Indirect subsidization of domestic industries can occur where, for example, a financial contribution is provided to one entity but the associated benefit goes to another. This may materialize where (1) a financial contribution to an upstream producer results in a benefit to a downstream...

The nature of international trade has changed dramatically. Today, intermediate goods account for nearly 60% of the world merchandise trade, with the import content of the average export amounting to 40%. Global value chains increase the importance of duty drawback — a common practice of...