An Evaluation of Trade Law on the Extraterritorial Application of Domestic Economic Standards in the United States

Abstract

Purpose - This study aims to analyze the application of domestic economic norms beyond national boundaries from the perspective of international trade law, with a focus on the United States' extension of its domestic economic norms to other countries, particularly considering the expanding use of economic sanctions under pretexts such as security and environmental concerns. Design/Methodology/Approach - The research adopts a legal analysis approach, evaluating the issue of the extraterritorial application of domestic laws concerning economic norms within the framework of international trade law. The study considers recent instances where the United States has employed economic sanctions justified by security and environmental concerns against other nations, and assesses the legal mechanisms that facilitate this extension, aiming to evaluate associated risks and propose strategic responses. Findings - The study finds that the United States has increasingly applied its domestic economic norms beyond its borders, using justifications such as security and environmental concerns. This has led to the establishment of new trade barriers and a growing atmosphere of protectionism on the international stage. Research Implications - The study emphasizes the need for urgent evaluation and strategic planning by nations, including Korea, to tackle the implications of applying domestic economic laws beyond borders. It calls for in-depth analyses, especially in international trade law, to understand the growing reach of these applications and the impact on global trade dynamics. Additionally, proactive approaches and thorough legal assessments are recommended to navigate and respond effectively to this changing legal landscape.