Policy Areas Archives

WTO and UN Host Global Dialogue on Trade and Food

Published on July 14, 2021

USCIB Senior Vice President, Innovation, Regulation, and Trade Brian Lowry participated in an outreach event on July 6 convened by the World Trade Organization (WTO) Secretariat in collaboration with the United Nations Food Systems Summit.

The Global Dialogue on Trade; Trade, An Essential Piece of the of the Food Systems Puzzle was curated by Dr. David Nabarro and convened to encourage an informal dialogue and exchange of views amongst invited participants, representing a broad range of stakeholders from government, civil society, business, farmers, academia and more.

A high-level opening plenary with WTO Director General Dr. Ngozi Okonjo-Iweala and Special Envoy of the United Nations Food Systems Summit Dr. Alice Kalibata, was followed by discussions in ten breakout sessions amongst invited participants under Chatham House rules. Lowry participated in breakout discussion on Realizing the Human Right to Food, which was facilitated by Michael Fakhri, UN special rapporteur on the Right to Food. Other sessions focused on topics such as, international trade in food in times of crisis, global agricultural value chains, nutrition security, ensuring sustainable food trade and food safety.

According to Lowry, no reports or outcomes will emerge from the discussions in the breakout rooms. A high-level closing plenary presented in broad terms some of the subjects discussed in the breakout sessions and included closing remarks by WTO Deputy Director General Jean-Marie Paugam.

USCIB-IOE United Nations Side-Event Focuses on Global Recovery, Private Sector Innovation

Published on July 8, 2021

As in previous years, USCIB, as part of the recognized Business and Industry Major Group at the United Nations in New York, hosted a side-event during the United Nations High-Level Political Forum (HLPF). Co-organized with the International Organization of Employers (IOE), this year’s event focused on private sector partnerships and contributions to the UN Sustainable Development Goals (SDG’s) and to powering a global recovery from the pandemic’s economic and social devastation.  A key element of this official HLPF business side-event was on encouraging and deploying business innovation.

The event brought together leaders from companies, employer organizations, the multilateral system, and more, to explore the innovative ways that business can be a valuable partner in defeating the pandemic, while restoring lost progress towards SDG’s. The event featured two panels; one focused on COVID-19 recovery and the second on private sector innovation, including on addressing climate change and the digital divide. USCIB speakers from Microsoft and Novozymes flagged the criticality of business engagement through partnerships with government, UN bodies and other stakeholders.

“Building forward better sustainably in the Decade of Action and Delivery will require a stronger than ever commitment to multi-stakeholder engagement and partnership,” said USCIB Senior Vice President Norine Kennedy. “Business is committed to the SDG’s, not only because implementing the 2030 Agenda is the right thing to do, but also because of the strong business case for doing so. The UN 2030 Agenda for Sustainable Development offers business opportunities for new markets, job creation and sustainability solutions.”

Dr. Scott Ratzan provided an update on The USCIB Foundation’s initiative, “Business Partners to CONVINCE,” and its Global COVID-19 Workplace Challenge, which is tackling vaccine hesitancy and misinformation, especially in the work place.

According to Dr. Ratzan, “the private sector has been at the forefront of tackling the pandemic – from the historic race to develop vaccines, to opening premises to production of PPE and vaccination campaigns, to training and educating employees on public health and safety. Business has shown that it can and should be a meaningful partner in building back better, contributing not just funding, but innovation, expertise, technology, fresh ideas and diverse perspectives of business and employers, particularly Small and Medium Enterprises, who are so crucial to economic growth at the local level.”

In the News: USCIB Quoted in Tax Notes Following OECD Global Tax Update

Published on July 8, 2021

USCIB Vice President for Taxation Policy Rick Minor was quoted in a lead article in Tax Notes on July 6 regarding the significant global tax update statement made on July 5 by the Organization for Economic Cooperation and Development (OECD).

The OECD inclusive framework on base erosion and profit shifting confirmed that 130 of its 139 members have agreed on key elements of the plan, which aims to address the tax challenges of an increasingly digital and globalized economy.

According to the OECD, the 130 countries and jurisdictions represent more than ninety-percent of global GDP.

In the Tax Notes article, Minor said the USCIB’s members will follow the inclusive framework’s progress closely. “I understand the next significant document will be the design and implementation plan mentioned in the statement,” he said. “We should expect consultation with the business community will continue more earnestly now.”

USCIB Tax Committee members Will Morris (PwC) and Robert Stack (Deloitte) were also quoted.

Annual Labor Conference Deliberates COVID-19 and Social Protection

Published on June 30, 2021

As in years past, USCIB participated in the International Labor Organization’s (ILO) International Labor Conference (ILC) June 3-June 19.  As the U.S. employer representative to the International Employers’ Organization (IOE), USCIB is the only U.S. business organization to participate in the annual conference.

Due to COVID-19, the ILC was cancelled in 2020 for the first time in its 100-year history and is taking place virtually this year.  A second session of the ILC will be taking place from November 25 to December 11 and will cover the critical topics of skills and inequalities.

In addition to standing agenda items, the June session included discussions on the ILO’s response to COVID-19 and Social Protection, as well as General Body elections for the 2021 to 2024 term, to which USCIB Senior Advisor Tom Mackall secured a position as a representative for the Americas. Declarations on the ILO’s Response to COVID-19 and Social Protection were adopted by the Plenary on the Final day of the ILC. USCIB Vice President for Corporate Responsibility and Labor Affairs Gabriella Herzog and Policy and Program Manager Daniella Goncalves participated in the Social Protection negotiations.

Notably USCIB President and CEO Peter Robinson delivered remarks on the Director General’s Report, Work in the Time of COVID. After acknowledging and thanking DG Guy Ryder for his years of service, Robinson laid out USCIB priorities for a sustainable and equitable recovery from the pandemic. Highlighting Business Partners to CONVINCE (BP2C) and USCIB’s unique policy expertise and access to multilateral fora, Robinson noted: “USCIB continues to advocate to address decent work deficits through investments in securing rule of law. We remain particularly concerned by the persistent issue of forced labor, which requires international attention. The ILO has a critical role to play and should apply its expertise, leadership and resources to support the elimination of forced labor. “

“We are confident that through increased collaboration and policy coherence, investments in capacity building efforts, and continued social dialogue, with the ILO serving as the custodian of SDG-8, we will emerge from this pandemic a stronger, more resilient and inclusive society,” added Robinson.

WTO and Industry Leaders Discuss Future Work for WTO

Published on June 30, 2021

USCIB and member companies Deloitte, Google, Mastercard, Merck, Pfizer and Walmart participated in a June 23 exclusive Virtual Trade Dialogue with World Trade Organization (WTO) Director-General Dr. Ngozi Okonjo-Iweala and several WTO ambassadors. The Trade Dialogue, facilitated by the International Chamber of Commerce (ICC), provided a robust exchange between global industry leaders and the WTO leadership in three areas: WTO response to COVID-19, deliverables for the twelth WTO ministerial meeting (MC12) and future work for the WTO.

Ngozi expressed cautious optimism about the future of international cooperation, as evident from the successful outcomes of the recent G7, the G20 global health and the U.S.-EU bilateral summits. She reiterated the need to deliver concrete results at MC12 in the areas of trade and health, fishery subsidies and food security as a way to restore credibility in the WTO as an effective institution. Ngozi and WTO ambassadors pressed business leaders to engage their host governments to deliver outcomes, as well as to communicate the importance to global industry of an effective WTO, now and in the future.

Her messages were underscored by ICC Chair and Mastercard Executive Chairman Ajay Banga, who outlined the significance of trade to global economic recovery, and the imperative that nations reinvigorate the WTO as a functional negotiating and adjudicatory body. B20 Chair Emma Marcegaglia concurred, promoting a WTO reform roadmap and other trade objectives business would like adopted this fall by G20 leaders as a catalyst for MC12.

Industry participants expressed hope for progress in areas, such as the role of the WTO in future health emergencies, joint initiatives on e-commerce and services regulations, and trade facilitation for a circular economy, gender inclusivity and micro, small and medium enterprises.

For more, including a summary of the issues raised, click here to link to a WTO report on the Trade Dialogue.

APEC Workshop Discusses COVID-19 Lessons for Customs and Trade Facilitation

Published on June 16, 2021

In partnership with the New Zealand Customs Service, the Asia Pacific Economic Cooperation (APEC) Sub-Committee on Customs Procedures (SCCP) held a virtual workshop as part of their recently endorsed project “Customs Response to COVID-19 Trade Recovery: Lessons Learnt and Future Opportunities.”

USCIB Director, Customs and Trade Facilitation Megan Giblin, joined by, among others, customs officials of APEC economies, as well as customs experts from the private sector and international organizations, used this workshop to examine and reflect upon trade facilitation issues during the COVID-19 pandemic including challenges, best practices and how to continue forward.

“I emphasized the work done to assist USCIB members and document the barriers they faced at international borders during COVID. I also highlighted our Customs and Trade Facilitation COVID Recommendations and core priorities in our 2021 APEC Policy Priorities Paper, which have been shared with economies and organizations,” said Giblin.  “Many of the hurdles faced during COVID could have been reduced or eliminated through robust and accelerated implementation of TFA commitments.”

Giblin also expressed the importance and helpfulness of U.S. Customs and Border Protection (CBP) communications approach with members of the trade community, from standing calls to consolidated websites, updates and intake portal to engaging directly on concerns in the COVID environment and encouraging other economies to adopt these practices, which should be seen as best practices. Additionally, Giblin applauded the approach taken by other U.S. government agencies in providing consolidated information and aiding in separating fact from rumor during this critical time.

She also continued to raise awareness on the recent WTO communication entitled, “Supporting the Timely and Efficient Release of Global Goods Through Accelerated Implementation of the WTO Trade Facilitation Agreement.”

“About half of the APEC economies have already become co-sponsors of the communication and USCIB encourages all others to become co-sponsors as well,” added Giblin.

Accepting USCIB Amicus Position, Appeals Court Rejects FTC Approach to Antitrust Liability for Trademark Settlements

Published on June 16, 2021

The U.S. Court of Appeals for the Second Circuit has vacated the Federal Trade Commission’s (FTC) decision that 1-800 Contacts engaged in illegal agreements with rival online contact lens sellers on June 11, 2021.

In 2018, the Commission imposed antitrust liability against 1-800 Contacts years after it settled at least fourteen trademark infringing lawsuits against competing online retailers. The Commission alleged the settlements restricted trade by preventing all parties from bidding on each other’s trademarked search terms. USCIB filed an amicus brief in support of 1-800 Contacts during the appeal, arguing, among other things, that the Commission’s decision ignored the critical importance to business of intellectual property rights and that enforcing the FTC’s ruling would unfairly apply the lawful exercise of such rights to a higher pro-competition standard.

According to Bryan D. Gant of USCIB member firm White & Case, the Second Circuit’s opinion rejected both the idea that settling trademark disputes is “inherently suspect,” and that this standard could be applied to future cases. The court also overruled the Commission’s attempt to treat mere anecdotal price differences as direct evidence of anticompetitive conduct and directed that any “less restrictive alternatives” the Commission proposes be realistic. Bryant cautions, however, that in a footnote to the opinion, the Second Circuit leaves open the possibility that negative keyword advertising—paying to have a competitor’s name not appear in the search—might raise antitrust concerns, but the Court refused to consider it in this case as the issue was not squarely addressed by the FTC.

“USCIB is pleased that the Second Circuit decision largely accepted its amicus brief, rejecting the FTC’s approach to antitrust liability for trademark settlements, avoiding the potential negative impacts the decision would have had on businesses, consumers and competition,” asserted USCIB General Counsel Nancy Thevenin. The case is now remanded back to the Commission with instructions to dismiss.

USCIB is grateful to Eileen M. Cole, Bryan D. Gant and Seiji Niwa of member firm White & Case and USCIB Competition Committee leadership for their excellent work on the amicus brief.

The Second Circuit opinion is available here.

Brazil’s Accession to OECD: USCIB Hosts Discussion on Regulatory Good Practices

Published on June 16, 2021

USCIB co-hosted a third meeting of the Brazil-OECD Business Policy Roundtable last week, gathering U.S. and Brazilian industry and government officials to discuss the advancement of regulatory good practices (RGPs) to facilitate Brazil’s accession to the OECD.

According to USCIB Director for Investment, Trade and China Alice Slayton Clark, Brazil is currently undertaking significant regulatory reform consistent with OECD guidelines, such as Recommendations of the Council on Regulatory Policy and Governance. Ministry of Economy Program Director Kelvia Frota de Albuquerque noted recent actions toward that end, including Decree 10,411 that makes regulatory impact analysis (RIA) mandatory for all significant regulations, which identifies the regulatory problem and assesses available alternatives to direct regulation. The decree was issued pursuant to the Regulatory Agencies Law and the Economic Free Law of 2019, coming into force with respect to the Ministry of Economy this past April, and will apply to other federal administrative bodies on October 14, 2021.

It is part of a whole-of-government effort to harmonize and streamline regulatory functions, according to Frota de Albuquerque. A restructuring of licensing and permitting throughout the country at the regional, municipal and local levels will require a significant cultural shift, high-level intervention from the Ministry of Economy and significant capacity building, data management, stakeholder engagement and ex-post analysis.

“Regulatory reform in Brazil is catalyzed not only by its quest for OECD accession but by regulatory commitments it will undertake when it ratifies the Protocol Relating to Trade Rules and Transparency signed in October 2020, updating the U.S.-Brazil Agreement on Trade and Economic Cooperation,” said Clark.

Deputy Assistant U.S. Trade Representative for Latin America Courtney Smothers said that she hopes other workstreams will also inspire progress, including reforms advanced through the World Trade Organization (WTO) Technical Barriers to Trade (TBT) Committee, the U.S.-Brazil regulator-to-regulator dialogue, the Brazil-U.S. CEO forum and regional avenues, such as the Summit of the Americas.

Australia and Canada will be leading an OECD peer review of Brazil’s reform efforts, issuing recommendations next year for additional regulatory improvement, said Manuel Gerardo Flores Romero, coordinator of the OECD Regulatory Policy Programme in Latin America.

The Roundtable discussions are a private sector collaboration led by the USCIB, the U.S. Chamber of Commerce’s Brazil-U.S. Business Council and the Brazil National Confederation of Industry (CNI). Additional roundtable discussions will be held throughout 2021, covering investment and trade, tax, environment and sustainable development, innovation and intellectual property. Digital issues were discussed at the March Roundtable earlier this year.

USCIB Raises Concerns About a Vaccines Waiver at WTO

Published on June 16, 2021

USCIB joined a multi-industry letter to World Trade Organization (WTO) Director-General Dr. Ngozi Okonjo-Iweala regarding the ongoing discussions of a waiver of certain intellectual property (IP) rights for the prevention, containment and treatment of COVID-19.

Serving as representative for Business Partners to CONVINCE, an initiative of The USCIB Foundation, Brian Lowry, USCIB senior vice president, wanted to ensure that USCIB was doing its part to help improve vaccine availability.

“Fundamentally, the letter raises concerns about the practical impact of the waiver of IP rights on the real issues of distribution and administration of the vaccines,” Lowry said. “The challenges here are multifaceted and need a holistic approach, rather than one narrowly focused on intellectual property. There are trade-related obstacles that are preventing timely – and equitable – access to these critical products.”

The letter highlights genuine trade barriers such as export restrictions and technical regulations, quarantine obligations on essential transport and logistics services providers, as well as the removal or reduction of tariffs on goods that are considered essential to fighting the COVID-19 pandemic.

The letter also stated that industry agrees with world leaders that “nobody is safe, until everyone is safe” and is proud of how many companies have mobilized and shifted resources to help meet this challenge.

In addition to USCIB, the letter was signed by the Canadian Chamber of Commerce, BusinessEurope, the Federation of Korean Industries, the U.S. Chamber of Commerce and the Global Innovation Policy Center.

USCIB Statement on World Day Against Child Labor

Published on June 11, 2021

New York N.Y., June 10, 2021 — On the World Day Against Child Labor, the U.S. Council for International Business (USCIB) joins the chorus of global voices calling for elimination of child labor. This issue is one of profound concern for the business community and we applaud the robust efforts of our corporate members to help tackle the scourge of exploitative child labor. As the U.S. business representative to the International Labour Organization (ILO), USCIB has consistently advocated for international action to promote decent work and address the enforcement and implementation gaps that exacerbate vulnerabilities.

Ahead of World Day Against Child Labor on June 12, the ILO and UNICEF released new global estimates on child labor. USCIB notes with great concern the increase of children in child labor for the first time in twenty-years and we know that the COVID-19 pandemic presents an ongoing risk to millions more children.

Despite universal ratification of ILO Convention 182 on the Worst Forms of Child Labor, there remains an unacceptable 160 million children in child labor, seventy-nine million of which are in hazardous work. One child is too many. Therefore, the private sector calls on governments to recommit to and invest in good governance, promulgation of sound national labor laws, and effective enforcement. USCIB stands ready to partner with governments, academia, civil society and the public to reinvigorate efforts to achieve Sustainable Development Goal 8 (SDG-8) to “promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all,” with particular attention to Target 8.7 to end all forms of child labor by 2025.

About USCIB

USCIB promotes open markets, competitiveness and innovation, sustainable development, and corporate responsibility, supported by international engagement and regulatory coherence. Its members include U.S.-based global companies and professional services firms from every sector of our economy, with operations in every region of the world. As the U.S. affiliate of the International Chamber of Commerce, the International Organization of Employers and Business at OECD (BIAC), USCIB provides business views to policy makers and regulatory authorities worldwide and works to facilitate international trade and investment. More at www.uscib.org.