U.S. shippers urged to provide input for U.S. free-trade agreements
American shippers are urged to voice their concerns and desired outcomes for free-trade agreements to the Office of the U.S. Trade Representative.
The USTR is the lead agency in the federal government to negotiate free-trade agreements with other countries and regions. The agency also takes the lead role on behalf of the United States in the World Trade Organization.
Donald F. Cameron, principal of the The Cameron Group, told shippers attending the National Industrial Transportation League’s “Impact of Free Trade on Logistics” seminar in Washington Monday that the USTR relies heavily on industry input in its free-trade agreement negotiations.
The problem, Cameron warned, is that many shippers don’t realize the value of their input until it’s too late, and they get left out of the benefits of free-trade agreements. “It’s a case of ‘the train is leaving and if you don’t get on board it’s gone,' ' he said.
The USTR has designated 35 industry-specific committees to provide it with advice for free-trade talks. It also accepts letters independently from companies and trade associations.
Even if a free-trade agreement has not been formally launched, the USTR still encourages shippers to provide feedback into how particular countries or trading blocs are treating their business, said Gregory Walters, director of small business affairs for the USTR.
Steve Whitaker, principal of CAL-DC Political Consulting, recommended that shippers adopt a “campaign mentality” when pushing for tariff reductions in free-trade agreements. “Be prepared to spend some money” for dedicating employees to free-trade agreements strategies and to engage lobbyists in Washington, he said.
Whitaker also told shippers to have a “half-a-loaf strategy” to seeking zero tariffs in free-trade agreements. In some cases, U.S. trade negotiators may significantly reduce tariffs on certain products, but will be unable to zero them out in the near future. Some imports will go to zero duties faster than others until total free trade is reached. “Don’t fall in love with a position that you’re going to get a zero,” Whitaker said.