to the investors, financial institutions, investments of investors in financial institutions and cross-border financial service suppliers of the other Party or of a non-Party, in like circumstances.
Article 11.4: Recognition of Prudential Measures
(a) accorded unilaterally;
(b) achieved through harmonization or other means; or
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(c) based upon an agreement or arrangement with the other Party or a non-Party.
1 shall provide adequate opportunity to the other Party to demonstrate that circumstances exist in which there are or would be equivalent regulation, oversight, implementation of regulation, and, if appropriate, procedures concerning the sharing of information between the Parties.
Article 11.5: Market Access for Financial Institutions
A Party shall not adopt or maintain, with respect to financial institutions of the other Party, either on the basis of a regional sub-division or on the basis of its entire territory, measures that:
(a) impose limitations on:
(i) the number of financial institutions whether in the form of numerical quotas, monopolies, exclusive service suppliers, or the requirements of an economic needs test;
(ii) the total value of financial service transactions or assets
in the form of numerical quotas or the requirement of an economic needs test;
(iii) the total number of financial service operations or the total quantity of financial services output expressed in terms of designated numerical units in the form of quotas or the requirement of an economic needs test; or
(iv) the total number of natural persons that may be employed in a particular financial service sector or that a financial institution may employ and who are necessary for, and directly related to, the supply of a specific financial service in the form of a numerical quota or the requirement of an economic needs test; or
(b) restrict or require specific types of legal entity or joint venture through which a financial institution may supply a service.
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Article 11.6: Cross-Border Trade in Financial Services
to supply the financial services as specified in Annex 11.6.
“solicitation” for purposes of this obligation, as long as such definitions are not inconsistent with paragraph 1.
Article 11.7: New Financial Services1
A Party shall permit a financial institution of the other Party to supply any new financial service that the former Party would permit its own financial institutions, in like circumstances, to supply without additional legislative action by the Party. Notwithstanding Article 11.5(b), a Party may determine the institutional and juridical form through which the new financial service may be supplied and may require authorization for the supply of the service. Where a Party requires such authorization of the new financial service, a decision shall be made within a reasonable time and the authorization may only be refused for prudential reasons.
Article 11.8: Treatment of Certain Information
Nothing in this Chapter requires a Party to furnish or allow access to:
(a) information related to the financial affairs and accounts of individual customers of financial institutions or cross-border financial service suppliers; or
(b) any confidential information, the disclosure of which would impede law enforcement or otherwise be contrary to the public
1 The Parties understand that nothing in this Article 11.7 prevents a financial institution of a Party from applying to the other Party to consider authorizing the supply of a financial service that is not supplied in the territory of any Party. Such application shall be subject to the law of the Party to which the application is made and, for greater certainty, shall not be subject to the obligations of Article 11.7.
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Article 11.9: Senior Management and Boards of Directors
Article 11.10: Non-Conforming Measures
(a) any existing non-conforming measure that is maintained by a
Party at the central level of government, as set out by that Party
in Section A of its Schedule to Annex III (Non-Conforming
Measures); or
(b) the continuation or prompt renewal of any non-conforming measure referred to in sub-paragraph (a).
II as a measure to which Articles 9.3 (National Treatment), 9.4 (Most-Favored Nation Treatment), 10.3 (National Treatment), 10.4 (Most-Favored Nation Treatment) and 10.5 (Market Access) does not apply, shall be treated as a
non-conforming measure described in paragraph 1(a) to which Articles 11.2,
11.3, or 11.5, as the case may be, does not apply, to the extent that the measure, sector, sub-sector or activity set out in the schedule of non- conforming measures is covered by this Chapter.
Article 11.11: Exceptions
(Investment), 12 (Telecommunications) or 13 (Electronic Commerce), including specifically Article 12.12 (Relationship with other Chapters), and in
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addition Article 11.1 with respect to the supply of financial services in the territory of a Party by an investor of the other Party or investments of investors
of the other Party, as defined in Chapter 9 (Investment), a Party shall not be prevented from adopting or maintaining measures for prudential reasons2, including for the protection of investors, depositors, policy holders or persons
to whom a fiduciary duty is owed by a financial institution or cross-border financial service supplier, or to ensure the integrity and stability of the financial system. Where such measures do not conform with the provisions of this Agreement referred to in this paragraph, they shall not be used as a means of avoiding the Party’s commitments or obligations under such provisions.
(Telecommunications) or 13 (Electronic Commerce), including specifically Article 12.12 (Relationship with other Chapters), and in addition Article 11.1 with respect to the supply of financial services in the territory of a Party by an investor of the other Party or investments of investors of the other Party, as defined in Chapter 9 (Investment), applies to non-discriminatory measures of general application taken by any public entity in pursuit of monetary and related credit policies or exchange rate policies. This paragraph shall not affect a Party’s obligations under Articles 9.6 (Performance Requirements),
9.8 (Transfers) or 10.11 (Transfers and Payments).
or for the benefit of, an affiliate of or person related to such institution or supplier, through the equitable, non-discriminatory and good faith application
of measures relating to maintenance of the safety, soundness, integrity or financial responsibility of financial institutions or cross-border financial service suppliers. This paragraph does not prejudice any other provision of this Agreement that permits a Party to restrict transfers.
Article 11.12: Transparency
2 It is understood that the term “prudential reasons” includes the maintenance of the safety, soundness, integrity or financial responsibility of individual financial institutions or cross-
border financial service suppliers.
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service suppliers are important in facilitating financial institutions located outside the territory of the Party, financial institutions of the other Party and cross-border financial service suppliers to gain access to and operate in the other Party’s market. Each Party commits to promote regulatory transparency
in financial services.
(a) publish in advance any regulations of general application relating to the subject matter of this Chapter that it proposes to adopt; and
(b) provide interested persons of the other Party a reasonable opportunity to comment on such proposed regulations.
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Article 11.13: Self-Regulatory Organisations
Where a Party requires a financial institution or a cross-border financial service supplier of the other Party to be a member of, participate in, or have access to, a self-regulatory organisation to provide a financial service in or into the territory of that Party, that Party shall ensure observance of the obligations set out in Articles 11.2 and 11.3 by such self-regulatory organisation.
Article 11.14: Consultations
Article 11.15: Dispute Settlement
as modified by this Article to the settlement of disputes arising under this
Chapter.
(a) where the disputing Parties so agree, entirely of panelists meeting the criteria set out in paragraph 3; and
(b) in any other case, panelists meeting the criteria set out in either paragraph 3 or in Article 15.7.5 (Composition of Arbitral Panels),
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However, the chair of the panel shall meet the criteria set out in paragraph 3 if Article 11.11 is invoked by the Party complained against, unless the Parties agree otherwise.
(a) have expertise or experience in financial services law or practice, which may include the regulation of financial institutions;
(b) be chosen strictly on the basis of objectivity, reliability and sound judgment; and
(c) meet the criteria set out in Article 15.7.5 (Composition of Arbitral
Panels).
(a) only the financial services sector, the complaining Party may suspend benefits only in the financial services sector;
(b) the financial services sector and any other sector, the complaining Party may suspend benefits in the financial services sector that have an effect equivalent to the effect of the measure
in the Party’s financial services sector; or
(c) only a sector other than the financial services sector, the complaining Party may not suspend benefits in the financial services sector.
Article 11.16: Definitions
For purposes of this Chapter:
of a Party that is engaged in the business of supplying a financial service within the territory of the Party and that seeks to supply or supplies a financial service through the cross-border supply of such services;
(a) from the territory of one Party into the territory of the other Party;
(b) in the territory of one Party by one person of that Party to a person of the other Party; or
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(c) by a national of one Party in the territory of the other Party,
but does not include the supply of a financial service in the territory of a Party by an investor of the other Party, or investments of such investors, in financial institutions in the Party’s territory;
(Definitions of General Application), organised or constituted under the laws of
a Party and a branch located in the territory of a Party. For the purposes of this Chapter, an enterprise of a Party includes a branch of an enterprise of a non-Party in the territory of a Party;
Insurance and insurance-related services
(a) direct insurance (including co-insurance):
(i) life;
(ii) non-life;
(b) reinsurance and retrocession;
(c) insurance intermediation, such as brokerage and agency;
(d) service auxiliary to insurance, such as consultancy, actuarial, risk assessment and claim settlement services.
Banking and other financial services (excluding insurance)
(e) acceptance of deposits and other repayable funds from the public;
(f) lending of all types, including consumer credit, mortgage credit, factoring and financing of commercial transactions;
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(g) financial leasing;
(h) all payment and money transmission services, including credit, charge and debit cards, travelers checks and bankers drafts;
(i) guarantees and commitments;
(j) trading for own account or for account of customers, whether on an exchange, in an over-the-counter market or otherwise, the following:
(i) money market instruments (including checks, bills, certificates of deposits);
(ii) foreign exchange;
(iii) derivative products including, but not limited to, futures and options;
(iv) exchange rate and interest rate instruments, including products such as swaps, forward rate agreements;
(v) transferable securities;
(vi) other negotiable instruments and financial assets, including bullion;
(k) participation in issues of all kinds of securities, including underwriting and placement as agent (whether publicly or privately) and provision of services related to such issues;
(l) money broking;
(m) asset management, such as cash or portfolio management, all forms of collective investment management, pension fund management, custodial, depository and trust services;
(n) settlement and clearing services for financial assets, including securities, derivative products, and other negotiable instruments;
(o) provision and transfer of financial information, and financial data processing and related software by suppliers of other financial services;
(p) advisory, intermediation and other auxiliary financial services on all the activities listed in sub-paragraphs (e) through (o), including credit reference and analysis, investment and portfolio research and advice, advice on acquisitions and on corporate restructuring and strategy.
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is engaged in the business of supplying a financial service within the territory
of that Party;
(a) a loan to or debt instrument issued by a financial institution is an investment only where it is treated as regulatory capital by the Party in whose territory the financial institution is located; and
(b) a loan granted by or debt instrument owned by a financial institution, other than a loan to or debt instrument of a financial institution referred to in sub-paragraph (a), is not an investment;
For greater certainty, a loan granted by or debt instrument owned by a cross-border financial service supplier, other than a loan to or debt instrument issued by a financial institution, is an investment if such loan
or debt instrument meets the criteria for investments set out in Article
9.1 (Definitions).
of the other Party, and includes any new form of delivery of a financial service
or the sale of a financial product that is not sold in the Party’s territory;
(a) a government, central bank or a monetary authority of a Party,
or an entity owned or controlled by a Party, that is principally engaged in carrying out governmental functions or activities for governmental purposes, not including an entity principally engaged in supplying financial services on commercial terms; or
(b) a private entity performing functions normally performed by a central bank, or monetary authority, when exercising those functions; and
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ANNEX 11A
AUTHORITIES RESPONSIBLE FOR FINANCIAL SERVICES
The authority of each Party responsible for financial services is:
(a) for Panama, the Ministry of Trade and Industries or its successor in consultation with the corresponding competent authorities (Superintendencia de Bancos, Superintendencia de Seguros y Reaseguros and the Comision Nacional de Valores); and
(b) for Singapore, the Monetary Authority of Singapore.
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ANNEX 11.6
APPLICATION OF ARTICLE 11.6
For Panama:
Article 11.6 applies to the cross-border supply of or trade in financial services
as defined in sub-paragraph (a) of the definition of "cross-border trade in financial services or cross-border supply of financial services" in Article 11.16 with respect to the Parties' commitments set out in their respective Schedules
to the General Agreement on Trade in Services, including any changes to their Schedules made after the entry into force of this Agreement pursuant to the Doha Development Agenda or any other negotiations under GATS.
For Singapore:
Article 11.6 applies to the cross-border supply of or trade in financial services
as defined in sub-paragraph (a) of the definition of "cross-border trade in financial services or cross-border supply of financial services" in Article 11.16 with respect to the Parties' commitments set out in their respective Schedules
to the General Agreement on Trade in Services, including any changes to their Schedules made after the entry into force of this Agreement pursuant to the Doha Development Agenda or any other negotiations under GATS.
11.6 - 1
CHAPTER 12
TELECOMMUNICATIONS
Article 12.1: Scope and Coverage
a Party relating to cable or broadcast distribution of radio or television programming2.
(a) require a Party (or require a Party to compel any service supplier) to establish, construct, acquire, lease, operate, or provide telecommunications transport networks or telecommunications services where such networks or services are not offered to the public generally; or
(b) require a Party to compel any service supplier engaged in the cable or broadcast distribution of radio or television programming to make available its cable or broadcast facilities as a public telecommunications transport network, unless a Party specifically designates such facilities as such.
Article 12.2: Access to and use of Public Telecommunications Transport
Network and Services3
(a) purchase or lease, and attach terminal or other equipment that interfaces with the public telecommunications transport network;
1 This includes the effective enforcement of such measures.
2 For greater certainty, the Parties obligations under this Chapter shall not apply to measures adopted or maintained relating to broadcasting services as defined in the Parties Schedule to Annex II.
3 This Article does not apply to access to unbundled network elements, including access to leased circuits as an unbundled network element.
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(b) provide services to individual or multiple end-users over any leased or owned circuit(s);
(c) interconnect private leased or owned circuits with public telecommunications transport networks and services or with circuits leased or owned by another service supplier subject to paragraph 6 (c);
(d) perform switching, signalling, processing, and conversion functions; and
(e) use operating protocols of their choice.
of information in its territory or across its borders and for access to information contained in data bases or otherwise stored in machine-readable form in the territory of either Party.
(a) ensure the security and confidentiality of messages; or
(b) protect the privacy of customer proprietary network information, subject to the requirement that such measures are not applied in a
manner that would constitute a means of arbitrary or unjustifiable discrimination or a disguised restriction on trade in services.
(a) safeguard the public service responsibilities of suppliers of public telecommunications transport networks or services, in particular, their ability to make their networks or services available to the public generally; or
(b) protect the technical integrity of public telecommunications transport networks or services.
in paragraph 5, such conditions may include:
(a) a requirement to use specified technical interfaces, including interface protocols, for interconnection with such networks or services;
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(b) a licensing, permit, registration, or notification procedure; or
(c) restrictions on interconnection of private leased or owned circuits with such networks or services or with circuits leased or owned by another services supplier.
Article 12.3: Interconnection with Suppliers of Public
Telecommunications Transport Networks and Services
Article 12.4: Conduct of Major Suppliers4
Treatment by Major Suppliers
(a) the availability, provisioning, rates, or quality of like public telecommunications transport networks or services; and
(b) the availability of technical interfaces necessary for interconnection.
A Party shall assess such treatment on the basis of whether such suppliers of public telecommunications transport networks or services, subsidiaries, affiliates, and non-affiliated service suppliers are in like circumstances.
4 Articles 12.4.3, 12.4.4, 12.4.5, 12.4.6 (a) and (d), do not apply to suppliers of commercial mobile services. However, nothing in this Article shall be construed to preclude a Party from imposing the requirements set out in this Article on suppliers of commercial mobile services if
those suppliers are designated by that Party as a major supplier.
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Competitive Safeguards
(a) engaging in anti-competitive cross-subsidisation;
(b) using information obtained from competitors with anti- competitive results; and
(c) not making available, on a timely basis, to suppliers of public telecommunications transport networks or services, technical information about essential facilities and commercially relevant information that is necessary for them to provide public telecommunications transport networks or services.
Co-Location
to suppliers of public telecommunications transport networks or services of the other Party physical co-location, at premises owned or controlled by the major supplier, of equipment necessary for interconnection on terms and conditions, and at cost-oriented rates, that are reasonable, non-discriminatory, timely and transparent.
(b) Where physical co-location is not practical for technical reasons
or because of space limitations, each Party shall ensure that major suppliers in its territory provide or facilitate virtual co- location on terms and conditions, and at cost oriented rates, that are reasonable, non-discriminatory, timely and transparent.
(c) Each Party may determine, in accordance with its national laws and regulations, which premises in its territory shall be subject to sub-paragraphs (a) and (b).
Poles, Ducts, and Conduits
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(b) Nothing shall prevent a Party from determining, under its domestic law and regulation, which particular structures owned
or controlled by the major suppliers in its territory, are required
to be made available in accordance with sub-paragraph (a) provided that this is based on a determination that such structures cannot feasibly be economically or technically substituted in order to provide a competing service.
Number Portability
Interconnection
A Party shall ensure that any major supplier in its territory provides interconnection for the facilities and equipment of suppliers of public telecommunications transport networks or services of the other Party:
(i) at any technically feasible point in the major supplier’s network;
(ii) under non-discriminatory terms, conditions (including technical standards and specifications), and rates;
(iii) of a quality no less favourable than that provided by such major supplier for its own like services or for like services of non-affiliated suppliers of public telecommunications transport networks or services or for its subsidiaries or
other affiliates;
(iv) in a timely fashion, on terms, conditions, (including technical standards and specifications), and cost-oriented rates, that are transparent, reasonable, having regard to economic feasibility, and sufficiently unbundled so that the supplier of public telecommunications transport networks or services need not pay for network components or facilities that it does not require for the service to be provided; and
(v) upon request, at points in addition to the network termination points offered to the majority of suppliers of public telecommunications transport networks or
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services, subject to charges that reflect the cost of construction of necessary additional facilities5.
(b) Public Availability of the Procedures for Interconnection
Negotiations
Each Party shall make publicly available the applicable procedures for interconnection negotiations with major suppliers in its territory.
(c) Public Availability of Interconnection Agreements concluded with
Major Suppliers
(i) each Party shall require major suppliers in its territory to file all interconnection agreements to which they are party with its telecommunications regulatory body.
(ii) each Party shall make available for inspection to suppliers of public telecommunications transport networks or services which are seeking interconnection, interconnection agreements in force between a major supplier in its territory and any other supplier of public telecommunications transport networks or services in such territory.
(d) Resolution of Interconnection Disputes
A Party shall ensure that suppliers of public telecommunications transport networks or services of the other Party, that have requested interconnection with a major supplier in the Party’s territory, has recourse to a telecommunications regulatory body to resolve disputes regarding the terms, conditions, and rates for interconnection within a reasonable and publicly available period of time.
Article 12.5: Submarine Cable Landing Stations
A Party shall ensure reasonable and non-discriminatory access to submarine cable capacity, and cross-connect links in and backhaul links from, a submarine cable landing station for suppliers of public telecommunications transport networks or services of the other Party.
Article 12.6: Independent Regulation
5 These costs may include the cost of physical or virtual co-location referenced in Article
12.4.3.
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its telecommunications regulatory body is impartial with respect to all suppliers of public telecommunications transport networks or services.
Article 12.7: Universal Service
Each Party shall administer any universal service obligation that it maintains
in a transparent, non-discriminatory, and competitively neutral manner and shall ensure that its universal service obligation is not more burdensome than necessary for the kind of universal service that it has defined.
Article 12.8: Licensing Process
(a) all the licensing criteria and procedures it applies;
(b) the period of time normally required to reach a decision concerning an application for a license or concession; and
(c) the terms and conditions of all licenses or concessions it has issued.
Article 12.9: Allocation and use of Scarce Resources
Article 12.10: Resolution of Domestic Telecommunications Disputes
Recourse to Telecommunications Regulatory Bodies
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disputes arising under domestic measures addressing a matter set out in
Articles 12.2 through 12.9.
Reconsideration
Judicial Review and Appeal
Article 12.11: Transparency
Further to Chapter 14 (Transparency), each Party shall ensure that:
(a) rulemakings, including the basis for such rulemakings, of its telecommunications regulatory body and end-user tariffs filed with its telecommunications regulatory body are promptly published or otherwise made available to all interested suppliers
of public telecommunications transport networks or services;
(b) interested suppliers of public telecommunications transport networks or services are provided with adequate advance public notice of, and the opportunity comment on, any rulemaking proposed by the telecommunications regulatory body;
(c) Its measures relating to public telecommunications transport networks or services are made publicly available, including:
|
(i)
|
tariffs and other terms and conditions of service;
|
|
|
(ii)
|
specifications of technical interfaces;
|
|
|
(iii)
|
conditions applying to attachment of terminal or
|
other
|
equipment to the public telecommunications transport network; and
6 For greater certainty, in the case of Panama, only the judicial review process at the
Supreme Court shall be applicable.
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(iv) notification, permit, registration, or licensing requirements, if any; and
(d) Information on bodies responsible for preparing, amending, and adopting standards related measures is made publicly available.
Article 12.12: Relationship to other Chapters
In the event of any inconsistency between this Chapter and any other
Chapter, this Chapter shall prevail to the extent of any such inconsistency.
Article 12.13: Definitions
For the purposes of this Chapter:
(a) are exclusively or predominantly provided by a single or limited number of suppliers; and
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(b) cannot feasibly be economically or technically substituted in order to provide a service;
of one supplier to communicate with users of another supplier and to access services provided by another supplier;
of participation (having regard to price and supply) in the relevant market for public telecommunications transport networks or services as a result of:
(a) control over essential facilities; or
(b) use of its position in the market;
of a public telecommunications service, including features, functions, and capabilities that are provided by means of such facility or equipment;
or convenience by the original suppliers when switching between like suppliers of public telecommunications transport networks or services;
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to backhaul links;
7 Including by photonic means.
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CHAPTER 13
ELECTRONIC COMMERCE
Article 13.1: General
The Parties recognize the economic growth and opportunity provided by electronic commerce and the importance of avoiding barriers to its use and development and the applicability of WTO rules to electronic commerce.
Article 13.2: Electronic Supply of Services
For greater certainty, the Parties affirm that measures related to the supply of
a service using electronic means falls within the scope of the obligations contained in the relevant provisions of Chapters 9 (Investment), 10 (Cross- Border Trade in Services) and 11 (Financial Services), subject to any exceptions applicable to such obligations and except where an obligation does not apply to any such measure pursuant to Articles 9.10 (Non- Conforming Measures), 10.7 (Non-Conforming Measures), or 11.10 (Non- Conforming Measures).
Article 13.3: Digital Products
electronic transmission1.
(a) on the basis that:
(i) the digital products receiving less favorable treatment are created, produced, published, stored, transmitted, contracted for, commissioned, or first made available on commercial terms, outside its territory; or
(ii) the author, performer, producer, developer, or distributor of such digital products is a person of the other Party or a non-Party; or
(b) so as otherwise to afford protection to the other like digital products that is created, produced, published, stored, transmitted, contracted for, commissioned, or first made available on commercial terms, in its territory.
1 Paragraph 1 does not preclude a Party from imposing internal taxes or other internal charges provided that these are imposed in a manner consistent with this Agreement.
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(a) created, produced, published, stored, transmitted, contracted for, commissioned, or first made available on commercial terms
in the territory of the other Party than it accords to like digital products created, produced, published, stored, transmitted, contracted for, commissioned, or first made available on commercial terms, in the territory of a non-Party;
(b) whose author, performer, producer, developer, or distributor is a person of the other Party than it accords to like digital products whose author, performer, producer, developer, or distributor is a person of a non-Party.
Article 13.4: Cooperation
Recognizing the global nature of electronic commerce, the Parties affirm the importance of:
(a) working together to overcome obstacles encountered by the private sector, including small and medium enterprises in using electronic commerce;
(b) sharing information and experiences on issues in the sphere of electronic commerce, including those related to data privacy, consumer confidence in electronic commerce, cyber-security, electronic signatures, intellectual property rights, and electronic government;
(c) working to maintain cross-border flows of information as an essential element in fostering a vibrant environment for electronic commerce;
(d) encouraging the private sector to adopt self-regulation, including through codes of conduct, model contracts, guidelines, and enforcement mechanisms that foster electronic commerce; and
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(e) actively participating in regional and multilateral fora to promote the development of electronic commerce.
Article 13.5: Definitions
For purposes of this Chapter:
or a magnetic tape;
2 For greater clarity, digital products do not include digitized representatives of financial instruments.
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CHAPTER 14
TRANSPARENCY
Article 14.1: Contact Points
Article 14.2: Publication
Each Party shall ensure that its laws, regulations, procedures, and administrative actions of general application respecting any matter covered by this Agreement are promptly published or otherwise made available in such a manner as to enable interested persons and the other Party to become acquainted with them, unless otherwise provided for in this Agreement.
Article 14.3: Notification and Provision of Information
Article 14.4: Administrative Proceedings
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applying such measures to particular persons, goods, or services of the other
Party in specific cases that:
(a) wherever possible, persons of the other Party that are directly affected by a proceeding are provided reasonable notice, in accordance with domestic procedures, when a proceeding is initiated, including a description of the nature of the proceeding,
a statement of the legal authority under which the proceeding is initiated, and a general description of any issues in controversy;
(b) such persons are afforded a reasonable opportunity to present facts and arguments in support of their positions prior to any final administrative action, when time, the nature of the proceeding, and the public interest permit; and
(c) its procedures are in accordance with their domestic law.
Article 14.5: Review and Appeal
by this Agreement. Such tribunals shall be impartial and independent of the office or authority entrusted with administrative enforcement and shall not have any substantial interest in the outcome of the matter.
(a) a reasonable opportunity to support or defend their respective positions2; and
(b) a decision based on the evidence and submissions of record or, where required by domestic law, the record compiled by the administrative authority.
1 For greater certainty, the review of final administrative actions can take the form of common law judicial review.
2 For greater certainty, the correction of final administrative actions includes a referral back to
the body that took such action for corrective action.
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Article 14.6: Definitions
For purposes of this Chapter:
Administrative ruling of general application means an administrative ruling
or interpretation that applies to all persons and fact situations that fall generally within its ambit and that establishes a norm of conduct but does not include:
(a) a determination or ruling made in an administrative proceeding that applies to a particular person, good, or service of the other Party in a specific case; or
(b) a ruling that adjudicates with respect to a particular act or practice.
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CHAPTER 15
DISPUTE SETTLEMENT
Article 15.1: Cooperation
The Parties shall at all times endeavour to agree on the interpretation and application of this Agreement, and shall make every attempt through cooperation and consultations to arrive at a mutually satisfactory resolution of any matter that might affect its operation.
Article 15.2: Scope of Application
Article 15.3: Consultations
1 For greater certainty, the term “perishable goods” means perishable agricultural and fish goods classified in Chapters 1 through 24 of the Harmonized System.
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(a) provide sufficient information to enable a full examination of how the measure or other matter might affect the operation and application of this Agreement; and
(b) treat any confidential information exchanged in the course of consultations which the other Party has designated as confidential, on the same basis as the Party providing the said information.
Article 15.4: Referral to the Administrative Commission, Good Offices, Conciliation and Mediation
Article shall apply whenever:
(a) a Party considers that any benefit accruing to it directly or indirectly under this Agreement is being nullified or impaired, or that the attainment of any objective of this Agreement is being impeded, as a result of a measure of the other Party that is inconsistent with this Agreement;
(b) a Party considers that any benefit the Party could reasonably have expected to accrue to it under Chapters 2 (Trade in Goods), 3 (Rules of Origin) and 10 (Cross-Border Trade in Services), is being nullified or impaired as the result of a measure that is not inconsistent with this Agreement; or
(c) the Parties are unable to agree on compensatory adjustments pursuant to Headnotes of Section A and Section B of Annex III
(Financial Services Annexes).
1 above through consultations under Article 15.3. The Parties shall make every effort to reach a mutually satisfactory resolution through consultation.
(a) 60 days after the date of receipt of the request for consultations;
(b) 15 days after the date of receipt of the request for consultations
in matters regarding perishable goods; or
(c) such other period as they may agree,
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by either Party to a dispute. They may begin at any time and be terminated at any time.
Article 15.5: Choice of Forum
Article 15.6: Request for an Arbitral Panel
(a) 75 days after the date of receipt of the request for consultations pursuant to Article 15.3;
(b) 30 days after the date of receipt of the request for consultations pursuant to Article 15.3 in a matter regarding perishable goods;
or
(c) such other period as the Parties may agree;
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the complaining Party may request, in writing, for the establishment of an arbitral panel. The request shall identify the specific measure at issue and provide a brief summary of the legal basis of the complaint sufficient to present the problem clearly. The complaining Party shall deliver the request to the other Party.
Article 15.7: Composition of Arbitral Panels
in the territory of either Party.
30 days.
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(a) shall have expertise or experience in law, international trade, other matters covered by this Agreement or the resolution of disputes arising under international trade agreements; and
(b) shall be chosen strictly on the basis of objectivity, reliability, sound judgement and independence2.
a Code of Conduct to be established by the Parties by the date of entry into force of this Agreement.
Article 15.8: Functions of Arbitral Panels
Article 15.9: Rules of Procedure
Agreement Model Rules of Procedure, which shall ensure that:
(a) the right of a hearing before the arbitral panel and the opportunity to present allegations and rebuttals in writing; and
(b) the hearings before the arbitral panel, the deliberations and the preliminary report, as well as all the writings and communications presented in be confidential.
2 For greater certainty, a person appointed as a member of the panel shall not be a government official of either Party.
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“To examine, in the light of the relevant provisions of this Agreement, the matter referred to in the request for the establishment of an arbitral panel pursuant to Article 15.6, and to make findings, determinations and recommendations as provided
in Article 15.12.2 and to present the written reports referred to in
Article 15.12 and Article 15.13.”
so indicate.
by majority vote. Panelists may furnish separate opinions on matters not unanimously agreed upon. No arbitral panel may disclose which panelists are associated with majority or minority opinions in its initial or final reports.
a Party shall treat as confidential information submitted by the other Party to the arbitral panel which that Party has designated as confidential. Where a Party submits a confidential version of its written submissions to the arbitral panel, it shall also, upon request of the other Party, provide a non-confidential summary of the information contained in its submissions that could be disclosed to the public.
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the case, but it shall ensure that those persons maintain the confidentiality of any information.
Article 15.10: Location of Panel Hearings
The location of the proceedings of the arbitral panel shall be decided by mutual agreement of the Parties, failing which shall alternate between the capitals of the Parties in alphabetical order.
Article 15.11: Role of Experts
On request of a Party or on its own initiative, the arbitral panel may seek information and technical advice from any person or body that it deems appropriate, provided that the Parties so agree and subject to such terms and conditions as the Parties may agree.
Article 15.12: Initial Report
15.11.
(a) findings of fact, including any findings pursuant to a request under Article 15.9.5, together with reasons;
(b) its determination as to whether the measure at issue is inconsistent with this Agreement or cause nullification or impairment in the sense of Article 15.4.1(b) or any other determination requested in the terms of reference; and
(c) its recommendations, if any, for resolution of the dispute.
as the Parties may agree. A copy of the comments submitted shall be provided to the other Party.
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Article 15.13: Final Report
Article 15.14: Suspension and Termination of Proceedings
Article 15.15: Implementation of Final Report
15.4.1(b), the resolution, whenever possible, shall be to eliminate the non- conformity or the nullification or impairment.
Article 15.16: Non-Implementation – Compensation and Suspension of
Benefits
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other period as the Parties agree, the Party complained against shall enter into negotiations with the other Party with a view to developing mutually acceptable compensation.
(a) are unable to agree on compensation within 30 days after the period for developing such compensation has begun; or
(b) have agreed on compensation or on a resolution pursuant to Article 15.15.1 and the complaining Party considers that the Party complained against has failed to observe the terms of the agreement;
such complaining Party may at any time thereafter provide written notice to the Party complained against that it intends to suspend the application to the Party complained against of benefits of equivalent effect. The notice shall specify the level of benefits that the Party proposes to suspend3. The complaining Party may begin suspending benefits 30 days after the later of the date on which it provides notice under this paragraph or the arbitral panel issues its determination under paragraph 3, as the case may be.
(a) the level of benefits proposed to be suspended is manifestly excessive; or
(b) it has eliminated the non-conformity or the nullification or impairment that the arbitral panel has found,
it may, within 30 days after the complaining Party provides notice under paragraph 2, request that the original arbitral panel be reconvened to consider the matter. The Party complained against shall deliver its request in writing to the complaining Party. The arbitral panel shall reconvene, as soon as possible, after delivery of the request and shall present its determination to the disputing Parties within 90 days after it reconvenes to review a request under sub-paragraph (a) or (b), but in any case no later than 120 days after such request. Where the original arbitral panel cannot hear the matter for any reason, a new arbitral panel shall be appointed pursuant to the procedures set out in Article 15.7. If the arbitral panel determines that the level of benefits proposed to be suspended is manifestly excessive, it shall determine the level
of benefits it considers to be of equivalent effect.
3 For greater certainty, the phrase “the level of benefits that the Party proposes to suspend” refers to the level of concessions under the Agreement the suspension of which a complaining Party considers will have an effect equivalent to that of the disputed measure and shall be restricted to benefits granted to the Party complained against under this
Agreement.
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not determined the level, the level the complaining Party has proposed to suspend under paragraph 2, unless the arbitral panel has determined that the Party complained against has eliminated the non-conformity or the nullification
or impairment.
(a) a complaining Party should first seek to suspend benefits in the same sector or sectors as that affected by the measure or other matter that the arbitral panel has found to be inconsistent with the obligations of this Agreement or to have caused nullification
or impairment in the sense of Article 15.4.1(b); and
(b) a complaining Party that considers it is not practicable or effective to suspend benefits in the same sector or sectors may suspend benefits in other sectors.
(a) the Party removes the measure found to be inconsistent with this Agreement;
(b) the Party eliminates the nullification or impairment caused by a measure in the sense of Article 15.4.1(b) that the arbitral panel has found;
(c) the Party that must implement the arbitral panel’s recommendations has done so; or
(d) a mutually satisfactory solution is reached.
Article 15.17: Private Rights
No Party may provide for a right of action under its domestic law against the other Party on the ground that a measure of the other Party is inconsistent with this Agreement.
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CHAPTER 16
STRATEGIC PARTNERSHIP
Article 16.1: Objectives
(a) strengthening and building on existing cooperative relationships, including a focus on innovation, research and development;
(b) creating new opportunities for trade and investment; and
(c) promote and foster technical and scientific cooperation in areas
of mutual interest.
Article 16.2: Scope
in contributing towards implementation of the objectives and principles of this Agreement. Cooperation may be extended to other areas as mutually agreed between the Parties.
Article 16.3: Trade and Investment Cooperation
(a) develop a program of mutually agreed cooperative activities so as to pursue the areas of cooperation described in Annex 16.2;
(b) develop other mutually agreed cooperation activities between the Parties to assist the private sector in both Parties to better
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understand business and investment opportunities in the other
Party; and
(c) undertake such other mutually agreed activities in furtherance of the object of this Agreement.
(a) building capacity for investment, job creation and workers' well- being;
(b) organizing joint investment promotion activities, e.g., conferences, seminars, workshops, meetings, outreach / education programs, and joint promotion of specific projects of interest;
(c) exchanging lists of sectors / industries where one Party could encourage investments from the other Party and initiate promotional activities; and
(d) the facilitation of partnerships, linkages or other new channels for the development of investments in such sectors.
Article 16.4: Technical and Scientific Cooperation
(a) develop a program of mutually agreed programs and projects so as to pursue the areas of cooperation described in Annex 16.2; and
(b) support, where appropriate, the participation of public, private and social organizations, including the participation of universities, institutions dedicated to research and non governmental organisations, in the execution of these programs and projects
(a) exchange of specialists, researchers and university professors;
(b) apprenticeship programs for professional training and instruction;
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(c) joint or coordinated implementation of research and/or technological development programs and projects that link centres for research industry;
(d) information exchange on scientific and technological research;
(e) development of joint cooperation activities in third countries, as may be agreed by the Parties;
(f) granting scholarships for studies of professional specialization and intermediate studies of technical instruction;
(g) organising seminars, workshops and conferences; and
(h) any other form of cooperation agreed upon by the Parties.
Article 16.5: Contact Point
(a) For Panama:
Ministry of Trade and Industries
Edison Plaza, Ave, Ricardo J. Alfaro, El Paical, 2nd Floor
Panama, Republic of Panama
Tel: (507) 360-0690
Fax : (507) 360-0691
Email: admtratados@mici.gob.pa; and
(b) For Singapore
Ministry of Trade and Industry,
Trade Division,
100 High Street # 09-01, The Treasury, Singapore 179434, Republic of Singapore Tel: (65) 6225 9911
Fax: (65) 6332 7260
Email: mti_fta@mti.gov.sg
.
or their successors or designated contact points.
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Article 16.6: General
Any cooperative activity agreed to between the Parties pursuant to this Chapter shall be in writing and shall specify the objectives, financial and technical resources required, work timelines, as well as the tasks that must be performed by each Party.
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ANNEX 16.2
POSSIBLE AREAS OF PROMOTION AND ATTRACTION OF INVESTMENT AND COOPERATION
TRADE AND INVESTMENT DEVELOPMENT AGENDA
|
1
|
Enhancement of Panama-Singapore internet linkages to enable better
exchange of information on investment rules and regulations
Identifying specific investment sectors of interest to the respective
private sectors in Singapore and Panama
|
|
2
|
Trade and investment promotions activities in Panama and
Singapore via seminars, workshops and trade and investment
missions.
Educating enterprises from both Parties about business opportunities in
Panama and Singapore;
|
|
3
|
Cooperation in the marketing and trading agro-products.
|
|
4
|
Small and medium enterprises (SMEs) and family-owned businesses, including
training in entrepreneurship and information and communications technology
(ICT).
|
|
5
|
ICT and e-commerce.
|
|
6
|
Cooperation between tourism agencies of Panama and Singapore to boost
travel between two regions.
|
|
7
|
Business process outsourcing.
|
|
8
|
Media and entertainment services.
|
|
9
|
Environmental services.
|
|
10
|
Manufactures, assembling, technology of information.
Manufacturing: automotive, drugs and pharmaceuticals, petrochemicals, food
processing, light engineering goods.
|
|
11
|
Electric Power.
|
|
12
|
Port Construction and Operation and related maritime services.
|
|
13
|
Maritime Industry: shipyards, floating docks and dry docks.
|
16.2 - 1
POSSIBLE AREAS FOR TECHNICAL AND SCIENTIFIC COOPERATION
TECHNICAL AND SCIENTIFIC PROMOTION AGENDA
|
1
|
Quality assurance processes.
|
|
2
|
Online and distance education at all levels.
|
|
3
|
Higher education.
|
|
4
|
Technical education and vocational training.
|
|
5
|
Industry collaboration for technical and vocational training.
|
|
6
|
Teacher training and development.
|
16.2 - 2
CHAPTER 17
ADMINISTRATION OF THE AGREEMENT
Article 17.1: Administrative Commission of the Agreement
(a) The Administrative Commission of the Agreement shall be composed of government officials of each Party and shall be chaired by:
(i) Panama´s Minister for Trade and Industry; and
(ii) Singapore’s Minister for Trade and Industry or their designees.
(b) The Administrative Commission of the Agreement may establish ad hoc and standing committees or working groups1, based on the agreed terms of reference2 for such working groups or committees (where necessary) and also the composition thereof
in order to:
(i) study and recommend to the Ministers in charge of trade negotiations of the Parties any appropriate measures to resolve any issue arising from the implementation or application of any part of this Agreement; and / or
(ii) consider, at either Party's request, fresh concessions or issues not already dealt with by this Agreement.
|
(a)
|
review the general functioning of this Agreement;
|
|
|
(b)
|
review and consider specific matters related to the
|
operation
|
and implementation of this Agreement in the light of its objectives;
1 This may include working groups or committees on maritime services and investment issues, where appropriate and necessary.
2 For greater certainty, the ad hoc and standing committees or working groups, may have the
following functions, where appropriate: (a) reviewing, for the purpose of avoiding disputes between the Parties, claims by a Party that a measure of the other Party (which is in force) has affected the effective implementation of the undertakings in this Agreement; (b) assessing and recommending to the Administrative Commission, proposed amendments or other modifications to this Agreement.
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(c) facilitate the avoidance and settlement of disputes arising under this Agreement, including through consultations pursuant to Article 15.3 (Consultations);
(d) consider and adopt any amendment to this Agreement or other modification to the commitments3 therein, subject to the completion of necessary domestic legal procedures by each Party and Article 18.9 (Amendments);
(e) consider any other matter that may affect the functioning of this Agreement and make recommendations, as appropriate, for enhancing the implementation of this Agreement;
(f) consider ways to further enhance trade relations between the
Parties and to further the objectives of this Agreement;
(g) adopt, as appropriate, binding interpretations of this Agreement; and pursuant to Article 9.13 (Investor - State Dispute Settlement); and
(h) take such other action as the Parties may agree.
Article 17.2 Administration of Dispute Settlement Proceedings
(a) designate an office that shall be responsible for providing administrative assistance to panels established under Article
15.6 (Request for an Arbitral Panel)4.
(b) be responsible for the operation and costs of its designated office; and
(c) notify the other Party of the location of its office.
3 For greater certainty, this includes Annexes such as Annex 2.3 (Customs Duties Elimination
Schedule) of Chapter 2 (Trade in Goods), Annex 3A (Product-Specific Rules) of Chapter 3
(Rules of Origin), Annex I and II of Chapters 9 (Investment) and 10 (Cross-Border Trade in
Services) and Annex III of Chapter 11 (Financial Services).
4 For greater certainty, it is clarified that this Article does not require Parties to establish a new
or separate office for the purposes of providing administrative assistance to arbitral panels established under Article 15.6 (Request for an Arbitral Panel).
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CHAPTER 18
GENERAL AND FINAL PROVISIONS
Article 18.1: General Exceptions
(Customs Procedure) and 6 (Technical Barriers to Trade), Article XX of GATT
1994 and its interpretive notes are incorporated into and made part of this Agreement, mutatis mutandis. The Parties understand that the measures referred to in Article XX(b) of GATT 1994 include environmental measures necessary to protect human, animal, or plant life or health, and that Article XX(g) of GATT 1994 applies to measures relating to the conservation of living and non-living exhaustible natural resources.
Article 18.2: Essential Security
Unless otherwise provided for in this Agreement, nothing in this Agreement shall be construed to:
(a) require a Party to furnish or allow access to any information, the disclosure of which it determines to be contrary to its essential security interests; or
(b) preclude a Party from applying measures that it considers necessary for the fulfilment of its obligations with respect to the maintenance or restoration of international peace or security, or the protection of its own essential security interests1.
Article 18.3: Taxation
to taxation measures.
1 For greater certainty, nothing in this Agreement shall prevent a Party from taking any action which it considers necessary for the protection of critical communications infrastructure from
deliberate attempts intended to disable or degrade such infrastructure.
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prevail to the extent of the inconsistency. In the case of a tax convention between the Parties, the competent authorities under that convention shall have sole responsibility for determining whether any inconsistency exists between this Agreement and that convention.
(a) Article 2.2 (National Treatment) and such other provisions of this Agreement as are necessary to give effect to that Article shall apply to taxation measures to the same extent as does Article III
of GATT 1994; and
(b) Article 2.4 (Export Duties) shall apply to taxation measures.
(a) Article 9.3 (National Treatment) and Article 10.3 (National
Treatment) shall not be applied to the adoption or enforcement
of any taxation measure aimed at ensuring the equitable or effective imposition or collection of taxes permitted by Article XIV(d) of GATS; and
(b) Article 9.4 (Most-Favoured Nation Treatment) and Article 10.4
(Most-Favoured Nation Treatment) shall not be applied to any Most-Favoured Nation obligation with respect to an advantage accorded to a Party pursuant to an agreement on double taxation or provisions on the avoidance of double taxation in any international agreement or arrangement by which a Party is bound, as permitted by Article XIV(e) of GATS.
as provided for in Article 9.7 (Expropriation and Compensation)2. An investor
that seeks to invoke Article 9.7 (Expropriation and Compensation) with respect to a taxation measure must first refer to the competent authorities described in paragraph 7 at the time that it gives notice under Article 9.13.4(c)
(Investor-State Dispute Settlement), the issue of whether that taxation
2 With reference to Article 9.7 (Expropriation and Compensation) and this paragraph, in assessing whether a taxation measure constitutes expropriation, the following considerations
are relevant: (i) the imposition of taxes does not generally constitute expropriation. The mere introduction of new taxation measures in respect of an investment does not in and of itself
constitute expropriation; and (ii) taxation measures which are applied on a non-discriminatory basis, as opposed to being targeted at investors of a particular nationality or specific individual taxpayers, are less likely to constitute expropriation. A taxation measure should not constitute expropriation if, when the investment is made, it was already in force, and information about the measure was made public or otherwise made publicly available.
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measure involves an expropriation. If the competent authorities do not agree
to consider the issue or, having agreed to consider it, fail to agree that the measure is not an expropriation within a period of 6 months of such referral, the investor may submit its claim to arbitration under Article 9.13 (Investor- State Dispute Settlement).
competent authorities means:
(a) in the case of Singapore, Director (Fiscal Planning), Ministry of
Finance, or his successor; and
(b) in the case of Panama, Ministry of Economy and Finance or his successor; and
taxes and taxation measures do not include:
(a) a “customs duty” as defined in Article 2.16.2 (Definitions); or
(b) the measures listed in exception (b) and (c) of the definition of customs duty in Article 2.16.2 (Definitions).
Article 18.4: Transfers and Restrictions to Safeguard the Balance of
Payments
Services) and 11 (Financial Services), Articles XI and XII of GATS (including
its footnotes) is incorporated into and made part of this Agreement, mutatis mutandis. For greater certainty, it is clarified that such restrictions shall be applied on a national treatment basis and such that the other Party is treated no less favourably than any non-Party.
Article 18.5: Disclosure of Information
Nothing in this Agreement shall be construed to require a Party to furnish or allow access to confidential information, the disclosure of which would impede law enforcement, or otherwise be contrary to the public interest, or which
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would prejudice the legitimate commercial interests of particular enterprises, public or private, unless otherwise provided for in this Agreement3.
Article 18.6: Accession
or countries and the Parties, and following approval in accordance with the applicable legal procedures of each country.
Article 18.7: Relation to other Agreements
In the event of any inconsistency between this Agreement and any other agreement to which both Parties are parties, the Parties shall immediately consult with each other with a view to finding a mutually satisfactory solution.
Article 18.8 Annexes
The Annexes to this Agreement shall form an integral part of this Agreement.
Article 18.9: Amendments
This Agreement may be amended with the agreement of the Parties. Any amendments shall be in writing and shall enter into force on such date or dates as may be agreed between them.
Article 18.10: Entry into Force and Termination
3 For greater certainty, nothing in the Agreement shall be construed to require a Party to disclose information relating to the affairs and accounts of individual customers or any
confidential or proprietary information in the possession of public entities.
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termination of any provision of this Agreement should take effect at a later date than provided under paragraph 2. Such consultations shall commence within 30 days of a Party’s receipt of such request.
IN WITNESS WHEREOF the undersigned, being duly authorized by their respective Governments, have signed this Agreement.
DONE at Singapore on this 1st day of March, 2006, in duplicate in the English and Spanish languages, both texts being equally authentic. In case of any divergence of interpretation, the English text shall prevail.
For Singapore
Chan Soo Sen
Minister of State
for Trade and Industry and Education
For Panama
Carmen Gisela Vergara
Vice-Minister for
Foreign Trade
Ministry of Trade and Industries
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