News Stories Archives

Coalition for Green Trade Endorses WTO’s Environmental Goods Agreement

Published on July 9, 2014

4779_image002USCIB joined with other U.S. business groups to form the Coalition for Green Trade on Tuesday to support new negotiations by World Trade Organization (WTO) members that would remove trade barriers on environmental technologies.

The coalition has called on members of the WTO to negotiate an ambitious Environmental Goods Agreement (EGA), which would eliminate trade barriers on a broad range of environmental goods, such as solar panels and recycled materials.

In addition, USCIB joined with a broad range of business associations and companies from around the world in calling for an EGA. An open letter to WTO negotiators signed by USCIB stated: “We are committed to working with governments around the world to ensure a commercially meaningful Environmental Goods Agreement that promotes economic growth, improves environmental outcomes and advances innovation.”

Global trade in environmental goods is estimated to be $1 trillion annually, and trade in environmental products more than doubled from 2001 to 2007. An EGA would further increase global trade in environmental goods and lower the cost of addressing climate challenges by removing steep tariffs, the groups said.

“EGA is important in its own right, and can also act as a stepping stone to lower tariffs in other sectors and value chains associated with environmental technologies,” said Eva Hampl, USCIB’s director of investment, trade and financial services.  “A high-quality agreement would advance global innovation and be flexible to permit new entrants and commitments to keep pace with new technologies.”

The Coalition for Green Trade is co-chaired by USCIB, the National Association of Manufacturers  and the National Foreign Trade Council, and its  steering committee includes the Business Council for Sustainable Energy, Coalition of Service Industries, Emergency Committee for American Trade, Information Technology Industry Council, Institute of Scrap Recycling Industries, National Electrical Manufacturers Association, Semiconductor Industry Association, Solar Energy Industries Association  and U.S. Chamber of Commerce.

The first round of EGA talks are scheduled to begin this week in Geneva. Representatives from NAM, NFTC and USCIB are leading a U.S. business delegation to participate in events and meetings on the sidelines of the official negotiations.

Staff contacts: Norine Kennedy and Eva Hampl

More on USCIB’s Trade and Investment Committee

More on USCIB’s Environment Committee

Pushing for Open Trade After Bali

Published on July 9, 2014

Globe CubeThe International Chamber of Commerce (ICC) has adopted a work-plan supporting further trade liberalization following the success of the meeting of Ministers of the World Trade Organization in Bali, Indonesia last December.

Prepared by the ICC Commission on Trade and Investment Policy, the “ICC World Trade Agenda post-Bali business priorities” welcomes the renewed pursuit of a global trade and investment agenda that moves talks beyond Doha.

The priorities include further trade liberalization regionally, through negotiations on a Trans-Pacific Partnership (TPP), a Transatlantic Trade and Investment Partnership (T-TIP), a Regional Comprehensive Economic Partnership (RCEP) and the Pacific Alliance. ICC also supports the rapid implementation of the WTO Trade Facilitation Agreement, which is especially crucial for developing countries.

“One of the big challenges for business, in an economy that is increasingly globalized, is that in many crucial areas, international rules are either non-existent or inadequate,” said James Bacchus, former U.S. Congressman and current chair of the Commission on Trade and Investment Policy. “The WTO has a fundamental role to play in modernizing the international rules of the game – and ensuring compliance with them – so that we can create an effective 21st-century trading system.”

Bacchus continued: “This is why the ICC is mobilizing business worldwide around a 21st-century multilateral World Trade Agenda for sustainable economic growth and job creation. The ICC believes that following the recent success in Bali, there is a real opportunity to make progress on a global trade agenda.”

Adopted at a meeting of the ICC Executive Board in Geneva on June 26, the policy statement urges trading countries to act on the following priorities:

  • Concluding global negotiations aimed at a balanced outcome for the critical areas of agriculture, non-agricultural market access and services, which would speed up multilateral trade liberalization within the WTO. This includes developing a clear path towards conclusion of the Doha Development Agenda and its planned reductions of industrial tariffs.
  • Eliminating barriers to trade in IT products and encouraging the growth of e-commerce worldwide. This requires expanding product coverage under the WTO Information Technology Agreement, and continuing to refrain from imposing customs duties on e-commerce. Global exports of IT products reached $1.4 trillion in 2010, making this one of the most important categories in world trade.
  • Fostering “greener” economic activity through trade. More countries should be encouraged to join the initiative announced in January 2014 by 14 WTO members to eliminate tariffs on environmental goods
    and expand product coverage for goods that protect the environment and address climate change.
  • Helping to liberalize trade in services through alternative negotiating approaches such as the Trade in Services Agreement. It is estimated that removing barriers to global exports of tradable services could generate world trade gains of $1 trillion, which could create almost 9 million jobs worldwide.
  • Encouraging the development of WTO disciplines over state-owned and state-supported enterprises that enter the market. Between 2004 and 2008, 117 state-owned and public companies appeared for the first time on the Forbes Global 2000 list of the world’s largest companies. The home governments of these companies protect them from competition, and this can be a way for governments to intervene in the marketplace and skirt their WTO commitments.
  • Improving the protection and promotion of investment through bilateral and other agreements, while also laying the groundwork for a high-standard multilateral framework on investment.

Staff contacts: Rob Mulligan, Shaun Donnelly, Eva Hampl and Kristin Isabelli

More on USCIB’s Trade and Investment Committee

Mayors Across America Express Support for Trade Promotion Authority

Published on July 2, 2014

4777_image001Exciting news on trade from our partners at the Trade Benefits America Coalition:

Last week, the United States Conference of Mayors adopted two resolutions
that urge congressional passage of Trade Promotion Authority (TPA) legislation and support America’s expansion of trade and investment ties around the world.

By adopting these resolutions America’s mayors have added their voices to the growing group of policymakers who understand the economic importance of TPA and expanding trade across the United States.

In December, a bipartisan group of 15 governors sent a letter urging President Obama and House and Senate leaders to support and advance pending trade negotiations – the Trans-Pacific Partnership (TPP), Transatlantic Trade and Investment Partnership (TTIP) and Trade in Services Agreement (TISA).

Congressional passage of the modernized TPA legislation will help shore up the economic benefits of these and future trade agreements.

Read the Trade Benefits America Coalition’s fact sheets on the TPA legislation.

USCIB sits on the steering committee of the Trade Benefits America Coalition, a group of associations and companies dedicated to the pursuit of U.S. international trade agreements that benefit American businesses, farmers, workers and consumers. The Coalition believes that passage of modernized Trade Promotion Authority legislation is important to help ensure American continues to benefit from trade.

Staff contacts: Rob Mulligan and Eva Hampl

More on USCIB’s Trade and Investment Committee

ICC Releases Global Survey 2014 Rethinking Trade and Finance

Published on July 2, 2014

4778_image002The International Chamber of Commerce (ICC) released the Global Survey 2014: Rethinking Trade and Finance, its largest and most comprehensive Global Survey to date – including data from 298 banks across 127 countries. The survey concludes that the growth rate of international trade has dropped drastically when compared to the years before the global financial crisis.

Survey highlights include:

Lack of available trade finance caused global trade growth to slow

Global trade growth was a shade above 3 percent during 2013, although picked up to an annualized growth rate of 4 during the first quarter of 2014 and is anticipated to accelerate beyond 5 percent through 2016. However, in terms of the “trade finance gaps,” 41 percent of survey respondents reported that they perceived a shortfall of trade finance globally.

KYC and AML regulations caused banks to decline transactions and close relationships

Know Your Customer (KYC) and Anti-Money Laundering (AML) regulations caused 68 percent of respondents to decline transactions, and nearly a third (31 percent) to close down correspondent account relationships.

G20 countries stalled agenda to open up world trade through trade-restrictive measures

G20 countries accounted for three quarters of the trade restrictive measures imposed since 2008, with Word Trade Organization figures showing that these countries introduced 193 new trade restrictive measures between December 2012 and November 2013. Such restrictions – many of which are protectionist and therefore trade distorting – have stalled the agenda to open up world trade.

Read more on the ICC website.

Read about the ICC’s 2014 Trade Register Report.

Staff contact: Shaun Donnelly and Eva Hampl

More on USCIB’s Trade and Investment Committee

USCIB Chairman Meets with Chinese Vice Premier

Published on May 16, 2014
USCIB Chairman Terry McGraw (left) and Chinese Premier Li Keqiang
USCIB Chairman Terry McGraw (left) and Chinese Premier Li Keqiang

A delegation of leaders from the International Chamber of Commerce (ICC) met today with the Premier of the People’s Republic of China Li Keqiang in Beijing. Led by USCIB and ICC Chairman Terry McGraw, chairman of McGraw Hill Financial [now S&P Global], the delegation included Jean-Guy Carrier, ICC’s secretary general; Jiang Zengwei, chairman of the China Council for the Promotion of International Trade; Lin Shunjie, secretary general of ICC China; and ICC executive board member Andrea Tomat, CEO of Lotto Sport Italia.

Joined by Chinese government officials, the high-level meeting focused on ICC’s work to promote multilateral trade and investment. World business leaders praised Li for China’s new pathway to economic reform and encouraged greater focus on trade and investment initiatives, including working to implement the World Trade Organization (WTO) Trade Facilitation Agreement, protecting intellectual property, lowering barriers to trade and investment, and fighting corruption.

“China is a vital economy and a key player in helping design global economic governance and reform in key forums such as the G20,” said McGraw. “One important step now for China to pave the way for greater market opening that creates more opportunity and higher growth throughout the world, is to demonstrate strong support for implementing the WTO agreement reached last year in Bali.”

ICC’s Products and Services

The meeting also raised awareness of ICC’s essential products and services that can support Chinese companies expanding to international markets and meet the challenges and opportunities of an increasingly integrated global economy. These include ICC’s world renowned commercial dispute resolution services, practical trainings, and voluntary rules, guidelines, and codes that facilitate cross-border transactions and help spread best practice among companies.

McGraw and Carrier briefed Keqiang on the value of ICC as a key player to help Chinese companies operate internationally through close ties with ICC representatives and partners in the country. During discussions, the ICC delegation underscored objectives to increase the use of ICC’s international rules and procedures by Chinese companies to resolve business disputes that arise when doing business across borders. They also highlighted ICC’s practical suite of corporate governance and anti-corruption tools as well as tools to help businesses understand the importance of the intellectual property system and IP rights management.

The delegation also drew attention to the first official Mandarin translation
of the Consolidated ICC Code of Advertising and Marketing Communications Practice (ICC Code), launched in Beijing just a few days before the meeting during the 43rd World Advertising Congress.

Asia-Pacific CEO Forum

Ahead of the meeting with Keqiang, ICC leaders participated in the 2014 ICC Asia-Pacific CEO Forum in Kunshan to explore ways in which the Asia-Pacific region can help stimulate the global economy as it rebounds from crisis and garner the views of business leaders in the region. Combining interactive panel discussions and networking opportunities for some 300 business leaders from around the world, the Forum took place during the third China Import Expo, and this year served as the ICC World Business Leaders Conference.

“The Forum and the Expo are excellent examples of the vibrancy of business in China and the Asia-Pacific region and demonstrate the role it plays in shaping the world economy,” Carrier said.

Forum participants also joined an ICC G20 policy consultation, contributing business views from the region into ICC’s business recommendations to G20 leaders.

ICC events and meetings in China this week are in line with objectives of the organization to establish a greater presence in this important region and secure more participation in ICC’s work program from businesses in Asia.

McGraw Calls for Post-Bali World Trade Agenda at CEO Forum in China

USCIB and ICC Chairman Terry McGraw advocated for a post-Bali World Trade Agenda to create jobs and growth during the opening of the 2nd ICC Asia Pacific CEO Forum in China on May 14.

Regional leaders and CEOs from around the Asia-Pacific region gathered at the Kunshan Expo Center in Kunshan, China for the first day of the ICC Asia Pacific CEO Forum. Building on the success of last year’s inaugural event in New Delhi, the two-day forum aims to demonstrate the vibrancy of the business community in the Asia-Pacific region.

Read more on ICC’s website.

Staff contacts: Rob Mulligan and Justine Badimon

More on USCIB’s Trade & Investment Committee

More on USCIB’s China Committee

 

Robinson Talks Trade and Investment at OECD Forum

Published on May 7, 2014
USCIB President and CEO Peter Robinson with Sharon Burrows, general secretary of the International Trade Union Confederation.
USCIB President and CEO Peter Robinson with Sharon Burrows, general secretary of the International Trade Union Confederation.

Trade and investment have become more intertwined, reinforcing and interdependent, USCIB President and CEO Peter Robinson told the annual OECD Forum in Paris on Tuesday, stressing the importance of global value chains and the need for smarter policies to foster FDI – and the growth and jobs it creates.

Robinson took part in a panel discussion moderated by Shawn Donnan of the Financial Times on the new realities of cross-border trade, including the development of highly integrated global value chains where various stages of R&D, production and distribution are scattered across many different countries. The session encouraged debate among panelists and the audience about how to adapt policies to meet the new, interconnected trade and production landscape.

In his remarks, Robinson identified three important trends – the growth of global value chains, the interdependence of trade and investment, and the dangers of protectionist policies such as forced localization and data flow restrictions – as he had highlighted at the BIAC/TUAC pre-Ministerial consultations with the OECD and the Japanese last month in Tokyo. He called for policies that acknowledge that the world of trade has shifted towards global value chains, and noted that the role of foreign direct investment is crucial and should be central to the discussion along with trade.

Other speakers at the Future of Trade panel included Robert Carvalho de Azevêdo, director general of the WTO; James Bacchus of Greenberg Traurig, chair of the Commission on Trade and Investment Policy at the International Chamber of Commerce; Sharan Burrow, general secretary of the International Trade Union Confederation; Tim Groser, New Zealand’s minister of trade; and Tadayuki Nagashima, executive vice president of the Japan External Trade Organization.

Trade and investment are two sides of the same coin, Robinson explained, neither will occur alone. Cross-border trade requires investment as well as investment protection like the investor state dispute settlement to help balance legitimate government needs and dispute resolution.

Robinson also warned that trade barriers are going up behind the border, handicapping the development of integrated global value chains. He encouraged the OECD to continue research on the impact of policies that localize production and content and limit data flows on global value chains.

The business community ideally favors a global approach to trade and investment liberalization, Robinson said. But he noted its encouragement of regional and functional initiatives such as the Trans-Pacific Partnership (TTP), the Transatlantic Trade and Investment Partnership (TTIP), and the Trade in Services Agreement and leveraging where possible those plurilateral or bilateral coalitions of the willing into multilateral ones. Robinson also thanked the OECD for its high-quality work on trade analysis, such as Trade in Value Added.

The OECD Forum takes place each year around the OECD’s ministerial council meeting, which this year focused on “Resilient Economies and Inclusive Societies.” A high-level United States delegation participated in the OECD ministerial, advancing efforts to level the playing field for American businesses and promoting a more open and outward-oriented OECD. The delegation included U.S. Trade Representative Michael Froman, Council of Economic Advisors Chairman Jason Furman and the new U.S. ambassador to the OECD, Daniel Yohannes.

Staff contact: Rob Mulligan

More on USCIB’s Trade and Investment Committee

Business Groups Line Up to Support Global Investment In American Jobs Act

Published on May 6, 2014
A Nissan Rogue rolls off the assembly line at Nissan’s Smyrna, Tenn. plant in October 2013, the 10 millionth vehicle produced at the facility.
A Nissan Rogue rolls off the assembly line at Nissan’s Smyrna, Tenn. plant in October 2013, the 10 millionth vehicle produced at the facility.

USCIB joined the Organization for International Investment and a number of other trade associations last week in sending a letter to Senate Majority Leader Harry Reid and Minority Leader Mitch McConnell promoting the Global Investment in American Jobs Act of 2013 (S. 1023/H.R. 2052).

H.R. 2052 passed the House of Representatives in September 2013, and was approved by the Senate Committee on Commerce, Science and Transportation on April 9 of this year. Last week’s coalition letter urges Senators Reid and McConnell to take swift action on the bill. It follows a letter to the U.S. House of Representatives in July 2013, and one to the U.S. Senate in September 2013, constituting the third such effort in which USCIB has been involved.

“Foreign direct investment (FDI) is vital for American jobs and economic growth,” said Shaun Donnelly, USCIB’s vice president for investment and financial services. “In order to remain globally competitive and attractive to foreign investors, the United States should undertake the measures provided for in this bill.”

According to Donnelly, inward FDI brings not only needed capital but also technology, innovation and access to foreign markets. He said USCIB was pleased to see progress on the Global Investment in American Jobs Act of 2013, and would continue to push for its passage.

Staff contacts: Shaun Donnelly and Eva Hampl

More on USCIB’s Trade and Investment Committee

Taking Our TTIP Agenda to Europe

Published on February 24, 2014
USCIB’s Shaun Donnelly met with the media at the U.S. embassy in Paris…

Earlier this month, Shaun Donnelly, USCIB’s vice president for investment and financial services, visited France and the Netherlands on a U.S. government speaking tour, explaining the views and priorities of the American business community on the ongoing U.S.-EU negotiations of a Transatlantic Trade and Investment Partnership (TTIP).

A former U.S. ambassador and USTR trade negotiator, Donnelly has a long and deep background in transatlantic trade matters. “On this trip, I was able to convey USCIB and BCTT positions on the importance of achieving a TTIP agreement that is ambitious, comprehensive and high-standard,” he said. “We oppose sectoral or chapter carve-outs.”

Donnelly delivered several speeches, and took part in various seminars and interviews with local business groups, American chambers of commerce, media representatives, universities and think tanks. As the co-chair of two working groups (Investment and Competition Policy) in the broad Washington-based Business Coalition for Transatlantic Trade (BCTT), he is one of several USCIB staff members playing leadership roles in the BCTT effort. USCIB Senior Vice President Rob Mulligan represents USCIB on the BCTT Steering Committee.

…and spoke with students at France’s Ecole des Hautes Etudes Commerciales.

Donnelly particularly emphasized the importance of strong investment provisions (including investor-state dispute settlement) as well as protecting intellectual property rights, ensuring cross-border data flows, and reducing regulatory and product-standard barriers in both directions.

As he did during a similar TTIP-focused visit to Denmark last October,  Donnelly sought to strengthen coordination on TTIP with key European business groups. And lucky for him, he avoided all the terrible weather afflicting so much of the United States!

Staff contact: Shaun Donnelly

More on USCIB’s Trade and Investment Committee

More on USCIB’s European Union Committee

BIAC Chairman Talks Trade at Washington DC Forum

Published on February 4, 2014

On January 31, Phil O’Reilly, the chairman of BIAC, the Business and Industry Advisory Committee to the OECD, discussed trade policy and the Trans-Pacific Partnership (TPP) talks in remarks to the Global Business Dialogue forum in Washington, D.C.

O’Reilly, CEO of Business New Zealand, laid out broad conceptual points to guide the TPP parties. “It’s important that we don’t let today’s politics get in the way of what will be a deal that will transform the Pacific trading environment over the next 20 to 30 years,” he said.

Citing influential research from the OECD on global supply networks and trade in value-added, the BIAC chairman stated: “The world is increasingly dominated by global value chains, so that the new glue of trade is not containers going across a wharf, they are an outcome. The new glue of trade to my mind is investment.”

To read the full text of O’Reilly’s remarks, click here.

Staff contact: Rob Mulligan

More on USCIB’s Trade and Investment Committee

Save the date Growth Jobs Prosperity in the Digital Age OECD Shapes the Policy Environment

Published on January 15, 2014

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Save the Date!

Growth, Jobs, & Prosperity in the Digital Age:
OECD Shapes the Policy Environment
March 10, 2014
12:00 noon – 5:00 p.m.
Reception: 5:00 – 7:00 p.m.

Microsoft Innovation & Policy Center
901 K Street, NW, 11th Floor
Washington, DC 20001

Andrew Wyckoff, Director of the OECD Directorate for Science, Technology and Industry (STI), will lead a unique business/government dialogue, which will include other top experts from the OECD’s Information, Computer and Communications Policy (ICCP) division and senior U.S. and foreign government officials. They will explore policy and regulatory challenges affecting U.S. companies that rely on ICT for business operations.

Proposed Topics

  • Internet Governance: Defending Stakeholder Principles
  • Shaping the Future of the Digital Economy: The Role of the OECD
  • Enhancing Trust and Boosting Innovation in the Digital Ecosystem
  • Global Trade & Local Rules: New Opportunities and Challenges for Digital Trade
  • Developments in Colombia’s ICT Sector, Policies and Regulations

Invited Keynotes

H.E. Diego Molano Vega – Minister of Information Technologies and Communications, Government of Colombia
Ambassador Daniel Sepulveda  – Deputy Assistant Secretary and U.S. Coordinator for International Communications and Information Policy, Bureau of Economic and Business Affairs, U.S. Department of State

Information on registration and the agenda to follow shortly.

 

Sponsored by:

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For more information, contact Erin Breitenbucher at ebreitenbucher@uscib.org or +1 202.682.7465.


For sponsorship opportunities,contact Abby Shapiro at ashapiro@uscib.org

Brought to you by:
United States Council for International Business (USCIB)
Organization for Economic Cooperation and Development (OECD)
Business and Industry Advisory Committee to the OECD (BIAC)