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Foreign Trade Barriers are Focus of Annual USTR Inquiry

Wednesday, August 02, 2017
Sandler, Travis & Rosenberg Trade Report

The Office of the U.S. Trade Representative is seeking input by Oct. 25 for its annual national trade estimate report on significant barriers to U.S. exports of goods and services and U.S. foreign direct investment. Comments may be submitted with respect to one or more of the following categories of trade barriers.

- import policies (e.g., tariffs and other import charges, quantitative restrictions, import licensing, and customs barriers)

- government procurement restrictions (e.g., “buy national” policies and closed bidding)

- export subsidies (e.g., export financing on preferential terms, subsidies provided to equipment manufacturers contingent on export, and agricultural export subsidies that displace U.S. exports in third-country markets)

- lack of intellectual property rights protection (e.g., inadequate patent, copyright, and trademark regimes)

- services barriers (e.g., limits on the range of financial services offered by foreign financial institutions, regulation of international data flows, restrictions on the use of data processing, quotas on imports of foreign films, unnecessary or discriminatory technical regulations or standards for telecommunications services, and barriers to the provision of services by professionals)

- investment barriers (e.g., limitations on foreign equity participation and on access to foreign government-funded research and development consortia; local content, technology transfer, and export performance requirements; and restrictions on repatriation of earnings, capital, fees, and royalties)

- anticompetitive conduct of state-owned or private firms tolerated by foreign governments that restricts the sale or purchase of U.S. goods or services in the foreign country’s markets

- trade restrictions affecting e-commerce (e.g., tariff and non-tariff measures, burdensome and discriminatory regulations and standards, and discriminatory taxation)

- trade restrictions implemented through unwarranted sanitary and phytosanitary measures, including those justified for purposes of protecting food safety and animal and plant life or health

- trade restrictions implemented through unwarranted standards, conformity assessment procedures, or technical regulations that may have as their objective protecting national security requirements, preventing deceptive practices, or protecting human health or safety, animal or plant life or health, or the environment but that can be formulated or implemented in ways that create significant barriers to trade (including unnecessary or discriminatory technical regulations or standards for telecommunications products)

- trade barriers affecting telecommunications products and services

- other barriers, including barriers that encompass more than one category, such as bribery and corruption, or that affect a single sector

USTR is particularly interested in practices that may violate U.S. trade agreements, information on new barriers, and new or updated information pertinent to the barriers covered in its 2017 NTE report. Commenters are also invited to identify those barriers that may operate as localization barriers to trade; i.e., measures designed to protect, favor, or stimulate domestic industries, service providers, and/or intellectual property at the expense of goods, services, or intellectual property from other countries.

In addition, each comment should include an estimate of the potential increase in U.S. exports that would result from removing the identified barrier.

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