Final answer:
An example of trade restriction through stipulating local content requirements is known as an import quota. It's a form of protectionism used to support domestic industries against foreign competition and to protect jobs in industries vital to the nation's economic or security interests.
Step-by-step explanation:
The concept in question here pertains to the regulations that countries implement to protect their industries and control the flow of trade. When the United States and other countries mandate that some products, like automobiles, must contain a certain percentage of "local content" to be allowed entry into their markets, the term for these types of restrictions is import quotas.
Import quotas are numerical limits on the amount of goods that can be imported into a country. They are a form of trade protectionism that governments use to shield domestic industries from foreign competition, thus preserving local jobs and industries deemed to be essential for economic or national security reasons.
An example of such protectionist measures is the quota system imposed by the Reagan Administration in the early 1980s on Japanese automobile imports. Additionally, the international Multifiber Agreement from 1974 to 2004 was created in response to the decline in textile industries in developed nations, dividing the market between importers and domestic producers to manage the loss of jobs to lower-cost production in developing countries.