# Import Quota

*Last updated: 2026-06-24*

> A freight forwarder is commissioned to import steel from a third country and discovers that nearly all of the annual allocation has already been used — that is an import quota in action.

A freight forwarder is commissioned to import steel from a third country and discovers that nearly all of the annual allocation has already been used — that is an import quota in action. An import quota is a government-imposed ceiling on the quantity of a specific good that may be imported within a set period, typically a calendar year. Countries apply quotas to shield domestic producers from competitive pressure, manage market supply, or fulfil trade policy commitments. For importers and forwarders, quota management is a distinct planning task: checking remaining allocation, applying for import licences well in advance, and splitting shipment volumes accordingly. Unlike tariffs, which influence trade through price signals, a quota acts directly on volume — once the ceiling is reached, imports halt regardless of market price.

**Source:** [https://www.wto.org/english/thewto_e/glossary_e/import_quota_e.htm](https://www.wto.org/english/thewto_e/glossary_e/import_quota_e.htm)

## Quick Facts

| Property | Value |
|---|---|
| Term | Import Quota |
| Language | EN |
| Word count | 129 |
| Last updated | 2026-06-24 |
| Source | https://www.wto.org/english/thewto_e/glossary_e/import_quota_e.htm |

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