Manny ships wheat from the United States to Japan. Wheat is also shipped to Japan from Australia. Japan recently reduced its customs duties for wheat shipped from Australia. If Manny demands a similar reduction for the wheat he ships to Japan:

1) Japan must grant the same reduced customs duties to the United States and all other World Trade Organization members.

2) Japan must grant a similar customs duties reduction to the United States due to the TRIPS Agreement.

3) Japan is not required to give the same customs duties reduction to the United States because of regional trade agreements.

4) Japan is not required to give the same customs duties reduction to the United States, because each country has a separate agreement. (incorrect)