Missing Tariffs

[Katharina Erhardt]

Dear WITS team,

I downloaded bilateral tariffs at the 6-digit level using effectively applied rates, UNCTAD -1 method. I updated missing values using closest years. Still, for some country pairs and certain products no tariff is reported. Can I update this information using the tariff that the partner country reports for "WLD", which is the MFN tariff as far as I understand it.

Thank you very much for your help.

Best regards,

Katharina

[Samuel Munyaneza]

You should note that the average tariff is calculated on traded goods. If the tariff is missing for a product it could mean that the product is not traded.

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[Katharina Erhardt]

Thank you very much for the answer. I checked that already before, but the tariffs are also missing for country pairs where trade occurs. (It is few country pairs where this happens for some sectors, but still I need a complete dataset for my GE analysis and I do need the missing values!)

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[Samuel Munyaneza]

Can give me one example where this happens

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[Katharina Erhardt]

One example: for HS1996 6-digit "870120" Cuba reports a tariff (simple average) of  2.95 for the partner World, this should be the MFN tariff as I understand the User's Manual. However I do not see any tariff reported for Mexico and Cuba (Cuba as importer) on this product level even though trade occurs in 2006 between these countries. My strategy now would be to update the missing tariff with 2.95, is this a valid strategy?

Thank you very much!

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[Samuel Munyaneza]

The average effectively applied tariff  (AHS) to imports from the WORLD by CUBA is 2.95%. However, the average MFN tariff is 3.0
In COMTRADE, the only reported trading partners with CUBA in 2006 for HS code 870120 are BRAZIL,CANADA,CHINA,SPAIN,FRANCE,NETHERLANDS and RUSSIA.  NO trade with MEXICO

I hope this helps.

best regards,

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[Katharina Erhardt]

Perhaps it is a problem with the reporting country? Mexico reports trade with Cuba in 2006 for that sector. See appendix.

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[Samuel Munyaneza]

Here we use imports declared by CUBA (reporting country) and not exports declared by her trading partners. You may know that imports declared by a country don't always equate to exports declared by a trading partner . See UN COMTRADE Disclaimer
http://comtrade.un.org/db/help/uReadMeFirst.aspx

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[Sophia Praetorius]

Hello, 

I encountered the exact same problem as Katharina. I downloaded bilateral tariffs (AHS, MFN, PRF) at the 6-digit level using UNCTAD -1 method. For some of the observations, there were neither AHS, MFN nor PRF tariffs reported, but the import value was non-zero. 

In 2008, for example, of about 22,400,000 country-pair-product observations, there are approx. 10,000 of these cases. 

If I additionally merge in import value data from UN_Comtrade, this number even increases.

I know it seems like a fairly small problem, but I nonetheless want to understand the data as best as I can!

I have no intuition for the missing tariff information. I presume that simply assuming zero tariffs would not be an adequate solution.

Maybe you can help me here?