Customs and Trade Facilitation Archives

In NAFTA Modernization Talks, Business Looks to Keep What’s Working

Published on August 28, 2017

Earlier this month in Washington, D.C., the United States, Canada and Mexico kicked off the NAFTA modernization effort with their first round of negotiations. The next round will take place September 1-5 in Mexico. As the three countries noted in their joint statement, the negotiations will continue at a rapid pace, with a third round planned for Canada in late September, and a fourth round back in the U.S. in October.

USCIB has been actively representing member interests in the NAFTA modernization effort, including submitting comments to USTR and testifying at the public hearings. Our written submission focuses on ensuring beneficial provisions stay intact and improving upon the agreement in new areas, such as e-commerce, telecommunications, digital trade, cross border data flows, and state-owned enterprises. And several USCIB-penned op-eds have sought to present the business case for keeping what works in NAFTA while bringing the agreement into the 21st century.

“In light of the ambitious negotiating schedule, we will need to focus on priority issues that require specific attention in our advocacy efforts,” notes Eva Hampl, USCIB’s director of investment, trade and financial services. “We also need to be prepared to provide more detailed input as the governments move quickly to consideration of texts.”

Working with USCIB Senior Vice President Rob Mulligan, Hampl is spearheading the development of targeted USCIB comments on potential changes to NAFTA for submission to the U.S. Trade Representative’s office. In addition, Hampl and USCIB Vice President Shaun Donnelly are working with USCIB members to demonstrate the continued importance of strong investor-state dispute resolution (ISDS) provisions in NAFTA. And Megan Giblin, USCIB’s director of customs and trade facilitation, is working closely with members to provide targeted input on NAFTA’s customs-related provisions.

USCIB members should contact Hampl at ehampl@uscib.org to discuss their priority issues in the context of these fast-moving negotiations.

ICC and WTO Launch Small Business Champions Initiative

Published on August 28, 2017

A joint effort to facilitate participation by smaller companies in international trade has been launched by Roberto Azevedo, the director general of the World Trade Organization (WTO), and John Danilovich, secretary general of the International Chamber of Commerce.

Those businesses putting forward successful proposals will be recognized as “ICC-WTO Small Business Champions.”

Despite their economic importance in developed, developing and least-developed countries, the share of trade accounted for by micro, small and medium-sized enterprises (MSMEs) is disproportionately small, often because they are unaware of the potentially wider market and because they traditionally have not had the resources to navigate sometimes complex trading procedures. But new technologies are helping to pare back these obstacles and create a more level playing field for smaller companies in international trade. Helping more MSMEs to trade internationally is an important step in building a more inclusive trading system that benefits a wider array of citizens.

Secretary General Danilovich and Director General Azevedo are therefore calling for businesses and private sector organisations to step forward with proposals which can help MSMEs to participate in international trade. The aim is to raise awareness of the barriers that MSMEs face in doing business across borders, highlight the experiences and success stories of those MSMEs that are already trading, facilitate access to critical information, and raise skills among MSMEs to enable them to diversify export markets.

“I have heard many great ideas from the private sector over recent months about how we might be able to help MSMEs to trade,” said Azevedo. “This initiative is our response – it is about capturing some of those ideas and using the shared platform of the WTO and ICC to help make them a reality. I look forward to seeing innovative proposals aimed at raising awareness among MSMEs of the opportunities that trade can provide, and how they can seize those opportunities.

“The trading system is there for everyone, but MSMEs can often find it harder to reach overseas markets. The smaller the business, the bigger the barriers can seem. Spreading the benefits of trade further and wider means helping these companies to take part, particularly as MSMEs are such important job creators.”

Danilovich added: “Trading internationally can provide a huge boost to MSME growth. We know that small businesses which export tend to grow more quickly, pay better salaries and create more jobs. But MSMEs still face significant barriers when it comes to accessing global markets. Small business owners often tell us that they lack the time and in-house expertise to deal with trade roadblocks – while many others aren’t aware of the potential opportunities that international trade can bring for their companies.

“Policy reforms have an important role to play in driving MSME exports. But we also think its time to take a different approach to these problems by leveraging the power of the private sector. This new initiative will seek to harness the knowledge, creativity and networks of the global business community to inspire and support MSME growth. We call on businesses and private sector organisations across the world to play their part as small business champions.”

What kind of proposals are ICC and WTO looking for under this initiative?

  • Proposals could take the shape of, for example, awareness campaigns, competitions, or capacity building, training and mentoring programs.
  • The ICC and WTO will use their shared platform to support and promote successful proposals. The precise support provided by the ICC and WTO will depend on the nature of the proposals received. The ICC and the WTO could, for example, help to promote initiatives and host events, or provide expertise and institutional support. No financial contribution will be provided by the WTO or ICC to implement proposals.
  • Proposals should be designed to be delivered by the entity making the proposal. Proposals should not focus on WTO negotiations, or proposed changes to WTO rules. Such ideas can be put forward through different fora.

What is the process for submitting proposals – and how will they be selected?

  • Proposals should detail the concept, aims, timelines and other information as appropriate. Proposals should be no longer than 3 pages. Proposals are only open to the private sector and representative bodies. All proposals should be sent in Word or PDF format to MSMEsubmissions@iccwbo.org

The call for proposals is open until the end of 2017. There is no limitation as to the number of proposals that may be selected. The selection of proposals will be carried out by the WTO secretariat and ICC. The successful proposals will be announced by  ICC and WTO on a rolling basis.

Robinson: NAFTA Talks an Opportunity to Modernize Agreement

Published on August 22, 2017

As negotiations between the United States, Canada and Mexico to update the North American Free Trade Agreement got underway last week in Washington, D.C., USCIB President and CEO Peter M. Robinson was quoted in Chief Executive magazine as saying that the talks provided a valuable opportunity to update an agreement that has been in place for more than two decades.

“Negotiators can do this especially by addressing such issues as digital trade, cross-border data flows, streamlined customs processes, treatment of state-owned enterprises and regulatory coherence,” said Robinson. “But negotiators should preserve those parts of NAFTA that have worked well for U.S. business. These include the investor protection provisions, including a strong investor-state dispute settlement framework. Access to strong ISDS arbitration procedures can be especially important for smaller companies, given their greater vulnerability to costly, protracted legal battles in foreign courts.”

In June, Robinson contributed an op-ed to The Hill outlining USCIB’s goals for NAFTA modernization.

Read the entire article on Chief Executive’s website here.

USCIB’s “International Business” Summer 2017 Issue

Published on August 15, 2017

USCIB’s “International Business” Summer 2017 issue is now live!

The Summer 2017 issue features USCIB President and CEO Peter M. Robinson‘s column on “Why International Organizations Matter to Your Business” as well as articles on developments in the B20, NAFTA and the UN high level political forum and the sustainable development agenda, plus news from our global network–Business at OECD, the International Organization of Employers and the International Chamber of Commerce.

“International Business,” USCIB’s quarterly journal, provides essential insight into major trade and investment topics, a high-level overview of USCIB policy advocacy and services, USCIB member news and updates from our global business network.

Subscribe to USCIB’s International Business Magazine

Subscriptions to “International Business” are available free upon request to representatives of USCIB member organizations. Contact us to subscribe.

Non-members may subscribe to “International Business” and other USCIB print publications at an annual rate of $50 (U.S.) for domestic delivery, or $75 for overseas delivery. Contact us to subscribe. USCIB’s annual report, studies from the United States Council Foundation and related publications are included with your paid subscription.

Our free electronic newsletter, “International Business Weekly,” provides regular updates on USCIB’s major activities and priorities. Click here to view a sample issue. Click here to subscribe.

We welcome outside submissions and inquiries regarding our publications – send them to news@uscib.org.

We welcome advertising in International Business magazine — special discounted rates for USCIB member organizations! Contact Kira Yevtukhova (kyevtukhova@uscib.org) for more information.

USCIB Gears Up for APEC Meetings in Vietnam

Published on August 8, 2017

USCIB members are continuing to make the Asia-Pacific Economic Cooperation (APEC) a priority forum in which to engage, as it is key to accelerating regional economic integration as well as promoting balanced, inclusive, sustainable, innovative and secure growth.

To aid private sector engagement, USCIB works with the U.S. APEC business coalition to meet with APEC officials and participate in APEC meetings throughout the year, culminating in the APEC CEO Summit, a meeting of CEOs and leaders from the APEC economies.

To direct and facilitate the work with our members and APEC officials, USCIB has compiled its annual priority issues and recommendations paper, which can be found here. As can be seen in our priorities, USCIB is actively engaged in a number of the APEC issue areas and working groups related to ICT, Chemicals and, Customs and Trade Facilitation.

Two of USCIB’s policy team will be attending the third APEC Senior Officials Meeting and related meetings (SOM 3) in Ho Chi Minh City, Vietnam, held August 15-30.

Megan Giblin, USCIB’s director for Customs and Trade Facilitation will be participating in the APEC Business – Customs Dialogue (ABCD), the APEC Alliance for Supply Chain Connectivity (A2C2) meeting,  moderating the “Streamlining Processes: Addressing Challenges from the Private Sector” panel and speaking on the “Single Window to Facilitate Trade and Economic Competitiveness” panel during the APEC Workshop on Single Windows (e.g., in U.S. ACE), moderating the WTO Trade Facilitation panel “Focus on Transparency: The WTO TFA” during the 2017 APEC Conference on Good Regulatory Practice (GRP), and working with U.S. Customs and Border Protection (U.S. CBP) to present a case study tied to TFA implication during the GRP event. USCIB worked closely with both U.S. CBP and the Office of the U.S. Trade Representative to secure industry speakers and participation for the GRP and Single Window events.

During the closed meeting of the APEC Sub-Committee on Customs Procedures, Giblin will provide an update on the Customs – Chemical Dialogue project. The deliverable for this meeting is delivery of an analysis of country survey results, including common practices at the customs border regarding treatment of industrial chemicals.

Giblin will continue to establish and foster relationships with customs officials from APEC economies as well as members of industry, identifying linkages to the work underway within the USCIB Customs and Trade Facilitation Committee, including, but not limited to, e-commerce, de minimis, and single-window efforts.

The decision was taken earlier this year at SOM 1 to reduce duplication and streamline working groups, to integrate the SCCP Virtual Working Group with the A2C2 given the level of issue overlap. Moving forward the A2C2 will bring together members of the private sector as well as among other departments or agencies, customs officials, from the APEC member economies. Giblin is a member of the A2C2, which is focused on capacity-building efforts and the WTO Trade Facilitation Agreement and its implementation.

“Given the expanded scope of the A2C2 as well as the fact that many of our members are part of the A2C2, I will continue to consider ways to increase industry visibility, engagement and potentially reduce duplicative industry resource or input requests,” noted Giblin.

Giblin will also attend the APEC Chemical Dialogue (CD) meetings on behalf of Mike Michener, USCIB’s vice president of Product Policy and Innovation, to support USCIB members attending the CD-related meetings. The CD serves as a forum for regulatory officials and industry representatives to find solutions to challenges facing the chemical industry in the Asia-Pacific region. It reflects APEC members’ recognition of the importance of engaging with the private sector and building public-private sector dialogue and cooperation for mutual benefit. USCIB members have found this Forum a valuable place to promote their regional business priorities.

Barbara Wanner, USCIB vice president for ICT policy, also will attend the SOM 3 meetings. In particular, Wanner will participate in a special “APEC Public-Private Dialogue on Facilitating MSMEs to Adopt Cross Border E-Commerce,” jointly organized by the Electronic Commerce Steering Group (ECSG) and the Committee on Trade and Investment (CTI), August 18-19. In addition, Wanner will represent member interests at meetings of the ECSG and Data Privacy Subgroup (DPS), August 20-23.  Finally, Wanner will serve as a business observer at the APEC Advertising Standards Conference, August 24.

The Public-Private Dialogue is aimed encouraging greater MSME participation in cross-border e-commerce in the APEC region and beyond. The two-day workshop will focus on sharing information with MSMEs about trade promoting elements of the e-commerce chapters of Regional Trade Agreements (RTAs), such as the Trans-Pacific Partnership (TPP). It also will educate MSMEs on the trade facilitating benefits of certification under APEC’s Cross-Border Privacy Rules (CBPR) system. USCIB has been a long-time supporter of the CBPR, viewing it as a foundation to promote high-level privacy standards while ensuring seamless flows of business information through the APEC region. USCIB members Apple, Cisco, Hewlett Packard Enterprise Company, HP, IBM, and Merck are CBPR-certified.

The DPS meetings likely will feature discussion about the recent approval of South Korea as a CBPR-certified economy – making it the fifth APEC economy in the CBPR system, joining Canada, Japan, Mexico, and the United States. The DPS also will include a special session with representatives of the European Commission and Article 29 Working Party aimed at pursuing greater interoperability between the APEC CBPR and the EU’s General Data Protection Regulation (GDPR) before the latter goes into effect in May 2018. An ECSG draft Strategic Plan, which was tabled by the U.S. Government earlier this year, likely will receive continued focus in the ECSG meetings.

SOM 3 will also include a Workshop on Advertising Self-Regulation. Through participation by USCIB members and ICC representatives at the workshop, USCIB is lending support to the efforts to improve advertising standards throughout the APEC region, and providing input to APEC economies on the use of regulation and self-regulation, including the ICC Marketing Code. The Advertising Standards Conference will devote a session to regulating and monitoring digital advertising, which is expected to include speakers from Google and ICC.

If you would like any further information on the above meetings or issues, please feel free to reach out to our team.

Advertising: Jonathan Huneke, jhuneke@uscib.org

Customs and Trade Facilitation: Megan Giblin, mgiblin@uscib.org

Chemicals: Michael Michener, mmichener@uscib.org

ICT and Data Privacy: Barbara Wanner, bwanner@uscib.org

APEC priorities: Elizabeth Kim, ekim@uscib.org

USCIB Urges Senate to Confirm Trump Administration Nominees

Published on August 4, 2017

USCIB is among approximately 90 American business and industry associations to have signed a letter to Senate Majority Leader Mitch McConnell and Senate Minority Leader Charles Schumer, urging the Senate to take expeditious steps to ensure the timely confirmation of qualified pending nominees to administration positions.

“The slow pace of confirmations is depriving agencies across the government of critical leadership and in the case of independent agencies, the quorum necessary to conduct critical business,” reads the letter.

Additionally, it notes: “The breakdown of the confirmation process results in a breakdown in the efficient and effective functioning of government and ultimately to a drag on the economy. Workers are sidelined as projects await permits from agencies that lack the quorum necessary to issue the permit. Businesses are left waiting for important administrative decisions that simply cannot be made in the absence of Senate-confirmed officials.”

To date, among President Donald Trump’s 283 executive and judicial nominations, only 67 have been confirmed. Of those 67, only 13 were confirmed by voice vote or unanimous consent, while 37 (55%) were confirmed only after going through the cloture process. By way of comparison, at approximately the same point in President Obama’s first term, the Senate had confirmed 206 nominees, 182 by voice vote or unanimous consent.

The full letter, along with the list of signatories, can be found here.

ATA Carnets Paper Processing Moves Into the 21st Century

Published on July 21, 2017

The World Customs Organization (WCO) has endorsed the launching of a pilot in 2018 of a digital ATA Carnet process! The eCarnet working group of the International Chamber of Commerce/World Chambers Federation (ICC/WCF) provided an update on the electronic Carnet (eCarnet) developments to the WCO’s eATA Carnet Working Group.

The group met at WCO headquarters in Brussels, Belgium on June 30.  The ICC/WCF advised it is moving, on schedule, into phase three of creating a digitized ATA Carnet system.  There will be a pilot project launched in 2018 to test the system and processes for an eCarnet.

ICC/WCF showcased its recently developed Mercury system, a centralized database system of key ATA Carnet data.  A digitized ATA Carnet will facilitate transactions, increase data security, reduce exceptions and improve administration.  Customs, Carnet holders, service providers and national guaranteeing associations, such as USCIB, will be more productive with a modernized export/import process for items moving under an ATA Carnet. More than 15 nations and the European Union expressed their support and welcomed this initiative.  Some countries displayed an eagerness to join the pilot project.

USCIB’s Andy Shiles attends the WCO meetings in Brussels, Belgium

Andrew Shiles, USCIB’s new senior vice president of ATA Carnets and Trade Services, attended the WCO meeting and emphasized the large scale of business opportunities that ATA Carnets can provide for both small and large American enterprises. “It is exciting to be involved in such a dynamic time in the ATA Carnet industry,” said Shiles, adding that “We are truly making history by moving the ATA Carnet processes into the 21st century.  This means that billions of dollars worth of goods will move through efficient eATA Carnet processes resulting in jobs being created.”

The ATA Carnets are used by thousands of exporters around the world to get goods through customs quickly and easily. While the ATA Carnet is currently in force in 77 countries, Shiles is striving to see an expansion of even more countries.

ATA Carnets are internationally recognized customs documents that permit temporary duty-free, tax-free entry of qualified goods for up to one year. They are used widely to facilitate entry of goods for trade shows, product samples and professional equipment. “Astute business people utilize the unique tool of an ATA Carnet to promote their goods internationally where they can generate incremental sales, reduce handling costs and protect a company’s cash flow when it comes to international transportation,” noted Shiles.  “In fact, a company dealing with international sales may be missing out on a great opportunity if they if they are not using carnets,” he warned.

USCIB manages and guarantees the ATA Carnet system in the United States, with responsibility for issuing ATA Carnets falling to two outside service providers, Roanoke Trade and the Corporation for International Business. ATA Carnets are accepted in 77 countries and territories, while the global ATA systems are overseen by the WCO and the ICC. USCIB serves as ICC’s U.S. national guaranteeing association. For more information on ATA Carnets and the benefits they can provide for your business, please visit USCIB’s website.

2017 USCIB International Leadership Award Dinner

USCIB is delighted to honor Ajay Banga, president and chief executive officer of MasterCard. Each year this gala event attracts several hundred industry leaders, government officials and members of the diplomatic community to celebrate open markets and the recipient of USCIB’s highest honor.

Established in 1980, USCIB’s International Leadership Award is presented to a senior business executive who has made significant policy contributions to world trade and investment, and to improving the global competitive framework in which American business operates. Join us for what will be a truly memorable evening!

Donnelly Talks NAFTA in California

Published on June 27, 2017

USCIB Vice President for Investment and Trade Shaun Donnelly traveled to Riverside, California to address the Inland Southern California World Affairs Council on “NAFTA: Is It Good or Bad for America?” on June 22.  Clue – the correct answer is GOOD!  Donnelly, a retired U.S. diplomat and trade negotiator, laid out the history of NAFTA and broader U.S. trade policy and the key issues currently on the table as the U.S. government heads into a major effort to update the 23 year-old agreement with the Canadian and Mexican governments.

Addressing an audience of academics, students, business and community leaders plus Mexican consular representatives from the local consulate, Donnelly made clear the strong and broad support for NAFTA, and an updated, strengthened NAFTA, across USCIB’s membership and the broader business community.

“NAFTA has, on balance, clearly been advantageous to all three countries,” noted Donnelly.  “It’s time to update the agreement to address new issues but we should be thinking in terms of ‘a facelift, not a lobotomy.’”

USCIB To Testify on NAFTA at Interagency Panel

Published on June 27, 2017

Following up on the June 12 formal written submission to the Office of the US Trade Representative, USCIB will testify before the USTR-led interagency panel on “NAFTA Modernization” this week.  USCIB Vice President for Investment and Trade Shaun Donnelly will participate on Panel 8 “General Trade Matters” at 4:00pm today.  The hearings, which are open to the public, are scheduled to run 9:00 am to 8:00 pm at the Main Hearing Room of the U.S. International Trade Commission, 500 E Street, SW, Washington, DC 20436.

Donnelly will draw on the USCIB written submission, developed with strong input from its members across its cross-sectoral membership.

The group calls on the administration to update the 20 year-old pact to accommodate new realities in global commerce, including the rise of the digital economy, while keeping what works from the original agreement.

“Our member companies, who collectively encompass America’s most successful enterprises on the global stage, strongly support modernization of NAFTA,” said USCIB President and CEO Peter M. Robinson. “But they are united in believing that this must take place as part of a broader strategy to open international markets for U.S. companies, and remove barriers and unfair trade practices in support of U.S. jobs.”

USCIB calls upon the administration to update and strengthen key NAFTA provisions, including the liberalization and protection of investment flows, protection of intellectual property, trade facilitation and improved agricultural market access. It also recommends tackling new areas not included or anticipated in the original agreement a quarter-century ago, such as the digital provision of goods and services, data localization requirements, treatment of state-owned enterprises. It further urges U.S. negotiators to work closely with a range of private-sector stakeholders to ensure that a revamped agreement meets business needs in the 21st century.