News Stories Archives

USCIB Urges Free Data Flows to Achieve Economic Growth

Published on November 13, 2018

USCIB filed comments on November 11 in response to a Federal Register notice from the U.S. Department of Commerce’s National Telecommunications and Information Administration (NTIA) regarding a proposed approach to consumer data privacy. NTIA’s proposal is designed to provide high levels of protection for individuals, while giving organizations legal clarity and the flexibility to innovate.

USCIB’s comments highlighted the view that the free flow of data and information is critical for economic development and growth, citing a recent study that the increase in GDP from data flows was an estimated $2.8 trillion.

“Business realizes that the benefits of technology innovation enabled by data flows will only be realized and embraced by consumers, businesses, and governments who trust the online environment and feel confident that the privacy of their personal data will be respected,” stated the letter. “USCIB members are committed to complying with applicable privacy regulations and recognize their responsibility to adopt recognized best practices to ensure that personal data and information is appropriately secured as technology and services evolve.”

However countries such as China, India, Malaysia, Panama and South Korea have proposed restrictive data protection laws that could significantly harm U.S. companies while also undermining efforts to enhance global interoperability.

“These countries’ approaches range from quite onerous data localization requirements to national privacy frameworks that are administratively burdensome and complex, all of which end up imposing economic costs on the country by undermining their attractiveness as destinations for jobs-creating investment and innovation,” warned Barbara Wanner, USCIB’s vice president for ICT policy. “They also create an increasingly fragmented regulatory landscape, which imposes added compliance costs on business that hampers continued innovation.”

The comments also highlighted an example of a proposal made by India that would establish an alarming global precedent and could significantly impede the growth of innovation, investment, entrepreneurship, and industrial growth through strict data localization requirements, restrictions on the cross-border data flows, and extraterritorial application.

“It is vital that the U.S. continue to exercise global leadership in pushing back against this type of protective approach to personal data protection,” said Wanner.

NTIA’s initiative runs parallel to the efforts of the National Institute of Standards and Technology (NIST) to develop a voluntary privacy framework and the efforts of the Commerce Department’s International Trade Administration to increase global regulatory harmony.

To read USCIB’s comments, please visit our website.

 

 

Robinson Furthers USCIB Ties with US Mission to Geneva

Published on November 6, 2018
The Palais des Nations, which serves as the UN’s Geneva headquarters

USCIB President and CEO Peter Robinson was in Geneva the first week of November for high-level meetings of the International Organization of Employers (IOE), for which he serves as vice president for North America. While in the city, Robinson also met with senior officials at the U.S. Mission to the United Nations in Geneva, including Deputy Permanent Representative (and Charge d’Affaires in the absence of an Ambassador) Mark Cassayre. Tom Mackall, USCIB senior counsel and ILO Governing Body representative, accompanied Robinson.

Cassayre was only recently posted to Geneva, but already speaks with keen knowledge about areas of mutual interest, according to Robinson. Key senior staffers from the U.S. Mission also attended the meeting, including Howard Solomon, Bill Lehmberg and Phil Cummings.

“The meeting afforded us the opportunity to underline to the Mission USCIB’s unique positioning with regard to international institutions, and its role on behalf of U.S. business in global regulatory and standard-setting diplomacy, reflecting our parallel and mutually-supportive missions,” said Robinson.

A major issue of discussion was the emergence in recent years of allegations in some UN organizations of “conflict of interest” and “corporate capture” as an attempt to limit, if not exclude, business (industries, companies, and the organizations that represent their interest) from international discussions in areas ranging from health to climate change to labor protections. Robinson also noted The USCIB Foundation’s collaboration with a Geneva-based NGO, Global Alliance for Improved Nutrition (GAIN), to develop principles for nutrition-related public private partnerships.

“The U.S. Mission seemed very supportive of an all-inclusive approach to today’s economic challenges, and we will look forward to working with them to help ensure preservation of that principle in international institutions,” noted Robinson.

Specific areas of discussion included current ILO debates within the Governing Body, the worrisome Ecuador-led efforts to secure a treaty on business and human rights, and approaches to other Geneva-based institutions including UNCTAD.

“We also highlighted USCIB’s longtime collaboration with the U.S. Missions in New York and Geneva, and our hope for a second USCIB member company delegation to Geneva, as we had undertaken this past spring with the help of the Mission,” said Robinson. “We ended the meeting feeling confident that this was a solid next step in constructive engagement with the U.S. Mission. On a personal note, I was delighted to learn that Mr. Cassayre, like me, had been an AFS exchange student, he to Lausanne, Switzerland, and I to Graz, Austria, and that both of us had maintained solid connections with those respective countries.”

USCIB Leader Appointed to President’s Trade Advisory Group

Published on November 6, 2018
Business & Climate Summit 2015, USCIB Chairman Terry McGraw.
USCIB Chairman Harold McGraw III has been reappointed by President Donald Trump as member of the ACTPN.
The ACTPN is the highest ranking of around 25 private-sector committees that advise the administration on trade.

 

USCIB Chairman Harold McGraw III who serves as chairman emeritus of S&P Global has been reappointed by President Donald Trump on October 30 as member of the Advisory Committee for Trade Policy and Negotiations (ACTPN). McGraw joins two others, including Fred Bergsten, chairman emeritus of the Peterson Institute for International Economics and James Hoffa, president of the Teamsters union,  in being reappointed to the ACTPN.

“We are delighted that Terry will continue to provide insightful and impassioned advocacy of fair and balanced policies to expand American trade as a member of the ACTPN,” said USCIB President and CEO Peter Robinson.

Trump also plans to appoint two new members Evan Greenberg, president and CEO of Chubb Limited, and Timothy Smucker, chairman emeritus of the J.M. Smucker Co.

The ACTPN is the highest ranking of around 25 private-sector committees that advise the administration on trade.

 

USCIB Defends Pro-Investment Policies at UNCTAD

Published on October 30, 2018

USCIB Vice President for Investment and Financial Services Shaun Donnelly was in Geneva last week (October 22-26) leading international business advocacy efforts at the annual World Investment Forum (WIF) hosted by the UN Conference on Trade and Development (UNCTAD). Donnelly led a small, but outspoken, group of business representatives, including the European Service Forum and BDI, Germany’s large business organization, and participated in a few sessions, being a constant business presence throughout the course of the week.

According to Donnelly, UNCTAD seems to remain a forum dominated by developing country representatives, academics, and non-government organization activists, often with anti-business orientations. UNCTAD did however include some leading CEOs from Novartis, Nestle, DeBeers and Ethiopian Airlines on opening plenary panels, all of whom provided excellent, candid remarks on why and how major businesses invest abroad. Donnelly and his colleagues followed suit.

“We spoke up forcefully the rest of the week on the important, indeed indispensable, role Foreign Direct Investment (FDI) plays in financing economic development and providing critical capital for achieving the UN’s Sustainable Development Goals (SDGs) in developing economies,” noted Donnelly.

Donnelly was included as one of the kickoff speakers (the only one representing business views) at the annual high-level experts meeting on International Investment Agreements (IIAs). “We all need strong, comprehensive investment agreements, including effective Investor-State Dispute Settlement (“ISDS”) enforcement provisions that are essential to support the required substantial FDI flows,” said Donnelly. “I also had the opportunity to directly challenge some European Union representatives pushing their bureaucratized ‘Multilateral Investment Court’ as an alternative to the proved ISDS systems.”

Donnelly also represented business on a side-event panel, alongside government representatives from Canada and Nigeria, that was organized by the UN Center for Settlement of Investment Disputes (ICSID), the World Bank affiliate whose rules and procedures, currently being updated, have long governed most ISDS dispute processes.  Additionally, Donnelly was able to speak privately with senior government officials at, and on, the margins of various plenary sessions, panels and side events.

“We need to be realistic,” said Donnelly, reflecting on his week on the front lines of international investment policy debates. “After all, it’s UNCTAD and there are a lot of pressures out there, helpful or otherwise, pressing for major reforms of established treaties, rules, and procedures for protecting and incentivizing FDI flows.  ISDS is particularly under political attack.  A week on the front lines at UNCTAD, while not always fun, is something we need to do as a business community to be taken seriously in the global debates on investment policies, protections and procedures. I can’t say we carried the day but I hope we were able to give some of the serious, open-minded government representatives a few different perspectives on these important investment and SDG issues.  I emphasized that if the investment rules and procedures don’t work for business or aren’t perceived to fair and balanced, business isn’t going to invest. And no one wins.  If they truly are seeking productive solutions, governments and international organizations need to include business as a true partner in these investment policy debates and decision-making. Frankly, at this point, the jury is still out on whether that will really happen as governments consider moves to revise or replace investment long-established agreements. But we at USCIB intend to continue speaking up assertively on these important issues.”

Hampl Emphasizes Importance of Foreign Investment at OECD

Published on October 29, 2018

 

USCIB Senior Director for Investment, Trade and Financial Services Eva Hampl was in Paris last week participating in investment and trade related meetings at the OECD October 23-24. Hampl had a speaking role in every meeting, sharing business views, opportunities and concerns. Hampl’s speaking engagements kicked off with the Business at OECD consultation with the OECD Investment Committee. Business at OECD had submitted three short papers on issues of important to business in investment, covering issues such as investment policies related to national security, the importance of a well-designed investment protection mechanism and foreign direct investment qualities.

“We underlined the issue of global value chains and the rules-based trading system, specifically on the importance of strong investment protection mechanisms (ISDS), particularly in light of recent developments to erode those protection for many industries,” said Hampl. “The evening prior, we had an open and frank discussion with the Head of Investment in the OECD Secretariat, as well as the Chair of the OECD Investment Committee, which provided another opportunity to raise our various issues of concern in a more informal setting.”

Hampl also attended a joint meeting of the OECD Trade and Investment Committees, which included a presentation on the OECD Digital Services Trade Restrictiveness Index (STRI) by the OECD. At the consultation, Hampl made an official intervention on behalf of Business at OECD, expressing USCIB’s support of the joint meeting, and raising some of USCIB’s priority issues, including the multilateral trading system (WTO reform), state-owned enterprises, and digital trade.

Additionally Hampl served as a discussant on behalf of Business at OECD at a Policy Network Meeting on the Foreign Direct Investment (FDI) Qualities, during which she expressed general support for the project and underlined the importance of investment. According to Hampl, the draft paper is quite good already, specifically stating that it is not attempting to categorize between good and bad investment, and is focused on measurable outcomes. Hampl also had the opportunity to underline the importance of an open investment environment and concern that recent trends of protectionist policies are harmful to business during her role as discussant in the First Roundtable on Investment and Sustainable Development.

 

USCIB Notes Importance of Free Data Flows for Economic Growth

Published on October 29, 2018
Eva Hampl (USCIB)

The OECD hosted its annual Global Forum on Trade on October 22 in Paris, which focused on Trade in the Digital Era. The agenda included sessions on digital transformation and what it means for trade, measuring digital trade, digital trade and market openness, data flows, and discussing priorities for trade policy makers.

USCIB Senior Director for Trade, Investment and Financial Services Eva Hampl participated in the event as a panelist in the session on data flows. Her fellow panelists included Deputy Assistant USTR for Telecommunications Policy Jonathan McHale, Head of Unit, Services, DG Trade Christophe Kiener, and Senior Policy Advisor, European Digital Rights Maryant Fernandez Perez. The session was moderated by OECD’s Julia Nielson, head of the emerging policy issues division. After a brief introduction from Nielson, OECD Trade Policy Analyst Javier Lopez Gonzalez set the scene by providing the audience with a short factual presentation on some of the key issues on data flows from a trade point of view.

“Free flow of data and information is critical for economic development and growth, and that data should be allowed to flow across borders in a secure manner,” said Hampl. “The free flow of data is now a central part of global value chains and a major requirement for a wide range of manufacturing and services industries. Consultation with business in the regulatory process is key in avoiding detrimental and counterproductive effects of problematic localization measures.”

“Looking forward, useful work in international forums includes continuing to address these issues in the G20, progressing the WTO E-Commerce initiative, and the OECD playing an important role not only in defining and quantifying these important issues, but also educating particularly non-OECD countries about the value of free data flows,” she added. Most of the panelists agreed that a fragmented approach is not sustainable.

The day-long event that focused on digital trade included engaged discussion in virtually every session, showing just how important this issue is to many countries. The OECD recognizes this issue as a key priority, and has several active work streams in this space.

Donnelly Talks USMCA Investment Developments at Sidley Austin Panel

Published on October 23, 2018
An impressive audience of trade and law experts from around Washington attended and peppered the panel with questions.
Early reactions to the new USMCA agreement included questions and criticism in business circles that the new pact seems to reduce well-established investment protections, especially ISDS arbitration procedures to settle disputes.

 

USCIB Vice President for Investment and Financial Services Shaun Donnelly joined senior officials of the Canadian and Mexican embassies in Washington on a panel on “What Does NAFTA 2.0 Mean for Investor Protection in North America and Beyond?”  The session was hosted by a leading Washington law firm, Sidley Austin, and co-sponsored by the American Society of International Law.

An impressive audience of trade and law experts from around Washington attended and peppered the panel with questions. Both the Embassy officials, Minister Counselor form the Canadian Embassy Colin Bird and Mexico Embassy Counselor Aristeo Lopez Sanchez, had been intimately involved in the long-running NAFTA/USMCA negotiations on the Investment Chapter. Early reactions to the just announced new USMCA agreement has included many questions and some criticism in business circles that the new pact seems to reduce well-established investment protections in the NAFTA, especially the Investor-State Dispute Settlement (“ISDS”) arbitration procedures to settle disputes between foreign investors and host government. According to Donnelly, the discussions and questions at the panel were very detailed and candid.

“I thought we had an excellent and very candid discussion,” said Donnelly. “The two Embassy experts were outstanding and very knowledgeable. The moderator, Sidley Austin Partner Marinn Carlson, did a great job of setting the context and focusing the session on specific provision of the new USMCA. I appreciated the opportunity to represent broad U.S. business views, questions, and concerns. We at USCIB and our member companies are currently trying to dig into the detailed provisions on the USMCA on investment and other important chapters. This Sidley/ASIL session really helped me to both get more detailed information from the government experts and to lay on the table some important questions and concerns we in the business community are looking at.  It was an excellent session.”

Donnelly Talks Trade, NAFTA and USMCA in Vancouver

Published on October 22, 2018
Shaun Donnelly
Donnelly provided a Washington perspective on North American and global trade issues, focusing on NAFTA and its successor agreement, the U.S. Mexico Canada Agreement (USMCA).
USMCA is front page news across Canada so audience interest was high for Donnelly’s candid presentation.

USCIB Vice President for Investment and Financial Services Shaun Donnelly traveled to Vancouver, Canada the week of October 15 to deliver a keynote speech at the annual gala dinner of the Pacific chapter of the American Chamber of Commerce in Canada (AmCham Canada). Donnelly provided a Washington perspective on North American and global trade issues, focusing on NAFTA and the just-agreed successor agreement the United States Mexico Canada Agreement (USMCA).  USMCA is front page news across Canada so audience interest was high in Donnelly’s candid presentation and in the after-dinner panel discussion he joined along with former Canadian Minister of International Trade Stockwell Day and two prominent local business figures.

While in Vancouver, Donnelly was also the guest of honor at a reception for local political and business leaders hosted by the U.S. Consul General. Donnelly offered ten minutes of informal comments with a business perspective on the Washington and regional trade policy scene. Again, NAFTA and its putative successor USMCA were the main topic of interest.

Donnelly said it was a very useful trip. “Throughout my long Foreign Service career, I’ve always really enjoyed working with AmCham chapters around the world,” said Donnelly. “It was great to connect with the new Vancouver-based Pacific chapter of AmCham Canada. They are a great group! We had an really excellent exchange on the new USMCA and the path, or paths, ahead. Canada has long been a special partner for the U.S. in trade and investment and in so many areas.  USCIB and our member companies are committed to strengthening business ties across North America.”

Trump Nominates US Ambassador to UN in Geneva

Published on October 22, 2018
Trump nominated Andrew Bremberg to be the next Representative of the U.S. to the UN in Geneva with the rank of Ambassador.
Bremberg currently serves at the White House as special assistant to the President and director of the Domestic Policy Council.
Bremberg served as aide to Senate Majority Leader Mitch McConnell and Wisconsin Governor Scott Walker.

In late September, President Trump nominated Andrew Bremberg to be the next representative of the U.S. to the United Nations and other international organizations in Geneva with the rank of Ambassador.  Bremberg currently serves at the White House as a special assistant to the President and director of the Domestic Policy Council.

Bremberg earlier served as an aide to Senate Majority Leader Mitch McConnell and the Wisconsin Governor Scott Walker.  Like all Ambassadorial nominees, Bremberg must be confirmed by the U.S. Senate before taking up his assignment in Geneva.  He will replace Ambassador Pamela Hamamoto, who departed the post in January 2017.  Since that time, the Deputy U.S. Representative, originally Ted Allegra, was recently replaced by Marc Cassayre as charge d’affaires.

USCIB has long worked very closely with the U.S. Mission in Geneva, including with the Ambassador, on a range of important issues in organizations such as the International Labor Organization (ILO), the World Health Organization (WHO), the World Intellectual Property Organization (WIPO), the International Telecommunications Union (ITU) and the UN Human Rights Commission. As the sole U.S. business organization with official status in these and other international organizations, USCIB is an important partner for the U.S. Government on a broad range of important and challenging issues for American business.

“Getting a new U.S. Ambassador nominated, confirmed and on the job in Geneva will be an important development, said USCIB CEO & President Peter Robinson.  It’s now been nearly two years since there has been an Ambassador in that post. “The U.S. Mission has been very active and effective in the interim and has been a great partner for USCIB and for American business.  But it’s always great to have a new Ambassador there to lead the effort. The fact the President tapped one of his own senior White House Assistants for this job is encouraging as a demonstration of the importance the Administration assigns to this particular post in Geneva. I look forward to getting to know Andrew Bremberg and to doing anything we at USCIB can do to help him and his team succeed in their important efforts.”

USCIB Hosts U.S. Chargé to OECD Andrew Havilland

Published on October 16, 2018
Acting Head (“Chargé d’Affaires”) of the U.S. Mission to the OECD Andrew Havilland speaks with USCIB members
Havilland reviewed OECD activities and upcoming challenges, cooperation of both the U.S. Mission and the sprawling OECD structures with Business at OECD and ways to strengthen those government/business links.
USCIB will be organizing a parallel session for Nan Fife and her “OECD desk” team from state to meet with member companies.

Two dozen USCIB member companies met with Andrew Havilland, acting head (“chargé d’affaires”) of the U.S. Mission to the OECD on October 11 at USCIB’s Washington office. In a wide-ranging hour-long give and take, Havilland reviewed OECD activities and upcoming challenges, cooperation of both the U.S. Mission and the sprawling OECD structures with the Business and Industry Advisory Committee to the OECD (Business at OECD) group and ways to strengthen those government/business links.

Access for Business at OECD members to some important OECD committees was highlighted as an important ongoing problem.  Digital trade, tax, health, and competition policy remain important priority areas for USCIB member companies.  OECD work on “Illicit trade” is also an area of growing interest for member companies.  And accession of new member countries to the OECD, both the process and potential individual candidate countries remain very important issues for many member companies.  Member companies were appreciative of the support they are getting from Havilland’s U.S. Mission team in Paris.

Nan Fife, the newly-arrived office director of the Economic Policy and Public Diplomacy (EPPD) Office in the State Department’s Economic and Business Bureau (EB), the “desk” coordinating U.S. Government policy toward the OECD, accompanied Havilland to the session and chimed in, encouraging USCIB and member companies with interests or concerns on OECD issues to work with her and her team as well as relevant Washington agencies.  USCIB will be organizing another parallel session for Fife and her “OECD desk” team from state to meet with member companies.

USCIB Vice President for Investment Policy and Financial Services Shaun Donnelly, who moderated the session, praised Havilland for making time to meet with business and for his “expertise, candor, and open door for business. “USCIB really appreciates Andrew Havilland and the entire team at the U.S. Mission to the OECD,” said Donnelly. “They have been great partners on a range of important issues around the OECD for USCIB and for BIAC.”