Trade Agreements Opportunities

A U.S. company that decides to enter a foreign market with a free trade agreement will find significant resources available to deal with the confusing compliance process. These range from U.S. government agencies to online “compliance tools” to experienced third parties with extensive trade agreement expertise. Businesses are often pleasantly surprised, both by the range of resources available and by the commitment of state trade specialists to ensure their success. Despite the formal withdrawal of the United States from the Trans-Pacific Partnership, the principles it advanced would bring net benefits to the American economy and workers. There is no doubt that trade contributes to the economic exodus due to the decline in job competitiveness and the creation of more competitive jobs. Many more Americans will win in this process than lose. For those who lose, however, the pain is real. In response, we should review Trade Adjustment Assistance (AAT), the federal program that provides transitional assistance for new jobs for offshoring workers. In addition, our country needs a comprehensive, bipartisan strategy, such as workers who can be ignored not only by trade, but also by global competition and the dramatic changes that technology generates throughout the economy.

Overall, the existence of trade agreements at the national level is not correlated with the loss of jobs. What is very clear is the benefit that industrial exports bring to the economy. Exports support higher-paying jobs for an increasingly educated and diverse middle class. Trade and investment agreements have also facilitated companies` access to offshore production, which has decimated U.S. production over the past 20 years. Between 1998 and 2013, more than 80,000 production sites were lost, contributing to the 5.3 million manufacturing jobs lost by the United States between April 1998 and February 2016. (Yes, the Great Recession of 2008-09 was responsible for some of these losses, but today we are still well below the 1998 level of employment in manufacturing, mainly due to persistent trade deficits.) 1988 Omnibus Trade and Competitiveness Act: By this Act, the U.S. Congress approved the U.S. negotiating objectives for the planned GATT Uruguay round and defined “Section 301” of the Trade Act of 1974. According to the International Trade Commission, Section 301 “allows a company to address barriers to foreign trade.” The scope of Section 301 was extended in 1979 to include commercial services, procurement and import licences. Section 301 made headlines in 2018, with the Trump administration using the provision to justify tariff requests on certain imports from China.

In addition, several partner countries have removed trade barriers after intense discussions in joint committees established under the various trade agreements, allowing more EU companies to take full advantage of the opportunities offered by these agreements. For example, Danish and Dutch farmers will be able to export beef to South Korea, while Poland and Spain will be able to export poultry meat to South Africa. European Commissioner for Trade Cecilia Malmstrom said: “Trade agreements create opportunities for European companies to grow and hire more people. Today`s report shows that global trade is increasing and that much of our world trade is covered by preferential agreements more than ever. In particular, our food and beverage exports are flourishing for EU handicrafts such as champagne and feta, thanks to lower tariffs and legal protection measures abroad. The report also shows how our focus on trade and sustainable development is paying off. In addition, we have taken a number of unprecedented steps to ensure that the commitments made by our partners as a