USTR Briefing

 

For any of you who may have missed it, the main points of the daily USTR briefing were as follows:

Earlier briefing were videoed and can be viewed on the USTR web-site.

Chris Padilla (? Asst USTR for Public Liaison) talked about Zoeliick's schedule to start with.

He talked at some length about how agriculture continues to dominate and emphasized that the US is in "problem-solving mode".  Described the G-21 proposal as an effort by these countries to avoid lowering their own tariffs and forcing pressure back on the US re export subsidies and trade-distorting domestic support.  Said that the US was willing to compromise but that they needed something on developing country market access to be able to sell any agreement to the US Congress.

 

USTR rejects the G-21 proposal on the grounds that it is insufficient in terms of developing country tariff reductions.  Rich countries are not prepared "to do all the heavy lifting".

Chris also reported that the cotton sectoral initiative was tabled by four African countries last night - USTR intervened/ argued that it should go further to encompass all apparel, textile-related areas.

In response to a question from an American Federation of Teachers' delegate about Labour standards, Chris pointed out that there was no mention of these issues in the draft ministerial text and told the NGOs that he thought that "more salesmanship" was required from them/ labour movement to persuade developing countries to at least engage on this issue.

Noted the irony of countries like Brazil (under worker party leadership) being unwilling to even talk about this/seeing it as a disguised form of protectionism.

Some back and forth between questioners/ USTR on labour standards in Chile/ Singapore agreement - Chris first suggested that these were "enforceable" - when challenged, he backtracked to claiming that they fulfilled the mandate given in the 2002 Trade Act.

Chris also noted lack of prospects for progress also the "new issues" - and that the US would like to see each one considered separately (also not going to happen).

Next Mark Linscot (trade and environment negotiator) gave a brief overview of his issues. Spoke in detail about observer status (I'm assuming for NGOs - kept fading in and out - hard to follow) and how it was unlikely that the Feb decision to allow observers on an ad hoc basis would be consolidated into a more predictable process.  Noted developing country resistance and how this is tied up with a broader decision that needs to be made in the General Council about observer status.

Indicated that some progress had been made between the EU/US on fishing subsidies and the need to reduce/eliminate those related to overcapacity.  Also referenced a panel on this by the World Wildlife Fund at the NGO center.

MArk then moved onto the issue of MEAs and their relationship with WTO rules.  He said that delegates had agreed on a list of 6 MEAs that created specific state obligations that should be examined in further detail. This included CITES, the Montreal Protocol, the Rotterdam Convention of Hazardous Waste etc.

He covered the issue of eco-labeling and reported that it was still up in the air whether there would be any mention of this in the declaration.  Noted that it was helpful that the EU had backtracked a great deal from their original proposal that had been widely rejected by other countries. The EU has proposed holding 3 dedicated sessions in 2004 on eco-labeling but there remains significant opposition to highlighting this over issues that delegates feel are much more important such as TRIPS/ medicines.

Finally, Peter discussed the new process of environmental reviews of trade negotiations that are mandated by the 2002 Trade Act.

The Singapore and Chile reviews have been done and a preliminary CAFTA one is now available. A comprehensive environmental review of WTO negotiations is currently underway.  Agriculture, Interior, State, EPA all working on it. USTR will be seeking public comment beginning next week and draft review will be available sometime in early 2004.

END

 

Fiona M. Wright

Research Director

Public Citizen's Global Trade Watch