SOURCE: The US-China Business Council

The US-China Business Council

February 10, 2012 13:10 ET

USCBC Board of Directors Statement of Priorities for the US-China Commercial Relationship

"Working Together, the United States and China Have a Tremendous Opportunity to Build Stronger Economies and Improve the Lives of People Around the World"

WASHINGTON, DC--(Marketwire - Feb 10, 2012) - The US-China Business Council (USCBC) issued the following statement today:

"Working together, the United States and China have a tremendous opportunity to build stronger economies and improve the lives of people around the world," said Muhtar Kent, Chairman and CEO of The Coca-Cola Company and Chair of the US-China Business Council. "The statement issued by USCBC's board of directors identifies key actions that will further strengthen this critical bilateral relationship and bring economic growth and job creation to our two countries and the world."

"The USCBC board of directors supports a strong, mutually-beneficial commercial relationship with China. The relationship has grown significantly over the past three decades thanks to the collaborative work of the governments, business communities, and other stakeholders in both countries," said USCBC President John Frisbie. "However, more work needs to be done to develop commercial ties and tackle unresolved issues."

The purpose of the statement is to bring greater focus on the issues that will increase commercial opportunities for American companies.

"USCBC calls upon the US and Chinese governments to work together on the USCBC statement of priorities. USCBC believes these steps will improve the US-China commercial relationship and lends its full support to achieving these important goals. The world-class membership of USCBC's board is committed to seeking solutions that foster economic growth," concluded Frisbie.

USCBC Board of Directors Statement of Priorities is available here:

Highlights from the USCBC Board of Directors Statement of Priorities:

Ensure fair and open investment environments that create jobs. The United States and Chinese governments should jointly affirm the principle that foreign direct investment is good for economic development, employment, innovation, competition, consumers, and public welfare.

Reduce investment ownership restrictions in China and encourage Chinese investment in the United States. China has far too many ownership restrictions on US and foreign investors seeking market access. More investment by Chinese companies in the US means more jobs for Americans.

Remove unnecessary visa barriers. Both the US and Chinese government should agree to offer reciprocal five-year, multiple-entry visas for business travelers.

Continue to use WTO cases to settle trade disputes. Both countries have effectively used this channel to resolve trade disputes in a non-politicized manner and should continue to do so.

Further improve rule-making transparency. China's central government has significantly improved rule-making transparency over the past several years, but further improvements are needed. China should fully implement its commitment to publish all draft trade and economic-related laws, administrative regulations and departmental rules for a full 30-day period.

Increase financing support for US exports to China. Despite substantial growth in US exports to China over the past decade, the US share of Chinese imports has fallen to 7 percent from 10 percent in 2000. A worthy goal of the Obama administration's National Export Initiative should be to reclaim a 10 percent share of China's imports by 2014. Reauthorize the Export-Import Bank of the United States and have it prioritize lending support of US exports to China.

Eliminate duplicative and inconsistent payroll taxes. The US and China should quickly move to ensure its respective companies and employees are not required to pay payroll taxes (social insurance taxes in China) in both countries.

Adopt a stronger deterrent against counterfeiting. China should adopt the WTO-consistent deterrent of criminal penalties in cases of commercial-scale infringement, and broaden the use of higher penalties and stronger deterrents against all types of IPR infringement, including patent, copyright, trademark, and trade secrets violations.

Adhere to non-discriminatory, mutually-beneficial innovation policies. China should continue to implement its pledge to delink its innovation and government procurement policies. This issue impacts the level playing field for American companies in the China market, but also impedes China's goal of becoming a more innovative economy.

The US-China Business Council (USCBC) is a private, nonpartisan, nonprofit organization of roughly 240 American companies that do business with China. For nearly four decades, USCBC has provided unmatched information, advisory, advocacy, and program services to its membership. Through its offices in Washington, DC; Beijing; and Shanghai, USCBC is uniquely positioned to serve its members' interests in the United States and China.

Contact Information

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