Emergency Committee For American Trade - Publications

Introduction

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.

In 2005, ECAT is renewing its efforts to promote concrete trade and investment liberalization that supports such economic growth and new opportunities both domestically and around the world. The types of policies that ECAT supports represent are broad, but important. They include:

Multilateral, regional and bilateral trade and investment negotiations that create new opportunities for U.S. farmers, manufacturers and service providers;
Strong protections for U.S. investment overseas and intellectual property; and
The reform of tax, sanctions and export control policies that undermine the competitiveness of U.S. companies around the world.

At the same time, ECAT will continue to oppose actively efforts to erect barriers to trade and investment around the world and here in the United States, including recent proposals to place WTO-violative tariffs on foreign goods entering the United States.

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.

ECAT’s most pressing priority in 2005 is Congressional approval and implementation of the U.S.-Central America-Dominican Republic Free Trade Agreement (CAFTA) as soon as possible this year. U.S. approval of CAFTA, which three of the other democratically elected governments in the region have already implemented, is critical to move from a one-way street of unilateral preferences to a two-way street where barriers will be eliminated to American goods and services. Perhaps even more importantly, CAFTA is vital to sustain and expand U.S.-Central American-Dominican relationships – particularly in the textile and apparel sector now that global quotas have been eliminated – that promote not only economic growth, but stability, democracy and the rule of law in our own neighborhood.

ECAT’s most compelling priority remains the World Trade Organization (WTO) Doha Development Agenda negotiations that were revitalized in July 2004, but face a critical year where much of the most difficult negotiating must really begin in earnest. ECAT will continue to support a strong, comprehensive agreement that eliminates critical barriers to goods, services and agricultural products and moves forward on a concrete trade facilitation agenda. 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 WTO this year.

ECAT’s broader agenda includes the advancement of trade and investment liberalization through the negotiation and implementation of other comprehensive, commercially meaningful, and trade-oriented agreements on a bilateral, subregional and regional level. To that end, ECAT strongly supports the President’s request for the two-year renewal of the Trade Promotion Authority framework, enacted as part of the Trade Act of 2002. ECAT will also carry on its leadership efforts to ensure the inclusion of strong protections for U.S. investment and intellectual property rights in future trade and investment agreements. ECAT will also accelerate its more recent efforts to work with a broad coalition of like-minded companies and associations in support of more transparent and more open government procurement markets throughout the world.

At the same time, ECAT is increasingly working to promote concrete and full implementation of commitments under agreements that have already gone into effect, from free trade agreements with Canada and Mexico and Chile to the obligations China and others undertook when they joined the WTO.

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. It will combat calls for restrictions on our trading relationship with China and on so-called outsourcing that will undermine, rather than advance, U.S. commercial and economic interests.

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.

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

ECAT will also expand its work to support policies and legislation that will level the playing field for U.S. companies with their foreign competitors. In particular, ECAT will continue to support (1) further reform of the international provisions of the U.S. tax code and the negotiation and ratification of bilateral tax treaties with Brazil and other key countries; (2) modernization of the U.S. export control rules in a manner that promotes U.S. technological leadership while protecting national security; and (3) continued reform of U.S. unilateral sanctions laws that are ineffective and detrimental to U.S. economic interests.

ECAT’s Priorities

ECAT’s priorities for this year are:

Promoting Congressional approval of the comprehensive and high standard U.S.-Central American and Dominican Republic Free Trade Agreement (FTA), which is particularly critical now that global quotas on textiles and apparel have been eliminated.

Supporting concrete efforts to move forward the WTO Doha Development Agenda negotiations and supporting Congress’ continued support for U.S. participation in the WTO.

Opposing efforts to impose WTO-violative tariffs on imports from China, while actively working to promote continued commercial engagement with China and 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 supporting the renewal of the Trade Promotion Authority framework and the conclusion, Congressional approval and full implementation of comprehensive and high standard FTAs.

Promoting the adoption of the strongest possible protections for U.S. investors overseas in U.S. free trade agreements and bilateral investment treaties that support not only U.S. commercial goals, but also our broader national economic, energy and security interests.

Promoting the development of transparent and more open government procurement markets throughout the world through FTAs, the WTO and other avenues.

Actively promoting tax, temporary-entry and other policies that support the global operations of ECAT’s companies and enhance their competitiveness.


	Introduction 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. In 2005, ECAT is renewing its efforts to promote concrete trade and investment liberalization that supports such economic growth and new opportunities both domestically and around the world. The types of policies that ECAT supports represent are broad, but important. They include: Multilateral, regional and bilateral trade and investment negotiations that create new opportunities for U.S. farmers, manufacturers and service providers; Strong protections for U.S. investment overseas and intellectual property; and The reform of tax, sanctions and export control policies that undermine the competitiveness of U.S. companies around the world. At the same time, ECAT will continue to oppose actively efforts to erect barriers to trade and investment around the world and here in the United States, including recent proposals to place WTO-violative tariffs on foreign goods entering the United States. 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. ECAT’s most pressing priority in 2005 is Congressional approval and implementation of the U.S.-Central America-Dominican Republic Free Trade Agreement (CAFTA) as soon as possible this year. U.S. approval of CAFTA, which three of the other democratically elected governments in the region have already implemented, is critical to move from a one-way street of unilateral preferences to a two-way street where barriers will be eliminated to American goods and services. Perhaps even more importantly, CAFTA is vital to sustain and expand U.S.-Central American-Dominican relationships – particularly in the textile and apparel sector now that global quotas have been eliminated – that promote not only economic growth, but stability, democracy and the rule of law in our own neighborhood. ECAT’s most compelling priority remains the World Trade Organization (WTO) Doha Development Agenda negotiations that were revitalized in July 2004, but face a critical year where much of the most difficult negotiating must really begin in earnest. ECAT will continue to support a strong, comprehensive agreement that eliminates critical barriers to goods, services and agricultural products and moves forward on a concrete trade facilitation agenda. 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 WTO this year. ECAT’s broader agenda includes the advancement of trade and investment liberalization through the negotiation and implementation of other comprehensive, commercially meaningful, and trade-oriented agreements on a bilateral, subregional and regional level. To that end, ECAT strongly supports the President’s request for the two-year renewal of the Trade Promotion Authority framework, enacted as part of the Trade Act of 2002. ECAT will also carry on its leadership efforts to ensure the inclusion of strong protections for U.S. investment and intellectual property rights in future trade and investment agreements. ECAT will also accelerate its more recent efforts to work with a broad coalition of like-minded companies and associations in support of more transparent and more open government procurement markets throughout the world. At the same time, ECAT is increasingly working to promote concrete and full implementation of commitments under agreements that have already gone into effect, from free trade agreements with Canada and Mexico and Chile to the obligations China and others undertook when they joined the WTO. 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. It will combat calls for restrictions on our trading relationship with China and on so-called outsourcing that will undermine, rather than advance, U.S. commercial and economic interests. 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. ECAT will also continue to address constructively the relationship between trade and other policy issues, including labor, environment, food, and health policy. ECAT will also expand its work to support policies and legislation that will level the playing field for U.S. companies with their foreign competitors. In particular, ECAT will continue to support (1) further reform of the international provisions of the U.S. tax code and the negotiation and ratification of bilateral tax treaties with Brazil and other key countries; (2) modernization of the U.S. export control rules in a manner that promotes U.S. technological leadership while protecting national security; and (3) continued reform of U.S. unilateral sanctions laws that are ineffective and detrimental to U.S. economic interests. ECAT’s Priorities ECAT’s priorities for this year are: Promoting Congressional approval of the comprehensive and high standard U.S.-Central American and Dominican Republic Free Trade Agreement (FTA), which is particularly critical now that global quotas on textiles and apparel have been eliminated. Supporting concrete efforts to move forward the WTO Doha Development Agenda negotiations and supporting Congress’ continued support for U.S. participation in the WTO. Opposing efforts to impose WTO-violative tariffs on imports from China, while actively working to promote continued commercial engagement with China and 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 supporting the renewal of the Trade Promotion Authority framework and the conclusion, Congressional approval and full implementation of comprehensive and high standard FTAs. Promoting the adoption of the strongest possible protections for U.S. investors overseas in U.S. free trade agreements and bilateral investment treaties that support not only U.S. commercial goals, but also our broader national economic, energy and security interests. Promoting the development of transparent and more open government procurement markets throughout the world through FTAs, the WTO and other avenues. Actively promoting tax, temporary-entry and other policies that support the global operations of ECAT’s companies and enhance their competitiveness. 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