Emergency Committee For American Trade - Publications

Introduction

As we approach the middle of 2004, the United States continues to face both substantial opportunities and challenges in its trade and investment priorities. The opportunities are enormous:

The United States can play a leadership role in helping to reenergize the Doha Development Agenda negotiations of the World Trade Organization and thereby spur economic growth and create new opportunities for U.S. farmers and manufacturers, service providers and their workers throughout the world.
It can create new opportunities and spur economic growth and partnerships by negotiating and implementing comprehensive, high-standard and commercially meaningful free trade agreements on a bilateral and sub-regional level.
It can resume its leadership in promoting the protection of international investment and intellectual property rights worldwide that are vital to innovation, productivity, and economic growth, as well as our broader national interests.
It can resist domestic protectionist pressures, thereby setting an example of trade liberalization for the rest of the world.

Indeed, over the last century, the United States, now the world’s largest trading nation, has enjoyed enormous prosperity in large part because of the trade and investment policies it adopted in 1934 and thereafter. Over the last decade alone, U.S. exports have accounted for approximately 30 percent of U.S. economic growth and have contributed significantly to the high standard of living enjoyed by American workers and their families. Imports have improved the variety and availability of products throughout the United States, have increased the competitiveness of U.S. companies, and have been a significant factor in dampening inflationary pressures. Trade and investment not only support U.S. prosperity, they promote greater economic growth, freedom, and stability throughout the world. As detailed in ECAT’s 2003 study, Technology, Trade and Investment: The Public Opinion Disconnect, trade and investment drive growth in the production and use of information and communication technologies in particular – growth that has accounted for most of the acceleration in U.S. productivity, with significant effects on improving the U.S. standard of living.

Yet, there are tremendous challenges as well:

Global negotiations are effectively stalled following the Fifth World Trade Organization (WTO) Ministerial in Cancun in September 2003.
Implementation of the recently completed Free Trade Agreements (FTAs), with Australia, Central America and the Dominican Republic and Morocco face challenges in their early implementation by Congress.
Other negotiations, such as the U.S.-South African FTA negotiations, face significant hurdles before comprehensive and high-standard agreements can be completed.
Negotiations to establish a Free Trade Area of the Americas face perhaps even more daunting challenges, as a few countries in the region resist efforts to establish even a common set of obligations.
And calls to restrict trade, particularly with China, and overseas sourcing are growing.

ECAT is committed to continuing to work with the Administration, Congress, and others in the private sector to promote negotiations, policies and legislation that benefit the United States in the realm of international trade and investment and that will help restore the consensus on the value of trade and investment liberalization.

In particular, ECAT will continue to work on the advancement of trade and investment liberalization through comprehensive, commercially meaningful, and trade-oriented agreements in the World Trade Organization and on a bilateral, subregional and regional level. ECAT will also continue its long-term work on maintaining the U.S. policy of engagement with China, while supporting China’s full integration and adoption of the global rules of trade. ECAT will also carry on its leadership efforts to ensure the inclusion of strong protections for U.S. investment abroad in future trade and investment agreements.

As well, ECAT will continue its work in support of Congressional approval and implementation of comprehensive and high-standard trade and investment agreements. As secretariat to the broader business coalition in support of the U.S.-Central American and Dominican Republic FTA, ECAT will be at the forefront in working for its approval as early as possible.

In supporting new liberalization, ECAT will also seek to reaffirm U.S. support for the multilateral trading system that has been the primary catalyst for global economic growth for the last half century. Global economic integration cannot continue to thrive and face the challenges ahead without strong rules-based global institutions built on international consensus. Greater transparency and further dispute settlement process reforms can strengthen the multilateral trading system, as can renewed efforts to implement WTO decisions. While the United States faces serious challenges in WTO dispute settlement cases, the United States continues to be the major beneficiary of the dispute settlement process. This is an extremely important activity given Congress’ planned review of the, which will occur in 2005.

ECAT will also continue its work to support other policies and legislation that foster trade and investment liberalization. For example, ECAT will continue to work to address the changes in U.S. Customs processes needed to modernize and facilitate trade, while recognizing the enhanced security role that Customs plays as a part of the Department of Homeland Security.

In addition, ECAT will continue its unique role in combating efforts to impose protectionist barriers either to imports entering the United States or to U.S. investment activity abroad. In particular, ECAT will build upon the work it has done over several decades that demonstrates the importance of global activity to the U.S. economy to work and combat calls for restrictions on so-called outsourcing or restrictions on our trading relationship with China that will undermine, rather than advance, U.S. commercial and economic interests.

ECAT will also continue to address constructively the relationship between trade and other policy issues, including labor, environment, food policy, and health policy.

ECAT also supports policies and legislation that will level the playing field for U.S. companies with their foreign competitors, including efforts to ensure full funding for the Export-Import Bank and to re-authorize the Export Administration Act and modernize U.S. export control laws in a manner that promotes U.S. technological leadership while protecting national security. ECAT also supports the reform of U.S. sanctions laws.

ECAT will continue its trade education program to foster greater public understanding of the major role that trade and investment play in generating domestic and global economic growth.

ECAT’s Priorities

ECAT’s priorities for this year are:

Supporting efforts to reenergize and build a solid framework for global negotiations as part of the Doha Development Agenda of the WTO.
Actively working to maintain the U.S. policy of commercial engagement with China and working to promote China’s full implementation of its WTO commitments, as well as other policies that will open markets to U.S. farmers, manufacturers and service providers.
Actively promoting Congressional approval of the comprehensive and high standard U.S.-Central American and Dominican Republic Free Trade Agreement (FTA), which is likely to set the model for Congress’ review of future FTAs with developing countries;
Actively supporting the conclusion and Congressional approval of other comprehensive and high standard FTAs.
Promoting the adoption of a Model Bilateral Investment Treaty, as well as language in our FTAs, that provides the strongest possible protections for U.S. investors overseas to support not only U.S. commercial goals, but also our broader national economic, energy and security interests.
Actively promoting trade, investment, tax and temporary-entry policies that support the global operations of ECAT’s companies, while combating efforts to restrict such activities.
Working for the incorporation of high standards in the Free Trade Area of the Americas.


	Introduction As we approach the middle of 2004, the United States continues to face both substantial opportunities and challenges in its trade and investment priorities. The opportunities are enormous: The United States can play a leadership role in helping to reenergize the Doha Development Agenda negotiations of the World Trade Organization and thereby spur economic growth and create new opportunities for U.S. farmers and manufacturers, service providers and their workers throughout the world. It can create new opportunities and spur economic growth and partnerships by negotiating and implementing comprehensive, high-standard and commercially meaningful free trade agreements on a bilateral and sub-regional level. It can resume its leadership in promoting the protection of international investment and intellectual property rights worldwide that are vital to innovation, productivity, and economic growth, as well as our broader national interests. It can resist domestic protectionist pressures, thereby setting an example of trade liberalization for the rest of the world. Indeed, over the last century, the United States, now the world’s largest trading nation, has enjoyed enormous prosperity in large part because of the trade and investment policies it adopted in 1934 and thereafter. Over the last decade alone, U.S. exports have accounted for approximately 30 percent of U.S. economic growth and have contributed significantly to the high standard of living enjoyed by American workers and their families. Imports have improved the variety and availability of products throughout the United States, have increased the competitiveness of U.S. companies, and have been a significant factor in dampening inflationary pressures. Trade and investment not only support U.S. prosperity, they promote greater economic growth, freedom, and stability throughout the world. As detailed in ECAT’s 2003 study, Technology, Trade and Investment: The Public Opinion Disconnect, trade and investment drive growth in the production and use of information and communication technologies in particular – growth that has accounted for most of the acceleration in U.S. productivity, with significant effects on improving the U.S. standard of living. Yet, there are tremendous challenges as well: Global negotiations are effectively stalled following the Fifth World Trade Organization (WTO) Ministerial in Cancun in September 2003. Implementation of the recently completed Free Trade Agreements (FTAs), with Australia, Central America and the Dominican Republic and Morocco face challenges in their early implementation by Congress. Other negotiations, such as the U.S.-South African FTA negotiations, face significant hurdles before comprehensive and high-standard agreements can be completed. Negotiations to establish a Free Trade Area of the Americas face perhaps even more daunting challenges, as a few countries in the region resist efforts to establish even a common set of obligations. And calls to restrict trade, particularly with China, and overseas sourcing are growing. ECAT is committed to continuing to work with the Administration, Congress, and others in the private sector to promote negotiations, policies and legislation that benefit the United States in the realm of international trade and investment and that will help restore the consensus on the value of trade and investment liberalization. In particular, ECAT will continue to work on the advancement of trade and investment liberalization through comprehensive, commercially meaningful, and trade-oriented agreements in the World Trade Organization and on a bilateral, subregional and regional level. ECAT will also continue its long-term work on maintaining the U.S. policy of engagement with China, while supporting China’s full integration and adoption of the global rules of trade. ECAT will also carry on its leadership efforts to ensure the inclusion of strong protections for U.S. investment abroad in future trade and investment agreements. As well, ECAT will continue its work in support of Congressional approval and implementation of comprehensive and high-standard trade and investment agreements. As secretariat to the broader business coalition in support of the U.S.-Central American and Dominican Republic FTA, ECAT will be at the forefront in working for its approval as early as possible. In supporting new liberalization, ECAT will also seek to reaffirm U.S. support for the multilateral trading system that has been the primary catalyst for global economic growth for the last half century. Global economic integration cannot continue to thrive and face the challenges ahead without strong rules-based global institutions built on international consensus. Greater transparency and further dispute settlement process reforms can strengthen the multilateral trading system, as can renewed efforts to implement WTO decisions. While the United States faces serious challenges in WTO dispute settlement cases, the United States continues to be the major beneficiary of the dispute settlement process. This is an extremely important activity given Congress’ planned review of the, which will occur in 2005. ECAT will also continue its work to support other policies and legislation that foster trade and investment liberalization. For example, ECAT will continue to work to address the changes in U.S. Customs processes needed to modernize and facilitate trade, while recognizing the enhanced security role that Customs plays as a part of the Department of Homeland Security. In addition, ECAT will continue its unique role in combating efforts to impose protectionist barriers either to imports entering the United States or to U.S. investment activity abroad. In particular, ECAT will build upon the work it has done over several decades that demonstrates the importance of global activity to the U.S. economy to work and combat calls for restrictions on so-called outsourcing or restrictions on our trading relationship with China that will undermine, rather than advance, U.S. commercial and economic interests. ECAT will also continue to address constructively the relationship between trade and other policy issues, including labor, environment, food policy, and health policy. ECAT also supports policies and legislation that will level the playing field for U.S. companies with their foreign competitors, including efforts to ensure full funding for the Export-Import Bank and to re-authorize the Export Administration Act and modernize U.S. export control laws in a manner that promotes U.S. technological leadership while protecting national security. ECAT also supports the reform of U.S. sanctions laws. ECAT will continue its trade education program to foster greater public understanding of the major role that trade and investment play in generating domestic and global economic growth. ECAT’s Priorities ECAT’s priorities for this year are: Supporting efforts to reenergize and build a solid framework for global negotiations as part of the Doha Development Agenda of the WTO. Actively working to maintain the *U.S. policy of commercial engagement with China* and working to promote China’s full implementation of its WTO commitments, as well as other policies that will open markets to U.S. farmers, manufacturers and service providers. Actively promoting Congressional approval of the comprehensive and high standard *U.S.-Central American and Dominican Republic Free Trade Agreement* (FTA), which is likely to set the model for Congress’ review of future FTAs with developing countries; Actively supporting the conclusion and Congressional approval of other comprehensive and high standard FTAs. Promoting the adoption of a Model Bilateral Investment Treaty, as well as language in our FTAs, that provides the strongest possible *protections for U.S. investors overseas* to support not only U.S. commercial goals, but also our broader national economic, energy and security interests. Actively promoting *trade, investment, tax and temporary-entry policies* that support the global operations of ECAT’s companies, while combating efforts to restrict such activities. Working for the incorporation of high standards in the *Free Trade Area of the Americas.* ECAT - Homepage About ECAT \| Hot Issues \| ECAT Positions Press Releases \| Trade Resources \| Key Trade Votes \| Publications Steel \| CAFTA \| Search \| Members Only Copyright 1999-2002, the Emergency Committee for American Trade