What are “safeguard measures” in trade?

Safeguard measures are protections implemented by governments to shield domestic industries from unforeseen surges in imports that could harm them. These measures are typically temporary and can take various forms, such as increased tariffs or import quotas, which help to stabilize the market and provide domestic producers with time to adjust to changes in competition. This protective action aims to ensure that local industries have a fair chance to compete, especially when faced with a sudden influx of imported goods that may be cheaper or more competitive.

The other choices focus on aspects of trade that do not directly correspond to the definition of safeguard measures. Incentives for increasing exports relate to boosting production for foreign markets, while policies that lower tariffs are more about liberalizing trade rather than protecting industries. Similarly, strategies to improve the local workforce pertain to enhancing human resources for trade rather than addressing imbalances caused by imported goods.