most-favored-nation

[ mohst-fey-verd-ney-shuhn ]

adjective

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

most-favored-nation

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.

Word History and Origins

Origin of most-favored-nation¹

First recorded in 1750–60

Example Sentences

Great Britain has commercial treaties on the most-favored-nation basis with Switzerland and Greece.

From Project Gutenberg

Nor are we abandoning our non-European friends or our traditional "most-favored nation" principle.

From Project Gutenberg

I am happy to be able to announce to you that Russia now treats us on the most-favored-nation basis.

From Project Gutenberg