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ntrol in order to do business—even as Chinese companies are 4Chamber in ActionOpen the Chinese market to U.S. agricultural exports
expanding into the U.S. and other markets with no such restric-
tions. The 100-day outcomes should include a suspension of the Despite Chinese Premier Li Keqiang’s 2016 commitment to open
Cybersecurity Law (scheduled to be implemented on June 1) as its market to U.S. beef imports, China’s beef market remains
well as a commitment to revising laws and regulations—related closed to U.S. exports. Further, U.S. agricultural biotechnology
to ICT hardware, cloud services, encryption, and data flows—to traits, which reflect cutting-edge American innovation, also con-
ensure American companies are able to sell their products and tinue to face persistent delays in regulatory approvals, restricting
services into China and do so without transferring technology market access and limiting export opportunities for American
and giving up their brands. Such a step will also ensure that Chi- companies globally. By the end of 100 days, both sides should
nese enterprises and consumers continue to have access to the complete implementation of the technical process that would
best technology available. It would also support China’s efforts allow U.S. beef to enter the Chinese market, and China should
2to promote innovation, which today is a global undertaking. 5clear out the backlog of pending biotechnology trait approvals.
Comply with Multilateral Obligations and Bilateral Take Immediate Steps to Curb Chinese Overcapacity in
Commitments to Open the Electronic Payments Market Steel and Aluminum
By the end of 100 days, China should implement fully its 2001 Chinese over-production at home has long distorted global mar-
kets, putting downward pressure on global prices, and, as a re-
WTO commitment as well as its compliance obligations under a sult, impairing U.S. producers’ competiveness not only in the
United States but around the world. China should make cuts to
2012 WTO case to open its electronic payments market to U.S. production at the end of 100 days that result in significant mea-
surable reductions to overall capacity and thereby arrest rising
and other foreign companies. Applications for licenses should be trade tensions in these areas. Such a step would be consistent
with the recognition by China’s leaders that it must deal with the
processed quickly, and licenses should not be capped. Arbitrary overcapacity issue to address deep distortions in China’s econ-
omy.
national and cybersecurity reviews that do not exist elsewhere
There are additional, immediate steps that China should take
in the world should also be lifted. China regrettably has contin- that are in its own interest and which would also promote U.S.
services exports. For example, China should remove equity caps
ued to foster an uneven playing field in its electronic payments in a range of services including for U.S. financial services firms.
July 16 should not be the finish line, but a starting point. To
market, while protecting SOE monopolist China UnionPay and continue this conversation and chart a long-term course for rela-
tions, the U.S. Chamber of Commerce, together with the Ameri-
encouraging national champion Alibaba to make acquisitions in can Chamber of Commerce in China, is hosting the 8th China
Business Conference in Washington, D.C. this week.
the United States and other markets. Increased competition in
The U.S.-China bilateral relationship needs solutions not just the
this sector will promote increased productivity and efficiency in days ahead, but for the decades ahead. Results from the 100-
day plan, if they are meaningful and implemented fully, have the
3the Chinese economy. Procurement Opportunities to potential to lead the way. We believe the tradition of openness
Open Commercial of the U.S. economy to foreign trade and investment has helped
American Innovative Goods and Services the US create the strongest, most dynamic economy in the world,
and should be continued. We believe such an approach would
Despite past commitments, China has accelerated issuance of also be highly beneficial for China. Their 100-day plan is a chance
new measures that link procurement preferences to domestic to chart a win-win path forward for both countries.
content and innovation. The Chamber has documented many
of these preferences in our recent report, Made in China 2025:
Global Ambitions Built on Local Protections. Medical devices
offer an illustrative example: made in China 2025 and related
policies call for significant domestic production requirements
for core components of medical devices and high-end medical
equipment. Such targets limit opportunities for U.S. companies
to export goods into China. Removal of such policies at the end
of 100 days, combined with measurable increases in the U.S.
exports of medical devices and other high technology products
to China in the near term, would send an important signal that
China is willing to allow outcomes based on market competition,
not government fiat. China too would benefit from lower prices
and an expanded choice of products.
19
expanding into the U.S. and other markets with no such restric-
tions. The 100-day outcomes should include a suspension of the Despite Chinese Premier Li Keqiang’s 2016 commitment to open
Cybersecurity Law (scheduled to be implemented on June 1) as its market to U.S. beef imports, China’s beef market remains
well as a commitment to revising laws and regulations—related closed to U.S. exports. Further, U.S. agricultural biotechnology
to ICT hardware, cloud services, encryption, and data flows—to traits, which reflect cutting-edge American innovation, also con-
ensure American companies are able to sell their products and tinue to face persistent delays in regulatory approvals, restricting
services into China and do so without transferring technology market access and limiting export opportunities for American
and giving up their brands. Such a step will also ensure that Chi- companies globally. By the end of 100 days, both sides should
nese enterprises and consumers continue to have access to the complete implementation of the technical process that would
best technology available. It would also support China’s efforts allow U.S. beef to enter the Chinese market, and China should
2to promote innovation, which today is a global undertaking. 5clear out the backlog of pending biotechnology trait approvals.
Comply with Multilateral Obligations and Bilateral Take Immediate Steps to Curb Chinese Overcapacity in
Commitments to Open the Electronic Payments Market Steel and Aluminum
By the end of 100 days, China should implement fully its 2001 Chinese over-production at home has long distorted global mar-
kets, putting downward pressure on global prices, and, as a re-
WTO commitment as well as its compliance obligations under a sult, impairing U.S. producers’ competiveness not only in the
United States but around the world. China should make cuts to
2012 WTO case to open its electronic payments market to U.S. production at the end of 100 days that result in significant mea-
surable reductions to overall capacity and thereby arrest rising
and other foreign companies. Applications for licenses should be trade tensions in these areas. Such a step would be consistent
with the recognition by China’s leaders that it must deal with the
processed quickly, and licenses should not be capped. Arbitrary overcapacity issue to address deep distortions in China’s econ-
omy.
national and cybersecurity reviews that do not exist elsewhere
There are additional, immediate steps that China should take
in the world should also be lifted. China regrettably has contin- that are in its own interest and which would also promote U.S.
services exports. For example, China should remove equity caps
ued to foster an uneven playing field in its electronic payments in a range of services including for U.S. financial services firms.
July 16 should not be the finish line, but a starting point. To
market, while protecting SOE monopolist China UnionPay and continue this conversation and chart a long-term course for rela-
tions, the U.S. Chamber of Commerce, together with the Ameri-
encouraging national champion Alibaba to make acquisitions in can Chamber of Commerce in China, is hosting the 8th China
Business Conference in Washington, D.C. this week.
the United States and other markets. Increased competition in
The U.S.-China bilateral relationship needs solutions not just the
this sector will promote increased productivity and efficiency in days ahead, but for the decades ahead. Results from the 100-
day plan, if they are meaningful and implemented fully, have the
3the Chinese economy. Procurement Opportunities to potential to lead the way. We believe the tradition of openness
Open Commercial of the U.S. economy to foreign trade and investment has helped
American Innovative Goods and Services the US create the strongest, most dynamic economy in the world,
and should be continued. We believe such an approach would
Despite past commitments, China has accelerated issuance of also be highly beneficial for China. Their 100-day plan is a chance
new measures that link procurement preferences to domestic to chart a win-win path forward for both countries.
content and innovation. The Chamber has documented many
of these preferences in our recent report, Made in China 2025:
Global Ambitions Built on Local Protections. Medical devices
offer an illustrative example: made in China 2025 and related
policies call for significant domestic production requirements
for core components of medical devices and high-end medical
equipment. Such targets limit opportunities for U.S. companies
to export goods into China. Removal of such policies at the end
of 100 days, combined with measurable increases in the U.S.
exports of medical devices and other high technology products
to China in the near term, would send an important signal that
China is willing to allow outcomes based on market competition,
not government fiat. China too would benefit from lower prices
and an expanded choice of products.
19
