Most Favored Nation (MFN)
Trade status granting best treatment offered to any country.
Real World
When China joined the WTO in 2001, it gained Most Favoured Nation status with the US, meaning Chinese exports faced the same low tariffs as America's best trading partners, fuelling a surge in Chinese manufacturing exports.
Exam Focus
MFN is a WTO principle — in 'discuss' questions, contrast its trade-liberalising benefits against the argument that it limits preferential bilateral deals.
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