The debate on the link between trade rules and rules on exchange rates is raising

the attention of experts on international trade law and economics. The main

purpose of this paper is to analyze the impacts of exchange rate misalignments on

tariffs as applied by the WTO – World Trade Organization. It is divided into five

sections: the first one explains the methodology used to determine exchange rate

misalignments and also presents its results for Brazil, U.S. and China; the second

summarizes the methodology applied to calculate the impacts of exchange rate misalignments

on the level of tariff protection through an exercise of “misalignment

tariffication”; the third examines the effects of exchange rate variations on tariffs

and their consequences for the multilateral trading system; the fourth one creates

a methodology to estimate exchange rates against a currency of the World and a

proposal to deal with persistent and significant misalignments related to trade rules.

The conclusions are present in the last section.

v. 34, n. 3 (136)