Archive for the ‘Market Access and Compliance’ Category

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The U.S.-Mexico Border is Open For Business

January 30, 2012

Michael C. Camuñez is Assistant Secretary of Commerce for Market Access and Compliance.

“The U.S.-Mexico border is open for business.” That is the refrain I and others who work on border issues tirelessly deliver wherever we can. But with the media’s relentless focus on immigration, drug-trafficking, and cartel violence, we know that we must provide and promote objective evidence to support our message. A report recently released by Arizona State University’s North American Center for Transborder Studies (NACTS) and NDN’s New Policy Institute (NPI), entitled “Realizing the Value of our Cross Border Trade with Mexico” does both.

The report only confirms the overwhelming evidence that the Department of Commerce’s International Trade Administration (ITA) has assembled conclusively establishing that Mexico and, by extension the U.S. Mexico border, is vital to the long-term health of the U.S. economy. However, all of that evidence is for naught if Americans are not made aware of it, but instead are distracted by the media’s focus on more controversial issues.

That is why I was pleased to join the effort to promote and further publicize the NACTS /NPI report at an event hosted by the New Democrat Network (NDN), where I was joined by one of the authors of the report, NACTS Director D. Rick Van Schoik. I am convinced that it is through this kind of collaboration—that between public and private sector—that we will change the national conversation about the border.

Particularly in tough economic times we must not allow ourselves to be distracted by ancillary issues. As President Obama made clear in his State of the Union address, our focus must be on growing jobs and strengthening the American economy. Mexico and the U.S. Mexico border are essential to that effort. Mexico is the U.S.’s third largest trading partner and second largest export market. Last year, we did nearly $400 billion in two-way trade, translating to more than $1 billion dollars a day on average. Notably, even goods imported from Mexico support U.S. jobs. That is because 64% of the content of Mexican goods sold in the U.S. are made from U.S. inputs.

As in any relationship, there are challenges, but we are working hard to address them. The ITA has launched a Border Export Strategy, seeking ways to further facilitate cross-border trade. We have placed a senior director on the border full-time to increase our awareness and responsiveness to challenges U.S. companies face in the region. The ITA has also sent half a dozen trade missions to Mexico in a variety of sectors, including green energy/energy efficiency and health care, with more planned this year, such as the one I am leading this week. These missions serve to showcase the ingenuity and know-how of U.S. companies.

An “America Built to Last” is an America that plays to its strengths and leverages its most important resources. Chief among those strengths is the commerce flowing across the US-Mexico border—an asset that is, as the recent NACTS /NPI study affirms, “hidden in plain view.”

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2011 Export Success Highlights

January 13, 2012

The International Trade Administration helps thousands of companies every year and we’d like to highlight a few of our most recent success stories from this past year.

Sirchie of North Carolina wins $1.1 million contract with Brazilian government

Sirchie of Youngsville, North Carolina manufactures crime scene investigation kits and materials used by law enforcement officials worldwide. Sirchie contacted the U.S. Commercial Service office in Raleigh for assistance in selling law enforcement products to the government of Brazil.

Sirchie used a Gold Key Service, which would introduce them to prospective buyers in Brazil as well as give them the opportunity to meet with key industry officials and ministries, including local police and law enforcement. In advance of the Sirchie’s trip to Brazil, the trade specialists in the Commercial Service in Brazil also provided Sirchie with information on the government procurement process in Brazil and how Sirchie could tap into opportunities selling to the Brazilian government.

As a result of assistance from the Commercial Service, Sirchie won a Brazilian government tender and sold $1.1 million of export product to the Brazilian government.

Great Lakes Dredge & Dock Company of Illinois Wins $51 million project in Bahrain

This past November, Great Lakes Dredge & Dock Company, LLC (GDD, Oak Brook, IL) signed a contract with the Bahraini Ministry of Housing to provide dredging and land reclamation services for the East Hidd Housing Development project. GDD competed against companies from the Netherlands, Algeria, and China. The strong advocacy effort provided by the Commercial Service and the U.S. Embassy staff in Bahrain was key to the success of this advocacy campaign. The final project value was $57 million, with $51 million in U.S. export content, supporting 280 U.S. jobs.

Food Concessionaire, International Meal Company (IMC) of Massachusetts Overcomes Panamanian Trade Barrier

IMC, headquartered in San Juan, Puerto Rico, and Boston, Massachusetts, overcame a foreign trade barrier with the assistance of the Department of Commerce’s Trade Agreements Compliance Program, led by the Market Access and Compliance Unit that threatened to have its airport food‐court concession revoked.

IMC’s concessions in Panama are worth $6 million. After winning a bidding process and opening various food and beverage concessions at Panama’s Tocumen Airport, IMC’s multi‐million dollar investment was jeopardized by the Government of Panama’s failure to ratify its contract.

The International Trade Administration and the U.S. Embassy intervened on behalf of IMC with the Panamanian Government and Tocumen Airport Authority, urging the Panamanian Comptroller to review and ratify IMC’s contract for the food‐court concessions. Thanks to these efforts, the contract is now ratified, and IMC is able to continue its operations in Panama with contractual protection.

Garmin Marine Navigation GPS Units of Kansas Navigates Turkish Customs

Garmin of Olathe, Kansas, tapped into the resources of the International Trade Administration to ensure its $1.5 million worth of marine navigational GPS units cleared Turkish customs. Turkish customs claimed that the CE Mark Directive on Radio and Telecommunications Terminal Equipment (R&TTE) required that these products be tested and certified at a third-party lab recognized by the European Union (EU). However, the R&TTE Directive allows for the marine navigational GPS units imported by Garmin to be self‐certified.

ITA officials, working in close collaboration with the Commercial Service at the U.S. Embassy in Turkey, worked with Turkish government officials to explain that marine navigational GPS units can be self‐certified by an accredited independent lab, in compliance with the relevant EU standard. As a result, Turkish customs officials correctly assessed Garmin’s products and accepted its self‐certification.

Garmin reported in May that its most recent shipments to Turkey had gone through customs smoothly and the company does not anticipate any trouble getting these products into Turkey in the future.

These are but a few of the successful sales and logistical issues that the global staff of the International Trade Administration helped to realize for American businesses. To learn more about pursuing overseas markets or to get help resolving a market access issue, visit export.gov.

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Participants in the Renewable Energy Trade Mission to Turkey Find Business Partnerships

January 9, 2012

Ryan Barnes is an International Trade Specialist in the Office of European Country Affairs within the Market Access and Compliance division of the International Trade Administration.

Renewable Energy and Energy Efficiency Trade Delegation to Turkey, December 5-9, 2011

Renewable Energy and Energy Efficiency Trade Delegation to Turkey, December 5-9, 2011

Just last month, I accompanied Michael Camuñez, Assistant Secretary for Market Access and Compliance as he led 16 U.S. Renewable Energy & Energy Efficiency companies on a Trade Mission to Turkey. The delegation included U.S. energy firms as well as officials from Trade Promotion Coordinating Committee (TPCC) agencies: Export-Import Bank, Overseas Private Investment Corporation, U.S. Department of Energy and U.S. Trade and Development Agency. The delegation visited Ankara, Izmir and Istanbul, where numerous opportunities exist for these firms.

The staff of the International Trade Administration recruited a variety of companies for the mission.  The group included energy giants such as General Electric, Johnson Controls, and AES as well as nine small and medium-sized enterprises on the leading edge of renewable energy technology.  Of the sixteen firms, whose products range from solar panels to cooling systems, eleven had never before done business in Turkey.  One firm, World Business Capital, was also there to provide financing.

The mission’s main objective was to introduce the participants to potential Turkish business partners.  U.S. firms met with numerous Turkish counterparts in one-on-one meetings to discuss possible joint venture opportunities.  More than 340 of these business to business matchmaking meetings took place during the five-day mission. 

The trade mission could not have come at a better time.  Bilateral trade between the U.S. and Turkey is set to break records in 2011, with projections of roughly $20 billion in total trade.  And the energy sector, in particular, is ripe for U.S. trade and investment.  Turkish energy demand is due to grow at a rate of seven to nine percent annually.  To help accommodate this growing demand, the Turkish government will invest roughly $130 billion by 2023, and has placed a great deal of emphasis on renewable energy.  Ankara has plans to achieve 30 percent renewable energy production by 2023, and has called for $40 billion in investment in this sector by 2020. Turkey also passed an updated renewable energy law in December 2010 to provide even further investment incentives.

The U.S. Government has worked to develop this burgeoning market.  In addition to the trade mission, there is a newly launched interagency project known as the “Near Zero Zone”.  This project, led by the U.S. Department of Energy, is helping industrial companies operating within the Izmir Ataturk Organized Industrial Zone (IAOSB) reduce their energy usage through a series of cost-effective efficiency upgrades.  One of key stops during the trade mission was to this Near Zero Zone site in Izmir.

The trade mission, along with the Near Zero Zone, helped with the formation of business partnerships and provided opportunities to match high quality U.S. supply with growing Turkish energy demand.  The potential for mutual gain in this arena is enormous.  Already, trade mission participants have reported a potential $40 million in business deals.   We hope this is just the beginning.

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Taking Advantage of Opportunities in Colombia

December 29, 2011

Walter Bastian is the Deputy Assistant Secretary of Commerce for the Western Hemisphere in ITA’s Market Access and Compliance unit.

I recently participated in a forum focusing on how the new U.S.-Colombia Trade Promotion Agreement (Agreement), signed into law by President Obama in October, provides opportunities for expanded trade between our two countries.   Representatives from more than 100 U.S. and Colombian businesses attended the event in Bogotá organized by the Colombian American Chamber of Commerce. 

Colombia is the 3rd largest economy in Central and South America, and one of our most important strategic partners in the region. I am impressed by Colombia’s level of economic liberalization and diversification of exports, and its sustained investment in information technologies. Furthermore, the country has greatly improved its corporate governance standards, and the United States and Colombia have largely complementary economies.

U.S. companies should prepare to take full advantage of the U.S.-Colombia Trade Promotion Agreement. When implemented, the Agreement will eliminate barriers to billions of dollars of U.S. exports, and increase U.S. market access for goods and Colombia’s $166 billion services market. Nearly 75 percent of duties on industrial and agriculture goods from the United States will be terminated immediately, and almost all other duties phased out during the next 5-10 years.

The Agreement is expected to increase U.S. exports by at least $1 billion annually and U.S. Gross Domestic Product by more than $2.5 billion. Key industry sector opportunities include information technology products, agriculture and construction equipment, infrastructure and machinery, chemicals, remanufactured and medical equipment, electrical power generation and distribution equipment, and aircraft and parts. 

The Agreement also advances President Obama’s National Export Initiative which aims to double overall U.S. exports by the end of 2014, creating new opportunities for U.S. businesses, workers, farmers and ranchers.  

We want to make sure that we support U.S. companies’ competitive position in Colombia and facilitate two-way trade. Colombia is doing the right things to get their house in order—they have significantly improved their business climate and are aggressively working to make it even better.

With a population of 48 million consumers in an economy with a growing GDP, Colombia is an attractive market for the United States. The International Monetary Fund (IMF) is expected to peg its Colombian 2011 economic growth forecast to close to 5 percent. According to World Bank’s Doing Business Report, Colombia is the region’s leading reformer, ranking 37th among 183 economies—and remains among the world’s 10 most active reformers.  

For assistance in doing business in Colombia, U.S. businesses can contact their local U.S. Commercial (CS) Export Assistance Center at www.export.gov, or visit the Commercial Service at the U.S. Embassy in Bogotá. 

 

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New Training Exchange Program with Russian Business Leaders Launched

December 20, 2011

Becky Long is an International Trade Specialist at Special American Business Internship Training (SABIT) in the International Trade Administration’s Market Access and Compliance unit.

For more than 20 years the Special American Business Internship Training Program, or SABIT has been promoting economic development in the countries of the former Soviet Union and encouraging business ties between these countries and the United States. Today SABIT continues to put a strong emphasis on the development of Eurasian countries and is at the same time expanding its reach into other regions by hosting groups from Pakistan and Afghanistan. 

The SABIT office, under the International Trade Administration’s Market Access and Compliance unit, annually hosts 12 to 15 delegations of professionals from emerging market countries in industries such as airport development, cargo transportation and logistics, niche tourism, intellectual property rights, construction, and energy efficiency just to name a few.  These delegations come to the United States for three to four weeks to meet with their industry counterparts in the private sector, government, associations, academia, and other relevant organizations.  All of the meetings are arranged entirely by the SABIT staff based on their industry knowledge and the participants’ interests, resulting in programs that are tailor-made for each delegation.

SABIT’s professional development training programs directly support economic development by encouraging market-based reforms, while generating valuable export and investment opportunities for U.S. companies.  Since 1990, over 1,500 U.S. companies and organizations have hosted more than 5,000 international trainees through SABIT, resulting in more than $850 million in export revenues.

Michelle O'Neill (center) with the delegates from SABIT's PMT program on energy efficiency. (Photo credit ITA)

Michelle O'Neill (center) with the delegates from SABIT's PMT program on energy efficiency. (Photo credit ITA)

This Fall, SABIT launched the new U.S.-Russia Presidential Management Training Exchange Program (PMT) by hosting two delegations Russian professionals in the information technology and energy efficiency sectors for three weeks.  PMT aims to provide unique professional development and business networking opportunities that help facilitate business relationships, economic development, and international trade.

PMT is being implemented under the U.S.-Russia Bilateral Presidential Commission, which is dedicated to identifying areas of cooperation and pursuing joint projects that strengthen strategic stability, international security, economic well-being, and the development of ties between the Russian and American people.  The PMT exchange program was created as a result of an agreement between the Government of the Russian Federation and the Government of the United States in the Area of Training of Management Personnel which was signed by former Commerce Secretary Gary Locke and Minister of Economic Development Elvira Nabiullina in November 2010. 

In October 2011, PMT’s Russian energy efficiency group met with Michelle O’Neill, Deputy Under Secretary for International Trade and U.S. Coordinator for the Business Development & Economic Relations Working Group to celebrate the completion of the pilot phase.  During their three-week program in the United States, the 8 delegates participating in the energy efficiency group visited companies and organizations such as the Alliance to Save Energy, Greater Philadelphia Clean Cities and Philadelphia Electric Company, the National Renewable Energy Laboratory, Johnson Controls, Bentley Systems, U.S.-Russia Business Council, and the World Green Energy Symposium, where delegate Ivan Bragin spoke about the state of the green energy sector in Russia. The participants also had a chance to mingle with Michael Nutter, the Mayor of Philadelphia, at the symposium’s opening night reception, where the mayor highlighted Philadelphia’s green initiatives. 

The 13 delegates who participated in the information technology group met with U.S. companies and organizations such as the Software & Information Industry Association, New Jersey Institute of Technology-Enterprise Development Center, the social gaming company CrowdStar, and the Northern Virginia Technology Council. Delegates also attended training seminars on innovation management and software project management. 

For the second phase of PMT, SABIT plans to send the first group of American businesspeople to Yekaterinburg, Russia this spring.  Given the success of the pilot trainings, plans for future exchanges with Russia are under discussion.

U.S. companies interested in hosting SABIT’s international delegations may contact the SABIT office at 202-482-0073 or sabit@trade.gov

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Promoting Growth and Competitiveness in the Americas

November 1, 2011

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By Eric Toler, an intern in the ITA’s Market Access and Compliance unit.

At the fifth Americas Competitiveness Forum, held this year in the Dominican Republic, representatives of more than 30 countries from throughout the Western Hemisphere pledged to take steps to foster long-term economic prosperity and support growth in trade throughout the region.

Francisco Sánchez, under secretary of commerce for international trade, addresses attendees of the Americas Competitiveness Forum, held October 5–7 in Santo Domingo, Dominican Republic. (U.S. Department of Commerce photo)

Francisco Sánchez, under secretary of commerce for international trade, addresses attendees of the Americas Competitiveness Forum, held October 5–7 in Santo Domingo, Dominican Republic. (U.S. Department of Commerce photo)

The United States sends more than 40 percent of its exports to the Western Hemisphere, making the region one of our most important trading partners. And with the recent passage of the Colombia and Panama free trade agreements, U.S. economic ties with the region will only deepen. On October 5–7 at the Americas Competitiveness Forum (ACF) in Santo Domingo, Dominican Republic, a delegation from the International Trade Administration (ITA) joined with its counterparts from throughout the Americas to chart a course for enhancing the competitiveness of the region’s economies, demonstrating the long-term commitment to strengthening economic ties with the region.

Fifth Gathering

This year’s event brought together more than 1,000 senior business and government officials. Participants included ministers of economy, industry, and finance from more than 30 countries throughout the Western Hemisphere. Also present were former and current heads of state, as well as representatives from civil society. Over the course of the ACF’s three days, Francisco Sánchez, under secretary of commerce for international trade and leader of the U.S. delegation, met with a number of his counterparts. He reiterated President Barack Obama’s commitment to forging new, mutually beneficial partnerships with the countries of the Western Hemisphere. In remarks at a plenary session, “Latin America and the United States: Vision 2020,” Sánchez noted that “success in the 21st century will be fueled by cooperation and community. We must help each other sharpen our competitive edges and build a better future for our peoples.”

Now in its fifth year, the ACF has emerged as the premier economic and commercial event of the Americas. The inaugural ACF was held in Atlanta, Georgia, in 2007. As host, the Department of Commerce was responsible for developing the core themes and unique programmatic structure of the event. The success of the inaugural ACF has been replicated in the subsequent four forums.

Regional Competitiveness

The ACF also featured the annual meeting of the Inter-American Competitiveness Network (or RIAC, for its Spanish acronym). RIAC was established in 2009 at the third ACF in Santiago, Chile. It brings together representatives from more than 30 national councils from throughout the Western Hemisphere’s to discuss the state of the region’s competitiveness, exchange experiences and best practices, and consider reforms and public policies.

High on the agenda at this year’s meeting of the RIAC was a vote on the Santo Domingo Consensus, a set of 10 policy objectives designed to promote a more competitive and prosperous region. Taking into account the need to foster growth and competitiveness amidst an environment of international economic uncertainty, the objectives of the Santo Domingo Consensus call for, among other goals, investment in education and human capital; improvements in infrastructure and the business environment; increased access to capital; and the promotion of trade(see sidebar).

RELATED: The Santo Domingo Consensus

Michael Camuñez, assistant secretary of commerce for market access and compliance, represented the United States at the RIAC meeting. He highlighted the importance of the objectives embodied in the Santo Domingo Consensus by noting that “in an increasingly competitive global marketplace, we must work together as a region. In doing so, we will create the jobs and sustained economic growth so vital to our respective futures.”

Summit of the Americas

The Santo Domingo Consensus was approved enthusiastically by members of the RIAC, and will next be presented to hemispheric leaders for their endorsement at the Summit of the Americas that is scheduled to be held in Cartagena, Colombia, in April 2012.

Both the ACF and RIAC provide a platform to promote reforms that will support economic growth in the Western Hemisphere and which will in turn help increase and encourage the export of U.S. products, services, and technologies throughout the Americas.

The next ACF, scheduled for October 2012, will be held in Cali, Colombia. For more information about this year’s ACF, go to www.competitivenessforum.com.

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Internship Honors ITA Employee

November 1, 2011
An agreement establishing the Alysia Wilson Memorial Internship was signed on September 22, 2011, by (from left to right): Jennifer L. Windsor, associate dean at Georgetown University’s School of Foreign Service; Walter Bastian, deputy assistant secretary for the Western Hemisphere; and Michelle O’Neill, deputy under secretary for international trade. (U.S. Department of Commerce photo)

An agreement establishing the Alysia Wilson Memorial Internship was signed on September 22, 2011, by (from left to right): Jennifer L. Windsor, associate dean at Georgetown University’s School of Foreign Service; Walter Bastian, deputy assistant secretary for the Western Hemisphere; and Michelle O’Neill, deputy under secretary for international trade. (U.S. Department of Commerce photo)

By John Ward, a writer in the International Trade Administration’s Office of Public Affairs.

Officials from the International Trade Administration (ITA) and Georgetown University gathered together on September 22, 2011, in Washington, D.C., to sign an agreement establishing the Alysia Wilson Memorial Internship. The internship honors the memory of Alysia Wilson, an employee in ITA’s Office of the Western Hemisphere, who passed away in 2011 after a battle with cancer.

Michelle O’Neill, deputy under secretary for international trade underscored the importance of this living memorial to Wilson, pointing out to attendees at the signing ceremony that “all of us will remember Alysia in our memories and hearts. This scholarship ensures that she will be remembered by future generations of young people—a fitting honor for such a special and caring person.”

Wilson was a 1990 graduate of Georgetown’s Edmund A. Walsh School of Foreign Service. She began work at ITA in 1998, where she eventually became director of the Americas Project Team in ITA’s Market Access and Compliance unit. She spearheaded the conceptualization and organization of the first Americas Competitiveness Forum, which was held in Atlanta, Georgia, in 2007. Wilson also championed ethical reform in Latin America by extending the Department of Commerce’s Good Governance Program into the region and overseeing the production of a Spanish-language edition of a related handbook, Business Ethics.

The agreement with Georgetown provides for the recruitment of qualified graduate-level student interns for each academic term. The first two interns chosen for the program, Gabriel Maia de Needell and Eric Toler, were introduced at the signing ceremony. They will be working in the Office of the Western Hemisphere on some of the same issues and projects led by Wilson.

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The First U.S. Certified Trade Misison to Lithuania Furthers U.S. Enthusiasm for this Small, but Important Market

September 29, 2011

Juan Verde is the Deputy Assistant Secretary for Europe in International Trade Administration’s Market Access and Compliance Unit.  In this capacity, he leads the Department of Commerce’s efforts to help solve trade policy and market access issues facing U.S. firms seeking to grow their business operations in Europe and Eurasia.

I have just returned from a two-day visit to Lithuania, where I met with the Prime Minister and other  senior government leaders. I  had the pleasure to meet with the members of the first Department of Commerce Certified Trade Mission to that country, led by Illinois Congressman John Shimkus. 

Lithuania is a small nation, and many American companies are probably not familiar with it.  It is located on the Baltic Sea, bordered by Poland, Belarus and Latvia.  It is a member of the European Union and NATO.  It is providing a valuable contribution to our efforts in Afghanistan.

From left to right.  U.S. Ambassador Anne Derse,  Deputy Assistant Secretary for Europe Juan Verde, Representative John Shimkus, Lithuanian Minister of Economy Rimantas Zylius.

From left to right. U.S. Ambassador Anne Derse, Deputy Assistant Secretary for Europe Juan Verde, Representative John Shimkus, Lithuanian Minister of Economy Rimantas Zylius.

Despite its being a small nation, it is attractive to U.S. companies for a number of reasons.  It is a gateway to markets in the east, and into the wider European Union.  The government of Lithuania, from the Prime Minister on down, is committed to making the country an attractive place to do business.  Government leaders meet regularly with the foreign business community to find ways to address its concerns.  Lithuanian industry is a leader in many interesting areas, including laser technology.  Its workforce is well-educated.  The nation’s transportation sector is modern, along with its legal system.

Lithuania’s leadership has enabled it to emerge from economic crisis to becoming one of the fastest growing in the European Union.  Our trade with Lithuania is also growing rapidly, reflecting the economic recovery.  As they consider expanding their markets, I encourage American companies to look at Lithuania.   A steadfast ally, and a friend, Lithuania has much to offer.

 

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Brazil Celebrates its Independence

September 20, 2011

Lorrie Fussell is the Brazil Desk Officer in the Market Access and Compliance division of the International Trade Administration.

Earlier this month, Brazil celebrated its Independence Day and it is noteworthy to congratulate Brazil on how far it has progressed. Not only did Brazil celebrate its Declaration of Independence from Portugal, dating back to 7 September 1822, but it can also be said that Brazil has gained its independence from the outdated image as the “country of the future”.  Brazil has arrived!   

With close to 195 million inhabitants and a rapidly growing middle class, Brazil stands out in the global marketplace for the tremendous opportunities it offers U.S. companies.  Total bilateral trade in 2010 amounted to $59.4 billion, over twice the amount of our trade in 2000 at $29.2 billion.  More impressive is the fact that Brazil’s GDP, which stood at $2.17 trillion in 2010, has increased by more than 75 percent in the last 10 years, despite one of the worst global economic downturns in history.  (Source: International Monetary Fund, World Economic Outlook Database).  

Presidents Obama and Rousseff address the U.S.-Brazil CEO Forum at the last meeting held March 19, 2011 in Brazil.

Presidents Obama and Rousseff address the U.S.-Brazil CEO Forum at the last meeting held March 19, 2011 in Brazil.

The United States has a long-standing and close relationship with Brazil. President Barack Obama solidified the bond this past March during his trip to Brazil when he and President Rousseff agreed to enhance cooperation on trade, investment, climate, environment, and sustainable development.  We see that enthusiasm for Brazil mirrored by U.S. companies interested in doing business in the market. Last month, Nicole Lamb-Hale, Assistant Secretary for Manufacturing and Services at the International Trade Administration, accompanied the Export Green Trade Mission to Brazil.  Commerce Under Secretary Francisco Sánchez will inaugurate the first ever U.S. Pavilion at the October 3-4 Off Shore Technology Conference and Trade Show in Rio de Janeiro.  More than 175 American companies will be participating in this trade show, which is supported by the Department of Commerce and highlights the innovation and leadership of U.S. companies in offshore energy development. 

Recognizing that the United States and Brazil are linked both economically and commercially, in 2007 the two governments launched the U.S.-Brazil CEO Forum as a means to improve our trading partnership.  The U.S.-Brazil CEO Forum is a public-private partnership between the United Sates and Brazilian Governments which brings together Chief Executive Officers from both countries.  Ten to twelve CEOs from each country develop joint recommendations for the two governments with the goal of increasing bilateral trade and investment for both sides.

Last week, the U.S. Department of Commerce and the National Security Council, U.S. co-chairs of the CEO Forum, announced the names of the next U.S. Section to the U.S.-Brazil CEO Forum.  These CEOs were appointed to the Forum in order to work with their Brazilian colleagues to develop joint recommendations for the governments to improve international trade and economic growth.  The CEO Forum provides important joint recommendations from the U.S. and Brazilian private sector at a time when both the United States and Brazilian Governments are redefining their economic partnership.    

Working together, the United States and Brazil have made progress on a number of the areas identified by the CEO Forum as a priority.

  • Taking into consideration  the joint recommendation made by the CEOs, the U.S. Trade Representative and the Brazilian Foreign Ministry signed the Agreement on Trade and Economic Cooperation (ATEC) this past March. The ATEC will create a framework for deepening our cooperation on trade issues, such as intellectual property rights, trade facilitation, and technical barriers to trade.  The first meeting under the ATEC is expected later this year. 
  • In October 2007, at the inaugural meeting of the U.S.-Brazil CEO Forum, the CEOs made visa reform a top priority.  Thanks to the efforts of the group, the United States and the Brazilian Governments extended the visa validity for business and tourist visas from five to ten years, and the issuance of the joint B1/B2 business/tourist visas became a matter of practice in both countries as of May 2010.  In addition, the United States Government has made significant efforts in reducing the visa backlog.  Although visa reform has helped make immeasurable strides in improving travel between our two countries, the CEOs have now asked that the United States consider including Brazil in the Visa Waiver Program
  • In response to the joint recommendation of the CEO Forum to provide greater cooperation between our two governments on energy issues, the United States and Brazilian Governments held the first high-level energy dialogue last month.  This Strategic Energy Dialogue will promote and strengthen partnerships between the governments.  We look forward to working with our Brazilian colleagues as we look for ways to use the SED to strengthen U.S.–Brazil commercial ties in the energy sector.    
  • The CEOs have also been instrumental in recommending improved civil aviation between our countries.  After years of stalled negotiations, an Open Skies Agreement was signed this past March which allows for significant expansion of services between our countries.  Additionally, our governments are now looking to create an aviation cooperation program that would work in partnership with the private sector.

Outstanding recommendations of the Forum still remain, the governments still have their work cut out for them, but we are excited to see what new ideas and recommendations the CEOs will submit to our governments as we move forward.  The continued drive to improve our business relationship is, in the end what will make our partnership a success.

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Improved Customs Procedures in Mercosur Countries Focus of Workshop

September 9, 2011

by Ashley Rosen, an international trade specialist in The International Trade Administration’s Market Access and Compliance unit.

Unpredictability and a lack of transparency in customs administration have been a major impediment to doing business with Argentina, Brazil, Paraguay, and Uruguay. The four Latin American countries are members of the Mercosur (Mercado Común del Sur, or Southern Common Market) customs union. The World Bank, in its most recent report on the ease of doing business, ranked those four countries in the bottom half of the 183 countries surveyed when it came to “trading across borders.”

Because of this situation, the International Trade Administration (ITA) and the U.S. business community have made improving the customs clearance process a high priority for increasing U.S. exports to the Mercosur countries. Improving customs procedures and reducing delays at these countries’ borders will facilitate U.S. exports, reduce costs, and increase the competitiveness of U.S. products and services in the region.

An important step was taken August 8–9, 2011, when ITA conducted a customs modernization workshop for public and private representatives from the four Mercosur countries in Montevideo, Uruguay. The two-day event occurred because of the close cooperation and participation of the American Chambers of Commerce in Argentina and Uruguay and the National Customs Administration of Uruguay.

More than 250 representatives attended and participated in sessions to promote policy dialogue on customs modernization and to share local best practices in clearing legitimate goods through customs.

Overall, the workshop focused on the need for greater modernization, transparency, and collaboration to improve customs processes. It also sparked a dialogue between public- and private-sector stakeholders, which will lead to increased and improved trade between the United States and the four countries.

This workshop was part of an ongoing customs facilitation effort organized by ITA, U.S. Customs and Border Protection, and the private sector. For more information, contact Ashley Rosen in the ITA’s Market Access and Compliance unit, e-mail: ashley.rosen@trade.gov.

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