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<body topmargin=0 leftmargin=0 marginheight=0 marginwidth=0> <table cellpadding=0 cellspacing=0 border=0><tr> <td valign="top" rowspan="2" width=215 BGCOLOR="#CC3366" TEXT="#080000" background="0440ce82dkcfyw.png"> <div> <I><B><U>If you have a hand in trade, you need an eye on Washington.</U></B></I></div> <bR> <div> <B>Washington Trade Daily</B><I><B> gives you the information you need about international trade in Washington, Geneva and around the globe -- when you need it, not days later.</B></I></div> <bR> <div> <B>WTD</B><I><B> is mailed electronically every evening.</B></I></div> <bR> <div> <I><B>A one-year subscription costs only $785 for 260 issues; $400 for six months or $1,750 for two years and two months. </B></I></div> <div> <I><B>Take a look at the sampe issue and the latest calendar on the next page.  If you like what you see, ask for a FREE four-week trial subscription by e-mailing us at trigtrig@aol.com. </B></I></div> <bR> <bR> </td> <td valign="top" colspan=2 height=95 BGCOLOR="#CC99CC" TEXT="#080000" background="043265f3.png"> <div> <I><B>Welcome to WTD</B></I></div> <DIV ALIGN="LEFT"></DIV> <div> <A HREF="id2.htm" TARGET="_top" TITLE="Calendar"><U><I><B>Calendar</B></I></U></A><I><B> </B></I><B>       </B><B> </B><I><B> </B></I><A HREF="id3.htm" TARGET="_top" TITLE="Free Trial"><U><I><B>Free Trial</B></I></U></A><I><B>       </B></I><I><B> </B></I><A HREF="id4.htm" TARGET="_top" TITLE="Who We Are"><U><I><B>Who We Are</B></I></U></A><I><B>        </B></I><A HREF="id6.htm" TARGET="_top" TITLE="Trade Links"><U><I><B>Trade Links</B></I></U></A></div> <bR> <bR> <bR> <bR> <div> </div> </td> </tr><tr> <td valign="top" height=385 colspan=2 BGCOLOR="#FFFFFF" TEXT="#080000"> <div>     <FONT SIZE="7" COLOR="#000000" FACE="Times New Roman" ><B>          </B></FONT><FONT SIZE="7" COLOR="#000000" FACE="Times New Roman" ><B>Washington Trade Daily</B></FONT></div> <div>             Volume 19, Number 22                                                                                                Monday, February 1, 2010                                   </div> <div> _______________________________<U>Trade Reports International Group___________________________</U>                                                                                                                </div> <bR> <bR> <DIV ALIGN="LEFT"></DIV> <div> <I><B>Mr. Obama’s Trade Enforcement Strategy</B></I></div> <div>     President Obama told House Republicans Friday during its annual legislative issues retreat that he wants to come up with a trade policy that combines opening new markets with trade enforcement, adding that he sees enforcement as key component of public support for trade (WTD, 1/28/10).</div> <div>      “My hope is, is that we can move forward with some of these trade agreements having built some confidence – not just among particular constituency groups, but among the American people – that trade is going to be reciprocal; that it’s not just going to be a one-way street,” the President said.</div> <div>      The President said he intends to talk more about trade this year – a trade policy that combines opening markets with enforcement mechanisms. “I think that’s something that all of us would agree on,” he said.  “Let’s see if we can execute it over the next several years.”</div> <div>      US free trade pacts with Colombia, Panama and South Korea are awaiting Congressional action.  All face opposition from many House Democrats.  Mr. Obama acknowledged the existence of “conflicts within and fissures within” the Democratic party on trade, but said the United States needs to “seize” the opportunities presented by trade agreements.  </div> <div>      The President noted that Korea has recently signed a trade deal with the European Union, which presents worries that Europeans might get into the Korean market ahead of US companies.</div> <div>      The President set a goal of doubling US exports over five years in his State of the Union address last week.  Commerce Secretary Gary Locke is slated to discuss the Administration’s strategy for promoting US exports Thursday in a speech to the National Press Club.</div> <div>                                    </div> <bR> <bR> <DIV ALIGN="LEFT"></DIV> <div> <I><B>Doha – Without the US</B></I></div> <div>      Davos – Brought on by growing frustration with the US lack of political engagement to rejoin the Doha Development Agenda trade negotiations, the trade chiefs from Brazil, Australia and Indonesia on Saturday pressed for a “Copenhagen-type” of meeting involving key leaders to hammer out an interim deal on a dozen major issues over the next six months, WTD has learned (WTD, 1/28/10).</div> <div>      Switzerland President Doris Leuthard convened an informal meeting of trade ministers here on the sidelines of the World Economic Forum annual meeting to explore how a stalled Doha negotiaton can be finished.  Some 17 trade ministers – minus US Trade Representative Ron Kirk – vowed to give one last push to conclude the eight-year-old talks in the next couple of months, several trade ministers told WTD.</div> <div>      A Swiss “non-paper” on the checklist of issues drafted for discussion here was not formally tabled, although some ministers spoke about it, WTD was told.</div> <div>      Brazil foreign minister Celso Amorim, Australian trade minister Simon Crean and Indonesia trade minister Mari Pangestu called for elevating Doha issues to a leaders meeting – akin to the Copenhagen meeing on climate change, one trade minister told WTD.  He suggested doing so would be the only way to bring pressure on the United States.  Another minister said details of such a meeting were not discussed.</div> <div>      Everybody in the room was frustrated that the United States seems not to be coming on board, said another trade official.</div> <div>      US deputy trade envoy David Shark – who represented Washington in the three-hour meeting – remained silent over criticism of Washington’s absence, WTD was told.</div> <div>      South Africa trade minister Rob Davies told WTD that Pretoria is committed to an agreement that squarely addresses developmental issues – including specific flexibilities needed in market-opening for industrial goods. </div> <div>      Some ideas that emerged from the weekend session included a stock-taking meeting at the level of senior officials by the end of March – which would be accompanied by bilateral and informal ministerial engagement.  The result would be handed to leaders at the annual Group-of-20 meeting set for June 25 through 27 in Canada, said one Asian trade minister.</div> <div>      “It is not good enough to have senior officials meet in Geneva or have a lot of bilaterals. Ministers have to be engaged and give guidance to their officials,” the Swiss President said.</div> <DIV ALIGN="LEFT"></DIV> <div> <B>‘Political Will’</B></div> <div>      There is “no question” that the political will will exist to bring the negotiations to a conclusion, Australia’s Crean was reported as saying.  Ministers here have agreed on the importance of a “continuing ministerial engagement,” he added.</div> <div>      China, however, said that countries have to demonstrate the “political will” to conclude the negotiating round.  Non-engagement on part of some members only demonstrates the difficulty of concluding the talks.</div> <div>      Some industrial-country ministers here expressed doubts whether it would be correct to bring up to their leaders issues that cannot be agreed by their ministers.</div> <div>      “Who knows when it is going to be finished, but we have to be ready,” New Zealand trade minister Tim Groser told his counterparts during the closed door meeting, WTD was told.  He said his country is ready – as long as it lasts.     </div> <div>      In his concluding summary at the end of the three hour meeting, World Trade Organization Director General Pascal Lamy told ministers that he would accelerate work on a set of complex technical issues to see if they could be further simplified.  He also suggested that the form and content of the upcoming stock-taking meeting remains open, suggesting that the issue will be decided after focused talks during the coming two months.</div> <div>                                    </div> <bR> <bR> <DIV ALIGN="LEFT"></DIV> <div> <I><B>The DDA’s Development Agenda</B></I></div> <div>      Davos – Brazilian foreign minister Celso Amorim reiterated that his government will not pay anything more in the Doha Development Agenda nonagricultural market access talks beyond what is contained in the July 2008 revised modalities texts, WTD has learned (see related report this issue).</div> <div>      Mr. Amorin made the statement in his brief intervention at the informal ministerial meeting here.  Brazil is one of the countries – along with China, India and South Africa – in which the United States is seeking new market access concessions.</div> <div>      Washington held a round of bilateral meetings with China, India and Brazil to explore whether they would accede to US demands that they participate in sectoral tariff elimination talks – particularly in chemicals.  The three countries described the discussions as futile, WTD was told.</div> <div>      In the Swiss-convened informal ministerial, the European Union said it can do no more in agriculture and industrial goods market access, but was willing to consider some “topping-up” through sectorals in NAMA.</div> <div>      In other news, India trade minister Anand Sharma warned here that without a “developmental” agreement on the special safeguard mechanism for developing countries, it would be difficult to arrive at a final accord, WTD was told.</div> <div>      During his intervention, Mr. Sharma said that it would be difficult to agree to a special safeguard mechanism that is burdened with conditions.  An outcome warrants an easy and simple instrument for developing countries to deal with unforeseen surges in food imports, he said.</div> <div>      Last week, India – along with key Group-of-33 members China and Indonesia – issued a strong statement cautioning farm exporters about the “irrational” hurdles raised during the recent discussions.  “We have highlighted the gulf that persists in perceptions on the rationale, structure and the design of the instrument,” a G-33 official told WTD.</div> <div>      The declaration calls for a concise and easy to use the special safeguard mechanism.  “It is important that the SSM is not viewed primarily through the prism of commerce.  The correct perspective is to view it as an instrument which allows developing countries to address their central concerns of food and livelihood security and rural development while undertaking liberalization commitments.  It needs to be emphasized that in most developing countries, agriculture which provides the bulk of employment, is not a commercial activity per se, but a way of life,” the statement said.</div> <div>      The submission listed chief concerns about the current SSM draft, including the limit on products and tariff lines on which safeguards could be triggered above pre-Doha bound rates.  In the special safeguard measure for industrial nations, there is no such limitation.  In contrast to the SSG, data for a volume-based SSM is required for a preceding three-year period.  Capping of remedies relative to pre-Doha bound levels and rates bound at the Doha round also is included.  In addition, the trigger price and remedy ceiling for the price-based SSM are much more stringent than the SSG.</div> <div>                                    </div> <bR> <bR> <DIV ALIGN="LEFT"></DIV> <div> <I><B>Around the Globe</B></I></div> <div>            The <U>Chinese</U> government announced late Saturday an unusually broad series of retaliatory measures in response to the latest United States arms sales to Taiwan, including sanctions against American companies that supply the weapon systems for the arms sales, the <I>New York Times </I>reported (WTD, 1/29/10).  The Foreign Ministry announced in a pair of statements from Beijing that some military exchange programs between the United States and China would be canceled in addition to the commercial sanctions. Furthermore, a vice foreign minister, He Yafei, has called in Jon M. Huntsman Jr., the United States ambassador to China, to protest the sales.</div> <div>      The American decision to sell more weapons to Taiwan “constitutes a gross intervention into China’s internal affairs, seriously endangers China’s national security and harms China’s peaceful reunification efforts,” Mr. He said in the ministry’s statement. The Obama administration notified Congress on Friday of its plans to proceed with five arms sales transactions with Taiwan worth a total of $6.4 billion. The arms deals include 60 Black Hawk helicopters, Patriot interceptor missiles, advanced Harpoon missiles that can be used against land or ship targets and two refurbished minesweepers.</div> <div>      The Foreign Ministry’s statement that mentioned the commercial sanctions was vague, providing no details on the restrictions that would be imposed on these companies’ business dealings in China or even what companies would be involved.  The World Trade Organization generally prohibits the imposition of import restrictions as political maneuvers. But the body’s rules include a broad exception for national security that the Chinese could cite if the United States tried to challenge them. China has also never joined the WTO side agreement on government procurement. So China could bar the American companies from selling to the government without fear of WTO review.</div> <div>                     The US Trade Representative’s office issued a statement Friday calling the latest round of negotiations on the <U>Anti-Counterfeiting Trade Agreement</U> “productive” (WTD, 1/20/10)  The round was held in  Guadalajara, Mexico.</div> <div>      Participants underlined the importance of ACTA as an agreement which shall provide for an enhanced framework to fight global infringement of intellectual property rights, particularly in the context of counterfeiting and piracy, USTR said.  The talks focused on civil enforcement, border enforcement and enforcement of rights in the digital environment.</div> <div>      The next round will be hosted by New Zealand in April.  Participants are trying to conclude the agreement by the end of this year.</div> <div>                     The US-ASEAN Business Council said Friday it supports the launch of <U>Indonesia</U>’s “National Single Window,” a program to streamline the nation’s customs process and dramatically reduce the time it takes for containers to clear customs.  The Council said the new program will help to increase US-ASEAN trade.</div> <div>      The new Indonesian policy is a step towards the creation of the ASEAN Economic Community and joint “single trade window,” which would enable goods entering into any ASEAN country to clear customs for all ten through a single submission of information. Six of ten ASEAN countries have written or are drafting improved customs rules with the aim of creating their own National Single Windows.</div> <div>                     The elections and investiture of Porfirio Lobo as President of <U>Honduras</U> have cleared the way for the EU to restore normal relations with the Central American country and negotiations for signing a bi-regional Association Agreement may soon resume, EFE news agency reported (WTD, 5/15/09)).  Central American trade negotiators and the European Commission will meet informally in Brussels from February 1 to 3 to take stock of the negotiations with a view to restarting them at the end of February.</div> <div>      The Spanish Presidency confers a strategic importance on the relations with Latin America and the Caribbean and hopes to end negotiations in time so that the Association Agreement between the EU and Central America can be ratified on May 18 in Madrid with the celebration of the 6th EU-LAC Summit. The meeting in Brussels this week should prepare the ground so that the formal meeting of negotiators can be held at the end of the month. The three chapters of the agreement are trade, political dialogue and cooperation.</div> <div>                     <U>New Zealand</U> and <U>India</U> will begin negotiations to establish a bilateral free-trade agreement, the South Pacific nation’s Trade Minister Tim Groser said according to a Bloomberg news service report.  Groser said India’s Commerce Minister Anand Sharma confirmed the start of talks while the pair were attending a meeting of trade ministers in Davos, Switzerland. Indian approval of the proposal, provided by a cabinet committee last week, had been delayed since its mid-year elections, Groser said in an e-mailed statement.</div> <div>      “By 2025, India will almost certainly be the third-largest economy in the world,” Groser said. “Our negotiators will target the currently high barriers facing New Zealand exporters to India so that trade can further flourish.” The two nations began studying a potential trade agreement in 2007, with formal talks approved by New Zealand last March.</div> <bR> <bR> <div>    — <IMG SRC="05217090.png" border=0 width="23" height="9" ALIGN="BOTTOM" HSPACE="0" VSPACE="0"><FONT SIZE="2" COLOR="#000000" FACE="Arial" >  —</FONT></div> <bR> <bR> <DIV ALIGN="LEFT"></DIV> <div> <B>*****   WTD is intended for readers within the office that subscribes.  PLEASE do not redistribute.  *****</B></div> <bR> <div> <I>Sign up for WTD’s special email alert system which keeps you informed of major trade-related news throughout the day.  Simply email WTD your email address and we will add you to the list.  </I></div> <div> <I>Email:  wtdtrade@cs.com</I></div> <bR> <bR> <div> <I><B>WTD now has available for sale compact disks for all of 2005 through 2009 – for $35 each.</B></I></div> <bR> <DIV ALIGN="LEFT"></DIV> <div> <I><B>To order call 301-946-0817, fax us at 301-946-2631 or e-mail us at </B></I><FONT SIZE="2" COLOR="#0000FF" FACE="Arial" ><A HREF="mailto:trigtrig@aol.com" TARGET="_top" TITLE="mailto:trigtrig@aol.com"><U><I><B><U>wtdtrade@cs.com</U></B></I></U></A></FONT></div> <bR> <bR> <div> <B>On the Web......</B></div> <bR> <bR> <DIV ALIGN="LEFT"></DIV> <div> <B>Agriculture</B></div> <bR> <div> <B><U>TPP.</U></B>  National Farmers Union statement on the TransPacific Partnership negotiations.  (available at:  <FONT SIZE="2" COLOR="#0000FF" FACE="Arial" ><A HREF="http://www.nfudc.org" TARGET="_top" TITLE="http://www.nfudc.org"><U><U>http://www.nfudc.org</U></U></A></FONT> )  issued:  1/29/09.</div> <bR> <bR> <DIV ALIGN="LEFT"></DIV> <div> <B>Asia-Pacific</B></div> <bR> <div> <B><U>TPP.</U></B>  National Farmers Union statement on the TransPacific Partnership negotiations.  (available at:  <FONT SIZE="2" COLOR="#0000FF" FACE="Arial" ><A HREF="http://www.nfudc.org" TARGET="_top" TITLE="http://www.nfudc.org"><U><U>http://www.nfudc.org</U></U></A></FONT> )  issued:  1/29/09.</div> <bR> <bR> <DIV ALIGN="LEFT"></DIV> <div> <B>Business Practices</B></div> <bR> <div> <B><U>Bribery.</U></B>  Justice Department statement on foreign bribery charges.  (available at:  <FONT SIZE="2" COLOR="#0000FF" FACE="Arial" ><A HREF="http://www.justice.gov/opa/pr/2010/January/10-crm-102.html" TARGET="_top" TITLE="http://www.justice.gov/opa/pr/2010/Janua"><U><U>http://www.justice.gov/opa/pr/2010/January/10-crm-102.html</U></U></A></FONT> )  issued:  1/31/10.</div> <bR> <bR> <bR> <DIV ALIGN="LEFT"></DIV> <div> <B>Customs</B></div> <bR> <div> <B><U>ASEAN.</U></B>  US-ASEAN Business Council statement on new customs rules in Indonesia.  (available at:  http://www.usasean.org )  issued:  1/29/10.</div> <bR> <bR> <DIV ALIGN="LEFT"></DIV> <div> <B>Doha Development Agenda</B></div> <bR> <div> <B><U>SSM.</U></B>  G-33 submission to the Doha Development Agenda on the Special Safeguard Mechanism.  (available at:  http://docsonline.wto.org/GEN_viewerwindow.asp?http://docsonline.wto.org:80/DDFDocuments/t/tn/ag/GEN30.doc )  issued:  1/29/10.</div> <bR> <bR> <bR> <DIV ALIGN="LEFT"></DIV> <div> <B>European Union</B></div> <bR> <div> <B><U>Central America.</U></B>  European Union statement on trade negotiations with Central America.  (available at:  http://www.eu2010.es/en/documentosynoticias/noticias/ene30_uecentroamerica.html )  issued:  1/31/10.</div> <bR> <bR> <DIV ALIGN="LEFT"></DIV> <div> <B>Export Controls</B></div> <bR> <div> <B><U>Iran.</U></B>  National Foreign Trade Council statement on Senate passage of new Iran sanctions legislation.  (available at:  <FONT SIZE="2" COLOR="#0000FF" FACE="Arial" ><A HREF="http://www.nftc.org" TARGET="_top" TITLE="http://www.nftc.org"><U><U>http://www.nftc.com</U></U></A></FONT> )  issued:  1/29/10.</div> <bR> <div> <B><U>Iran.</U></B>  Statement by Rep. Ros-Lehtinen on Senate passage of new Iran sanctions bill.  (available at:  http://foreignaffairs.republicans.house.gov/apps/list/press/foreignaffairs_rep/012910IranSanctions.shtml )  issued:  1/29/10.</div> <bR> <bR> <DIV ALIGN="LEFT"></DIV> <div> <B>Indonesia</B></div> <bR> <div> <B><U>ASEAN.</U></B>  US-ASEAN Business Council statement on new customs rules in Indonesia.  (available at:  http://www.usasean.org )  issued:  1/29/10.</div> <bR> <bR> <DIV ALIGN="LEFT"></DIV> <div> <B>Intellectual Property Rights</B></div> <bR> <div> <B><U>ACTA.</U></B>  Statement by US Trade Representative’s office on latest round of negotiations on the Anti-Counterfeiting Trade Agreement (available at:  <FONT SIZE="2" COLOR="#0000FF" FACE="Arial" ><A HREF="http://www.ustr.gov" TARGET="_top" TITLE="http://www.ustr.gov"><U><U>http://www.ustr.gov</U></U></A></FONT> )  issued:  1/29/10.</div> <bR> <bR> <DIV ALIGN="LEFT"></DIV> <div> <B>Iran</B></div> <bR> <div> <B><U>Sanctions.</U></B>  National Foreign Trade Council statement on Senate passage of new Iran sanctions legislation.  (available at:  <FONT SIZE="2" COLOR="#0000FF" FACE="Arial" ><A HREF="http://www.nftc.org" TARGET="_top" TITLE="http://www.nftc.org"><U><U>http://www.nftc.com</U></U></A></FONT> )  issued:  1/29/10.</div> <bR> <div> <B><U>Sanctions.</U></B>  Statement by Rep. Ros-Lehtinen on Senate passage of new Iran sanctions bill.  (available at:  http://foreignaffairs.republicans.house.gov/apps/list/press/foreignaffairs_rep/012910IranSanctions.shtml )  issued:  1/29/10.</div> <bR> <bR> <DIV ALIGN="LEFT"></DIV> <div> <B>Latin America</B></div> <bR> <div> <B><U>European Union.</U></B>  European Union statement on trade negotiations with Central America.  (available at:  http://www.eu2010.es/en/documentosynoticias/noticias/ene30_uecentroamerica.html )  issued:  1/31/10.</div> <bR> <bR> <DIV ALIGN="LEFT"></DIV> <div> <B>Small Business</B></div> <bR> <div> <B><U>Exports.</U></B>  US Trade Representative’s office statement on small business exports.  (available at:  <FONT SIZE="2" COLOR="#0000FF" FACE="Arial" ><A HREF="http://www.ustr.gov/about-us/press-office/blog" TARGET="_top" TITLE="http://www.ustr.gov/about-us/press-offic"><U><U>http://www.ustr.gov/about-us/press-office/blog</U></U></A></FONT> )  issued:  1/29/10.</div> <bR> <bR> <DIV ALIGN="LEFT"></DIV> <div> <B>Trade Policy</B></div> <bR> <div> <B><U>Obama Remarks.</U></B>  Remarks by President Obama to the Republican conference in Baltimore.  (available at:  http://www.whitehouse.gov/the-press-office/remarks-president-gop-house-issues-conference )  issued:  1/29/10.</div> <bR> </td> </tr></table></body>