USTR Requests ITC Reports on the “Environmental Goods” Trade
United States Trade Representative Kirk has sent a letter to the International Trade Commission requesting two reports: 1) an update ITC’s 2002 report on the economic effects of tariff reductions on environmental goods and 2) a new report assessing current global trade in such goods.
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Update on 2002 Report to Include Effect of Reducing Tariffs to Zero
In the first report, USTR is requesting that the ITC provide advice on the probable economic effect on U.S. industries and consumers of reducing to zero the tariffs on dutiable imported environmental goods from all U.S. trading partners, based on the 2010 harmonized tariff system at the 8 digit level and using 2009 trade data.
(Because there is not a universally accepted definition of an “environmental good,” USTR requests that the ITC refer to items in Annex III of World Trade Organization document TN/TE/19.1)
USTR has requested this report within six months (by October 2010).
New Report to Assess Global Trade, Export Opportunities
In the second report, USTR is requesting a detailed assessment of current global trade in environmental goods, as well as an analysis of how U.S. environmental goods exporters might benefit from trade liberalization. The second report is requested within 10 months (by February 2011).
USTR is requesting that the ITC do the following:
- Provide an overview of the current state of global environmental goods trade;
- Develop industry, trade, and market information for the items proposed in Annex III of WTO document, TN/TE/19, including major U.S. producers and exporters, key U.S. export markets, MFN applied and bound tariffs in those markets, and the value of U.S. imports and exports for 2007-09, to the extent practical; and
- Prepare several case studies on the competitive position of selected U.S. environmental goods industries that produce the items proposed in Annex III of WTO document, TN/TE/19. The case studies should involve environmental goods of significant export and/or commercial interest to the U.S. and should include a description of the competitive factors affecting exports, or the potential to export these goods. To the extent practical, the case studies should also identify tariff and non-tariff measures, government programs, and technological advantages, and provide information on shares in domestic and major foreign markets.
1These goods relate to air pollution control; renewable energy; waste management, water treatment and remediation; environmental technologies, etc.
Letter from Ambassador Kirk to Chairman Aranoff (dated 04/14/2010) available via email by sending a request to documents@brokerpower.com.
WTO document TN/TE/19 available at http://www.wto.org/english/news_e/news10_e/chairreport_tnte19_e.doc.