US-ABC supports Bipartisan TPA Legislation

The legislation introduced on April 16 aims to modernise and renew the country's Trade Promotion Authority (TPA), which will help to open the door to new markets for US goods and services. It was enacted at the time when the US actively pursues three significant trade agreements: the Trans-Pacific Partnership (TPP), the Transatlantic Trade and Investment Partnership (TTIP), and the Trade in Services Agreement (TISA). The TPP in particular, has the potential to grow US exports up to US$125 billion per year, and has the potential to serve as the building block of a free-trade area of the Asia-Pacific. Four members of the Association of Southeast Asian Nations (Asean) are party to the TPP negotiations: Brunei, Malaysia, Singapore, and Vietnam.

“The TPP is essential to America’s economic future and position in Asia, and TPA will help ensure that it is a success,” Marc Mealy, vice president for Policy of the Council. “The TPP will allow US companies to gain greater market access in 11 countries, including 4 in Asean, Asia’s fastest growing region. Once TPP is in place, we hope that the administration will outline a strategy for moving towards a free trade agreement with all 10 Asean nations.” 

The TPA legislation includes significant improvements to the TPA law which was in place from 2002-2007, including in areas such as non-tariff barriers to US goods and services, digital commerce, restrictions on cross-border data flows, fair competition with state-owned enterprises, countering forced localization practices, labor and environmental standards, and enhanced procedures to ensure Congressional oversight and public input on US trade negotiations. 

  “Trade is essential to the prosperity of the United States,”  Mealy added.“TPA is a vital element in ensuring that U.S. businesses and workers have the best, most comprehensive access possible to foreign markets, and that the economic pillar of the US re-balance to Asia is successful.”