Analysis of Tariff Rate and Its Trade Growth of Developed And Developing Countries

Abstract

The nation will engage in international commerce to progress toward positive economic growth. In the existing situation, the nations could not function independently to meet the needs of the general public and businesses. To advance along a sustainable route, the nation needs to keep track of its trade in each sector along with global commerce. If developing countries wish to preserve sustainable economic growth, they think about addressing their trade imbalance. Imposing tariff rates to regulate imports would make it feasible. To participate in international commerce, the nation imposes barriers to shield its native industry from foreign competitors. To safeguard domestic marketers and customers, barriers should be established on both imports and exports. Tariff barriers or trade restrictions will lead domestic businesses to compete with foreign ones that might be able to provide a quality and innovative product. Using secondary data, this article provides an outline of the tariff rate growth of the developed countries and developing countries that support its trade growth in recent decades. It also provides the outline that there exists a relationship between the tariff rate and the trade growth of the countries. This will help to promote future planning of the tariff rate in emerging nations, to compete with established countries in the coming decades.