April 2008 News

Commerce Under Secretary Padilla Leads Health Care Mission to China

Under Secretary of Commerce for International Trade Christopher A. Padilla is leading 15 U.S. companies and trade associations on a Health Care Mission to Beijing, China, April 23-25. Participants from a broad range of health care industries – including pharmaceutical, medical device, health insurance and health services – will have an opportunity to discuss China’s health care reform policy with senior Chinese Government officials. Regarding the mission, Mr. Padilla stated, “A clearer understanding of China’s policy environment will enable the U.S. health care industry to more easily compete in China, raising the quality and efficiency of medical treatment there.” The visit takes place at a time when China is considering significant changes to the financing, regulation and management of its health care system.

View ITA press release

Business Forum Focused on Increasing U.S.-Mongolia Commerce and Trade

The U.S. Department of Commerce, along with the Mongolian government and the North America-Mongolia Business Council, hosted the third annual U.S-Mongolia Business Forum at the Department on April 23. Secretary Carlos M. Gutierrez kicked off the day-long event designed to increase business ties and commercial opportunities between the two nations. He stated, “The United States greatly values our relationship with Mongolia, and we would like to see even more robust trade between our two nations.” The Secretary added, “Many American companies see opportunities on the Mongolian steppes, and we have been encouraging more firms to enter your market.”

View Commerce press release

Summit Statement by North American Leaders

View the text of the April 22 statement released by President Bush, Premier Harper of Canada and President Calderon of Mexico after their summit meeting in New Orleans, where they met to discuss how to keep North America “secure, prosperous, and competitive in today's global environment. “ To make the North American economies more competitive, the three countries “are working to make our regulations more compatible, which will support integrated supply chains and reduce the cost of goods traded within North America. “ The parties are also advancing their Intellectual Property Strategy to protect inventors, authors, performers, and have forged stronger relationships to support more effective law enforcement efforts to combat the trade of counterfeit and pirated goods. To strengthen energy security and protect the environment, the partners are seeking to develop a framework for harmonization of energy efficiency standards, and sharing technical information to improve the North American energy market. They are also increasing cooperation and information sharing on the safety of food and products, and are working to make their food and product safety standards more compatible.

Commerce Secretary Gutierrez Announces 2008 National Summit on American Competitiveness

On April 22, U.S. Secretary of Commerce Carlos M. Gutierrez announced that the Department of Commerce will convene the second national meeting of premier leaders from business, government, and academia to discuss what steps the public and private sectors can take to secure America’s position as the most competitive economy in the 21st century. The 2008 National Summit on American Competitiveness will be held May 22 at the Fairmont Hotel in Chicago, Illinois. Secretary Gutierrez stated, “Increasingly America’s prosperity is linked to our highly competitive economy…This summit will explore entrepreneurship and free trade as mechanisms for strengthening America’s leadership in the worldwide marketplace.” The summit also will highlight the accomplishments of top state and local leaders who have successfully driven economic transformations in their regions to bolster competitiveness in global markets.

View Commerce press release

Secretary Gutierrez Praises Removal of Barriers to U.S. Beef in South Korea

In an April 18 statement, Secretary of Commerce Carlos M. Gutierrez called Korea’s announced reopening of its market to all U.S. beef “an important step forward for the U.S.-Korea Free Trade Agreement.” He added, “Now that this issue has been resolved, we must find a way forward on this vital agreement.” According to the Secretary, the United States expects beef exports to exceed $815 million (the value of beef exports in 2003-- the last full year before the ban was implemented).

View Commerce press release

USTR Schwab Welcomes Full Reopening of Korean Market to U.S. Beef

On April 18, U.S. Trade Representative Susan C. Schwab welcomed the agreement to fully reopen South Korea’s market to U.S. beef exports consistent with international standards and World Animal Health Organization (OIE) guidelines. Schwab noted, “With this full resumption of U.S. beef exports to South Korea, the major obstacle to Congressional consideration of the United States-Korea Free Trade Agreement (KORUS FTA) is removed. The Administration will now work in earnest with Congress and the U.S. agriculture, manufacturing, and services sectors to pass the KORUS FTA.” Schwab added her hope that “South Korea’s leadership on this issue will convince leaders in Japan, Taiwan, China and other markets still maintaining unscientific, unreasonable restrictions on U.S. beef and beef products to take a hard look at this issue, consider the benefits for their consumers, and follow South Korea’s lead in reopening their markets based on internationally recognized scientific guidelines and standards.”

View USTR press release

Gutierrez Highlights Importance of U.S.-Korea Partnership at Dinner Honoring New Korean President

On April 15, U.S. Secretary of Commerce Carlos M. Gutierrez participated in the Korea Society 2008 Annual Dinner in honor of new Korean President Lee Myung-Bak. During his remarks, Secretary Gutierrez highlighted the pending U.S.-Korea free trade agreement, stating, “The U.S.-Korea FTA will take our relationship to new heights. Within the FTA, American workers, farmers, innovators, manufacturers and service providers will benefit from improved access to Korea’s nearly trillion-dollar economy. And Korea will have access to the largest economy in the world.”

View transcript of Gutierrez’s remarks

President Bush Meets with Cabinet, Discusses Economy, Colombia Free Trade Agreement

On April 14, Secretary of Commerce Carlos M. Gutierrez joined Cabinet members for a meeting with President Bush at the White House. A top agenda item was the Colombia free trade agreement. “This free trade agreement is good for American workers and it's good for American consumers,” the President said. “And this free trade agreement is in our national interests. Yet that bill is dead unless the Speaker schedules a definite vote,” an action that Mr. Bush characterized as “unprecedented.”

View transcript of President Bush’s remarks

USTR Schwab Announces Results of Annual Section 1377 Review

On April 8, U.S. Trade Representative Susan C. Schwab announced the results of the 2008 annual review of the operation and effectiveness of telecommunications trade agreements under Section 1377 of the Omnibus Trade and Competitiveness Act of 1988 (“1377 Review”). The 1377 Review identifies barriers facing U.S. telecommunications service and equipment suppliers, evaluates progress towards resolving ongoing problems, and lays out specific telecommunications-related issues on which USTR will focus its efforts this year. This year’s 1377 Review focuses on country-specific concerns, as well as more general issues of concern. Country-specific concerns include: access to Telstra’s telecommunications network in Australia; impediments to market access in China, including high capitalization requirements and limits on joint venture partnerships; and telecom equipment- testing requirements in Mexico. This year’s 1377 Review also identifies general issues of concern in several countries, including regulatory frameworks that hinder the development of competitive telecommunications markets and continued barriers to use of Voice over Internet Protocol (VoIP) technology. In addition to the problems identified in this year’s 1377 Review, USTR also marked progress in key markets on issues identified in past years’ reviews, including: (1) Colombia, which drastically reduced its high licensing fee for long distance service that had long served as a barrier to market entry; and, (2) India, which eliminated its Access Deficit Charge, a fee that increased the costs to U.S. carriers sending telecommunications traffic to India.

View USTR press release

President Bush Signs Implementing Legislation for Colombia Trade Promotion Agreement

On April 7, President Bush signed a letter to Congress that will transmit legislation to implement the U.S.-Colombia Trade Promotion Agreement. The President stated, “This agreement will advance America's national security interests in a critical region. It will strengthen a courageous ally in our hemisphere. It will help America's economy and America's workers at a vital time. It deserves bipartisan support from the United States Congress.” In a statement regarding the President’s action, Secretary of Commerce Carlos M. Gutierrez said that it “…underscores the importance of trade to the U.S. economy and comes with the Administration’s commitment to continue our dialogue with Congress on the renewal and improvement of Trade Adjustment Assistance.” He added, “This Agreement will strengthen democracy throughout the Hemisphere. It will show the Colombian people, and millions across the region, that America supports nations that choose democracy, rule of law, and free enterprise over the empty promises of false populism and isolationism.”

View White House fact sheet on Colombia Trade Promotion Agreement

United States and Ukraine Sign Trade and Investment Cooperation Agreement

On April 1, U.S. Trade Representative Susan C. Schwab and Ukrainian Minister of Economy Bohdan Danylyshyn signed a Trade and Investment Cooperation Agreement (TICA) that will provide a forum to address trade issues and help build trade and investment relations between the United States and Ukraine. Ambassador Schwab commented, “The agreement will provide an important tool for both parties to strengthen the already robust trade and investment relationship between our two countries, and will assist Ukraine’s efforts to expand its economy and diversify its markets.” The TICA provides for the formation of a joint U.S.-Ukraine Council on Trade and Investment, which will address a wide range of trade and investment issues including market access, intellectual property, labor, and environmental issues. The Council will also help to increase commercial and investment opportunities by identifying and working to remove impediments to trade and investment flows between the United States and Ukraine. This agreement is substantially similar to the Trade and Investment Framework Agreements (TIFAs) that the United States has negotiated with a number of trading partners.

View USTR press release

Panel Finds EU Ban on Hormones Remains WTO-Inconsistent

On March 31, U.S. Trade Representative Susan C. Schwab announced that a WTO dispute settlement panel has found that the 2003 amended ban by the EU on beef from certain hormone-treated cattle continues to be scientifically unjustified. The panel found that the ban fails to satisfy the requirements of the WTO Agreement on Sanitary and Phytosanitary Measures and that the scientific studies cited by the EU do not support the position of the EU. Schwab stated that “resolution of this dispute will benefit not only U.S. cattle producers and beef exporters, but also EU importers and consumers.” The dispute over the EU ban on beef from animals administered certain growth promoting hormones dates back to 1996 and is one of the longest-standing disputes in the history of the WTO.

View USTR press release