May 16, 2018
On May 11, the NAFTZ issued a statement to the Office of the U.S. Trade Representative applauding the Administration’s continued focus to protect intellectual property and stop IP abuses in China while questioning the proposed remedy. The NAFTZ agrees that certain practices employed by the Chinese government negatively impact U.S. companies, workers, and consumers and that an appropriate response is needed to change China’s actions and improve global competitiveness. In the letter, the NAFTZ recommends adding specific language to be used in the Presidential Proclamation to exempt products manufactured in a U.S. FTZ from additional duties. The NAFTZ shares in the serious concerns voiced by many U.S. business organizations, who believe unilateral tariffs will yield significant adverse consequences for U.S. manufacturers, consumers, and exporters. For this reason, the NAFTZ has decided to add its signature to a Section 301 Coalition multi-industry letter. We believe any retaliatory tariffs imposed by the Chinese will affect the entire U.S. manufacturing sector, including those operating in a foreign-trade zone.
The Hearing regarding Proposed Determination of Action Pursuant to Section 301: China’s Acts, Policies, and Practices Related to Technology Transfer, Intellectual Property, and Innovation will begin on May 15 at 10 a.m. and will continue until May 17 at 1:30 p.m. The NAFTZ is honored to present on panel 11 at 2:30 on May 16 and I will deliver the following testimony. This effort is just one of many leadership initiatives NAFTZ has taken recently on important trade issues affecting the FTZ community.
Last but not least, we like to thank those NAFTZ members who provided a list of specific issues, concerns, and expected impact with examples or those submitting comments on their own.
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