Annex I - 1
Annex I
Explanatory Notes
1. The Schedule of a Party to this Annex sets out, pursuant to Article 14 (Non-Conforming
Measures), a Party’s existing measures that are not subject to some or all of the obligations
imposed by:
(a) Article 3 (National Treatment);
(b) Article 4 (Most-Favored-Nation Treatment);
(c) Article 8 (Performance Requirements); or
(e) Article 9 (Senior Management and Boards of Directors).
2. Each Schedule entry sets out the following elements:
(a) Sector refers to the sector for which the entry is made;
(b) Obligations Concerned specifies the article(s) referred to in paragraph 1 that,
pursuant to Article 14.1(a) (Non-Conforming Measures), do not apply to the non-
conforming aspects of the law, regulation, or other measure, as set out in
paragraph 3;
(c) Level of Government indicates the level of government maintaining the
scheduled measure(s);
(d) Measures identifies the laws, regulations, or other measures for which the entry is
made. A measure cited in the Measures element:
(i) means the measure as amended, continued, or renewed as of the date of
entry into force of this Treaty, and
(ii) includes any subordinate measure adopted or maintained under the
authority of and consistent with the measure; and
(e) Description provides a general, nonbinding description of the measure for which
the entry is made.
3. In accordance with Article 14.1(a) (Non-Conforming Measures), and subject to Article
14.1(c) (Non-Conforming Measures), the articles of this Treaty specified in the Obligations
Concerned element of an entry do not apply to the non-conforming aspects of the law,
regulation, or other measure identified in the Measures element of that entry.
Annex I – Uruguay – 1
Annex I
Schedule of Uruguay
Sector: Fisheries
Obligations Concerned: National Treatment (Article 3)
Performance Requirements (Article 8)
Senior Management and Boards of Directors (Article 9)
Level of Government: Central
Measures: Law No. 13.833, Riquezas del Mar (Articles 4, 5, 8, 22, 23,
and 24)
Decree No. 149/997 (Article 56)
Description: Commercial fishing, including marine hunting activities,
performed in internal waters and in the territorial sea within
a distance of 12 miles, measured from the base lines, are
reserved exclusively to licensed Uruguayan-flagged
vessels. Such vessels must be commanded by captains,
merchant marine officials, or fishing masters that are
Uruguayan nationals, and at least 50 percent of the crew of
such vessels must be Uruguayan nationals.
Commercial foreign-flagged vessels are only allowed to
fish and hunt between the 12-mile area referred to in the
preceding paragraph and 200 miles, subject to authorization
of the Executive branch, as recorded in the register
maintained by the Dirección Nacional de Recursos
Acuáticos.
The processing and marketing of fish may be subject to a
requirement that the fish be totally or partially processed in
Uruguay.
Annex I – Uruguay – 2
Sector: Communications – Print Media
Obligations Concerned: Senior Management and Boards of Directors (Article 9)
Level of Government: Central
Measures: Law No. 16.099, Información y Comunicaciones (Article 6)
Description: Only an Uruguayan national may be the redactor o gerente
responsable* (the responsible editor or manager) of a
newspaper, magazine, or periodical published in Uruguay.
* Redactor o gerente responsable is the person liable under civil and criminal law for the
content of a particular newspaper, magazine, or periodical.
Annex I – Uruguay – 3
Sector: Communications – Radio and Television
Obligations Concerned: National Treatment (Article 3)
Most-Favored-Nation Treatment (Article 4)
Senior Management and Boards of Directors (Article 9)
Level of Government: Central
Measures: Law No. 16.099, Información y Comunicaciones (Article 6)
Decree No. 734/978 (Articles 8, 9, and 11)
Description: Free over-the-air television and AM/FM radio broadcasting
services may only be supplied by Uruguayan nationals. All
stockholders of or partners in broadcasting enterprises
supplying such broadcasting services in Uruguay or
established in Uruguay must be Uruguayan nationals
domiciled in Uruguay.
Senior management, members of the boards of directors,
and the redactor o gerente responsable* (the responsible
director or manager) of broadcasting enterprises must be
Uruguayan nationals.
The redactor o gerente responsable* of a subscriber (cable,
satellite, MMDS) television enterprise must be an
Uruguayan national.
* Redactor o gerente responsable is the person liable under civil and criminal law for the
content of a particular radio or television broadcast, in any form.
Annex I – Uruguay – 4
Sector: Railway Transportation Services
Obligations Concerned: National Treatment (Article 3)
Most-Favored-Nation Treatment (Article 4)
Senior Management and Boards of Directors (Article 9)
Level of Government: Central
Measures: Sector Ferroviaria – Marco Jurídico Regulatorio,
Ministerial Decree – Official Gazette No. 26.398 of
December 5, 2003 (Articles 27 and 28)
Description: In order to provide railway passenger and cargo
transportation services, a railway operator must obtain a
license (Licencia de Operación Ferroviaria) from the
Dirección Nacional de Transporte, which issues a
resolution granting the license. Among the requirements
for obtaining the license are:
(a) at least 51 percent of the paid-in capital of the
railway operator must be owned by Uruguayan
nationals domiciled in Uruguay or by Uruguayan
enterprises that meet the same requirement for paid-
in capital; and
(b) at least 51 percent of the railway operator’s board of
directors or managing board must be composed of
Uruguayan nationals domiciled in Uruguay.
Under the Acuerdo sobre Transporte Internacional
Terrestre (ATIT) among the Southern Cone countries,
access to international railway cargo transportation services
is accorded, on the basis of reciprocity, to railway operators
of Uruguay.
Annex I – Uruguay – 5
Sector: Road Transportation Services
Obligations Concerned: National Treatment (Article 3)
Senior Management and Boards of Directors (Article 9)
Level of Government: Central
Measures: Decree No. 228/991 (Articles 1.1 and 5.1)
Decree No. 230/997 (Article 5.1)
Acuerdo sobre Transporte Internacional Terrestre (Article
22), as adopted in Resolución del Ministerio de Transporte
y Obras Públicas del 10 de Mayo de 1991, and published in
the Official Gazette of July 8, 1991
Description: Passenger Transportation
– The State reserves to itself the
provision of public regular national and international
passenger transportation services (both regularly scheduled
and non-regularly scheduled), but grants concessions and
permits to private enterprises. Only Uruguayan nationals
or enterprises may be granted such concessions and
permits. Uruguayan enterprises are those (i) managed, (ii)
controlled, and (iii) in which more than 50 percent of the
capital is owned by Uruguayan nationals domiciled in
Uruguay.
Domestic Cargo Transportation – There are no restrictions
on domestic (point-to-point) cargo road transportation
services.
International Passenger and Cargo Transportation
– Only
enterprises with more than 50 percent of their share capital
owned and effectively controlled by Uruguayan nationals
may provide international cargo and passenger
transportation.
Annex I – Uruguay – 6
Sector: Maritime Transportation Services and Ancillary Services
Obligations Concerned: National Treatment (Article 3)
Most-Favored-Nation Treatment (Article 4)
Senior Management and Boards of Directors (Article 9)
Level of Government: Central
Measures: Law No. 12.091, Navegación y Comercio de Cabotage
(Articles 1, 2, 6, 9, 11, 12, and 13)
Law No. 14.106, Ley de Rendición de Cuentas y Balance
de Ejecución Presupuestal (Article 309)
Law No. 16.387, Ley de Abanderamiento (Article 18), as
amended by Law No. 16.736, Ley de Rendición de Cuentas
y Balance de Ejecución Presupuestal (Article 321)
Law No. 17.296, Ley de Rendición de Cuentas y Balance
de Ejecución Presupuestal (Article 263)
Decree-Law No. 14.650, Ley de Fomento de Marina
Mercante (Chapters I, II, and V)
Decree No. 31/994 (Article 2)
Description: Cabotage trade, which covers domestic vessel
transportation services performed between the ports and
coastal areas of Uruguay, including rescue operations,
unloading of cargoes, towing, and other vessel operations
performed by ships in waters within Uruguayan
jurisdiction, shall be reserved to Uruguayan-flagged
vessels. Such vessels are exempt from designated taxes,
such as those on equipment, sales, and income of fleets.
Waivers permitting foreign-flagged vessels to perform
cabotage services may be granted by the Executive branch
when Uruguayan-flagged vessels are not available.
Vessels providing cabotage transportation services within
Uruguay are subject to the following requirements:
(a) if owned by natural persons, vessels must be owned
by Uruguayan nationals domiciled in Uruguay; and
Annex I – Uruguay – 7
(b) if owned by an enterprise: (i) 51 percent of the
owners of such enterprise must be Uruguayan
nationals; (ii) 51 percent of the voting shares must
be owned by Uruguayan nationals; and (iii) the
enterprise must be controlled and managed by
Uruguayan nationals.
Uruguayan-flagged vessels shall be qualified to perform
cabotage transportation services if the owners of such
vessels are Uruguayan nationals, and their crews (including
the captain) are composed of at least 50 percent Uruguayan
nationals.
Half of all cargo transportation of Uruguayan foreign trade
(imports and exports) is reserved to Uruguayan-flagged
vessels, however, waivers are granted to foreign-flagged
vessels to carry the reserved portion of the foreign trade.
Uruguay may impose restrictions on access to cargo
transportation of Uruguayan foreign trade on the basis of
reciprocity.
Uruguayan-flagged merchant vessels are entitled to
designated tax exemptions, provided that such vessels
fulfill the following requirements:
(a) if owned by natural persons, vessels must be owned
by Uruguayan nationals domiciled in Uruguay; and
(b) if owned by an enterprise, vessels must be under the
control and direction of Uruguayan nationals.
The crew of Uruguayan merchant vessels must meet the
following requirements:
(a) 50 percent of the crew (including the captain) of
vessels operating under traffic authorized by the
competent authority must be Uruguayan nationals;
and
(b) for vessels not operating under traffic authorized by
the competent authority, their Captain, Chief
Engineer, and the Radio Operator or the Chief
Officer must be Uruguayan nationals.
Annex I – Uruguay – 8
Sector: Air Services
Obligations Concerned: National Treatment (Article 3)
Performance Requirements (Article 8)
Senior Management and Boards of Directors (Article 9)
Level of Government: Central
Measures: Decree-Law No. 14.305, Cόdigo Aeronáutico (Article 113)
Decree No. 325/974 (Articles 32 and 33)
Decree No. 158/978 (Articles 1 and 2)
Decree No. 39/977 (Article 35)
Reglamentos Aeronáuticos Uruguayos, Nos. 61, 63, and 65
Description: Only an empresa nacional de transporte aéreo (national air
transportation enterprise) may operate aircraft in domestic
air transportation service (cabotage) and may provide
international scheduled and non-scheduled air
transportation services as an Uruguayan air carrier. Only
an empresa nacional de servicios de trabajo aéreo
(national air works enterprise) may operate aircraft in
domestic non-transportation air services.
In order to be an empresa nacional de transporte aéreo or
an empresa nacional de servicios de trabajo aéreo an
enterprise must be 51 percent owned by Uruguayan
nationals domiciled in Uruguay.
All crew and other personnel, including management of an
empresa nacional de transporte aéreo or an empresa
nacional de servicios de trabajo aéreo, must be Uruguayan
nationals, unless otherwise authorized by the Dirección
Nacional de Aviación Civil e Infraestructura Aeronáutica.
Annex I – US – 1
Annex I
Schedule of the United States
Sector: Atomic Energy
Obligations Concerned: National Treatment (Article 3)
Level of Government: Central
Measures: Atomic Energy Act of 1954, 42 U.S.C. §§ 2011 et
seq.
Description: A license issued by the United States Nuclear Regulatory
Commission is required for any person in the United States
to transfer or receive in interstate commerce, manufacture,
produce, transfer, use, import, or export any nuclear
“utilization or production facilities” for commercial or
industrial purposes. Such a license may not be issued to
any entity known or believed to be owned, controlled, or
dominated by an alien, a foreign corporation, or a foreign
government (42 U.S.C. § 2133(d)). A license issued by the
United States Nuclear Regulatory Commission is also
required for nuclear “utilization and production facilities,”
for use in medical therapy, or for research and development
activities. The issuance of such a license to any entity
known or believed to be owned, controlled, or dominated
by an alien, a foreign corporation, or a foreign government
is also prohibited (42 U.S.C. § 2134(d)).
Annex I – US – 2
Sector: Mining
Obligations Concerned: National Treatment (Article 3)
Most-Favored-Nation Treatment (Article 4)
Level of Government: Central
Measures: Mineral Lands Leasing Act of 1920, 30 U.S.C. Chapter 3A
10 U.S.C. § 7435
Description: Under the Mineral Lands Leasing Act of 1920, aliens and
foreign corporations may not acquire rights-of-way for oil
or gas pipelines, or pipelines carrying products refined
from oil and gas, across on-shore federal lands or acquire
leases or interests in certain minerals on on-shore federal
lands, such as coal or oil. Non-U.S. citizens may own a
100 percent interest in a domestic corporation that acquires
a right-of-way for oil or gas pipelines across on-shore
federal lands, or that acquires a lease to develop mineral
resources on on-shore federal lands, unless the foreign
investor’s home country denies similar or like privileges for
the mineral or access in question to U.S. citizens or
corporations, as compared with the privileges it accords to
its own citizens or corporations or to the citizens or
corporations of other countries (30 U.S.C. §§ 181, 185(a)).
Nationalization is not considered to be denial of similar or
like privileges.
Foreign citizens, or corporations controlled by them, are
restricted from obtaining access to federal leases on Naval
Petroleum Reserves if the laws, customs, or regulations of
their country deny the privilege of leasing public lands to
citizens or corporations of the United States (10 U.S.C. §
7435).
Annex I – US – 3
Sector: All Sectors
Obligations Concerned: National Treatment (Article 3)
Most-Favored-Nation Treatment (Article 4)
Level of Government: Central
Measures: 22 U.S.C. §§ 2194 and 2198(c)
Description: The Overseas Private Investment Corporation insurance
and loan guarantees are not available to certain aliens,
foreign enterprises, or foreign-controlled domestic
enterprises.
Annex I – US – 4
Sector: Air Transportation
Obligations Concerned: National Treatment (Article 3)
Most-Favored-Nation Treatment (Article 4)
Senior Management and Boards of Directors (Article 9)
Level of Government: Central
Measures: 49 U.S.C. Subtitle VII, Aviation Programs
14 C.F.R. Part 297 (foreign freight forwarders); 14 C.F.R.
Part 380, Subpart E (registration of foreign (passenger)
charter operators)
Description: Only air carriers that are “citizens of the United States”
may operate aircraft in domestic air service (cabotage) and
may provide international scheduled and non-scheduled air
service as U.S. air carriers.
U.S. citizens also have blanket authority to engage in
indirect air transportation activities (air freight forwarding
and passenger charter activities other than as actual
operators of the aircraft). In order to conduct such
activities, non-U.S. citizens must obtain authority from the
Department of Transportation. Applications for such
authority may be rejected for reasons relating to the failure
of effective reciprocity, or if the Department of
Transportation finds that it is in the public interest to do so.
Under 49 U.S.C. § 40102(a)(15), a citizen of the United
States means an individual who is a U.S. citizen; a
partnership in which each member is a U.S. citizen; or a
U.S. corporation of which the president and at least two-
thirds of the board of directors and other managing officers
are U.S. citizens, which is under the actual control of U.S.
citizens, and in which at least seventy-five percent of the
voting interest in the corporation is owned or controlled by
U.S. citizens.
Annex I – US – 5
Sector: Air Transportation
Obligations Concerned: National Treatment (Article 3)
Most-Favored-Nation Treatment (Article 4)
Senior Management and Boards of Directors (Article 9)
Level of Government: Central
Measures: 49 U.S.C., Subtitle VII, Aviation Programs
49 U.S.C. § 41703
14 C.F.R. Part 375
Description: “Foreign civil aircraft” require authority from the
Department of Transportation to conduct specialty air
services in the territory of the United States. In
determining whether to grant a particular application, the
Department will consider, among other factors, the extent
to which the country of the applicant’s nationality accords
U.S. civil aircraft operators effective reciprocity.
“Foreign civil aircraft” are aircraft of foreign registry or
aircraft of U.S. registry that are owned, controlled, or
operated by persons who are not citizens or permanent
residents of the United States (14 C.F.R. § 375.1). Under
49 U.S.C. § 40102(a)(15), a citizen of the United States
means an individual who is a U.S. citizen; a partnership in
which each member is a U.S. citizen; or a U.S. corporation
of which the president and at least two-thirds of the board
of directors and other managing officers are U.S. citizens,
which is under the actual control of U.S. citizens, and in
which at least seventy-five percent of the voting interest in
the corporation is owned or controlled by U.S. citizens.
Annex I – US – 6
Sector: Transportation Services – Customs Brokers
Obligations Concerned: National Treatment (Article 3)
Level of Government: Central
Measures: 19 U.S.C. § 1641(b)
Description: A customs broker’s license is required to conduct customs
business on behalf of another person. Only U.S. citizens
may obtain such a license. A corporation, association, or
partnership established under the law of any state may
receive a customs broker’s license if at least one officer of
the corporation or association, or one member of the
partnership, holds a valid customs broker’s license.
Annex I – US – 7
Sector: All Sectors
Obligations Concerned: National Treatment (Article 3)
Most-Favored-Nation Treatment (Article 4)
Level of Government: Central
Measures: Securities Act of 1933, 15 U.S.C. §§ 77C(b), 77f, 77g, 77h,
77j, and 77s(a)
17 C.F.R. §§ 230.251 and 230.405
Securities Exchange Act of 1934, 15 U.S.C. §§ 78l, 78m,
78o(d), and 78w(a)
17 C.F.R. § 240.12b-2
Description: Foreign firms, except for certain Canadian issuers, may not
use the small business registration forms under the
Securities Act of 1933 to register public offerings of
securities or the small business registration forms under the
Securities Exchange Act of 1934 to register a class of
securities or file annual reports.
Annex I – US – 8
Sector: Communications – Radiocommunications
Obligations Concerned: National Treatment (Article 3)
Level of Government: Central
Measures: 47 U.S.C. § 310
Foreign Participation Order 12 FCC Rcd 23891 (1997)
Description: The United States reserves the right to restrict ownership of
radio licenses in accordance with the above statutory and
regulatory provisions. Radiocommunications consists of
all communications by radio, including broadcasting.
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Sector: All Sectors
Obligations Concerned: National Treatment (Article 3)
Most-Favored-Nation Treatment (Article 4)
Performance Requirements (Article 8)
Senior Management and Boards of Directors (Article 9)
Level of Government: Regional
Measures: All existing non-conforming measures of all states of the
United States, the District of Columbia, and Puerto Rico
