Category: Press Releases and Statements

NFTC Statement on the Extension of the Standstill on European Digital Services Taxes

Posted on by Jake Colvin

WASHINGTON DC – National Foreign Trade Council (NFTC) President Jake Colvin today issued the following statement in response to the announcement of an extension of the Agreement on the Transition from Existing Digital Services Taxes (DSTs) to a New Multilateral Solution under the G20/OECD Inclusive Framework between the United States, Austria, France, Italy, Spain, and the United Kingdom.

“We applaud the Treasury Department negotiators for their work with the Governments of Austria, France, Italy, Spain, and the United Kingdom to continue the standstill on DSTs and avoid the need for retaliatory actions stemming from U.S. 301 investigations.

“We hope over the next few months the Inclusive Framework can continue their discussions and produce a viable Pillar One agreement. We urge the Treasury Department to consider the input from the business community and Congress as they work to finalize the Multilateral Convention.

“It is troubling that Canada continues to move ahead with plans to implement a DST instead of focusing on the successful conclusion of the OECD process.”

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About the NFTC

The National Foreign Trade Council (NFTC) is the premier business association advancing trade and tax policies that support access to the global marketplace. Founded in 1914, NFTC promotes an open, rules-based global economy on behalf of a diverse membership of U.S.-based businesses.

Remembering the Legacy of Former NFTC President Frank Kittredge

Posted on by Marshall Lane

WASHINGTON DC – It is with deep sadness that we announce the passing of Frank Kittredge, the former President of the National Foreign Trade Council (NFTC). Frank passed away peacefully in his sleep on January 10, 2024, at 92 years old.

NFTC President Jake Colvin observed that “Frank Kittredge was a larger-than-life champion of global trade who helped transform the Council into a visible and impactful advocate for thoughtful policymaking in Washington, DC.”

Bill Reinsch, who succeeded Frank as NFTC President in 2001, added that “he steered the NFTC through some difficult times with a steady hand and a keen perception about what was important to our members.”

Frank served as the President of the NFTC for 12 distinguished years, from 1989 until 2001. During that time, he oversaw the creation of NFTC’s USA*Engage coalition, which emphasized the importance of economic and diplomatic engagement in countries of concern and served as a key member of the State Department’s Advisory Committee on International Economic Policy.

One of the NFTC’s most significant achievements during his presidency was the landmark U.S. Supreme Court case, Crosby v. National Foreign Trade Council. In 2000, the Court unanimously ruled that Massachusetts’ law banning its agencies from procuring goods or services from companies doing business with Burma was invalid under the Supremacy Clause of the Constitution.

Frank retired from the NFTC in 2001 and settled in Easton, Maryland. He is survived by his wife of 54 years, Dorothy Joan Gray Kittredge, and his three children, Frank D. Kittredge, Jr. and his wife Cynthia Briggs Kittredge of Austin, Texas; John B. Kittredge and his wife Donna Jeanne Kittredge of Windsor, Massachusetts, and Laura Kittredge Parker and her husband Tim Parker of Eagle-Vail, Colorado.

A memorial service in honor of his life will be held on Saturday, February 17, 2024 at Christ Church Episcopal, at 111 S. Harrison St, Easton, MD 21601. For more details about his life and a memorial service in his honor, see Frank Kittredge’s Obituary in The Berkshire Eagle.

In lieu of flowers, the Kittredge family requests that donations be made to a charity of your choice in Frank’s memory.

 

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About the NFTC
The National Foreign Trade Council (NFTC) is the premier business association advancing trade and tax policies that support access to the global marketplace. Founded in 1914, NFTC promotes an open, rules-based global economy on behalf of a diverse membership of U.S.-based businesses.

NFTC Statement on the Tax Relief for American Families and Workers Act of 2024

Posted on by Elena Anillo

WASHINGTON DC – National Foreign Trade Council (NFTC) Vice President for International Tax Policy Anne Gordon today issued the following statement on the Tax Relief for American Families and Workers Act of 2024: 

“NFTC strongly supports enactment of the Tax Relief for American Families and Workers Act of 2024, which encourages American innovation and fuels business growth. The bill covers a wide range of tax policies important for supporting the U.S. economy and providing relief from double taxation.”

“We applaud the inclusion of provisions supporting research and development, interest deductibility and immediate expensing. Furthermore, the incorporation of the United States-Taiwan Expedited Double Relief Tax Act enhances relations with one of our closest allies in the Indo-Pacific region.”

“NFTC commends the overwhelming support demonstrated by last week’s vote in the Ways & Means Committee. We encourage continued bipartisan support of the pro-growth tax package and swift passage into law.”

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About the NFTC

The National Foreign Trade Council (NFTC) is the premier business association advancing trade and tax policies that support access to the global marketplace. Founded in 1914, NFTC promotes an open, rules-based global economy on behalf of a diverse membership of U.S.-based businesses.

Statement by NFTC President Jake Colvin on the Nomination of Nelson Cunningham for Deputy USTR

Posted on by Marshall Lane

WASHINGTON DC – In response to the announcement by President Biden of his intent to nominate Nelson W. Cunningham for Deputy United States Trade Representative, National Foreign Trade Council President Jake Colvin released the following statement:

“Nelson is a longtime veteran of U.S. economic policy debates and a gifted diplomat.

“He is exceptionally well-suited to advance the interests of American businesses and workers and help the Biden Administration navigate a challenging trade policy landscape.

“We urge his swift confirmation.”

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About the NFTC
The National Foreign Trade Council (NFTC) is the premier business association advancing trade and tax policies that support access to the global marketplace. Founded in 1914, NFTC promotes an open, rules-based global economy on behalf of a diverse membership of U.S.-based businesses.

NFTC Launches New “Alliance for National Security and Competitiveness”

Posted on by Marshall Lane
Jeannette Chu, NFTC Vice President for National Security Policy

WASHINGTON DC – National Foreign Trade Council (NFTC) today launched the “Alliance for National Security and Competitiveness,” a new effort to help businesses take a leadership role engaging on export controls, sanctions and investment policies.

Building on NFTC’s history of leadership on export controls and sanctions issues, the Alliance will help lead business community engagement on national security and competitiveness and serve as a partner to the government to inform policy-making.

“As national security interests continue to converge with economic security, it is vital that the voice of business is heard and that industry can inform policy making at all levels,” said Jeannette Chu, NFTC’s Vice President for National Security Policy, who will serve as Executive Director of the Alliance.

Speaking at the event announcing the Alliance’s formal launch, Deputy Secretary of Commerce Don Graves said, “At the Department of Commerce, we are fully engaged in our expanded role advancing the U.S.’s national security priorities. This new era calls for new methods of understanding and responding to the ever-evolving international landscape – one that places our country’s economic strength and toolkits at its center.” He added, “The U.S. private sector remains a critical partner in all our work as we drive forward the vital mission of protecting, promoting, and preserving our national security.”The Deputy Secretary delivered remarks and engaged in a fireside chat with NFTC President Jake Colvin.

The Alliance will inform on major political, policy and regulatory developments in the United States and key foreign jurisdictions by:

  • emphasizing the need for thoughtful policies to bolster American security and competitiveness;
  • strengthening relationships with key officials;
  • developing best practices and model text to inform future regulatory and legislative efforts and
  • encouraging multilateral cooperation, policy harmonization, and common licensing standards and practices where possible.

“The multisectoral nature of NFTC’s membership makes this Alliance a unique platform for convening the business community and building bridges across legislative, regulatory, diplomatic and policy communities. We look forward to supporting U.S. national security and enhancing competitiveness,” said Chu.

NFTC President Jake Colvin and Deputy Secretary of Commerce Don Graves

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About the NFTC
The National Foreign Trade Council (NFTC) is the premier business association advancing trade and tax policies that support access to the global marketplace. Founded in 1914, NFTC promotes an open, rules-based global economy on behalf of a diverse membership of U.S.-based businesses.

Press Release | NFTC Statement on U.S.-Chile Tax Treaty Entry Into Force

Posted on by Marshall Lane

WASHINGTON DC – National Foreign Trade Council (NFTC) Vice President for International Tax Policy Anne Gordon today issued a statement following the announcement that the Convention Between the Government of the United States of America and the Government of the Republic of Chile for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with Respect to Taxes on Income and Capital (the U.S.-Chile Tax Treaty) enters into force today with an impact in 2024: 

“NFTC commends the Governments of the United States and Chile for taking the final step in the long process to approve the U.S.-Chile Tax Treaty, allowing the agreement to enter into force today. The U.S.-Chile Tax Treaty is essential for strengthening the economic relationship between the United States and Chile, a vital U.S. partner in Latin America. The agreement will bring relief from double taxation for U.S. businesses operating in the country and will enhance economic cooperation and increase investment in both countries.

“NFTC has long advocated for the expansion of the U.S. tax treaty network to ensure the continued global competitiveness of American businesses by eliminating excessive foreign taxes, double taxation, and other obstacles in international markets. Bilateral income tax treaties such as this one are fundamental to strengthening international ties and creating economic opportunities for our businesses abroad.

“NFTC supports continued efforts by the Administration and Congress to promote strong international economic relationships by negotiating and ratifying additional tax treaties in the future.”

 

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About the NFTC
The National Foreign Trade Council (NFTC) is the premier business association advancing trade and tax policies that support access to the global marketplace. Founded in 1914, NFTC promotes an open, rules-based global economy on behalf of a diverse membership of U.S.-based businesses.

NFTC: Statement on Select Committee Recommendation on De Minimis

Posted on by Marshall Lane
WASHINGTON, DC – In response to the announcements that the House Select Committee on the Strategic Competition Between the U.S. and the Chinese Communist Party (Select Committee) has recommended legislation that would reduce the current threshold for de minimis treatment of low-value goods, NFTC Senior Director of International Supply Chain Policy John Pickel released the following statement:

“The recommendation from the Select Committee to reduce de minimis would make everyday purchases more expensive for American consumers and small businesses without improving enforcement at our borders. The recommended reduction of the current threshold is tantamount to a new tax that will hurt low-income and underserved communities the most without addressing risks that are present in all ways that products come into the U.S.

“Reducing de minimis would double the cost of a $50 package, costing taxpayers millions and undoubtedly causing unnecessary delays for businesses and consumers without improving enforcement.

“De minimis is not a loophole; it is a staple of U.S. customs law that Congress designed to provide access to international markets for small businesses and lower costs for consumers. CBP has confirmed that de minimis shipments are processed the same way as higher-value parcels and are subject to enforcement of U.S. laws, including the Uyghur Forced Labor Prevention Act.

“This recommendation would not address challenges in the important work of stifling the flow of illicit drugs and products made using forced labor from entering our borders. There are policy options that improve enforcement of U.S. laws at our borders, including increasing compliance across all ways that products come into the U.S. without doubling costs for American consumers and small businesses.

“We urge Congress to consider the negative impacts that reducing de minimis will have, particularly on inflation and our fragile supply chain at a vulnerable time for the economy. Lawmakers should allow de minimis to continue doing what Congress intended the law to do: relieve supply chain congestion and provide American consumers and businesses with better access to buy supplies and sell finished goods on the global market.”

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About the NFTC

The National Foreign Trade Council (NFTC) is the premier business association advancing trade and tax policies that support access to the global marketplace. Founded in 1914, NFTC promotes an open, rules-based global economy on behalf of a diverse membership of U.S.-based businesses.

Press Release | NFTC: Canada’s DST “Fundamentally-Unwise” Tax Policy

Posted on by Marshall Lane

WASHINGTON DC – National Foreign Trade Council (NFTC) Vice President for International Tax Policy Anne Gordon today issued a statement following the Notice of a Ways and Means Motion to introduce a bill that would implement a Digital Services Tax (DST):

“Despite the modest revisions, Canada’s plan for a DST still remains fundamentally unwise tax policy and targets American technology providers. At a time when the United States and Canada should be working closely together to address broader global challenges, their insistence on moving ahead with this measure will hinder efforts to reach an international consensus on issues of taxation involving the digital economy and threatens to encourage a patchwork of country-specific DSTs that undermines efforts to reach a more durable global system.”

“We will continue to urge Canada to reconsider implementation of their DST and to focus instead on the multilateral process underway at the OECD.”

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About the NFTC
The National Foreign Trade Council (NFTC) is the premier business association advancing trade and tax policies that support access to the global marketplace. Founded in 1914, NFTC promotes an open, rules-based global economy on behalf of a diverse membership of U.S.-based businesses.

NFTC Statement on IPEF Outcomes

Posted on by Jake Colvin

SAN FRANCISCO, CA – In response to the announcements that the Indo-Pacific Economic Framework for Prosperity (IPEF) negotiations for the Clean Energy (Pillar III) and Fair Trade (Pillar IV) have concluded and the Supply Chain (Pillar II) agreement was signed, NFTC President Jake Colvin released the following statement:

“The collaboration announced this week under IPEF is an important signal of U.S. engagement in the Indo-Pacific, and the Commerce Department’s novel approach to strengthen cooperation on supply chains, clean energy and anti-corruption has the potential to bolster America’s economic integration in the region.  

“With continued U.S. leadership, we expect that these frameworks will deliver commercially-meaningful outcomes that address obstacles to business in the region across sectors like healthcare, manufacturing, clean energy, and digital services. 

“While these unique frameworks hold promise, it’s frustrating to see progress stall on efforts to develop the kind of concrete trade rules that foster certainty for American businesses and raise standards among our key allies in the region, particularly around the digital economy and trade facilitation. Voluntary frameworks are no substitute for the kind of binding commitments that ensure fair access for American businesses and workers to the global economy. 

“Going forward, the Administration has an opportunity to expand the scope and depth of commitments under the trade pillar and articulate a clear vision for digital trade leadership to help American businesses of all sizes capitalize on the economic promise of the Indo-Pacific region.

“We look forward to working with the Administration and Congress to build upon these initial outcomes to further deepen America’s economic integration in the Indo-Pacific and fulfill President Biden’s call when IPEF was launched to develop high-standard rules of the road for the digital economy.”

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About the NFTC
The National Foreign Trade Council (NFTC) is the premier business association advancing trade and tax policies that support access to the global marketplace. Founded in 1914, NFTC promotes an open, rules-based global economy on behalf of a diverse membership of U.S.-based businesses.