By removing tariffs on the importation of ICT products in all ITA-participating countries, the treaty has proven instrumental in turbocharging global trade in ICT products. China’s actions will not only hamper global trade but also reduce the foreign investment and ICT exports the nation’s claims to be focused on growing.
China’s Economic Mercantilism
China has embraced economic mercantilism on an unprecedented scale, using a wide array of policies to assist Chinese firms while discriminating against foreign establishments attempting to compete in China. These policies include a range of “forced localization” measures such as mandatory intellectual property (IP) or technology transfer, entrance into joint ventures, or domestic production as a condition of market access.
Digital trade in a post-PRISM world
While much ink has been spilled already on the implications of the National Security Agency’s mass electronic surveillance programs for privacy, civil liberties, and national security, the fallout from PRISM is also likely to have an immediate and lasting negative impact on U.S. economic competitiveness.
Intellectual Property Rights Key to Negotiating a Successful TPP Agreement
Negotiations toward completing the Trans-Pacific Partnership (TPP) continue this week in Malaysia. While this potential trade agreement would tie the United States more closely to several key Asian markets, a number of important details still need to be negotiated among the nations at the bargaining table. Perhaps the most important of these issues is the intellectual property protections that will be included in the final agreement.
Withdraw India’s GSP Preference If It Continues to Impose Localization Barriers to Trade on Foreign Enterprises
India’s mercantilist policies hinder free trade and violate numerous provisions of the WTO charter. If these actions continue the U.S. must investigate measures that send a clear message that these actions will not be tolerated.