Category: Press Releases and Statements
NFTC Urges Prompt Passage of TPA, Essential to Advancing Critical Trade Agreements
Washington DC – The National Foreign Trade Council (NFTC) today in a letter to Congress called for support of prompt enactment of Trade Promotion Authority (TPA) to provide congressional guidance to U.S. trade negotiators. In a letter to all members of the U.S. Senate and House of Representatives, NFTC President Bill Reinsch wrote:
“Early enactment is critically important because negotiations on the Trans-Pacific Partnership are nearing completion and those for the Transatlantic Trade and Investment Partnership are making significant progress. These two negotiations are the most important market-opening and standard-setting trade negotiations in many years.
“… Issues such as the development of global value chains, trans-border data flows now critical to all sectors of the U.S. economy, the need for improved discipline on foreign state-owned enterprises, and practices such as forced localization of data storage have all grown in importance in the last decade and have become significant new trade issues. New TPA legislation will give Congress the opportunity to take these new realities into account and provide appropriate direction to our negotiators.”
The NFTC was encouraged to hear U.S. Trade Representative Michael Froman’s testimony today before the Senate Finance and House Ways and Means Committees. Ambassador Froman highlighted the importance of Congress passing bipartisan TPA legislation, the Administration’s work toward a successful conclusion of the Trans-Pacific Partnership, as well as progress being made on other trade negotiations, including the Transatlantic Trade and Investment Partnership and those underway at the World Trade Organization.
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About the NFTC
NFTC is Celebrating our New Century in 2014! Details at www.nftc.org 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. Follow us on:
NFTC Welcomes U.S. Ratification of WTO Trade Facilitation Agreement
Washington DC – Today, National Foreign Trade Council (NFTC) Vice President for Global Trade Issues Jake Colvin issued the following statement welcoming the news that the United States officially accepted the World Trade Organization (WTO) Trade Facilitation Agreement (TFA).
“Today’s announcement that the United States has taken its final step toward implementing the WTO Trade Facilitation Agreement signals an important moment for U.S. trade policy and the multilateral trading system.
“We commend Ambassadors Froman and Punke for their leadership throughout the negotiations and implementation process. Their commitment to pursing trade agreements that advance the rules-based trading system, like TFA, has not gone unnoticed.
“We hope that other countries recognize the importance of this agreement as a way to modernize trade rules, and we call on them to follow suit and ratify TFA without delay.”
About the NFTC
NFTC is Celebrating our New Century in 2014! Details at www.nftc.org 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. Follow us on:
With Cost of GSP Expiration Hitting $1 Billion, NFTC Urges Congress to Renew the Program
Washington DC – The National Foreign Trade Council (NFTC) today further highlighted the need to renew promptly the Generalized System of Preferences (GSP) program, which expired on July 31, 2013, this year.
According to a new estimate released today by the Coalition for GSP, companies have so far paid $1 billion to date in tariffs because of the program’s expiration – an average cost of $1.85 million daily for the last 540 days or nearly 18 months.
“As companies face higher costs and lost sales because of expiration of GSP, they are forced to take difficult actions impacting their daily business operations and employees, and small businesses across the country have been hit especially hard,” said Chuck Dittrich, NFTC Vice President for Regional Trade Initiatives. “Congress should renew GSP as soon as possible this year to ensure all American companies, large and small, have the tools they need to compete in today’s global marketplace, contribute to U.S. economic growth and create American jobs.”
“President Obama’s State of the Union address and the agendas set forth by Senate Finance Committee Chairman Orrin Hatch and House Ways and Means Committee Chairman Paul Ryan all place trade as a top priority for 2015, and the GSP program is an important component of U.S. trade policy. It should be renewed without further delay,” said Dittrich.
About the NFTC
NFTC is Celebrating our New Century in 2014! Details at www.nftc.org 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. Follow us on:
USA*Engage and NFTC to Congress: Give Nuclear Negotiations a Chance Before Additional Sanctions Against Iran
Washington, DC – Today USA*Engage Vice President Richard Sawaya and National Foreign Trade Council President Bill Reinsch sent the following letter to the U.S. House of Representatives and Senate opposing possible congressional action to enact additional unilateral sanctions against Iran.
“As negotiations between the P5plus1 and the government of Iran to prevent Iran from acquiring nuclear weapons continue, some key members of Congress appear intent on legislating more punitive sanctions on Iran’s economy. They argue that Congress has a clear role in charting U.S. foreign policy and that additional sanctions pressure will strengthen the U.S. negotiating position.
“The efficacy of the byzantine sanctions that burden Iran’s economy inevitably depend on their multilateral character, a fact underscored by President Obama’s repeated announcement he will veto any sanctions legislation passed while negotiations continue. The Administration does not want to give the Iranian government any opportunity to separate the United States and the European Union.
“The NFTC and USA*Engage believe that the Administration should be given the chance to see whether the negotiations can produce a constructive and substantial agreement. The major components of such an agreement have been well discussed in the policy community, as have its benefits for the region in which Iran is a critical actor.
“The question remains, however, regarding Congress’s role, since much of the sanctions regime is statutory. In the event of a workable agreement, eventual congressional action will be required.
“For these reasons, some congressional review of an agreement seems inevitable, but we continue to believe that the best course Congress can take is to wait until the negotiations either conclude successfully or fail before acting. At that point, if the agreement is deemed constructive and substantial, then the Congress should grant the Administration full authority to suspend and/or repeal the sanctions tied to the nuclear issue.
“Such a course presumably will give the nuclear negotiations maximum space to conclude free of political pressures and presumptive scapegoats and allow the United States and its allies a landscape on which to make rational policy decisions, whatever the outcome of the negotiations.”
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About USA*Engage
USA*Engage (www.usaengage.org) is a coalition of small and large businesses, agriculture groups and trade associations working to seek alternatives to the proliferation of unilateral U.S. foreign policy sanctions and to promote the benefits of U.S. engagement abroad. Established in 1997 and organized under the National Foreign Trade Council (www.nftc.org), USA*Engage leads a campaign to inform policymakers, opinion leaders, and the public about the counterproductive nature of unilateral sanctions, the importance of exports and overseas investment for American competitiveness and jobs, and the role of American companies in promoting human rights and democracy worldwide.
About NFTC
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. Follow us on Facebook and Twitter.
NFTC Responds to the President’s State of the Union Address
Washington DC– National Foreign Trade Council (NFTC) President Bill Reinsch issued the following statement in response to President Obama’s State of the Union address:
Trade Policy: “We are very pleased that the President took his pro-trade message directly to the American people tonight. Recently, including in December at our centennial dinner, the President has highlighted the important role trade plays in supporting U.S. economic growth and American jobs, and tonight was no exception.
“Trade agreements like those currently under negotiation – the Trans-Pacific Partnership, Transatlantic Trade and Investment Partnership, Trade in Services Agreement and multilateral trade initiatives at the World Trade Organization – are aimed at creating new rules for a fairer trading system, breaking down barriers for U.S. exports, strengthening commercial ties with dynamic economies across the globe and generating opportunity for American companies, farmers and workers. However, to fully maximize the benefits of these and future agreements, Congress and the Administration must work together to enact bipartisan Trade Promotion Authority legislation as soon as possible this year.”
U.S. Cuba Policy: “The President’s remarks tonight coupled with the Administration’s recent actions are solid first steps toward thawing and normalizing relations with Cuba. We welcomed the Administration’s announcement in December, as well as the new rules implementing the policy changes, and we look forward to working with policymakers to re-establish relations between our two countries.”
Tax Policy: “In addition to expanding trade, the United States needs an updated tax system – one that enables a more level playing field for U.S. companies – to ensure U.S. competitiveness in the global economy. We urge Congress and the Administration to work together to pass much-needed comprehensive tax reform this year.”
Iran Sanctions: “As NFTC and USA*Engage noted in a letter today to all members of the House and Senate, Congress should let the nuclear negotiations between the P5plus1 and Iran play out before enacting additional unilateral sanctions against Iran. Congressional action at this time would be both premature and counterproductive. Echoing the President’s remarks this evening, we urge policymakers to give the negotiations the space and time to conclude.”
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About the NFTC
NFTC is Celebrating our New Century in 2014! Details at www.nftc.org 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. Follow us on:
NFTC, Other American and European Companies and Associations Send Letter to MEP Lange Regarding Investor-State Dispute Settlement in TTIP Negotiations
USA*Engage and NFTC Applaud “New Day for U.S. Cuba Relations”
Groups Highlight Provisions of Interest to U.S. Businesses
Washington, DC – USA*Engage and National Foreign Trade Council today welcomed the final rules published by the Commerce and Treasury Departments implementing a number of the changes that President Obama announced on December 17 with respect to U.S. Cuba policy.
“These regulations solidify a fundamental change in U.S. Cuba policy,” noted USA*Engage Vice President Richard Sawaya. “It is to be hoped that Congress will support the Administration’s initiative, which augurs well for the future of U.S. relations with Cuba and throughout the region.”
“These rules signal a new day for U.S. Cuba relations. They will permit U.S. businesses to begin getting to know Cuba and also enable businesses and private citizens to engage directly with the Cuban people,” said NFTC Vice President for Global Trade Issues Jake Colvin. “We look forward to working with the Obama Administration, Congress, the U.S. business community and the Cuban people to begin to reestablish the commercial relationship over the months and years to come.”
NFTC and USA*Engage highlighted several provisions of the regulations announced by Treasury and Commerce, which are particularly relevant to U.S. businesses:
Treasury
1. Travel to Cuba for authorized purposes without the need for case-by-case specific licensing – Arguably the change with the most meaningful near-term impact.
Combined with the regulation to permit the use of credit and debit cards in Cuba, this will facilitate the entry of additional thousands of Americans into Cuba for “purposeful” travel and permit businesses and entrepreneurs to begin exploring Cuba.
2. Credit and debit cards, per diem, and importation of certain goods and services.
The decision by OFAC also to amend section 515.560 to eliminate the per diem limitation on authorized travelers’ spending in Cuba, and to permit authorized travelers to import no more than $400 worth of goods from Cuba (including up to $100 in alcohol or tobacco products) is significant from a licensing perspective, as it demonstrates the ability of the President to authorize imports from Cuba. Permitting credit card use will also facilitate day-to-day transactions for U.S. travelers, including businesses, to Cuba.
3. Micro-financing, business, and commercial import activities.
These amendments permit microfinancing and will enable U.S. entities to support entrepreneurs and businesses in Cuba. OFAC is adding new section 515.582 to authorize commercial imports of certain specified goods and services produced by independent Cuban entrepreneurs based on a list to be determined by the State Department. That is a potentially meaningful license and could help Cubans engage directly in the American marketplace.
4. Telecommunications.
OFAC will generally authorize transactions that establish mechanisms to provide commercial telecommunications services linking third countries and Cuba and in Cuba. OFAC is amending section 515.578 to authorize persons subject to U.S. jurisdiction to provide additional services incident to Internet-based communications and related to certain exportations and reexportations of communications items.
5. Certain transactions with Cuban nationals located outside of Cuba.
OFAC is adding new section 515.585 to authorize U.S.-owned or -controlled entities in third countries to provide, with some limitations, goods and services to Cuban nationals in third countries. OFAC is amending section 515.505 to unblock accounts of Cuban nationals who have permanently relocated outside of Cuba, among other provisions. This has been a major pain point for banks, and is welcome news.
6. Insurance.
OFAC is adding new section 515.580 to authorize insurance companies to offer global insurance policies that cover third-country nationals traveling to Cuba.
7. Shipping.
OFAC is amending section 515.550 to authorize foreign vessels to enter the United States after engaging in certain trade with Cuba.
Commerce
Commerce is authorizing the export of commercially sold or donated:
• Building materials, equipment, and tools for use by the private sector
• Tools and equipment for private sector agricultural activity; and Tools, equipment, supplies and instruments for use by private sector entrepreneurs – this will allow the export of such items to private sector entrepreneurs, such as auto mechanics, barbers and hairstylists and restaurateurs.
• Authorizes the export and reexport to Cuba of certain donated items for use in scientific, archaeological, cultural, ecological, educational, historic preservation or sporting activities.
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About USA*Engage
USA*Engage (www.usaengage.org) is a coalition of small and large businesses, agriculture groups and trade associations working to seek alternatives to the proliferation of unilateral U.S. foreign policy sanctions and to promote the benefits of U.S. engagement abroad. Established in 1997 and organized under the National Foreign Trade Council (www.nftc.org), USA*Engage leads a campaign to inform policymakers, opinion leaders, and the public about the counterproductive nature of unilateral sanctions, the importance of exports and overseas investment for American competitiveness and jobs, and the role of American companies in promoting human rights and democracy worldwide.
About NFTC
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. Follow us on Facebook and Twitter.
