Category: Press Releases and Statements

NFTC Applauds House Letter on French DST Proposal

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Washington D.C.- National Foreign Trade Council (NFTC) President Rufus Yerxa today issued the following statement regarding a Congressional letter sent to the President yesterday expressing concern over France’s proposed digital services tax.

“The NFTC applauds the letter signed by 16 members of the House urging the President to address France’s proposed digital services tax. This proposal is discriminatory against U.S. companies who deserve equal treatment in European markets. The NFTC will continue to push for European countries to work through the multilateral system to ensure a fair tax structure for American and French companies.”

The full text of the letter can be found here. 

Last month the NFTC submitted comments to the OECD on the Public Consultation Document: “Addressing the Tax Challenge of the Digitalisation of the Economy.” To read the comments, click here.

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About the NFTC
Serving America’s Global Businesses Since 1914– The National Foreign Trade Council (www.nftc.org) is a leading business organization advocating an open, rules- based global trading system. Founded in 1914 by a broad-based group of American companies, the NFTC now serves hundreds of member companies through its offices in Washington and New York.
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NFTC Statement on French Digital Services Tax

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Washington D.C. – National Foreign Trade Council (NFTC) President Rufus Yerxa today issued a statement following a proposal by the Minister of Economy and Finance of France to impose a digital services tax (DST) on French-source revenue of global technology firms.

“This French DST proposal will result in discriminatory treatment of U.S.-based digital companies and double taxation on their income, and that’s contrary to our bilateral tax treaty. The French government would be well advised to delay unilateral enactment of such a clear form of discrimination. It will create a major new irritant in a bilateral trade and investment relationship that has heretofore delivered huge mutual benefits. Instead, France, should continue working with our Treasury officials through a multilateral approach that establishes a fair tax structure for both U.S. and French companies in our two markets.”

Earlier this week, the NFTC submitted comments to the OECD on the Public Consultation Document: “Addressing the Tax Challenge of the Digitalisation of the Economy.” To read the comments, click here.

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About the NFTC
Serving America’s Global Businesses Since 1914– The National Foreign Trade Council (www.nftc.org) is a leading business organization advocating an open, rules- based global trading system. Founded in 1914 by a broad-based group of American companies, the NFTC now serves hundreds of member companies through its offices in Washington and New York.
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NFTC Statement on Digital Services Tax Senate Letter

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Washington D.C. – National Foreign Trade Council (NFTC) President Rufus Yerxa today issued a statement following the release of a letter sent from Senate Finance Committee Chairman Chuck Grassley (R-IA) and Ranking Member Ron Wyden (D-OR) to Treasury Secretary Steven Mnuchin regarding the unilateral moves by countries in Europe to establish digital services taxes (DST).

“We thank Senators Grassley and Wyden for weighing in on this important issue and we echo their sentiment that countries should work through the multilateral process and not impose new digital services taxes in a unilateral manner. The NFTC is concerned that DST proposals in Europe discriminate against U.S. companies, and we urge Congress and the Administration to work with their counterparts in Europe and around the world to support a multilateral approach through the OECD that ensures a fair tax structure for U.S. companies globally.”

Full text of the letter can be found here.

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About the NFTC
Serving America’s Global Businesses Since 1914– The National Foreign Trade Council (www.nftc.org) is a leading business organization advocating an open, rules- based global trading system. Founded in 1914 by a broad-based group of American companies, the NFTC now serves hundreds of member companies through its offices in Washington and New York.

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NFTC Welcomes Congressional Efforts to Limit Executive Branch Tariff Powers

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Washington D.C. – The National Foreign Trade Council (NFTC) today joined 30 associations in welcoming bipartisan efforts in the House and the Senate to pass legislation that reasserts Congress’ Constitutional role in trade actions related to national security.

In a letter sent earlier today to members of Congress, leading industry associations urged Members of Congress to cosponsor the Bicameral Congressional Trade Authority Act of 2019 (BCTAA) and to work towards its swift enactment. The legislation, which was introduced today by Senators Pat Toomey (R-PA) and Mark Warner (D-VA) and Representatives Ron Kind (D-WI) and Mike Gallagher (R-WI), amends Section 232 of the Trade Expansion Act of 1962 to ensure Congressional oversight of national security trade actions.

“The support of such a broad cross section of industry, agriculture and retail groups says a lot about how harmful steel and aluminum tariffs have been for companies across the United States and for American competitiveness,” said Rufus Yerxa, President of the NFTC. “Tariffs based on national security are misguided and the policy needs to be changed so that companies across the country can start to recover from the damaging effects these actions have caused.”

To read a full copy of the letter, click here.

To learn more about the Alliance for Competitive Steel and Aluminum Trade (ACSAT), click here.

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About the NFTC
Serving America’s Global Businesses Since 1914– The National Foreign Trade Council (www.nftc.org) is a leading business organization advocating an open, rules- based global trading system. Founded in 1914 by a broad-based group of American companies, the NFTC now serves hundreds of member companies through its offices in Washington and New York.
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NFTC, GIF Among Leading Industry Groups Urging Rapid Progress on E-Commerce Initiative at WTO

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Washington D.C. – Following the announcement in Davos that countries would intensify efforts to begin negotiations at the World Trade Organization on trade-related aspects of electronic commerce, the National Foreign Trade Council (NFTC) and the NFTC’s Global Innovation Forum (GIF) today released a letter signed by more than 50 organizations from around the world urging rapid progress on an ambitious e-commerce agreement.

In an open letter to trade ministers, the groups write that, “Countries now have a unique opportunity to clarify and improve the existing framework of trade rules and commitments around trade facilitation, services, digital trade, transparency and trust to improve the ability of businesses of all sizes and across all industries to benefit from the global digital marketplace and realize the potential of e-commerce for development.”

To read the full text of the statement, click here.

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About the NFTC
Serving America’s Global Businesses Since 1914– The National Foreign Trade Council (www.nftc.org) is a leading business organization advocating an open, rules- based global trading system. Founded in 1914 by a broad-based group of American companies, the NFTC now serves hundreds of member companies through its offices in Washington and New York.
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NFTC Foundation to Honor Roberto Azevêdo, President George H.W. Bush and USTR Digital Trade Team

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Washington D.C. – On Wednesday, December 5th, the National Foreign Trade Council (NFTC) Foundation will host its annual World Trade Dinner and Awards Ceremony at the Andrew W. Mellon Auditorium in Washington D.C. 
 
This year, the annual NFTC World Trade Award will be presented to Roberto Azevêdo, Director General of the World Trade Organization, in recognition of his lifetime achievement in strengthening the rules-based world trading system. 
 
In addition, the NFTC will honor USTR’s Office of Services and Investment Digital Trade Team with the Trade Leadership for the Digital Age Award in recognition of their dedication to the promotion of America’s digital trade leadership. 
 
As part of a national day of mourning, the NFTC will also pay special tribute to President George H.W. Bush for his exemplary efforts to strengthen global alliances and build better trading relations for the United States.   
 
“It is not secret that this has been a decisive year in trade, and I am glad to be honoring a group of people who have worked tirelessly in defense of a system that has greatly benefitted the United States and has allowed our companies to prosper as part of the world economy,” said Rufus Yerxa, President of the NFTC.
 
The NFTC Foundation’s World Trade Dinner has become a valued tradition in Washington D.C. Past speakers and honorees have included members of Congress and the Administration, CEO’s, thought leaders, and heads of state.
 
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About the NFTC

Serving America’s Global Businesses Since 1914– The National Foreign Trade Council (www.nftc.org) is a leading business organization advocating an open, rules- based global trading system. Founded in 1914 by a broad-based group of American companies, the NFTC now serves hundreds of member companies through its offices in Washington and New York.
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NFTC Releases Statement on USMCA

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Washington D.C. – The National Foreign Trade Council (NFTC) today released a statement regarding the United States-Mexico-Canada Agreement (USMCA) signed this morning in Buenos Aires, Argentina. 
 
“The USMCA has a lot of significant improvements that will help the U.S. adjust to the 21st century global economy and we commend the Administration for finalizing a deal that maintains and expands the robust North American economy,”  said Rufus Yerxa, President of the NFTC. “However, the NFTC and its member companies are concerned about certain aspects of this agreement which we hope are addressed through the implementation process. We are also aware that there are significant challenges to getting this agreement through Congress, but it is vital that we do not erase the gains made over the past 23 years of North American integration.”

“Of utmost importance is the issue of unjustified steel and aluminum tariffs on our closest trading partners,” continued Yerxa. “These tariffs have no place in a new high standards agreement, and we will continue to urge the Administration to lift these tariffs so U.S. exporters can take full advantage of the benefits contained in the USMCA.” 
 
To read the full statement, click here. 
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About the NFTC

Serving America’s Global Businesses Since 1914– The National Foreign Trade Council (www.nftc.org) is a leading business organization advocating an open, rules- based global trading system. Founded in 1914 by a broad-based group of American companies, the NFTC now serves hundreds of member companies through its offices in Washington and New York.
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Major Business and Agriculture Groups Call for Removal of Steel and Aluminum Tariffs on Canada and Mexico

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In letter, a broad alliance of key associations calls for an end to tariffs on these products prior to completion of USMCA

Washington D.C. – A broad alliance of business and agriculture groups today urged United States Trade Representative (USTR) Robert Lighthizer to remove tariffs on steel and aluminum imports from Mexico and Canada following the successful negotiation of the United States -Mexico – Canada Agreement (USMCA).
The letter, signed by 34 associations, represents the concerns of a broad array of steel and aluminum-consuming businesses who have been greatly affected by tariffs on imports from Mexico and Canada.

“This is a top concern about USMCA for all of these associations, which represent a huge portion of American manufacturing and agriculture” said Rufus Yerxa, President of the National Foreign Trade Council. “Eliminating these unwarranted 232 tariffs on our North American partners is absolutely key if these associations are to give full support to the agreement in Congress. All sectors of our economy are being affected by these tariffs – manufacturers are struggling to find materials to make products in the U.S., farmers and ranchers are having a hard time exporting their goods to countries that have imposed retaliatory tariffs, and consumers are beginning to see higher prices for everyday goods.”

The letter outlines five main reasons why the administration should remove these tariffs:
  • First: Tariffs on imports of steel and aluminum are entirely inconsistent with the overall goals of the USMCA;
  • Second: The USMCA rules of origin already require the use of North American steel in the production of vehicles;
  • Third: Section 232 tariffs on steel and aluminum (and the related absolute import quotas) have caused significant harm to American manufacturers, consumers and workers;
  • Fourth: The continuation of these tariffs with respect to Mexico and Canada may create impediments to Congressional passage of the USMCA implementing bill; and
  • Finally: Retaliatory tariffs are hurting American exporters and putting American jobs at risk.
     
To read the full text of the letter, click here.

NFTC Statement in response to UK Digital Services Tax Announcement

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Washington D.C. – In response to today’s announcement by the UK Government that it will introduce a consultation to impose a “Digital Services Tax” that would apply from April 2020, National Foreign Trade Council (NFTC) President Rufus Yerxa released the following statement:

“The NFTC is concerned that the concept of a Digital Services Tax threatens to undermine the long-held principle of permanent establishment that underpins worldwide taxation policies and is reflected in U.S. bilateral tax treaties, and is a cornerstone of the U.S.-U.K. tax treaty. This proposal could disproportionately affect American companies and may ultimately wind up interfering with the UK’s trade commitments. If enacted, this measure could also complicate the United Kingdom’s push for deeper US-UK trade relations.”

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About the NFTC

Serving America’s Global Businesses Since 1914– The National Foreign Trade Council (www.nftc.org) is a leading business organization advocating an open, rules- based global trading system. Founded in 1914 by a broad-based group of American companies, the NFTC now serves hundreds of member companies through its offices in Washington and New York.
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