Press Release Archives

At G8 Business Summit, USCIB Chairman Urges Governments to Avoid Investment Protectionism

Published on April 24, 2007

Joint statement by business federation heads also presses for Doha Round’s completion

USCIB Chairman William G. Parrett (second from left) joined other top business chiefs at the first-ever G-8 Business Summit in Berlin (Photo: BDI).
USCIB Chairman William G. Parrett (second from left) joined other top business chiefs at the first-ever G-8 Business Summit in Berlin (Photo: BDI).

Berlin, April 25, 2007 – At today’s first-ever G-8 Business Summit, the chairman of the United States Council for International Business (USCIB), William G. Parrett, also CEO of Deloitte, urged the leaders of the Group of Eight nations to maintain their commitment to the open flow of international investment across borders, realizing countries still need to address local issues such as national security.

“Governments need to take action at the highest level to avoid investment protectionism if we want to encourage the free flow and benefits of international investment,” said Mr. Parrett, who represented the United States in the G-8 business preparatory meeting, which was organized by the Federation of German Industries (BDI).  “They need to affirm, in word and practice, their commitment to open, cross-border investment.”

The Berlin summit brought together the heads of top business federations from Germany, which hosts this year’s G-8 leaders summit in Heiligendamm this June, and the other G-8 nations along with the trans-European business federation Business Europe.  The business leaders signed a joint G-8 Business Declaration that will be presented to the G-8 government leaders, urging completion of the WTO’s Doha Round “as a matter of urgency and top priority,” and proposing ways to address related trade and investment issues, innovation challenges such as intellectual property rights, and climate protection.  They were scheduled to meet with German Chancellor Angela Merkel later today.

Investment protectionism has been on the rise both in the G-8 nations and elsewhere, and curtailing such measures was among the top priorities spelled out by the business leaders in a joint statement.  Mr. Parrett pointed to a number of recent measures that he said needlessly interfered with foreign mergers, acquisitions and greenfield investment under the guise of security concerns.

Mr. Parrett said business recognized that the world had changed dramatically since 9/11, and that governments must pay more attention to national security issues.  “But a legitimate concern for national security needs to be balanced against the benefits of allowing foreign investment,” he said.  “Blocking a foreign takeover for reasons of national security should be an extremely rare occurrence, and should be taken as a measure of last resort, only when all other rules or tools that are designed to protect national security are not adequate or effective.  Further, blocking international investment should not be used as a means to give unreasonable commercial advantage for domestic businesses.”

Mr. Parrett called upon the G-8 governments to support annual updates by the OECD of measures to restrict investment on grounds of national security, and the extension of this study to the issue of informal barriers to investment.  He urged that the business community be fully engaged in helping identify such informal barriers.

The business leaders focused on a number of other issues they said required attention by their governments at the Heiligendamm summit.  These included completion of the WTO’s Doha Round, fostering intellectual property rights, enhancing efficient capital markets, strengthening environmentally friendly technologies and facilitating private-sector participation in African development.

Peter M. Robinson, president of USCIB, who was also in Berlin, drew attention to the need for immediate action by the G-8 governments to protect intellectual property rights and stamp out product piracy.  “The issue has moved far beyond movies and music,” he said.  “Nowadays no industry, and no country, is immune from counterfeiting and piracy.  Government action is urgently needed at the highest levels to stamp out this scourge.”

The United States Council for International Business promotes an open system of global commerce in which business can flourish and contribute to economic growth, human welfare and protection of the environment.  Its membership includes more than 300 leading U.S. companies, professional services firms and associations whose combined annual revenues exceed $3.5 trillion.  As the American affiliate of several leading global business groups, USCIB provides business views to policy makers and regulatory authorities worldwide, and works to facilitate international trade.  More information is available at www.uscib.org.

Contacts:
Jonathan Huneke, VP Communications, USCIB
Tel: +1 212 703 5043 or +1 917 420 0039 (mobile)
E-mail: jhuneke@uscib.org

Madonna Jarrett, Director, DTT Public Relations and CEO Communications
Tel: +1 212 492 3738 or +1 646 388 2335 (mobile)
Email: mjarrett@deloitte.com

G-8 Business Declaration: Joint Statement of the G-8 Business Organizations (PDF file, 1.8 MB)

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G-8 2007 Summit website

Federation of German Industries (BDI) website

Deloitte website

 

USCIB Welcomes Free Trade Agreement with Korea

Published on April 2, 2007

3682_image001New York, N.Y. April 2, 2007 – The United States Council for International Business (USCIB), a pro-trade group representing America’s top global companies, today applauded completion of the U.S.-Korea Free Trade Agreement.

“This agreement with the world’s tenth largest economy has the potential to bring huge economic benefits to U.S business, workers, consumers and farmers,” said USCIB President Peter M. Robinson. “It is one of the most important free trade pacts the U.S. has ever achieved.”

Yesterday, the U.S. and Korea announced completion of a comprehensive trade agreement that would eliminate nearly all tariffs on manufactured goods and offer substantial new market access for U.S services exports and agricultural products.

Korea is the seventh largest U.S. trading partner and export market, with $72 billion in bilateral trade in goods in 2005.  The United States exported almost $40 billion worth of goods and services that year.

“We understand that not all of our objectives were realized in this compromise agreement,” stated Mr. Robinson.  “We will closely examine the text of the agreement before offering views on the substantive results.”

USCIB provided comprehensive industry views on objectives for the U.S.-Korea free trade agreement in March 2006.

USCIB promotes an open system of global commerce.  Its membership includes some 300 leading U.S. companies, professional services firms and associations.  As the American member of the leading international business and employers’ organizations, USCIB provides business views to policy makers and regulatory authorities worldwide and works to facilitate international trade.

Contact:

Timothy E. Deal, SVP Washington

+1 202 371 1316 or tdeal@uscib-dc.org

USCIB statement on objectives for the U.S.-Korea free trade agreement (March 2006)

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Office of the U.S. Trade Representative’s website

 

Top US Multinationals Urge Trade Authority Renewal

Published on February 12, 2007
U.S. Trade Representative Susan Schwab spoke at the launch of the Trade for American campaign
U.S. Trade Representative Susan Schwab spoke at the launch of the Trade for American campaign

Washington, D.C., February 12, 2007 – The United States Council for International Business (USCIB), which represents hundreds of America’s top global companies, today urged renewal of trade negotiating authority, calling it essential for completion of the WTO’s Doha Round and a host of bilateral agreements.

The appeal came at the launch of a new campaign, Trade for America, at a National Press Club event featuring U.S. Trade Representative Susan Schwab.  The president’s existing trade authority, which provides for an up-or-down vote by Congress on trade agreements negotiated by the administration, with no amendments, will expire at the end of June unless Congress takes action to renew or extend it.

“Renewing trade negotiating authority is essential if we are to complete the Doha Round, and to secure bilateral trade agreements currently before Congress or in the works,” said USCIB President Peter M. Robinson. “The business and agricultural communities are united in this belief, and we will do everything we can to promote legislation that enables companies, workers and farmers to continue to benefit from expanded trade.”

Mr. Robinson said USCIB is rallying global business support for completing the Doha Round, where negotiations recently re-commenced after several months of stalemate.  USCIB serves as the American affiliate of the International Chamber of Commerce (ICC) and other leading global business groups.  Mr. Robinson noted that ICC Chairman Marcus Wallenberg of Sweden had met with senior government officials in the U.S., Europe, India and elsewhere in an effort to get the WTO talks back on track.

USCIB is a member of the steering committee of Trade for America, which represents a wide array of companies and associations from nearly every sector of the U.S. economy, united in their belief that renewal of trade negotiating authority is essential to ensure American competitiveness in the global economy.

Trade for America members welcomed recent statements by President Bush and leading members of Congress affirming the importance of renewing that authority.  For example,  Congressman Charles B. Rangel (D. – N.Y.) the incoming chairman of the House Ways and Means Committee, told a USCIB audience in December: “I want to see what compromises can be made so that we move forward, not as Democrats or Republicans, but as a Congress the nation can be proud of.  Where I am most optimistic is in the area of trade.”

USCIB promotes an open system of global commerce in which business can flourish and contribute to economic growth, human welfare and protection of the environment.  Its membership includes some 300 U.S. companies, professional service firms and associations whose combined annual revenues exceed $3 trillion.  As American affiliate of the leading international business and employers organizations, USCIB provides business views to policy makers and regulatory authorities worldwide and works to facilitate international trade.

More on USCIB’s Trade and Investment Committee

USCIB press release: “Global Industry Groups Rally to Save Doha Round” (January 17, 2007)

Global Industry Groups Rally to Save Doha Round

Published on January 17, 2007

3658_image001New York, N.Y., January 17, 2007 – Major business groups from countries representing 60 percent of world trade called for the swift completion of the Doha Round negotiations in the World Trade Organization, saying “the costs of failure are diverse and grave.”

The United States Council for International Business (USCIB) joined 18 other leading business organizations, from both industrialized and developing nations, in a global appeal for the immediate re-start of the Doha Round, which has reached a critical impasse largely over agricultural trade.  They called for the swift conclusion to the talks based on more flexible offers by all parties and the goal of an ambitious, market-opening outcome.

“While the benefits for an ambitious conclusion of the Round are great, the costs of failure are diverse and grave,” the statement said.  “Notwithstanding the loss of potential welfare gains, a failed Round could lead to challenges to the World Trade Organization and a strong multilateral rules-based trade system; increased regionalism and protectionism; shocks in financial markets and the loss of an opportunity to catalyze domestic economic reform.”

The business organizations called for a substantial reduction or elimination of tariffs and an effective approach to non- tariff barriers.  In agriculture, they said they sought commercially meaningful new market access, the reduction of and eventual elimination of trade-distorting mechanisms and subsidies, including export subsidies and disciplines on export measures in all countries in a coherent and progressive manner.  In services, WTO members need to improve multilateral commitments to tackle non-tariff barriers and provide new market access, the groups said.

“It is quite likely the Round will fail if significant progress is not made in the next two to three months, said Peter M. Robinson, USCIB’s president. “Business strongly urges governments to show the political leadership to reject failure, and seize this once-in-a-generation opportunity to raise living standards around the world.”

An ambitious result in the Doha Round is a top priority of USCIB.  Mr. Robinson said USCIB would continue to use itsglobal network of business affiliates and connections to garner broader industrial business support for an immediate completion of the Doha Round, working especially with the International Chamber of Commerce, the world business organization.

USCIB promotes an open system of global commerce in which business can flourish and contribute to economic growth, human welfare and protection of the environment.  Its membership includes some 300 U.S. companies, professional service firms and associations whose combined annual revenues exceed $3 trillion.  As American affiliate of the leading international business and employers organizations, USCIB provides business views to policy makers and regulatory authorities worldwide and works to facilitate international trade.  More information is available at www.uscib.org.

Doha International Business Statement

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