In part, this article is about the conflict between literalism and functionalism in the GATT. It examines an attempt in the Uruguay Round to negotiate rules on foreign direct investment - the so-called trade-related investment measures (TRIMs) negotiations. Foreign direct investment is often a stage in the internationalization of enterprises; it is helpful to the trade of goods producers and necessary to the trade of many services providers. Affected by the output-oriented history of the GATT, however, the Contracting Parties have treated investment as though it were simply one of three legs of an economic triangle: goods, services, investment. In the Uruguay Round, this approach has yielded a hybrid: the TRIMs talks.
Paul B. Christy III,
Negotiating Investment in the GATT: A Call for Functionalism,
Mich. J. Int'l L.
Available at: https://repository.law.umich.edu/mjil/vol12/iss4/3