National Treatment

National Treatment is a principle in international trade that ensures foreign investors or companies receive the same treatment as domestic ones. When a country allows foreign businesses to operate, it cannot impose stricter regulations, higher taxes, or fewer benefits on them compared to local entities. This principle fosters fair competition and prevents discrimination, encouraging foreign investment and trade. Essentially, it guarantees that once a foreign entity enters a market, it should be treated equally to local players, promoting a level playing field.