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Pfizer ‘Made My Day’

CTA's Shapiro, ITI's Oxman, 'Optimistic' About Biden Administration

CTA President Gary Shapiro and Jason Oxman, CEO of the Information Technology Industry Council, expressed hope Monday that President-elect Joe Biden’s bipartisan skills would bring progress on high-skilled immigration and infrastructure initiatives in Congress. President Donald Trump hasn't conceded.

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Step 1" on high-skilled immigration needs to be “reversing some of the harm done by the Trump administration,” including its cutback on H-1B visas, Shapiro told us. The administration’s actions made it difficult for tech startups to “get the highly skilled workers they need,” Shapiro said. Biden needs to focus on “the type of people we need here,” he said. The “overwhelming evidence” shows that highly skilled immigrants “create more jobs at more companies disproportionately than any other group,” he said.

Shapiro is “optimistic about a Biden administration for many reasons,” he said. The president-elect “has a good relationship” with Senate Majority Leader Mitch McConnell, R-Ky., he said. “They’ve done deals together in the past.” Shapiro thinks “bomb-throwers” like Senate Minority Leader Chuck Schumer, D-N.Y., will have “less influence” under a Biden administration, assuming the Senate stays in Republican control, he said. “I’m more hopeful to see a more moderate style of government.” Schumer’s office didn’t respond to questions.

The tech industry “is positioned very well” for the incoming Biden administration, said Shapiro. Biden has a close relationship with MPA, and “that concerns us,” he said. “But Biden is president of everyone now, and the tech industry is very important.” Vice President-elect Kamala Harris “comes from California, which has a large tech industry sector,” he said. “The focus on a more stable, predictable, rational presence is something that the tech industry is welcoming.”

MPA wouldn't comment beyond its statement.

Tariffs

Shapiro “honestly” doesn’t know what Biden will do about the Section 301 tariffs on Chinese imports, he said.

Even CTA members that do business in China “have expressed concerns about Chinese trade practices,” he said. That it became “increasingly difficult to do business” in China contributed to the decision to cancel CES Asia, he said. “It’s such a challenge. Things have changed dramatically in five years, and I don’t blame Trump on this. I blame the Chinese government.” The Chinese embassy in Washington didn’t respond to questions.

CTA doesn’t think tariffs “are a good tool to run a foreign policy on,” said Shapiro. “There’s other ways of doing things, and Biden hopefully will pursue those.” It’s “absolutely” possible to pressure China to curb its bad trade behavior without tariffs, said Shapiro. “There’s a whole range of things at our disposal besides tariffs,” including “reciprocity” by imposing on the Chinese “the same requirements they impose upon us,” he said. Shapiro has no “insight” into what Biden will do about tariffs. The Biden transition team didn’t comment.

The Chinese tariffs are “there to be punitive,” rather than to stop China’s allegedly unfair trade practices, said ITI's Oxman. “The fundamental challenges with China have to be addressed. There are very real, very legitimate issues with the way China does business.” The Biden administration “hopefully will continue to address those issues as the Trump administration has,” he said.

Trade agreements, not monetary duties, are the best approach to curbing China’s bad behavior, said Oxman. “China doesn’t pay those tariffs,” U.S. importers and consumers do, he said. All that levies “succeed in doing is raising prices for Americans,” he said. “What we would rather see is a resolution of the underlying issues in China.” ITI’s “hope and expectation” is that the Biden administration “will address those underlying issues in a way that doesn’t necessitate tariffs as a solution, because they’re not a solution. They’re a punishment.”

The U.S.-China Phase 1 trade deal was “a good agreement,” said Oxman. “We thought it was well negotiated, and then all of a sudden Phase 2 conversations stopped. We think it’s very important that a Biden administration pursue a Phase 2 agreement, particularly to address some of those concerns about the way China does business. Those were not largely addressed in Phase 1.”

ITI has “every expectation” that the Biden administration will support legislation on high-skilled immigration, said Oxman. It’s confident Biden will give “strong support” for H-1B visa reform and “encouraging students who learn in the U.S. and earn their advanced degrees to stay here and work for a great American company or start the next great American company,” he said. “We have been very disappointed with the Trump administration’s approach to high-skilled immigration.”

Digital Plans

Oxman's association supports the Biden team’s plans to pursue “digital infrastructure investment, both wireline and wireless,” to bridge the broadband divide, said Oxman. “That’s something we hope will happen very quickly,” he said. “Kids are learning from home. It’s great to have broadband access in the classroom, but if the school is closed, that’s not helpful.”

Trump is “within his rights to pursue any legal means he wants” to challenge Biden’s apparent victory, Shapiro said. He hopes Trump “would do so with grace and dignity and see the writing on the wall,” he said. “It seems pretty obvious what the result is. I think we’re all looking forward to the next chapter of our history.”

Biden’s “early on” embrace of masks is the Democrat's “biggest difference” with Trump on COVID-19, said Shapiro. Some people believe Trump’s disdain for wearing masks may have cost him the election, he said. Trump deserves credit for his support of funding for rapid coronavirus vaccine development, Shapiro said. Pfizer’s Monday announcement that its vaccine was found in Phase 3 trials to be more than 90% effective was “great news,” he said. “It made my day.”

President Matt Polka told us a big thing ACA Connects expects to communicate to the Biden administration's communications policy team is the work done by broadband providers that resulted in them meeting the spiked need for connectivity during the pandemic. He hopes the Biden administration and Biden FCC make it a priority to close the digital divide and channel federal and state support toward unserved and low-income areas, and students and schools.

Satellite Industry Association President Tom Stroup hopes the National Space Council, instituted by the Trump administration, remains. Stroup said there's still support for satellites having a role in broadband delivery.