The Office of the U.S. Trade Representative posted an official notice of the suspension of tariffs on British imports that were targeted as part of the Airbus-Boeing subsidies dispute. The press office did not respond to an inquiry March 8 about when the tariffs on European Union goods would be lifted, which is also part of the Airbus-Boeing dispute. The United Kingdom had already lifted its tariffs on U.S. exports to encourage negotiating a settlement; the EU will begin a similar suspension at some point, but did not give an effective date.
House Trade Subcommittee Chairman Earl Blumenauer, D-Ore., told an online audience that over the next four months, the U.S. government is going to set the stage for a trade program that supports environmental goals. Blumenauer, a longtime environmentalist, said he's not concerned that the European Union will dictate the terms of a carbon border adjustment mechanism, since its politicians have a head start. “We’ve had preliminary discussions, we’re going to have more,” he said during a webinar March 5 at the Center for Strategic and International Studies on environment and trade.
The tariffs on British goods on the Airbus list will be lifted for four months to create space for settling the Airbus-Boeing dispute between the United Kingdom and U.S. The U.K. had already suspended its tariffs on American goods over Boeing subsidies on Jan. 1. That suspension will also last another four months. The tariffs on British imports were lifted immediately.
The administration needs to open up a fair, timely and transparent exclusions process for Section 301 tariffs on Chinese imports, House Ways and Means Committee ranking member Kevin Brady said, but he doesn't know what the U.S. trade representative's timetable will be on deciding whether that will happen. He said he hopes it will be very soon. Brady, R-Texas, spoke to reporters on a conference call March 3. “One of the reasons I continue to push this administration to not simply follow through on compliance with the phase one agreement but to go further into phase two” is because once agreements are hammered out, he thinks, it will be time to begin to roll back those tariffs, he said.
The Senate Finance Committee unanimously voted March 3 to forward to the full Senate the nominations of Katherine Tai for U.S. trade representative and Wally Adeyemo for deputy treasury secretary.
Sen. Chuck Grassley, R-Iowa, a member of the Senate Finance Committee, said March 2 that he hasn't yet gone over Katherine Tai's written answers after her hearing but that he expects to vote for her confirmation as U.S. trade representative. Although he didn't work with Tai personally on USMCA, he said his team did so and “had nothing but good things to say about her.” Grassley said he doesn't expect to be able to tell how trade policy is going to unfold from the written answers (see 2103010026). “I think she’ll be approved a long time before we know exactly how” President Joe Biden's “administration is going to handle U.K.” negotiations, if it's going rejoin the Trans-Pacific Partnership, “what they’re going to do in regard to China, what they’re going to do in sub-Saharan Africa, like [President Donald] Trump was starting with Kenya,” he said during a conference call with reporters. “I think you’re going to get well into the middle of the year before you see any direction.”
The Senate Finance Committee will vote March 3 on the nominations of Katherine Tai as U.S. trade representative and Wally Adeyemo as deputy treasury secretary.
In written questions to U.S. trade representative nominee Katherine Tai, she was pressed to argue for U.S. agricultural export interests around the world, and asked how China could be moved to meet more of its promises to buy American exports, agricultural and otherwise.
The House Ways and Means Trade Subcommittee chairman, along with two members of the former NAFTA working group, lent their voices to a letter asking the administration to drop its opposition to a TRIPS waiver at the World Trade Organization. The Trade-Related Aspects of Intellectual Property waiver, requested by India and South Africa, would temporarily end patent protections for new vaccines and diagnostic tests used against COVID-19. Countries are already allowed to do compulsory licenses in the case of emergencies, but only after negotiations on compensating the company for the right to manufacture the drug failed.
U.S. trade representative nominee Katherine Tai said that despite the president's prioritizing of the domestic economy, “I don't expect, if confirmed, to be put on the back burner at all.” Tai, a veteran of the House Ways and Means Committee trade staff, faced largely friendly questioning over a more-than-three-hour hearing in the Senate Finance Committee on Feb. 25.