Trade Compliance Center - Making America's Trade Agreements Work for You!

Secretary Locke Discusses Americas Competitiveness Forum at Council of the Americas
Commerce Secretary Gary Locke delivered remarks at the Council of the Americas on August 10, urging private sector companies to participate in the Americas Competitiveness Forum (ACF). He was joined by Chilean Ambassador José Goñi and Americas Society and Council of the Americas President and CEO, Susan Segal. The ACF is the preeminent commercial forum in our hemisphere and presents leaders from the private sector, government, non-profit organizations, and academia with an opportunity to discuss competitiveness issues in the Western Hemisphere. The 2009 ACF will be held in Santiago, Chile, from September 27-29, 2009.

View text of Secretary Locke’s remarks

On August 12, U.S. Trade Representative Ron Kirk welcomed the results of a WTO dispute settlement panel report which found that major Chinese restrictions on the importation and distribution of copyright-intensive products such as theatrical films, DVDs, music, books and journals are inconsistent with China's WTO obligations. The WTO panel called on China to come into compliance with its obligations to allow U.S. companies to import these products into China and to eliminate the discriminatory requirements faced by imported products and their U.S. distributors in China. Ambassador Kirk called the decision “an important step toward ensuring market access for legitimate U.S. products in the Chinese market, as well as ensuring market access for U.S. exporters and distributors of those products.” In addition to addressing discriminatory requirements on American importers and distributors, the findings also call on China to allow U.S. companies to partner with Chinese enterprises in joint ventures to distribute sound recordings over the Internet.

Dennis F. Hightower Confirmed as Deputy Secretary of Commerce
On August 7, the U.S. Senate confirmed Dennis F. Hightower as Deputy Secretary of Commerce by unanimous consent. Hightower, a seasoned business executive with a 40-year career in the public and private sectors, takes over general management of the Department of Commerce, an organization with nearly 38,000 employees and an operating budget of over $17 billion. “I am grateful to the Senate for moving quickly to confirm Dennis Hightower, and I’m thrilled to have him on board.” Commerce Secretary Gary Locke said. “His management expertise and strong leadership skills will be a valuable asset to the Commerce team as we work to make American businesses more competitive and strengthen the economy.”
View Commerce Department press release

Shifts in U.S. Merchandise Trade 2008, an annual compendium of data and analysis examining changes in trade with key U.S. partners and in crucial U.S. industries, was released August 3 by the U.S. International Trade Commission (USITC). The Commission reported that in 2008, the U.S. merchandise trade deficit grew 3 percent; imports were up 8 percent, while exports jumped 12 percent. The report focuses on reasons for key shifts in trade, provides extensive detail, and can be searched by country or commodity sector. Users will find a comprehensive review of U.S. trade performance in 2008, focusing on changes in U.S. exports, imports, and trade balances of key natural resource, agricultural, and manufacturing industries, as well as changes in U.S. trade with major partners and groups.

USITC Releases Year in Trade 2008

The U.S. International Trade Commission (USITC) released The Year in Trade 2008, its annual overview of the previous year's trade-related activities, on July 30. The report is one of the government's most comprehensive reports of U.S. trade-related activities, covering major multilateral, regional, and bilateral developments. The publication provides a practical review of U.S. international trade laws and actions in 2008, a summary of WTO operations, and an overview of U.S. free trade agreements and negotiations and of U.S. bilateral trade relations with major trading partners. It includes complete listings of antidumping, countervailing duty, safeguard, intellectual property rights infringement, and section 301 cases undertaken by the U.S. government in 2008.

View USITC press release

United States and Mauritius Launch Investment Treaty Talks

On August 6, U.S. Trade Representative Ron Kirk and Secretary of State Hillary Clinton announced that the United States and Mauritius will begin formal negotiations toward a Bilateral Investment Treaty (BIT) that would strengthen investor protections and encourage the continuation of market-oriented economic reforms in Mauritius. Ambassador Kirk and Secretary Clinton announced the launch of the BIT negotiations during the African Growth and Opportunity Act Forum in Nairobi, Kenya. Ambassador Kirk commented that the proposed BIT “will help reinforce the efforts of one of Africa's strongest performers on trade and economic reform, and help improve Mauritius's already favorable investment climate by providing high standards of investment protection." In addition to BITs, the Obama Administration is using the African Growth and Opportunity Act (AGOA), Trade and Investment Framework Agreements, and U.S. trade capacity building assistance to help reform-minded African countries to grow their economies through increased trade and investment.

Commerce Department Attends AGOA Forum in Nairobi, Kenya
The eighth AGOA Forum (African Growth and Opportunity Act) will be held in Nairobi, Kenya, August 4-6, 2009 . The theme of this year’s Forum is “Realizing the Full Potential of AGOA through Expansion of Trade and Investment.” The Forum will focus on a number of crucial trade and economic issues, including but not limited to how countries can take full advantage of the range of export opportunities that AGOA offers. The Act, signed in 2000, offers tangible incentives for African countries to continue their efforts to open their economies and build free markets.

On July 29, USTR and the State Department hosted a public meeting concerning the Administration's review of the U.S. model Bilateral Investment Treaty (BIT). USTR and the Department of State co-lead the negotiation of BITs for the United States. The Administration is reviewing the U.S. model BIT, last updated in 2004, to ensure that it is consistent with the public interest and the overall U.S. economic agenda. More than 70 members of the public attended the public meeting and 17 people made statements. U.S. Trade Representative Ron Kirk welcomed public participation in the meeting, stating, "The Administration is committed to receiving the input of the full range of stakeholders regarding the U.S. model BIT," and “will carefully consider all of the input that we receive." The Administration is also seeking advice on the model BIT from the statutory advisory committees that advise USTR and the Department of Commerce and the State Department's Advisory Committee on International Economic Policy.

In a July 29, 2009 Federal Register notice , USTR announced that it is conducting a review of labor-related issues in the context of the U.S.-Colombia Free Trade Agreement (FTA), which was signed on November 22, 2006, and amended on June 28, 2007. USTR is assessing how and to what extent the FTA (which has not yet entered into force) helps to achieve the applicable purposes, policies, priorities, and objectives of the Bipartisan Trade Promotion Authority Act of 2002 as set out in section 2102 of the TPA Act and carries out the provisions of the May 10, 2007 Congressional-Executive Agreement on Trade Policy. The interagency Trade Policy Staff Committee (TPSC) seeks public comment by September 15, 2009 to assist USTR in its assessment. For information on submitting comments, please refer to the Federal Register notice .

View the July 27, 2009 Federal Register notice released by USTR requesting public comments on the U.S.-Korea Free Trade Agreement (FTA). USTR is assessing how and to what extent the FTA (which has not yet entered into force) makes progress in achieving the applicable purposes, policies, priorities, and objectives of the Bipartisan Trade Promotion Authority Act of 2002 as set out in section 2102 of the TPA Act and carries out the provisions of the May 10, 2007 Congressional-Executive Agreement on Trade Policy. The interagency Trade Policy Staff Committee (TPSC) seeks public comment by September 15, 2009 to assist USTR in its assessment. For information on submitting comments, please refer to the Federal Register notice.

In his report to an informal meeting of the WTO Trade Negotiations Committee on July 24, Director-General Pascal Lamy stated that he sensed from recent summits held in Bali, Paris, L’Aquila and Singapore “a genuine and strong renewal of political commitment to re-engage in the Doha negotiations to conclude it in 2010.” He said the autumn will be “a very busy period” for all negotiating groups, and that “we have to ensure the whole caravan moves forward together and arrives on time.”

Secretary Locke Discusses Value of Trade for United States and Global Marketplace

In remarks to the Washington International Trade Association on July 22, Secretary of Commerce Gary Locke laid out his prescriptions for how the department can help increase and improve American trade and exports. The Secretary stated, “The trade priorities I’ve discussed tonight—visa reform, export controls review, intellectual property protection, intergovernmental cooperation and trade promotion—will help U.S. companies increase exports, while setting the country on a path to long-term, sustainable growth that creates jobs here at home.” Citing the increasing number of Americans who perceive foreign trade as a threat, the Secretary announced that he has asked the Commerce Department to work in conjunction with other federal agencies to pursue initiatives aimed at helping those affected by the changing economic landscape. Noting that enforcement of existing U.S. trade agreements “is a key element in the plan to rebuild support for trade” so that U.S. stakeholders reap the full benefits of these agreements, Secretary Locke stated that Commerce’s Trade Agreements Compliance Program will play an important role in this monitoring and enforcement work.

Locke Statement on President Obama’s Intent to Nominate Hightower as Commerce Deputy Secretary
On July 22, President Barack Obama announced his intent to nominate Dennis Hightower, an experienced management professional with more than 30 years of experience, as the new Deputy Secretary at the Department of Commerce. “Dennis is a proven leader with management skills honed through years of real world experience,” Commerce Secretary Gary Locke said. “I have tasked him to make this department a leader among cabinet agencies in efficiency and reform.” Secretary Locke recommended Hightower to the President after an intensive search process.

View Commerce Department press release

Obama Administration Announces CEOs for U.S.-Brazil CEO Forum
Commerce Secretary Gary Locke and Assistant to the President for International Economic Affairs Michael Froman announced the U.S. private sector participants for the fourth meeting of the U.S.-Brazil CEO Forum, to be held in Washington, D.C. July 20-21. Locke and Froman will co-chair the meeting with Brazilian Presidential Chief of Staff Minister Dilma Rousseff, and Minister of Development, Industry and Foreign Trade Miguel Jorge. The Forum, made up of 20 CEOs from the United States and Brazil, meets twice a year to make recommendations to the two governments on ways to strengthen the U.S.-Brazil economic relationship.

View Commerce press release (includes names of U.S. private sector participants)

During his July 16 visit with Pennsylvania steelworkers, U.S. Trade Representative Ron Kirk announced a number of new trade enforcement measures aimed at saving jobs and creating new jobs in the United States by leveling the global playing field for American workers and businesses. The steps Ambassador Kirk announced include stronger steps to dismantle sanitary and phytosanitary barriers and technical barriers to trade, such as technical regulations and standards that restrict U.S. exports of safe, high-quality products. Kirk stated that the Administration will leverage these new efforts and existing USTR work to better enforce America's rights around the world, “us[ing] them in new ways to spur real actions with real impact for American workers and businesses.” He also noted that the United States “will hold our trading partners to their commitments on workers' rights.”

Commerce Applauds Taiwan’s Accession to WTO Government Procurement Agreement

In a July 15 statement, the Commerce Department applauded Taiwan on its accession to the WTO Agreement on Government Procurement (GPA). With Taiwan’s accession to the GPA, U.S. firms will have increased access to Taiwan’s extensive government procurement market, valued at $21 billion in 2007. Michelle O’Neill, Acting Under Secretary for International Trade, commented, “These opportunities demonstrate the importance of trade agreements in creating economic prosperity and jobs for Americans.” The Commerce Department will educate U.S. exporters about Taiwan’s accession to the GPA through webinars highlighting export opportunities and a series of presentations in multiple U.S. cities where exports to Taiwan are a key feature of the local economy. For additional information on Taiwan business opportunities and the GPA, please visit www.buyusa.gov/taiwan/en .

USTR and the State Department, co-leads of the U.S. bilateral investment treaty (BIT) program, are soliciting written comments and will hold a public meeting on July 29, 2009, concerning the Administration's review of the U.S. model BIT. The review is intended to ensure that the model BIT is consistent with the public interest and the overall U.S. economic agenda. The key question is whether the current model text, last updated in 2004, achieves these objectives or whether there are changes that should be made. For further information, please view the Federal Register notice announcing the public meeting.

On July 15, Commerce Secretary Gary Locke met with China’s Minister of Commerce Chen Deming in Beijing . They had a productive dialogue about shared priorities and issues of mutual concern, agreeing on the importance of building a positive and cooperative relationship that strengthens trade and creates jobs in the United States and China. Secretary Locke also discussed challenges faced by American companies seeking to do business in China. In this difficult economic environment, the Secretary encouraged China to avoid implementing protectionist measures and focus its efforts on stimulating domestic demand. The Secretary, joined by Energy Secretary Steven Chu, is on a four-day visit to China to highlight the tremendous potential for mutually beneficial relationships in the clean energy sector.
View text of Secretary Locke’s remarks to U.S.-China Business Council

On July 13, U.S. Trade Representative Ron Kirk and EU Trade Commissioner Catherine Ashton met in Washington, D.C. to discuss bilateral trade relations. Building on the successful conclusion of an agreement on the long-standing beef hormone dispute on May 13, both sides agreed to intensify their bilateral engagement in order to find solutions that will bring meaningful economic benefits to workers, consumers, and businesses on both sides of the Atlantic. Kirk and Ashton discussed a variety of issues, including testing of U.S. long-grain rice exports for traces of a biotech product, music licensing, the trade implications of chemicals regulations in the U.S. and the EU. They also discussed the continuing efforts of the EU and other WTO members to reach agreement on the terms of the EU's importation regime for bananas. Both sides plan to monitor these issues closely, and look forward to reviewing progress in addressing them in September. The discussion also touched upon how better to cooperate in preventing disputes and on preparations for the fall meeting of the Transatlantic Economic Council.

USTR Announces Regulatory Reform Initiative Results with Japan

The United States and Japan released the results of their work under the U.S.-Japan Regulatory Reform and Competition Policy Initiative (Regulatory Reform Initiative) on July 6. U.S. Trade Representative Ron Kirk welcomed progress made in a number of areas that will help to further open Japan's market, improve its business environment, and stimulate new opportunities for growth. Reform-focused results were seen in a broad range of sectors, ranging from information technologies to agriculture, as well as on cross-cutting issues affecting the business environment such as competition policy. Ambassador Kirk also emphasized the importance of making progress with Japan on other priority issues for the United States. He stated, "Normalizing trade for U.S. beef and securing a level playing field for U.S. insurance providers are two issues that remain of serious concern. I look to Japan to ensure these concerns are addressed as quickly as possible."

View USTR press release

View summary of other progress highlights

View Eighth Report to the Leaders on the U.S.-Japan Regulatory Reform and Competition Policy Initiative

Secretary Locke Named Co-Chair of New U.S.-Russia Business Development and Economic Relations Working Group
On July 7, Commerce Secretary Gary Locke delivered remarks at a U.S.-Russia Business Summit in Moscow where CEOs and business leaders from both countries presented recommendations to expand bilateral commercial cooperation. The Secretary was joined by Russian Minister of Economic Development Elvira Nabiullina. Presidents Obama and Medvedev also addressed the summit. On July 6, the Presidents announced that Locke and Nabiullina would co-chair the Business Development and Economic Relations Working Group as part of the newly formed U.S.-Russian Bilateral Presidential Commission.

Commerce Secretary Gary Locke will travel to Moscow, July 6-8, in conjunction with the Presidential Summit Meeting between Presidents Obama and Medvedev. Locke will represent the administration at a private sector Business Summit where U.S. and Russian business leaders will present recommendations to expand bilateral commercial cooperation. This will be Locke’s first overseas trip as Secretary of Commerce. While in Moscow, he will meet with the Minister of Economic Development Elvira Nabiullina to discuss U.S.-Russian economic and commercial relations and Russia’s integration into the global economy.

Commerce Secretary Locke Meets with Colombian President Uribe
U.S. Secretary of Commerce Gary Locke met for the first time with Colombian President Álvaro Uribe at the Commerce Department on June 29. Uribe and Locke discussed the importance of trade and commercial relations between the United States and the Republic of Colombia and the strides Colombia has made in improving security conditions, reducing violence and enhancing economic opportunities for its citizens under President Uribe’s leadership, as well as the need for continued progress in these areas.

View the text of U.S. Trade Representative Ron Kirk’s June 25 statement at the conclusion of the 2009 OECD Ministerial Council Meeting. While attending the Paris meeting, Ambassador Kirk met with a number of key trade ministers and other leaders to discuss international trade policies and the future of the Doha round of world trade talks. Kirk stated that he and his trade counterparts agreed that nations need trade to aid their recoveries, and that “Open markets can help us fight the economic crisis together.” Noting the importance of the Doha Round discussions in the context of the current international economic situation, the ambassador reiterated in Geneva, at the Cairns Group meeting in Bali, and in Paris “that the United States wants a balanced and ambitious Doha agreement as quickly as possible, with meaningful new market access for all.”

Secretary Locke and USTR Kirk Call on China to Revoke Mandatory Internet Filtering Software

On June 24, Secretary of Commerce Gary Locke and U.S. Trade Representative Ron Kirk sent a joint letter to their counterparts in China's Ministry of Industry and Information Technology (MIIT) and Ministry of Commerce (MOFCOM) urging China to revoke a proposed rule (Circular 226) that would mandate that all computers produced and sold in China pre-install a widely-criticized Chinese Internet filtering program called Green Dam. This proposed measure is scheduled to take effect on July 1, 2009. The letter points out that the proposed new rule raises fundamental questions regarding regulatory transparency and notes concerns about compliance with WTO rules, such as notification obligations. Locke and Kirk offered China an opportunity to exchange views with U.S. and Chinese government and industry officials on ways in which parental control software can be promoted in the market consistent with the goals of user choice, system reliability, freedom of expression, and the free flow of information.

Locke Announces First Indian Company to Receive Express Lane Status for U.S.-Indian Trade
Secretary of Commerce Gary Locke announced an important step forward in the strategic partnership between the United States and India during his remarks to the U.S.-India Business Council’s 34th Anniversary “Synergies Summit” on June 17. Locke stated that General Electric India (GE India) has been tapped as the first Indian company to qualify as a validated end-user (VEU) in India, allowing the company to enter a pre-approved, export express lane as a trusted end user. The VEU designation will allow GE India to receive certain controlled items from the United States, including civilian aircraft technology and explosive detection equipment without an individual license, cutting red tape and making the flow of trade more efficient between the countries. That the VEU program was opened for India is an indication of the increased importance of the U.S.-India bilateral and commercial relationship.

During their June 17 meeting, U.S. Trade Representative Ron Kirk and Indian Trade Minister Anand Sharma discussed strengthening the U.S.-India trade relationship. The two first met earlier this month at the 33rd Cairns Group Ministerial meeting in Bali, Indonesia, where they began work on strategies to enhance trade and investment flows between the U.S. and India, and to facilitate greater commercial interaction between U.S. and Indian companies. They committed to continuing high-level interactions on bilateral and multilateral issues – such as the Doha round of world trade talks – on multiple fronts, particularly the U.S.-India Trade Policy Forum. Both trade leaders will consult with public and private stakeholders on how to bring down trade barriers and open markets for exporters.

USTR Kirk’s Statement on U.S. - Canada Decisions to Recognize Organic Equivalence

On June 17, U.S. Trade Representative Ron Kirk congratulated the U.S. Department of Agriculture and the Canadian Food Inspection Agency for their decisions to recognize each other's national organic program as equivalent. Ambassador Kirk stated, "This close cooperation is the first of its kind in international organics trade and a real achievement for both countries." The decisions of both national regulatory authorities allow products certified to either U.S. or Canadian standards to be sold or labeled in both countries as organically produced. Under the concurrent equivalence determinations, negotiated by USTR, USDA and CFIA, both the USDA Organic seal and the Canada Organic Biologique logo may be used on certified products from both countries.

USTR Kirk Announces Plan to Move Forward With Negotiation of Anti-Counterfeiting Trade Agreement

On June 12, U.S. Trade Representative Ron Kirk announced that the Administration plans to move forward with the negotiation of an Anti-Counterfeiting Trade Agreement (ACTA) to step up the fight against global counterfeiting and piracy. Noting that the Administration has been conducting an overall review of current and pending trade agreements, including ACTA, Ambassador Kirk emphasized that ACTA remains an important part of the U.S. trade agenda and, accordingly, the United States is ready to continue negotiations. The participants in the ACTA negotiations will next meet in Morocco in July to continue their discussions with a goal of reaching an agreement in 2010.

During their June 11 meeting, U.S. Trade Representative Ron Kirk and Mongolia Minister for Foreign Affairs and Trade Sukhbaatar Batbold announced the launch of negotiations for a United States-Mongolia Transparency Agreement. The announcement followed a June 10 meeting held by General Counsel Timothy Reif and Assistant U.S. Trade Representative Timothy Stratford with Minister Batbold. The launch of the negotiations with Mongolia represents the first time that the United States has sought to conclude a stand-alone agreement on transparency. During their discussions, U.S. and Mongolian officials noted the importance of transparency with regard to trade and investment policies and practices, and reiterated the importance of bilateral trade and economic relations and their mutual desire to promote trade cooperation through the U.S.-Mongolia Trade and Investment Framework Agreement.

View the text of U.S. Trade Representative Ron Kirk’s June 2 remarks to the U.S.-China Business Council. During his address, Kirk discussed the importance of the U.S.-China bilateral trade relationship and the cooperative work of constructing a positive and comprehensive relationship between the U.S. and China. Kirk stated that the U.S. will develop its relationship with China through “direct diplomacy, and strong enforcement of America's rights in the global trading system.” While he restated its commitment to work positively and cooperatively with China, Ambassador Kirk emphasized that the Administration “…will always put the interests of American businesses and workers at the fore.”

Secretary Locke Meets with Singapore’s Minister of Trade and Industry Lim

During their initial meeting on June 4, Commerce Secretary Gary Locke and Singapore Minister of Trade and Industry Lim Hng Kiang expressed a commitment to strengthening an already robust bilateral commercial relationship, grounded in the extremely successful U.S.-Singapore Free Trade Agreement (FTA). Since implementation of the FTA in January 2004, two-way trade between the United States and Singapore has increased 41 percent, with U.S. exports increasing nearly 74 percent over the same time period.

On June 1, Commerce Secretary Gary Locke hosted Mexican Secretary of Economy Gerardo Ruiz Mateos for their first meeting. Secretary Locke and Secretary Ruiz highlighted the importance of U.S.-Mexico trade relations and the need for continued cooperation in strengthening our competitiveness in the region and removing impediments to trade. They agreed to work together on priorities identified by President Obama and President Calderon during their meeting in April in Mexico City, including border infrastructure, customs facilitation and regulatory cooperation. Regarding Mexican concerns over NAFTA trucking, Secretary Locke reiterated his support for a permanent and NAFTA-consistent solution to this issue, stating “the Administration is committed to finding a timely resolution through legislation for a new program that addresses legitimate congressional concerns and satisfies our NAFTA obligations.”

USTR Kirk, Egyptian Minister of Trade and Industry Rachid Discuss U.S.-Egypt Economic Ties

View the text of the USTR press release regarding the May 27 meeting between U.S. Trade Representative Ron Kirk and Egyptian Minister of Trade and Industry Rachid Mohammed Rachid. During their meeting, Kirk and Rachid discussed ways to expand U.S.-Egyptian economic ties, and signed a Plan for a Strategic Partnership, which aims to further promote U.S.-Egypt economic cooperation. They also noted the designation earlier this year, in cooperation with Israel, of two additional Qualifying Industrial Zones in Upper Egypt.