Tariff

The trend to increase tariffs continued in the 1800s and early 1900s and was particularly strong during the early years of the Great Depression (1930s). During the depression, however, some countries made a concerted effort to reduce tariff barriers.

After 1934 the United States negotiated trade agreements that reduced some duties and provided for most-favored-nation status. For the history of tariffs in the United States, (see Tariff, United States).

After World War II tariff barriers continued to decrease with the establishment of the General Agreement on Tariffs and Trade (GATT) and the formation of regional customs unions, such as Benelux and the European Community (now called the European Union). These groups lowered tariffs among themselves and maintained a common tariff for nonmembers.

World trade promotion through lower international tariffs and the removal of other obstacles continues to be fostered by the World Trade Organization (WTO), which took over GATT's activities in 1995. Most trading nations are members of WTO.