Laws: Cases and Codes : U.S. Code : Title 19 : Section 3802


   
U.S. Code as of: 01/19/04
Section 3802. Trade negotiating objectives

    (a) Overall trade negotiating objectives
      The overall trade negotiating objectives of the United States for
    agreements subject to the provisions of section 3803 of this title
    are - 
        (1) to obtain more open, equitable, and reciprocal market
      access;
        (2) to obtain the reduction or elimination of barriers and
      distortions that are directly related to trade and that decrease
      market opportunities for United States exports or otherwise
      distort United States trade;
        (3) to further strengthen the system of international trading
      disciplines and procedures, including dispute settlement;
        (4) to foster economic growth, raise living standards, and
      promote full employment in the United States and to enhance the
      global economy;
        (5) to ensure that trade and environmental policies are
      mutually supportive and to seek to protect and preserve the
      environment and enhance the international means of doing so,
      while optimizing the use of the world's resources;
        (6) to promote respect for worker rights and the rights of
      children consistent with core labor standards of the ILO (as
      defined in section 3813(6) of this title) and an understanding of
      the relationship between trade and worker rights;
        (7) to seek provisions in trade agreements under which parties
      to those agreements strive to ensure that they do not weaken or
      reduce the protections afforded in domestic environmental and
      labor laws as an encouragement for trade;
        (8) to ensure that trade agreements afford small businesses
      equal access to international markets, equitable trade benefits,
      and expanded export market opportunities, and provide for the
      reduction or elimination of trade barriers that
      disproportionately impact small businesses; and
        (9) to promote universal ratification and full compliance with
      ILO Convention No. 182 Concerning the Prohibition and Immediate
      Action for the Elimination of the Worst Forms of Child Labor.
    (b) Principal trade negotiating objectives
      (1) Trade barriers and distortions
        The principal negotiating objectives of the United States
      regarding trade barriers and other trade distortions are - 
          (A) to expand competitive market opportunities for United
        States exports and to obtain fairer and more open conditions of
        trade by reducing or eliminating tariff and nontariff barriers
        and policies and practices of foreign governments directly
        related to trade that decrease market opportunities for United
        States exports or otherwise distort United States trade; and
          (B) to obtain reciprocal tariff and nontariff barrier
        elimination agreements, with particular attention to those
        tariff categories covered in section 3521(b) of this title.
      (2) Trade in services
        The principal negotiating objective of the United States
      regarding trade in services is to reduce or eliminate barriers to
      international trade in services, including regulatory and other
      barriers that deny national treatment and market access or
      unreasonably restrict the establishment or operations of service
      suppliers.
      (3) Foreign investment
        Recognizing that United States law on the whole provides a high
      level of protection for investment, consistent with or greater
      than the level required by international law, the principal
      negotiating objectives of the United States regarding foreign
      investment are to reduce or eliminate artificial or
      trade-distorting barriers to foreign investment, while ensuring
      that foreign investors in the United States are not accorded
      greater substantive rights with respect to investment protections
      than United States investors in the United States, and to secure
      for investors important rights comparable to those that would be
      available under United States legal principles and practice, by -
      
          (A) reducing or eliminating exceptions to the principle of
        national treatment;
          (B) freeing the transfer of funds relating to investments;
          (C) reducing or eliminating performance requirements, forced
        technology transfers, and other unreasonable barriers to the
        establishment and operation of investments;
          (D) seeking to establish standards for expropriation and
        compensation for expropriation, consistent with United States
        legal principles and practice;
          (E) seeking to establish standards for fair and equitable
        treatment consistent with United States legal principles and
        practice, including the principle of due process;
          (F) providing meaningful procedures for resolving investment
        disputes;
          (G) seeking to improve mechanisms used to resolve disputes
        between an investor and a government through - 
            (i) mechanisms to eliminate frivolous claims and to deter
          the filing of frivolous claims;
            (ii) procedures to ensure the efficient selection of
          arbitrators and the expeditious disposition of claims;
            (iii) procedures to enhance opportunities for public input
          into the formulation of government positions; and
            (iv) providing for an appellate body or similar mechanism
          to provide coherence to the interpretations of investment
          provisions in trade agreements; and

          (H) ensuring the fullest measure of transparency in the
        dispute settlement mechanism, to the extent consistent with the
        need to protect information that is classified or business
        confidential, by - 
            (i) ensuring that all requests for dispute settlement are
          promptly made public;
            (ii) ensuring that - 
              (I) all proceedings, submissions, findings, and decisions
            are promptly made public; and
              (II) all hearings are open to the public; and

            (iii) establishing a mechanism for acceptance of amicus
          curiae submissions from businesses, unions, and
          nongovernmental organizations.
      (4) Intellectual property
        The principal negotiating objectives of the United States
      regarding trade-related intellectual property are - 
          (A) to further promote adequate and effective protection of
        intellectual property rights, including through - 
            (i)(I) ensuring accelerated and full implementation of the
          Agreement on Trade-Related Aspects of Intellectual Property
          Rights referred to in section 3511(d)(15) of this title,
          particularly with respect to meeting enforcement obligations
          under that agreement; and
            (II) ensuring that the provisions of any multilateral or
          bilateral trade agreement governing intellectual property
          rights that is entered into by the United States reflect a
          standard of protection similar to that found in United States
          law;
            (ii) providing strong protection for new and emerging
          technologies and new methods of transmitting and distributing
          products embodying intellectual property;
            (iii) preventing or eliminating discrimination with respect
          to matters affecting the availability, acquisition, scope,
          maintenance, use, and enforcement of intellectual property
          rights;
            (iv) ensuring that standards of protection and enforcement
          keep pace with technological developments, and in particular
          ensuring that rightholders have the legal and technological
          means to control the use of their works through the Internet
          and other global communication media, and to prevent the
          unauthorized use of their works; and
            (v) providing strong enforcement of intellectual property
          rights, including through accessible, expeditious, and
          effective civil, administrative, and criminal enforcement
          mechanisms;

          (B) to secure fair, equitable, and nondiscriminatory market
        access opportunities for United States persons that rely upon
        intellectual property protection; and
          (C) to respect the Declaration on the TRIPS Agreement and
        Public Health, adopted by the World Trade Organization at the
        Fourth Ministerial Conference at Doha, Qatar on November 14,
        2001.
      (5) Transparency
        The principal negotiating objective of the United States with
      respect to transparency is to obtain wider and broader
      application of the principle of transparency through - 
          (A) increased and more timely public access to information
        regarding trade issues and the activities of international
        trade institutions;
          (B) increased openness at the WTO and other international
        trade fora by increasing public access to appropriate meetings,
        proceedings, and submissions, including with regard to dispute
        settlement and investment; and
          (C) increased and more timely public access to all
        notifications and supporting documentation submitted by parties
        to the WTO.
      (6) Anti-corruption
        The principal negotiating objectives of the United States with
      respect to the use of money or other things of value to influence
      acts, decisions, or omissions of foreign governments or officials
      or to secure any improper advantage in a manner affecting trade
      are - 
          (A) to obtain high standards and appropriate domestic
        enforcement mechanisms applicable to persons from all countries
        participating in the applicable trade agreement that prohibit
        such attempts to influence acts, decisions, or omissions of
        foreign governments; and
          (B) to ensure that such standards do not place United States
        persons at a competitive disadvantage in international trade.
      (7) Improvement of the WTO and multilateral trade agreements
        The principal negotiating objectives of the United States
      regarding the improvement of the World Trade Organization, the
      Uruguay Round Agreements, and other multilateral and bilateral
      trade agreements are - 
          (A) to achieve full implementation and extend the coverage of
        the World Trade Organization and such agreements to products,
        sectors, and conditions of trade not adequately covered; and
          (B) to expand country participation in and enhancement of the
        Information Technology Agreement and other trade agreements.
      (8) Regulatory practices
        The principal negotiating objectives of the United States
      regarding the use of government regulation or other practices by
      foreign governments to provide a competitive advantage to their
      domestic producers, service providers, or investors and thereby
      reduce market access for United States goods, services, and
      investments are - 
          (A) to achieve increased transparency and opportunity for the
        participation of affected parties in the development of
        regulations;
          (B) to require that proposed regulations be based on sound
        science, cost-benefit analysis, risk assessment, or other
        objective evidence;
          (C) to establish consultative mechanisms among parties to
        trade agreements to promote increased transparency in
        developing guidelines, rules, regulations, and laws for
        government procurement and other regulatory regimes; and
          (D) to achieve the elimination of government measures such as
        price controls and reference pricing which deny full market
        access for United States products.
      (9) Electronic commerce
        The principal negotiating objectives of the United States with
      respect to electronic commerce are - 
          (A) to ensure that current obligations, rules, disciplines,
        and commitments under the World Trade Organization apply to
        electronic commerce;
          (B) to ensure that - 
            (i) electronically delivered goods and services receive no
          less favorable treatment under trade rules and commitments
          than like products delivered in physical form; and
            (ii) the classification of such goods and services ensures
          the most liberal trade treatment possible;

          (C) to ensure that governments refrain from implementing
        trade-related measures that impede electronic commerce;
          (D) where legitimate policy objectives require domestic
        regulations that affect electronic commerce, to obtain
        commitments that any such regulations are the least restrictive
        on trade, nondiscriminatory, and transparent, and promote an
        open market environment; and
          (E) to extend the moratorium of the World Trade Organization
        on duties on electronic transmissions.
      (10) Reciprocal trade in agriculture
        (A) The principal negotiating objective of the United States
      with respect to agriculture is to obtain competitive
      opportunities for United States exports of agricultural
      commodities in foreign markets substantially equivalent to the
      competitive opportunities afforded foreign exports in United
      States markets and to achieve fairer and more open conditions of
      trade in bulk, specialty crop, and value-added commodities by - 
          (i) reducing or eliminating, by a date certain, tariffs or
        other charges that decrease market opportunities for United
        States exports - 
            (I) giving priority to those products that are subject to
          significantly higher tariffs or subsidy regimes of major
          producing countries; and
            (II) providing reasonable adjustment periods for United
          States import-sensitive products, in close consultation with
          the Congress on such products before initiating tariff
          reduction negotiations;

          (ii) reducing tariffs to levels that are the same as or lower
        than those in the United States;
          (iii) reducing or eliminating subsidies that decrease market
        opportunities for United States exports or unfairly distort
        agriculture markets to the detriment of the United States;
          (iv) allowing the preservation of programs that support
        family farms and rural communities but do not distort trade;
          (v) developing disciplines for domestic support programs, so
        that production that is in excess of domestic food security
        needs is sold at world prices;
          (vi) eliminating government policies that create
        price-depressing surpluses;
          (vii) eliminating state trading enterprises whenever
        possible;
          (viii) developing, strengthening, and clarifying rules and
        effective dispute settlement mechanisms to eliminate practices
        that unfairly decrease United States market access
        opportunities or distort agricultural markets to the detriment
        of the United States, particularly with respect to
        import-sensitive products, including - 
            (I) unfair or trade-distorting activities of state trading
          enterprises and other administrative mechanisms, with
          emphasis on requiring price transparency in the operation of
          state trading enterprises and such other mechanisms in order
          to end cross subsidization, price discrimination, and price
          undercutting;
            (II) unjustified trade restrictions or commercial
          requirements, such as labeling, that affect new technologies,
          including biotechnology;
            (III) unjustified sanitary or phytosanitary restrictions,
          including those not based on scientific principles in
          contravention of the Uruguay Round Agreements;
            (IV) other unjustified technical barriers to trade; and
            (V) restrictive rules in the administration of tariff rate
          quotas;

          (ix) eliminating practices that adversely affect trade in
        perishable or cyclical products, while improving import relief
        mechanisms to recognize the unique characteristics of
        perishable and cyclical agriculture;
          (x) ensuring that import relief mechanisms for perishable and
        cyclical agriculture are as accessible and timely to growers in
        the United States as those mechanisms that are used by other
        countries;
          (xi) taking into account whether a party to the negotiations
        has failed to adhere to the provisions of already existing
        trade agreements with the United States or has circumvented
        obligations under those agreements;
          (xii) taking into account whether a product is subject to
        market distortions by reason of a failure of a major producing
        country to adhere to the provisions of already existing trade
        agreements with the United States or by the circumvention by
        that country of its obligations under those agreements;
          (xiii) otherwise ensuring that countries that accede to the
        World Trade Organization have made meaningful market
        liberalization commitments in agriculture;
          (xiv) taking into account the impact that agreements covering
        agriculture to which the United States is a party, including
        the North American Free Trade Agreement, have on the United
        States agricultural industry;
          (xv) maintaining bona fide food assistance programs and
        preserving United States market development and export credit
        programs; and
          (xvi) striving to complete a general multilateral round in
        the World Trade Organization by January 1, 2005, and seeking
        the broadest market access possible in multilateral, regional,
        and bilateral negotiations, recognizing the effect that
        simultaneous sets of negotiations may have on United States
        import-sensitive commodities (including those subject to
        tariff-rate quotas).

        (B)(i) Before commencing negotiations with respect to
      agriculture, the United States Trade Representative, in
      consultation with the Congress, shall seek to develop a position
      on the treatment of seasonal and perishable agricultural products
      to be employed in the negotiations in order to develop an
      international consensus on the treatment of seasonal or
      perishable agricultural products in investigations relating to
      dumping and safeguards and in any other relevant area.
        (ii) During any negotiations on agricultural subsidies, the
      United States Trade Representative shall seek to establish the
      common base year for calculating the Aggregated Measurement of
      Support (as defined in the Agreement on Agriculture) as the end
      of each country's Uruguay Round implementation period, as
      reported in each country's Uruguay Round market access schedule.
        (iii) The negotiating objective provided in subparagraph (A)
      applies with respect to agricultural matters to be addressed in
      any trade agreement entered into under section 3803(a) or (b) of
      this title, including any trade agreement entered into under
      section 3803(a) or (b) of this title that provides for accession
      to a trade agreement to which the United States is already a
      party, such as the North American Free Trade Agreement and the
      United States-Canada Free Trade Agreement.
      (11) Labor and the environment
        The principal negotiating objectives of the United States with
      respect to labor and the environment are - 
          (A) to ensure that a party to a trade agreement with the
        United States does not fail to effectively enforce its
        environmental or labor laws, through a sustained or recurring
        course of action or inaction, in a manner affecting trade
        between the United States and that party after entry into force
        of a trade agreement between those countries;
          (B) to recognize that parties to a trade agreement retain the
        right to exercise discretion with respect to investigatory,
        prosecutorial, regulatory, and compliance matters and to make
        decisions regarding the allocation of resources to enforcement
        with respect to other labor or environmental matters determined
        to have higher priorities, and to recognize that a country is
        effectively enforcing its laws if a course of action or
        inaction reflects a reasonable exercise of such discretion, or
        results from a bona fide decision regarding the allocation of
        resources, and no retaliation may be authorized based on the
        exercise of these rights or the right to establish domestic
        labor standards and levels of environmental protection;
          (C) to strengthen the capacity of United States trading
        partners to promote respect for core labor standards (as
        defined in section 3813(6) of this title);
          (D) to strengthen the capacity of United States trading
        partners to protect the environment through the promotion of
        sustainable development;
          (E) to reduce or eliminate government practices or policies
        that unduly threaten sustainable development;
          (F) to seek market access, through the elimination of tariffs
        and nontariff barriers, for United States environmental
        technologies, goods, and services; and
          (G) to ensure that labor, environmental, health, or safety
        policies and practices of the parties to trade agreements with
        the United States do not arbitrarily or unjustifiably
        discriminate against United States exports or serve as
        disguised barriers to trade.
      (12) Dispute settlement and enforcement
        The principal negotiating objectives of the United States with
      respect to dispute settlement and enforcement of trade agreements
      are - 
          (A) to seek provisions in trade agreements providing for
        resolution of disputes between governments under those trade
        agreements in an effective, timely, transparent, equitable, and
        reasoned manner, requiring determinations based on facts and
        the principles of the agreements, with the goal of increasing
        compliance with the agreements;
          (B) to seek to strengthen the capacity of the Trade Policy
        Review Mechanism of the World Trade Organization to review
        compliance with commitments;
          (C) to seek adherence by panels convened under the Dispute
        Settlement Understanding and by the Appellate Body to the
        standard of review applicable under the Uruguay Round Agreement
        involved in the dispute, including greater deference, where
        appropriate, to the fact-finding and technical expertise of
        national investigating authorities;
          (D) to seek provisions encouraging the early identification
        and settlement of disputes through consultation;
          (E) to seek provisions to encourage the provision of
        trade-expanding compensation if a party to a dispute under the
        agreement does not come into compliance with its obligations
        under the agreement;
          (F) to seek provisions to impose a penalty upon a party to a
        dispute under the agreement that - 
            (i) encourages compliance with the obligations of the
          agreement;
            (ii) is appropriate to the parties, nature, subject matter,
          and scope of the violation; and
            (iii) has the aim of not adversely affecting parties or
          interests not party to the dispute while maintaining the
          effectiveness of the enforcement mechanism; and

          (G) to seek provisions that treat United States principal
        negotiating objectives equally with respect to - 
            (i) the ability to resort to dispute settlement under the
          applicable agreement;
            (ii) the availability of equivalent dispute settlement
          procedures; and
            (iii) the availability of equivalent remedies.
      (13) WTO extended negotiations
        The principal negotiating objectives of the United States
      regarding trade in civil aircraft are those set forth in section
      3555(c) of this title and regarding rules of origin are the
      conclusion of an agreement described in section 3552 of this
      title.
      (14) Trade remedy laws
        The principal negotiating objectives of the United States with
      respect to trade remedy laws are - 
          (A) to preserve the ability of the United States to enforce
        rigorously its trade laws, including the antidumping,
        countervailing duty, and safeguard laws, and avoid agreements
        that lessen the effectiveness of domestic and international
        disciplines on unfair trade, especially dumping and subsidies,
        or that lessen the effectiveness of domestic and international
        safeguard provisions, in order to ensure that United States
        workers, agricultural producers, and firms can compete fully on
        fair terms and enjoy the benefits of reciprocal trade
        concessions; and
          (B) to address and remedy market distortions that lead to
        dumping and subsidization, including overcapacity,
        cartelization, and market-access barriers.
      (15) Border taxes
        The principal negotiating objective of the United States
      regarding border taxes is to obtain a revision of the WTO rules
      with respect to the treatment of border adjustments for internal
      taxes to redress the disadvantage to countries relying primarily
      on direct taxes for revenue rather than indirect taxes.
      (16) Textile negotiations
        The principal negotiating objectives of the United States with
      respect to trade in textiles and apparel articles are to obtain
      competitive opportunities for United States exports of textiles
      and apparel in foreign markets substantially equivalent to the
      competitive opportunities afforded foreign exports in United
      States markets and to achieve fairer and more open conditions of
      trade in textiles and apparel.
      (17) Worst forms of child labor
        The principal negotiating objective of the United States with
      respect to the trade-related aspects of the worst forms of child
      labor are to seek commitments by parties to trade agreements to
      vigorously enforce their own laws prohibiting the worst forms of
      child labor.
    (c) Promotion of certain priorities
      In order to address and maintain United States competitiveness in
    the global economy, the President shall - 
        (1) seek greater cooperation between the WTO and the ILO;
        (2) seek to establish consultative mechanisms among parties to
      trade agreements to strengthen the capacity of United States
      trading partners to promote respect for core labor standards (as
      defined in section 3813(6) of this title) and to promote
      compliance with ILO Convention No. 182 Concerning the Prohibition
      and Immediate Action for the Elimination of the Worst Forms of
      Child Labor, and report to the Committee on Ways and Means of the
      House of Representatives and the Committee on Finance of the
      Senate on the content and operation of such mechanisms;
        (3) seek to establish consultative mechanisms among parties to
      trade agreements to strengthen the capacity of United States
      trading partners to develop and implement standards for the
      protection of the environment and human health based on sound
      science, and report to the Committee on Ways and Means of the
      House of Representatives and the Committee on Finance of the
      Senate on the content and operation of such mechanisms;
        (4) conduct environmental reviews of future trade and
      investment agreements, consistent with Executive Order 13141 of
      November 16, 1999, and its relevant guidelines, and report to the
      Committee on Ways and Means of the House of Representatives and
      the Committee on Finance of the Senate on such reviews;
        (5) review the impact of future trade agreements on United
      States employment, including labor markets, modeled after
      Executive Order 13141 to the extent appropriate in establishing
      procedures and criteria, report to the Committee on Ways and
      Means of the House of Representatives and the Committee on
      Finance of the Senate on such review, and make that report
      available to the public;
        (6) take into account other legitimate United States domestic
      objectives including, but not limited to, the protection of
      legitimate health or safety, essential security, and consumer
      interests and the law and regulations related thereto;
        (7) direct the Secretary of Labor to consult with any country
      seeking a trade agreement with the United States concerning that
      country's labor laws and provide technical assistance to that
      country if needed;
        (8) in connection with any trade negotiations entered into
      under this Act, submit to the Committee on Ways and Means of the
      House of Representatives and the Committee on Finance of the
      Senate a meaningful labor rights report of the country, or
      countries, with respect to which the President is negotiating, on
      a time frame determined in accordance with section 3807(b)(2)(E)
      of this title;
        (9) with respect to any trade agreement which the President
      seeks to implement under trade authorities procedures, submit to
      the Congress a report describing the extent to which the country
      or countries that are parties to the agreement have in effect
      laws governing exploitative child labor;
        (10) continue to promote consideration of multilateral
      environmental agreements and consult with parties to such
      agreements regarding the consistency of any such agreement that
      includes trade measures with existing environmental exceptions
      under Article XX of the GATT 1994;
        (11) report to the Committee on Ways and Means of the House of
      Representatives and the Committee on Finance of the Senate, not
      later than 12 months after the imposition of a penalty or remedy
      by the United States permitted by a trade agreement to which this
      chapter applies, on the effectiveness of the penalty or remedy
      applied under United States law in enforcing United States rights
      under the trade agreement; and
        (12) seek to establish consultative mechanisms among parties to
      trade agreements to examine the trade consequences of significant
      and unanticipated currency movements and to scrutinize whether a
      foreign government engaged (!1) in a pattern of manipulating its
      currency to promote a competitive advantage in international
      trade.


    The report under paragraph (11) shall address whether the penalty
    or remedy was effective in changing the behavior of the targeted
    party and whether the penalty or remedy had any adverse impact on
    parties or interests not party to the dispute.
    (d) Consultations
      (1) Consultations with congressional advisers
        In the course of negotiations conducted under this chapter, the
      United States Trade Representative shall consult closely and on a
      timely basis with, and keep fully apprised of the negotiations,
      the Congressional Oversight Group convened under section 3807 of
      this title and all committees of the House of Representatives and
      the Senate with jurisdiction over laws that would be affected by
      a trade agreement resulting from the negotiations.
      (2) Consultation before agreement initialed
        In the course of negotiations conducted under this chapter, the
      United States Trade Representative shall - 
          (A) consult closely and on a timely basis (including
        immediately before initialing an agreement) with, and keep
        fully apprised of the negotiations, the congressional advisers
        for trade policy and negotiations appointed under section 2211
        of this title, the Committee on Ways and Means of the House of
        Representatives, the Committee on Finance of the Senate, and
        the Congressional Oversight Group convened under section 3807
        of this title; and
          (B) with regard to any negotiations and agreement relating to
        agricultural trade, also consult closely and on a timely basis
        (including immediately before initialing an agreement) with,
        and keep fully apprised of the negotiations, the Committee on
        Agriculture of the House of Representatives and the Committee
        on Agriculture, Nutrition, and Forestry of the Senate.
    (e) Adherence to obligations under Uruguay Round Agreements
      In determining whether to enter into negotiations with a
    particular country, the President shall take into account the
    extent to which that country has implemented, or has accelerated
    the implementation of, its obligations under the Uruguay Round
    Agreements.



Previous [Notes] Next

Related Resources

International Trade Law Guide

Export Controls Summary

International Law Articles and Documents

International Law Discussion

Ads by FindLaw