[CTC] The Hush-Hush Terms for Indo-Pacific Trade Talks

[Arthur Stamoulis]

BY STEVEN OVERLY <mailto:soverly at politico.com>


— Trade negotiators brokering the Indo-Pacific Economic Framework will be expected to keep proposals and other sensitive information in strict confidence. A document shared with POLITICO offers details on the restrictions.

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THE HUSH-HUSH TERMS FOR INDO-PACIFIC TRADE TALKS: The Biden administration will begin negotiating an economic agreement with 13 other nations from across the Indo-Pacific in the coming months, forging a non-traditional trade pact that aims to resolve prickly challenges surrounding supply chains, digital trade, environmental stewardship and government corruption.

But the proposals that countries put forth and the compromises they agree to make throughout those talks will be kept under tight wraps, and a document shared with POLITICO <https://go.politicoemail.com/?qs=c3a0c89aa2b720554f0d44986156da5d401fea15e6b91d05720ae68295dbc776d62b73dace9aea65ed3d18eeccebdf79> shows just how quiet the U.S. expects its trading partners to be.

The U.S. and New Zealand have signed an agreement to keep proposals, explanatory materials, written communication and other information exchanged during the negotiations “in confidence” for five years after the Indo-Pacific Economic Framework enters into force or the talks otherwise come to an end. Each country can release its own proposals at its discretion.

Those documents must also only be provided to one government official and two outside consultants working for the government, who in turn must agree only to share information with those authorized to be in the know, according to the document, which New Zealand released as part of a public records request.

The terms were approved in April by Dawn Shackleford, the assistant U.S. trade representative for Southeast Asia and the Pacific, and William Mark Sinclair, New Zealand’s deputy secretary of the Americas and Asia.

Adam Hodge, a spokesman for the Office of the U.S. Trade Representative, called confidentiality agreements a “standard practice to preserve the integrity of trade negotiations.” He added that the Biden administration has been “committed to increased transparency” since it took office and has “brought more people to the table as we develop trade policy.”

“We look forward to releasing additional transparency measures in the near future,” he added.

Par for the course: Confidentiality agreements do come standard in trade negotiations, though details on timeline and terms vary from deal to deal. Seasoned trade negotiators argue such rules allow government officials to communicate candidly, and to propose ideas or strike bargains that might be politically sensitive at home.

Wendy Cutler, a former trade negotiator who now serves as vice president of the Asia Society Policy Institute, says “having proposals in the public domain would undoubtedly lead to vocal opposition, lobbying for more, and overall second guessing, tying the hands of negotiators at critical junctures in the talks.”

“That said, transparency is important but other ways to promote transparency, short of disclosing proposals, should be pursued,” Cutler added.

Calls for transparency: U.S. trade officials have faced bipartisan criticism from lawmakers <https://go.politicoemail.com/?qs=c3a0c89aa2b720558388acf96b4049d575a5495a09f35e5e15d5d0615c43f4c96ba87b9390666dccf389e58e9cfad0e8> seeking greater insight and input into the administration’s trade agenda, particularly the IPEF negotiations.

Advocacy groups like Public Citizen, Rethink Trade and Trade Justice are making similar demands. They penned a letter this summer  <https://go.politicoemail.com/?qs=c3a0c89aa2b72055d64f871ef45f4d0e585b821b04f84c757395050d9109ae9ebfb7bcf4512adafb98dee771fcf8bbab>calling on trade officials to forego the secrecy that usually shrouds trade talks, and instead publish proposals and draft texts for public comment.

USTR released its negotiating objectives for the IPEF talks <https://go.politicoemail.com/?qs=c3a0c89aa2b72055177458476859b2f757e7bdb2fc3c17f757db80030ff4c7752e66c8af90d9d3b275ea70fc903d0fa3> last month, but the agency is not obligated to follow the typical guidelines surrounding transparency because the framework is not a traditional trade deal that Congress must ratify.


Arthur Stamoulis
Citizens Trade Campaign
(202) 494-8826




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