USCIB Policy Experts Participate in B20 Indonesia

Several USCIB policy experts are actively participating in B20 2022, the official global business dialogue with G20 nations.

Led by Indonesia this year, the B20 is comprised of seven task forces that develop consensus-based policy proposals outlining business priorities on key issue confronting the G20 nations in the year ahead. Senior Vice President for Innovation, Regulation, and Trade Brian Lowry and Policy and Program Associate for Sustainability Agnes Vinblad are on the Task Force for Integrity and Compliance, USCIB Senior Vice President for Policy and Global Strategy Norine Kennedy is on the Task Force on Energy, Sustainability and Climate, USCIB Vice President for Corporate Responsibility and Labor Affairs Gabriella Rigg Herzog is on the Future of work and Education Task Force, USCIB Vice President for ICT Policy Barbara Wanner is on the Task Force on Digitalization, and Director for Investment, Trade and China Alice Slayton Clark is on the Trade and Investment Task Force.

“USCIB helps shape actionable policy recommendations provided through these task forces that will be shared with the G20 leaders when they meet in Indonesia in November,” said Lowry. “We at USCIB look forward to the advancement of business’ priorities to the G20 policymakers to help inform policies to advance a stable and inclusive post-pandemic economic recovery and supply chain resiliency, while grappling with the difficult national security issues confronting the world today.”

Business Explores Approach to DNS Abuse Mitigation, Ukraine Crisis Hangs over ICANN

For more than two years, members of the Domain Name System (DNS) user community have highlighted the need for more effective Internet Corporation for Assigned Names and Numbers (ICANN) policies and contractual tools to crack down on abuse in the DNS, which spiked during the COVID-19 crisis. ICANN 73, held virtually on March 7-10, featured a plenary that sought to grapple with DNS abuse mitigation in a more focused and actionable manner. Using as reference an academic study commissioned by the European Commission, plenary speakers explored the distinction between maliciously registered domain names versus compromised domain names and discussed why this differentiation is important for timely mitigation.

According to USCIB Vice President for ICT Policy Barbara Wanner, who participated as an industry representative, panelists underscored the need for the ICANN community to work together to address this challenge, recognizing that a one-size-fits-all approach may not be appropriate, that DNS users and providers will have to work both inside the ICANN community as well as reach out to “adjacent organizations” like hosting services to develop effective redress, and that “proportionality of harm” must be considered.

Not surprisingly, according to Wanner, the crisis in Ukraine was top-of-mind for all participants, who offered various views about an appropriate response by ICANN and its constituents. On February 28, the Government of Ukraine asked ICANN to revoke permanently or temporarily the domain name certificates for “.ru,” “.su” among others as sanctions for Russia’s invasion of Ukraine, “… a clear act of aggression and a manifest violation of Article 2.4 of the UN Charter.”

Ukraine’s letter to ICANN CEO Goran Marby further justified such sanctions on grounds that “… atrocious crimes have been made possible mainly due to the Russian propaganda machinery using websites continuously spreading disinformation, hate speech, promoting violence and hiding the truth regarding the war in Ukraine.”

Marby responded that ICANN would not intervene in this conflict. While expressing personal concern about Ukrainians’ well-being as well as the “terrible toll being exacted on your country,” he wrote to Ukrainian authorities that ICANN’s mission “does not extend to taking punitive actions, issuing sanctions, or restricting access against segments of the Internet — regardless of the provocations.”

“On March 6, however, the ICANN Board decided to allocate an initial sum of $1 million to be used to provide financial assistance to support access to Internet infrastructure in emergency situations, noting that the distribution ‘will focus on maintaining Internet access for users within Ukraine,’” said Wanner.

On March 7, ICANN further clarified that events in Ukraine would formally be considered an “extenuating circumstance under Section 3.7.5.1 of the 2013 Registrar Accreditation Agreement (RAA). This means that registrars now have the flexibility to extend the domain name registration renewal period for domain name holders in affected areas.

ICANN Board Chair Maarten Botterman further clarified on March 10 that the Board will shortly consider policy advice from the Country Code Names Supporting Organization (ccNSO) aimed at retiring the “.su” domain name.

Robinson Offers Ideas for WTO Reform at IOE-BIAC Meeting on Postponed WTO Ministerial

The International Organization of Employers (IOE) and Business at OECD (BIAC) co-hosted an event on March 2 to follow up on the postponed World Trade Organization (WTO) Ministerial. The event, titled “Trade policy to recover and to achieve employment goals and greater resilience: How can an open trading system adapt to the new sustainability expectations?” included representatives of IOE and BIAC member organizations, such as USCIB President and CEO Peter Robinson, who gave remarks on the topic: “What is needed for WTO reform?”

In his remarks, Robinson pointed out that all three of WTO’s core functions are in crises—negotiation among WTO’s 164 members whose interests greatly diverge, monitoring trade rules and transparency among members, and dispute settlement—the WTO’s Appellate Body, paralyzed since the end of 2019 thus making WTO trading rights virtually unenforceable.

“These three fundamental functions must be redesigned, reconfigured, or reimagined to be fit for purpose,” said Robinson. He then cited a proposed bill, introduced by Senators Rob Portman (R-Ohio) and Chris Coons (D-Delaware), the “Trading Systems Preservation Act,” which could help reinvigorate the WTO by pushing for agreements that aren’t required to be observed on a most-favored nation basis. “On the issue of negotiation, we also support advancing a comprehensive WTO reform agenda that tackles special and differential treatment, distortive non-market industrial subsidies and state-owned enterprises.”

“USCIB would like to lend its voice in emphasizing the importance of the voice of business, among other legitimate stakeholders, at the WTO,” added Robinson. “While initiatives, such as the WTO Public Forum, are welcome opportunities to engage, all stakeholders in the multilateral, rules-based trading system would benefit from greater ongoing opportunities for dialogue – governments, civil society and the private sector alike.”

Other speakers joining Robinson during the meeting included WTO Deputy Director General Angela Ellard, who spoke about updates on the WTO agenda, Business at OECD Trade Committee Chair Pat Ivory, who discussed business priorities for WTO’s response to the pandemic, and the International Chamber of Commerce (ICC) Permanent Observer before the UN in Geneva Crispin Conroy, who shared perspectives on trade and environmental sustainability. Speakers from Keidanren, BusinessEurope and BEF discussed the importance of multilateral collaboration, digitization and strengthening inclusivity and sustainability in global trade.

This dialogue was a follow-up to last year’s launch of the “Business Coalition for Trade, Employment and Sustainable Enterprise,” led by IOE and including business organizations that share the belief that the multilateral, rules-based trading system has been a crucial driver not just for economic growth, but also for employment creation and sustainable development, which have played a key role in reducing poverty and raising living standard in many economies.

Kennedy Advocates for Business Mainstreaming in OECD Expert Panel on Post-COP26 Action  

The OECD Washington Center co-organized an expert panel discussion on “Post-COP26: Driving Climate Action” last month. The discussion focused on how to understand and continue the momentum of the 26th United Nations Climate Change Conference (COP26) which transpired in Glasgow, Scotland in November 2021. As USCIB’s lead environment, energy and climate change expert, Senior Vice President of Policy and Global Strategy, Norine Kennedy supported USCIB members attending COP26.  

Other speakers on the panel included the Deputy Director of the Environment Directorate at OECD Ingrid Barnsley; Director of International Climate Initiatives at the World Resources Institute David Waskow, and Lead Climate Lawyer at the U.S. State Department Andrew Neustaetter.

Kennedy remarked that COP26 was noteworthy, “not just because of the turnout and the accomplishments, but also because we have never seen that kind of engagement from U.S. business – and indeed – from business at large.” Kennedy also pointed out that hundreds of CEOs attended, as well as thousands of business representatives from all over the world. With numerous and substantial voluntary pledges made by the private sector, COP26 demonstrated the unprecedented willingness of business to act on climate change.

USCIB is already starting to plan its engagement in COP27 in November in Egypt to build on these commitments and to ensure such business actions are taken into account in the Paris Agreement global stock-take, which will provide the basis for additional commitments by governments.   

Yet business received only scant mention in COP26 concluding documents. “While the outcome documents from Glasgow refer multiple times to a range of constituencies, business was barely mentioned, aside from Article 6 on carbon pricing,” said Kennedy.   

In closing, Kennedy emphasized that USCIB members support meaningful inclusion and mainstreaming of business as necessary to scale up action to keep 1.5 alive, ramp up further deployment of private sector innovation and investment and bring private sector solutions and employment, including in connection with adaptation and resilience.

To watch a recording of the panel, please visit this website.  

USCIB Supports Strengthening Trade, Investment, Economic Ties in Indo-Pacific

USCIB was among a dozen other trade associations in submitting a letter to the Biden Administration welcoming the launch of the Indo-Pacific Economic Framework (IPEF) initiative as part of the government’s Indo-Pacific strategy. USCIB’s engagement on the letter was led by USCIB Trade and Investment Committee Chair, Rick Johnston.

The letter stated: “We agree that strengthening trade, investment and economic ties with the region benefits all Americans. The United States needs an affirmative agenda with allies and key partners in the Indo-Pacific to advance shared economic and strategic interests. The United States, as well as our allies and key trading partners, would benefit most from an ambitious and comprehensive IPEF initiative with enforceable commitments, new market opportunities, and wide adoption of high standards.”

“It is critical that U.S. industry voices its support for Biden Administration leadership in engaging this important region of the world,” said USCIB Director for Investment, Trade and China Alice Slayton Clark.

According to the letter, the Indo-Pacific already accounts for $1.75 trillion in trade with the United States and thirty percent of U.S. goods and services exports, supporting millions of American jobs.

USCIB Meets With Australian Consul General to Discuss Mutual Interests, Future Collaboration

Left to right: Nick Greiner, Peter Robinson

USCIB had the honor of hosting Australian Consul General Nick Greiner and his colleague Mike Ryan on February 16 in the USCIB New York office.

The meeting between the Australian delegation and USCIB, which included USCIB President and CEO Peter Robinson and Senior Vice President for Policy and Global Strategy Norine Kennedy, allowed for a candid discussion of mutual interests and potential future collaboration—namely in trade and investment, climate change and digital economy, among others.

It was acknowledged that USCIB and its Australian counterpart, the Australian Chamber of Commerce and Industry (ACCI), are both privileged to serve as the respective national affiliates of the three main global business organizations: International Chamber of Commerce (ICC), International Organization of Employers (IOE), and Business at OECD (BIAC).

ACCI also serves as a Steering Team Partner on The USCIB Foundation’s Business Partners to CONVINCE initiative, which is a global network of employers of all sizes that seeks to build vaccine confidence and support uptake among employees.

The Australian Consulate is located in the same building as the Australian Mission to the United Nations, and Consul General Greiner generously offered to introduce USCIB to the latter.

Business at OECD (BIAC) Holds Annual Consultation With OECD Ambassadors and Leadership

2022 Annual Consultation with OECD Ambassadors and Leadership

Business at OECD (BIAC) held its annual consultation with OECD Ambassadors and Leadership on February 22 with the theme, “Exiting Crisis Mode: Addressing Business Recovery, Risks and Realities.” USCIB President and CEO Peter Robinson participated as a BIAC spokesperson with an intervention focusing on “Digital,” in which he emphasized several points that honed in on ensuring inclusive and sustainable outcomes.

Robinson noted that the business community looks to the OECD to lead in the development of consistent, coherent and cross-cutting policy frameworks for emerging digital technologies. “We point to the OECD AI principles as an excellent example of how multi-stakeholder processes can develop cutting edge principles for the digital economy,” stated Robinson.

He also stressed the need for globally interoperable data policy frameworks that facilitate more responsible data-sharing and collaboration, as well as enforceable cross-border and cross-sector data flows—adding that the upcoming OECD Digital Ministerial will be an important opportunity for the OECD to deliver cross-cutting data governance policy guidance that works for business, governments and individuals alike.

Finally, Robinson emphasized support for OECD efforts to produce high-level principles addressing the critical issue of trusted government access to personal data held by the private sector. “OECD is best placed to address this important issue, which underpins economic growth and societal well-being,” stressed Robinson.

BIAC provided other interventions on various policy priorities such as trade and investment, climate change, energy, taxation, employment and health, with BIAC representatives including several BIAC Committee Chairs and Vice Chairs. The BIAC input was responded to by OECD Ambassadors, including U.S. Ambassador Jack Markell, as well as representatives of the OECD Secretariat.

The Annual Consultation was opened by OECD Secretary-General Mathias Cormann, BIAC Chair Rick Johnston (Citi and USCIB board member), and Italian BIAC Board member Emma Marcegaglia, who served as chair of Italy B20.

A summary of the meeting by BIAC is available here, which includes a link to BIAC’s Recommendations from the private sector affirming the role of the market economy.

USCIB Offers Business Recommendations to UN Partnership Forum  

The 2022 United Nations (UN) Economic and Social Council (ECOSOC) Partnership Forum was held on February 2, under the theme Building back better from the coronavirus disease (COVID-19) while advancing the full implementation of the 2030 Agenda for Sustainable Development.This Forum is the first in a series of SDG-related meetings leading up to the UN General Assembly, and the only focused on SDG17, Partnerships. 

USCIB was invited to speak during the Opening Plenary as the U.S. Business representative through its standing in the UN Major Group for Business and Industry, where USCIB Senior Vice President Norine Kennedy is a Co-Chair. Kennedy invited USCIB members, Bayer, to speak on behalf of U.S. Business. Representing Bayer, Dr. Alejandra Castro, Global Head of Partnerships and International Organizations, emphasized the criticality of multilateral partnerships being inclusive, and how the U.N. Sustainable Development Goals (SDGs) continues to serve as the sustainability framework for business planning and action to advance sustainability in partnership with the international community and with all stakeholders.

Castro continued speaking on how, for Bayer, when focusing on sustainability within food and agriculture, they “have welcomed openness across the UN system to partnering with business on pandemic response –and recovery – and many members of business and industry have stepped forward. Farmers have been supporting our food system at a time where markets are facing shutdowns, slowdowns, climate change and economic crisis.” In closing out her remarks, Castro underlined the readiness of USCIB and all colleagues in business to work with the international community to get back on track, and to build back better with dedication to inclusive multilateralism that engages every societal partner working side by side with governments, and with one another.  

The Secretary General’s report, Our Common Agenda (OCA), was frequently referenced during the Forum – both by speakers and attendees. The OCA contains ninety recommendations setting out to supercharge action towards realizing the 2030 Agenda for Sustainable Development and will play a critical role in multilateral partnerships moving forward. 

USCIB, with the International Organization of Empoyers (IOE), co-chairs the Business and Industry Major Group at the UN in New York. IOE organized two events in the Forum:  

USCIB Commences 2022 With Robust Engagement With Biden Trade Officials

USCIB is off to a vigorous start in 2022 in the area of business advocacy. In January, USCIB Director for Investment, Trade and China Alice Slayton Clark held three major committee meetings to bring USCIB members together with Biden Administration officials to discuss China, India and Indo-Pacific trade policy.

Launching this effort, the USCIB China Committee met January 11 for an off-the-record virtual discussion with Deputy Assistant USTR for China Affairs Tim Wineland regarding the key issues confronting the U.S.-China trade relationship. The meeting provided an opportunity for USCIB members to discuss the latest policy developments impacting relations with one of our largest trading partners; topics addressed included the Biden-Xi virtual leaders’ summit, the Administration’s new China trade policy and negotiating agenda for 2022, an assessment of the China Phase 1 trade agreement, and the U.S. plan to address industrial subsidies with China, among other concerns.

The following week, USCIB members met January 19 with Assistant USTR for South and Central Asia Chris Wilson and Deputy Assistant USTR Brendan Lynch for an update on the US-India Trade Policy Forum (TPF) process and the chance to share trade concerns to help inform U.S. priorities as TPF working groups in the areas of agriculture (regulatory alignment), non-agriculture, intellectual property, and services (including digital) are formed for 2022.  A dialogue established by India and the United States in 2005, the TPF was on pause for several years until the Biden Administration relaunched it with an inaugural meeting November 23, 2021.

According to Clark, “the TPF is important to the elimination of trade barriers between the United States and India, and we are grateful to the Biden Administration for resetting the bilateral relationship by reviving this process.  It was important for USCIB members to talk with the negotiators and share their company concerns so the discussions can yield the best results for U.S. industry and its workers.”

Finally, Deputy Assistant Secretary for Asia at the Department of Commerce Pamela Phan joined the USCIB Trade and Investment Committee quarterly meeting January 27 to discuss the Biden Administration’s recently announced Indo-Pacific Economic Framework (IPEF). The IPEF is a Biden Administration initiative intended to reassert U.S. leadership and influence, particularly vis-à-vis China’s economic linkages in the region.  While IPEF is in its early stages, USCIB felt it important to engage with Administration officials now to help shape workstreams and expectations for the discussions ahead.

USCIB Launches Competition Webinar Series; First One Focuses on China

The USCIB Competition Committee launched a new webinar series for 2022 titled “Updates in International Competition Law and Enforcement,” spotlighting antitrust developments in key jurisdictions around the globe.

The first event was held last week, focusing on China antitrust regulation and enforcement and featuring experts from the International Chamber of Commerce (ICC) China National Commission: Dr. Hao Zhan, managing partner at Anjie Law Firm Beijing and ICC Competition Commission regional ambassador to China, Susan Ning, senior partner and head of compliance department of King & Wood Mallesons in Beijing, and Song Ying, antitrust partner at Anjie Law Firm Beijing.

“We hope these webinars will benefit USCIB members, giving them the opportunity to learn from competition experts from around the globe on issues critical to their business,” said USCIB Director Investment, Trade and China Alice Slayton Clark.

Zhan discussed recent fundamental changes in China’s antitrust system, with consolidation in 2018 of three authorities into the State Administration for Market Regulation (SAMR), a centralized, vice ministry level authority with more power to promulgate and enforce competition rules and laws. According to Zhan, this has ushered in a new era of antitrust enforcement in China with the establishment of the State Anti-Monopoly Bureau and more cases and higher penalties targeting mostly the media, finance, technology internet platform and pharmaceutical sectors.

Ning outlined the Anti-Monopoly Law, draft amendments released in October 2021 and the anti-monopoly guidelines on the platform economy enacted in February 2021. She discussed how the trend in China is to focus antitrust efforts on the platform economy, focusing on the role of algorithms and platform technologies being misused to exclude or coordinate with others in the marketplace.  Vertical, horizontal and hub and spoke relationships are all targeted. She also discussed the behavior patterns for big data killing, when platforms discriminate in pricing practices using algorithms to differentiate consumers and customary spending costs and described a few high-profile penalty decisions imposed on platform operators who hindered the flow of consumers between platforms – “picking one from the two” problem.

Finally Song described the recent history of anti-monopoly law development in China, highlighting a few of the key changes sought through AML amendments, most of which fall under merger control, addressing no safe harbor, aiding and abetting (liability of third parties), stop the clock, and higher penalties for gun jumping, for example.

Clark plans to host the next webinar in the spring, spotlighting European or Latin American antitrust enforcement practices.