62 STAT.] MULTILATERAI-TARIFFS AND TRADE-SEPT. 14 , 1948 import duty on the taxed product is bound against increase, the contracting party imposing the tax shall be free to postpone the application of the provisions of paragraph 2 to such tax until such time as it can obtain release from the obligations of such trade agree- ment in order to permit the increase of such duty to the extent necessary to compensate for the elimination of the protective element of the tax. "4. The products of the territory of any contracting party imported into the territory of any other contracting party shall be accorded treatment no less favourable than that accorded to like products of national origin in respect of all laws, regulations and requirements affecting their internal sale, offering for sale, purchase, transportation, distribution or use. The provisions of this paragraph shall not prevent the application of differential internal transportation charges which are based exclusively on the economic operation of the means of transport and not on the nationality of the product. "5. No contracting party shall establish or maintain any internal P0,p.36 so quantitative regulation relating to the mixture, processing or use of products in specified amounts or proportions which requires, directly or indirectly, that any specified amount or proportion of any product which is the subject of the regulation must be supplied from domestic sources. Moreover, no contracting party shall otherwise apply internal quantitative regulations in a manner contrary to the princi- ples set forth in paragraph 1. "6. The provisions of paragraph 5 shall not apply to any internal quantitative regulation in force in the territory of any contracting party on 1 July 1939, 10 April 1947, or 24 March 1948, at the option of that contracting party; provided that any such regulation which is contrary to the provisions of paragraph 5 shall not be modified to the detriment of imports and shall be treated as a customs duty for the purpose of negotiation. "7. No internal quantitative regulation relating to the mixture, processing or use of products in specified amounts or proportions shall be applied in such a manner as to allocate any such amount or pro- portion among external sources of supply. "8. (a) The provisions of this article shall not apply to laws, regu- lations or requirements governing the procurement by governmental agencies of products purchased for govern- mental purposes and not with a view to commercial resale or with a view to use in the production of goods for com- mercial sale. "(b) The provisions of this article shall not prevent the payment of subsidies exclusively to domestic producers, including payments to domestic producers derived from the proceeds of internal taxes or charges applied consistently with the provisions of this article and subsidies effected through governmental purchases of domestic products. "9. The contracting parties recognize that internal maximum price control measures, even though conforming to the other provisions of 3681
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