Ireland's Prime Minister Micheál Martin told a U.S. Chamber of Commerce audience that as the U.S. is looking for trusted partners to make sure its supply chains are resilient, it should look to Ireland. He noted that his country was the fifth-largest supplier of coronavirus-related goods.
U.S. Chamber of Commerce Senior Vice President Patrick Kilbride said existing intellectual property rights “formed the legal and economic basis for an unprecedented level of highly successful collaborations between government, industry, academia” and non-governmental organizations, He said the Chamber supports the COVAX global initiative and removing regulatory barriers to boost distribution of COVID-19 vaccines but not a waiver of IP rights. Proposals to waive IP rights “are misguided and a distraction from the real work of reinforcing supply chains and assisting countries to procure, distribute and administer vaccines to billions of the world’s citizens. Diminishing intellectual property rights would make it more difficult to quickly develop and distribute vaccines or treatments in the future pandemics the world will face,” Kilbride said in a statement issued March 2.
The U.S. Chamber of Commerce has warmly endorsed Katherine Tai to be U.S. trade representative. In a letter sent Feb. 23, Executive Vice President Myron Brilliant said her experience at the Office of the U.S. Trade Representative and as chief trade counsel for the House Ways and Means Committee, is invaluable. “She combines policy acumen, negotiating experience, and political savvy,” he wrote. “While one important aspect of USTR’s mission is to address unfair trading practices, the previous Administration’s dramatic expansion in the application of tariffs contributed directly to a manufacturing and agriculture recession well in advance of the [COVID-19] pandemic, and this experience illustrates the perils of an excessive reliance on tariffs. The next USTR must avoid the use of tariffs as a blunt instrument, and must avoid inaction on trade agreements as well,” he said, adding that Tai understands that.
The semiconductor, chemicals, medical devices and aviation industries could be especially hurt by decoupling, according to a new U.S. Chamber of Commerce report attempting to quantify the costs of stopping or slowing sales to China, and in the case of chemicals, high tariffs on Chinese inputs used by U.S. chemical plants. Some of the actions modeled in the report have already happened, such as 25% tariffs on chemicals from China, and China's retaliatory tariffs on chemical exports. But while semiconductor exports to ZTE, Huawei and Fujian Jinhua have been restricted, there has not been a complete ban on the export of chips to China, which is what the report modeled.
Ngozi Okonjo-Iweala was officially confirmed as the next director-general of the World Trade Organization on Feb. 15, and the U.S. charge d'affaires, David Bisbee, in Geneva said she has deep knowledge and experience in “economics, trade, and diplomacy.” He said, “Dr. Okonjo-Iweala has promised that under her leadership it will not be business as usual for the WTO, and we are excited and confident that she has the skills necessary to make good on this promise.” Myron Brilliant, vice president for international affairs at the U.S. Chamber of Commerce, in congratulating Okonjo-Iweala, said that “we need to restore the WTO as a forum for meaningful trade negotiations and the settlement of commercial disputes. We’re committed to doing our part to make that happen.”
The Senate voted 55-42 Jan. 28 to invoke cloture on homeland security secretary nominee Alejandro Mayorkas, setting up a Feb. 1 confirmation vote. Six Republicans voted to move forward on Mayorkas, including the Homeland Security Committee's incoming lead Republican, Sen. Rob Portman of Ohio. The chamber also set a Feb. 2 vote to confirm transportation secretary nominee Pete Buttigieg, which he’s likely to easily clear. The Senate Commerce Committee recently advanced Buttigieg 21-3.
Trade advocates and a trade scholar discussed how effective U.S.-Asia sectoral agreements could be, as well as the possible downsides of such agreements, during an Asia Society Policy Institute webinar Jan. 26. The Japan mini-deal was not exactly a sectoral deal because it lowered tariffs on a variety of products across different categories, but the agreement's digital trade plank is one that negotiators could consider as a template for a digital trade accord across more Asian countries.
The European Union wants to work with America on ways to develop Artificial Intelligence standards, design a carbon adjustment border mechanism and stockpile medicines and personal protective gear in a way that lessens dependency on certain Asian countries, its ambassador to the U.S. said on a webinar hosted by the European American Chamber of Commerce
The U.S. Chamber of Commerce said further decoupling from China is certain if China doesn't do more to step up on industrial subsidies, intellectual property rights protection, trade secret theft and other U.S. companies' priorities. Myron Brilliant, head of international affairs for the Chamber, told reporters on a Jan. 13 call that there's not much political space for incoming President Joe Biden to roll back tariffs, even as his campaign was critical of the economic consequences of the trade war.
Witnesses overwhelmingly argued against tariffs on Vietnamese imports, during a virtual hearing Dec. 29 hosted by the Office of the U.S. Trade Representative, with numerous business representatives saying it was the choice not to sign the Trans-Pacific Partnership, not any kind of currency issue, that makes it harder for U.S. exports to penetrate Vietnam. Trade groups representing importers from Vietnam noted that their members moved sourcing from China to Vietnam precisely to avoid Section 301 tariffs, and some said putting comparable tariffs on Vietnamese imports would cause companies to relocate back to China.