most-favored-nation

American  

[mohst-fey-verd-ney-shuhn] / ˈmoʊstˈfeɪ vərdˈneɪ ʃən /

adjective

1. of or relating to the status, treatment, terms, etc., that are embodied in or conferred by a most-favored-nation clause.

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most-favored-nation Cultural  

1. Status in an international trading arrangement whereby agreements between two nations on tariffs are then extended to other nations. Every nation involved in such an arrangement will have most-favored-nation status. This policy is used, particularly by the United States, to lower tariffs, extend cooperative trading agreements, and protect nations from discriminatory treatment. Most-favored-nation agreements can also be used to apply economic pressure on nations by deliberately excluding them from international trade.

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Etymology

Origin of most-favored-nation

First recorded in 1750–60

Example Sentences

Canada said it would allow up to 49,000 Chinese electric vehicles into the Canadian market at its most-favored-nation tariff rate of 6.1%.

From The Wall Street Journal

According to the WTO, 72% of global goods trade still takes place on most-favored-nation terms, which means the importing country is treating all potential exporting countries equally.

From The Wall Street Journal

The company also committed to price all new medicines at parity with other developed markets while extending “most-favored-nation” pricing to Medicaid patients.

From The Wall Street Journal

Drugmakers opposed most-favored-nation pricing, arguing that it would deprive them of funding needed to develop future medicines and that it could jeopardize the billions in the recently announced planned investments.

From The Wall Street Journal

The drugmaker will also sell to Medicaid at most-favored-nation prices, which it already must do in many cases because of discounts that are required by federal law.

From The Wall Street Journal