.Together those three agreements cover all three main areas of trade handled by the wto °e. Exceptions to MFN Regional Economic Organization区域性经济组织 and customs union关税同盟o Countries can set up a free trade agreement that applies only to goods traded within the group discriminating against goods from outside. Generalized System of Preferences普惠制 The generalized System of Preferences or" is a system that grants products made in developing countries lower tariff rates than those normally enjoyed under Most-Favoured-Nation status as a special measure granted to developing countries in order to increase their export earnings and promote their development The gsp is defined in the decision on "generalized system of preferences" of June 1971. and is a measure taken based on the decision on "Differential and More Favourable Treatment, Reciprocity, and Fuller Participation of Developing Countries“《关于有差别与更优惠待遇、对等与发展中国家充分参与的决定》 or the “ Enabling clause”(授权条款)。 .The gsp has the following characteristics First, preferential tariffs may be applied not only to countries with speci historical and political relationships (i.e. the British Commonwealth), but developing countries more generally (thus the system is described generalized"). Second, the beneficiaries are limited to developing countries. Third, it is a benefit unilaterally granted by developed countries to developing countries But the agreements only permit these exceptions under strict conditions. In general, MFN means that every time a country lowers a trade barrier or opens up a market, it has to do so for the same goods or services from all its trading partners-whether rich or poor, weak or strong13 •Together, those three agreements cover all three main areas of trade handled by the WTO. •c. Exceptions to MFN •Regional Economic Organization 区域性经济组织 and Customs Union 关税同盟① Countries can set up a free trade agreement that applies only to goods traded within the group — discriminating against goods from outside. •Generalized System of Preferences 普惠制 • The Generalized System of Preferences or "GSP" is a system that grants products made in developing countries lower tariff rates than those normally enjoyed under Most-Favoured-Nation status as a special measure granted to developing countries in order to increase their export earnings and promote their development. •The GSP is defined in the Decision on “Generalized System of Preferences” of June 1971, and is a measure taken based on the Decision on “Differential and More Favourable Treatment, Reciprocity, and Fuller Participation of Developing Countries“《关于有差别与更优惠待遇、对等与发展中国家充分参与的决定》 or the “Enabling Clause”（授权条款）。 •The GSP has the following characteristics: First, preferential tariffs may be applied not only to countries with special historical and political relationships4 (i.e. the British Commonwealth), but to developing countries more generally (thus the system is described as "generalized"). Second, the beneficiaries are limited to developing countries. Third, it is a benefit unilaterally granted by developed countries to developing countries. •But the agreements only permit these exceptions under strict conditions. In general, MFN means that every time a country lowers a trade barrier or opens up a market, it has to do so for the same goods or services from all its trading partners — whether rich or poor, weak or strong