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About the Aerospace Team
U.S. Department of Commerce:

The Office of Aerospace and Automotive Industries, Aerospace Team is part of the International Trade Administration, a bureau of the U.S. Department of Commerce. The Aerospace Team monitors the implementation of trade agreements that are specific to the aerospace industry; identifies constraints on the trade performance of the U.S. aerospace industry and recommends ways to neutralize such constraints; monitors and describes the economic and technological health of the aerospace industry in the U.S. as well as worldwide; provides advice, counsel and support for the international marketing efforts of aerospace firms.

The Aerospace Team seeks to:

1. Develop and recommend U.S. trade policy positions and negotiating postures for multilateral and bilateral aerospace discussions/negotiations related to the aerospace industry.
2. Provide information and analysis to U.S. exporters, policy makers and trade negotiators.
3. Participate as members of sector-specific trade negotiating teams.
4. Ensure that U.S. policy encourages the competitiveness of the U.S. aerospace industry.

The Aerospace Team is engaged in a number of trade policy initiatives which are beneficial to all U.S. aerospace companies. These initiatives serve to ensure that the U.S. aerospace industry is safeguarded from unfair foreign trading practices (i.e., foreign government supports/subsidies to their aircraft and parts industries, market disruptive behavior by non-market economies in the space launch sector).

Throughout the initiatives listed below, U.S. aerospace companies are thoroughly briefed and solicited for their views.

WTO Agreement on Trade in Civil Aircraft - The Aircraft Agreement, negotiated during the GATT Tokyo Round of multilateral trade negotiations, eliminated all tariffs on civil aircraft products and reduced the effects of non-tariff barriers in those countries which signed the Agreement.

Increasing the Number of Signatories to the Aircraft Agreement - The Aerospace Team identifies countries that are participants or potential participants in the globalization of the world's aerospace industry (i.e., Brazil, Indonesia) and encourages them to sign the agreement to abide by consensus.

WTO Agreement on Subsidies and Countervailing Measures - The Aerospace Team monitors developments in major aerospace markets overseas to ensure that our trading partners comply with the strengthened disciplines on subsidies that were developed in the Uruguay Round of trade negotiations.

OECD Large Aircraft Sector Understanding (LASU) under the Arrangement on Official Export Credit Financing - The LASU has been successful in disciplining government financing for large commercial aircraft. The Aerospace Team monitors the function of the LASU to identify areas where additional work is required, recommending negotiating initiatives to the Department of the Treasury. For example, the use of official export credit financing in leasing transactions is not addressed in the current agreement. The increasing use of leases will require some changes in the administration of official export credit financing. In the meantime, negotiations are at an impasse on the issue of "home market" financing between the United States and the European Union.

U.S. - Russia Aerospace Equipment Business Development Committee (BDC) - The subgroup facilitates and fosters aerospace trade and investment between the United States and Russia. The Aerospace Team works through the subgroup to provide defense conversion assistance, commercial opportunities, facilitate contacts among potential business partners, sponsor programs, and eliminate obstacles to the successful conclusion of business negotiations.

The Aviation and Airport Infrastructure Sub-Committee under the Joint Commission on Commerce and Trade (JCCT) - China - The JCCT develops trade opportunities for U.S. aerospace companies in the Chinese Market (i.e., air traffic control equipment, aircraft and aircraft parts).

Advocacy - In cooperation with the Department's Advocacy Center, the aerospace advocacy program provides timely responses to the needs of U.S. aerospace firms in international competitions.

Industry Liaison - The Aerospace Team maintains close liaison with U.S. aerospace firms to focus and construct programs that enhance the U.S. industry's competitiveness overseas.

Business Counseling - The Aerospace Team provides business counseling to help companies penetrate new markets, increase market share, obtain country market information, and/or make contacts overseas.


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