Hong Kong, China, December 19, 2005 – The National Association of Manufacturers (NAM) congratulated Amb. Portman and U.S. negotiators for holding the line in Hong Kong, but expressed regret that the World Trade Organization (WTO) Ministerial meeting in Hong Kong did not make the tough decisions needed to negotiate cuts in manufactured goods trade barriers.
“Despite determined efforts by U.S. negotiators, the WTO ministers didn’t agree on meaningful guidelines for negotiating manufactured goods trade,” said NAM President John Engler. “Basically the ministers just kicked the can down the road and pushed the tough decisions out to April 2006,” Engler said.
“We did get some good news, for the Hong Kong text calls for sectoral negotiations in addition to a tariff formula,” Engler stated. “That’s important, because the sectoral negotiations are vital. But the other decisions we wanted were not made -- like a meaningful formula that would cut into real tariff rates, or emphasis on non-tariff barriers,” Engler said. “Basically the WTO ministers are leaving us with four more months of wandering around the desert without a compass.”
“Hong Kong was worthwhile, though,” said Engler. “First of all, thanks to U.S. negotiators, we didn’t lose anything – no doors were shut on us; and second, Hong Kong may have cleared out some of the underbrush that has diverted attention from the big trade-affecting issues.”
“And -- very importantly – Hong Kong heightened pressure on the European Union to move further in opening up access to its agricultural market, which is an absolute prerequisite to moving ahead,” said Engler. “We all know the path to cutting manufactured goods barriers goes through agriculture.”
“I want to stress the incredible job that Rob Portman and his entire team did in Hong Kong,” said Engler. “Their literally round-the-clock effort and their skill as negotiators are what prevented the Ministerial from failing. The NAM salutes them – it is not possible to overstate the job they have done here.”
“We are left with a lot of heavy lifting ahead, and we are going to redouble our efforts to get a final agreement that will slash trade barriers blocking manufactured goods,” said Engler. “Manufactured goods are 75 percent of world trade, and we need a realization that cutting industrial trade barriers is an essential part of a comprehensive Doha Round Agreement.”
“One way of contributing to this is the new alliance we just formed in Hong Kong among U.S., European, Australian, Canadian, New Zealand, Korean, and other manufacturers,” said Engler. “We have joined together for the first time and agreed to develop a common approach and common strategy – and we intend to make our voice heard in the coming months.”
“I have to be critical on one point, though,” said Engler. “The U.S. Senate has really hurt the advance of these talks by sitting on the nomination of C. Boyden Gray as U.S. Ambassador to the European Union (EU) at a time when U.S.-EU consultations are absolutely vital. Engler called on the Senate to, “confirm Gray immediately so he can get on the next plane and add his weight to these negotiations.”
