Page 13 - SCBJ-201606
P. 13
June 2016
Unleash the Power of Global Trade
Dear 45 is a series of suggestion to address data access concerns with Lew told me, data localization is a barrier
written to the 45th president of regulators, and enforce these provisions to free trade and the operations of our
United States (the next President) through state-to-state dispute settlement. prudential regulators, and I don’t want to
Discussions are said to be ongoing with see it become a barrier to final passage of
Dear 45 - No matter what happens regard to measures to apply these rules TPP.”
between now and January, you will to TPP countries not participating in
step into the White House at a critical the TISA negotiations (i.e., Brunei, Chamber Urges Congress to Fully
and likely difficult time for our country. Malaysia, Singapore, and Vietnam). This Fund USTR
Our economy continues to sputter, job proposal follows months of engagement
creation continues to lag, and small by the administration with Congress and On May 24, the Chamber sent a letter
businesses continue to struggle. Thus, industry, including the Chamber. to House Appropriations Committee
Americans will be counting on you and Chairman Hal Rogers (R-KY) and
your administration to come in and “We have worked closely with U.S. Ranking Member Nita Lowey (D-NY), and
unleash the power of free enterprise and financial regulators, Congress and the members of the committee urging them
help businesses put more Americans back financial services industry to develop to provide for programs and initiatives
to work. a new approach to financial services important to the business community as
under data localization obligations in they prepare mark up the Fiscal Year 2017
Administration to Address Financial our trade and investment agreements,” Commerce, Justice, Science, and Related
Services Data Flows in Trade Pacts a Treasury Department spokesperson Agencies Appropriations bill. Notably, the
said. “We believe we have made progress letter urged the Committee to commit at
On May 25, the Treasury Department in addressing concerns as we seek least $59.4 million for the Office of the
announced a change in how it will include to eliminate protectionist and trade- U.S. Trade Representative (USTR) for
the financial services sector in rules distorting data localization measures FY2017 (the full funding in the president’s
relating to the forced localization of data imposed by foreign governments in request). The letter reads in part:
and cross-border data flows in U.S. trade the financial services sector, while also
and investment agreements. Concern ensuring that U.S. financial regulators “At present, USTR is advancing several
about how the Trans-Pacific Partnership have access to the information they need of the largest trade pacts in U.S. history,
(TPP) addressed these issues has been for regulatory and supervisory purposes.” including the Trans-Pacific Partnership
widely cited by congressional trade (TPP), a trade agreement with 11 other
leaders and the business community as an In The Hill, U.S. Trade Representative Asia-Pacific nations; the Transatlantic
impediment to action on the agreement. Michael Froman called the compromise Trade and Investment Partnership
“an important, collaborative solution that (TTIP) with the EU; and the Trade in
Reportedly, the administration has will help build momentum for reaching Services Agreement (TISA) with more
proposed a more robust approach to these consensus in other areas of TPP. It shows than 50 nations. Once concluded, these
issues in ongoing and future negotiations, that when we dig into the details with agreements will provide American
including the Trade in Services Agreement stakeholders and members of Congress we exporters and the workers they employ
(TISA), the Transatlantic Trade and can find common ground approaches that with significantly improved access to
Investment Partnership (TTIP), and the satisfy a range of priorities,” Froman said. markets representing two-thirds of the
U.S.-China Bilateral Investment Treaty. global economy. This moderate increase
The administration is proposing that it will Chairman of the House Foreign Affairs in funding is badly needed to strengthen
seek to ban data localization requirements Committee Ed Royce (R-CA) stated: “This the ability of USTR -- one of the smallest
and data transfer restrictions for financial proposal is a positive step, but further and most efficient agencies in the U.S.
services companies, create a process action is necessary. We must push forward government -- to open international
with a strong Trade in Services Agreement markets to U.S. goods and services and
and side deals with the four TPP countries ensure effective enforcement of U.S. trade
not in those talks. I am optimistic that agreements for the American people.”
we can create a level playing field for the
financial services sector. As Secretary
11
Unleash the Power of Global Trade
Dear 45 is a series of suggestion to address data access concerns with Lew told me, data localization is a barrier
written to the 45th president of regulators, and enforce these provisions to free trade and the operations of our
United States (the next President) through state-to-state dispute settlement. prudential regulators, and I don’t want to
Discussions are said to be ongoing with see it become a barrier to final passage of
Dear 45 - No matter what happens regard to measures to apply these rules TPP.”
between now and January, you will to TPP countries not participating in
step into the White House at a critical the TISA negotiations (i.e., Brunei, Chamber Urges Congress to Fully
and likely difficult time for our country. Malaysia, Singapore, and Vietnam). This Fund USTR
Our economy continues to sputter, job proposal follows months of engagement
creation continues to lag, and small by the administration with Congress and On May 24, the Chamber sent a letter
businesses continue to struggle. Thus, industry, including the Chamber. to House Appropriations Committee
Americans will be counting on you and Chairman Hal Rogers (R-KY) and
your administration to come in and “We have worked closely with U.S. Ranking Member Nita Lowey (D-NY), and
unleash the power of free enterprise and financial regulators, Congress and the members of the committee urging them
help businesses put more Americans back financial services industry to develop to provide for programs and initiatives
to work. a new approach to financial services important to the business community as
under data localization obligations in they prepare mark up the Fiscal Year 2017
Administration to Address Financial our trade and investment agreements,” Commerce, Justice, Science, and Related
Services Data Flows in Trade Pacts a Treasury Department spokesperson Agencies Appropriations bill. Notably, the
said. “We believe we have made progress letter urged the Committee to commit at
On May 25, the Treasury Department in addressing concerns as we seek least $59.4 million for the Office of the
announced a change in how it will include to eliminate protectionist and trade- U.S. Trade Representative (USTR) for
the financial services sector in rules distorting data localization measures FY2017 (the full funding in the president’s
relating to the forced localization of data imposed by foreign governments in request). The letter reads in part:
and cross-border data flows in U.S. trade the financial services sector, while also
and investment agreements. Concern ensuring that U.S. financial regulators “At present, USTR is advancing several
about how the Trans-Pacific Partnership have access to the information they need of the largest trade pacts in U.S. history,
(TPP) addressed these issues has been for regulatory and supervisory purposes.” including the Trans-Pacific Partnership
widely cited by congressional trade (TPP), a trade agreement with 11 other
leaders and the business community as an In The Hill, U.S. Trade Representative Asia-Pacific nations; the Transatlantic
impediment to action on the agreement. Michael Froman called the compromise Trade and Investment Partnership
“an important, collaborative solution that (TTIP) with the EU; and the Trade in
Reportedly, the administration has will help build momentum for reaching Services Agreement (TISA) with more
proposed a more robust approach to these consensus in other areas of TPP. It shows than 50 nations. Once concluded, these
issues in ongoing and future negotiations, that when we dig into the details with agreements will provide American
including the Trade in Services Agreement stakeholders and members of Congress we exporters and the workers they employ
(TISA), the Transatlantic Trade and can find common ground approaches that with significantly improved access to
Investment Partnership (TTIP), and the satisfy a range of priorities,” Froman said. markets representing two-thirds of the
U.S.-China Bilateral Investment Treaty. global economy. This moderate increase
The administration is proposing that it will Chairman of the House Foreign Affairs in funding is badly needed to strengthen
seek to ban data localization requirements Committee Ed Royce (R-CA) stated: “This the ability of USTR -- one of the smallest
and data transfer restrictions for financial proposal is a positive step, but further and most efficient agencies in the U.S.
services companies, create a process action is necessary. We must push forward government -- to open international
with a strong Trade in Services Agreement markets to U.S. goods and services and
and side deals with the four TPP countries ensure effective enforcement of U.S. trade
not in those talks. I am optimistic that agreements for the American people.”
we can create a level playing field for the
financial services sector. As Secretary
11
