<html><head><meta http-equiv="Content-Type" content="text/html; charset=utf-8"></head><body style="word-wrap: break-word; -webkit-nbsp-mode: space; line-break: after-white-space;" class=""><p class="MsoNormal" style="margin: 0px 0px 1.5pt; caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; line-height: 19.5pt; background-color: white;"><b class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: rgb(51, 51, 51);" class="">Business groups unite to decry shift away from WTO e-commerce proposals<u class=""></u><u class=""></u></span></b></p><div style="margin: 0px; caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif;" class=""><span style="font-family: "Times New Roman", serif; font-size: 12pt;" class="">Inside US Trade, 11/7/23</span></div><div style="margin: 0px; caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif;" class=""><span style="font-size: 12pt; font-family: "Times New Roman", serif;" class=""><u class=""></u> <u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class="">A broad coalition of more than 40 major business groups is urging the Biden administration to reverse course following its decision to withdraw support for key digital trade proposals in World Trade Organization talks on e-commerce, arguing the U.S. must continue to be a “global leader” on the issue to be able to push back on authoritarian regimes.<u class=""></u><u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class=""><u class=""></u> <u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white; font-variant-ligatures: normal;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class="">In a <a href="https://www.uschamber.com/international/trade-agreements/u-s-chamber-and-other-associations-letter-to-nsc-nec-on-digital-trade#:~:text=We%20further%20implore%20you%20take,on%20the%20regulatory%20overreach%20of" target="_blank" data-saferedirecturl="https://www.google.com/url?q=https://www.uschamber.com/international/trade-agreements/u-s-chamber-and-other-associations-letter-to-nsc-nec-on-digital-trade%23:~:text%3DWe%2520further%2520implore%2520you%2520take,on%2520the%2520regulatory%2520overreach%2520of&source=gmail&ust=1699550596457000&usg=AOvVaw2DEXsNAPbLeSWHqj5HL6YH" style="color: rgb(17, 85, 204);" class=""><span style="color: rgb(0, 102, 204); border: 1pt none windowtext; padding: 0in;" class="">Nov. 7 letter</span></a><strong class=""><span style="border: 1pt none windowtext; padding: 0in;" class=""> </span></strong>to National Security Adviser Jake Sullivan and National Economic Council Director Lael Brainard, the groups highlight their “profound concern and disappointment” in the wake of the decision, announced by the Office of the U.S. Trade Representative last month, to <a href="https://insidetrade.com/node/178191" target="_blank" data-saferedirecturl="https://www.google.com/url?q=https://insidetrade.com/node/178191&source=gmail&ust=1699550596457000&usg=AOvVaw1NiAAkSEapRStxvelnQ4N1" style="color: rgb(17, 85, 204);" class=""><span style="color: rgb(0, 102, 204); border: 1pt none windowtext; padding: 0in;" class="">withdraw U.S. support for proposed provisions</span></a><strong class=""><span style="border: 1pt none windowtext; padding: 0in;" class=""> </span></strong>related to data flows, data localization and source code. The letter also was sent to USTR Katherine Tai, Commerce Secretary Gina Raimondo, Secretary of State Antony Blinken and Treasury Secretary Janet Yellen, along with congressional leaders and members of the Senate Finance and House Ways & Means committees.<u class=""></u><u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class=""><u class=""></u> <u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white; font-variant-ligatures: normal;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class="">“[T]he undersigned organizations urge the Administration to reverse this harmful decision,” the groups said. “We further implore you take steps that would return the U.S. to its traditional role as the global leader in writing rules for the rules-based trading system that benefit American workers and business, align with American priorities and values, and will empower the government to push back on the regulatory overreach of authoritarian regimes.”<u class=""></u><u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class=""><u class=""></u> <u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white; font-variant-ligatures: normal;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class="">The letter is signed by large business groups like the U.S. Chamber of Commerce, the National Foreign Trade Council, the U.S. Council for International Business and Business Roundtable, as well as a broad swath of industry trade associations like the Coalition of Services Industries, the National Retail Federation, the Pharmaceutical Research and Manufacturers of America and the American Apparel and Footwear Association, among many others.<u class=""></u><u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class=""><u class=""></u> <u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white; font-variant-ligatures: normal;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class="">USTR at the time said the move would “provide enough policy space” for ongoing debates in the U.S. and elsewhere on “approaches to data and source code, and the impact of trade rules in these areas.”<u class=""></u><u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class=""><u class=""></u> <u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white; font-variant-ligatures: normal;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class="">According to a group of progressive lawmakers on Tuesday, USTR also has <a href="https://insidetrade.com/node/178313" target="_blank" data-saferedirecturl="https://www.google.com/url?q=https://insidetrade.com/node/178313&source=gmail&ust=1699550596457000&usg=AOvVaw0YwoTL-0zdcXxeqoQe1lln" style="color: rgb(17, 85, 204);" class=""><span style="color: rgb(0, 102, 204); border: 1pt none windowtext; padding: 0in;" class="">suspended negotiations</span></a><strong class=""><span style="border: 1pt none windowtext; padding: 0in;" class=""> </span></strong>on these issues in the Indo-Pacific Economic Framework for Prosperity talks.<u class=""></u><u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class=""><u class=""></u> <u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white; font-variant-ligatures: normal;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class="">The lawmakers, in their Tuesday letter, praised the shift, arguing it precludes “Big Tech” from enshrining favorable rules that would prevent Congress and other authorities from acting on issues like artificial intelligence and anti-monopoly efforts. They have previously criticized USTR and previous trade negotiations for what they say is an overrepresentation of business interests to the detriment of U.S. workers and marginalized communities.<u class=""></u><u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class=""><u class=""></u> <u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white; font-variant-ligatures: normal;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class="">But business groups -- and other lawmakers -- counter that such rules are critical in facilitating access to markets for small and medium-sized businesses, farmers and manufacturers. They immediately condemned the decision as akin to vacating U.S. leadership on the issue, which, they said, will allow China and others to push their version of the rules. This was echoed by the letter from business groups on Tuesday.<u class=""></u><u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class=""><u class=""></u> <u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white; font-variant-ligatures: normal;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class="">“These are core disciplines that advance U.S. innovation and competitiveness, fuel economic growth, and support the exchange of knowledge and information necessary to address climate, health, and other global challenges,” the groups insisted. “They also form a breakwall against the rising tide of global digital protectionism, particularly the egregious digital measures imposed by authoritarian regimes.”<u class=""></u><u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class=""><u class=""></u> <u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white; font-variant-ligatures: normal;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class="">The letter also notes that the Biden administration had pledged “as recently as May 2022” to pursue high-standard rules on digital trade.<u class=""></u><u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class=""><u class=""></u> <u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white; font-variant-ligatures: normal;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class="">However, the recent announcement “is a complete reversal” that shows the U.S. “will not confront measures that discriminate against American companies” and that will “further legitimize digital protectionism around the globe and advance the interests of our adversaries,” the business groups contended.<u class=""></u><u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class=""><u class=""></u> <u class=""></u></span></div><div style="caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif; margin: 0in; background-color: white; font-variant-ligatures: normal;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif; color: black;" class="">A senior U.S. official, when announcing the U.S. withdrawal of support of the provisions in Geneva, said that the administration remained committed to a “commercially meaningful” deal in the plurilateral negotiations on e-commerce at the WTO. The co-conveners of the talks are aiming for a “substantial conclusion” of the negotiations by the end of the year. A lack of U.S. support on the data and source code provisions likely leaves those off the table, but participants will aim to “lock in” gains made so far along with a few additional issues, <a href="https://insidetrade.com/node/178204" target="_blank" data-saferedirecturl="https://www.google.com/url?q=https://insidetrade.com/node/178204&source=gmail&ust=1699550596457000&usg=AOvVaw0CAffozarht_j63qdcB7A2" style="color: rgb(17, 85, 204);" class=""><em class=""><span style="color: rgb(0, 102, 204); border: 1pt none windowtext; padding: 0in;" class="">Inside U.S. Trade</span></em><span style="color: rgb(0, 102, 204); border: 1pt none windowtext; padding: 0in;" class=""> reported recently</span></a>. -- <em class=""><span style="border: 1pt none windowtext; padding: 0in;" class="">Hannah Monicken</span></em> (<a href="mailto:hmonicken@iwpnews.com" target="_blank" style="color: rgb(17, 85, 204);" class=""><span style="color: rgb(0, 102, 204); border: 1pt none windowtext; padding: 0in;" class="">hmonicken@iwpnews.<wbr class="">com</span></a>)<u class=""></u><u class=""></u></span></div><div style="margin: 0px; caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif;" class=""><u class=""></u> </span></div><div style="margin: 0px; caret-color: rgb(34, 34, 34); color: rgb(34, 34, 34); font-family: Arial, Helvetica, sans-serif;" class=""><span lang="EN-GB" style="font-size: 12pt; font-family: "Times New Roman", serif;" class=""><br class=""></span></div><div class="">
Arthur Stamoulis<br class="">Citizens Trade Campaign<br class="">(202) 494-8826<br class=""><br class=""><br class=""><br class="">
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