Global Regulatory Cooperation Project
The U.S. Chamber of Commerce’s Global Regulatory Cooperation (GRC) Project seeks to align trade, regulatory, and competition policy in support of open and competitive markets.
Half a century of progress toward the elimination of tariffs and quotas around the globe has helped generate prosperity in the United States and abroad. However, regulation and compliance, which often circumvent existing bilateral and multilateral trade agreements, threaten future progress.
Further, competition policy and enforcement have never been effectively married with trade disciplines. Given the recent proliferation in the number of competition authorities in the world and the rise of state-led capitalism, which often is in direct competition with the private sector, the need to effectively address the intersection between competition and trade has never been greater.
Whether designed without international consideration or coordination, or intentionally promulgated as discriminatory industrial policies that favor national champions, an array of “regulatory” practices are institutionalizing inefficiencies and undermining the promise of liberalized trade.
The impact at home is long-term harm to our nation’s competitiveness, innovation, job creation and economic growth as such policies in global markets prevent some of the most successful and innovative U.S. companies from commercializing their products, services, and technologies around the world.
View the GRC Project Brochure
2010 Accomplishment 2011 Priorities & Program of Work
PROGRAM AGENDA - NOV. 15, 2011 - MAKING THE MOST OF THE NEI & BEHIND THE BORDER BARRIERS
Policy Areas of Focus:
International Role, Responsibility, & Coordination of U.S. Regulatory Agencies - There is a need to better define the international roles and responsibilities of U.S. regulatory agencies, and to ensure better cross coordination among these agencies. Many agencies were created and given mandates long before the rise of global markets and sophisticated supply chains. A better understanding of the relationship between regulatory policy and trade policy needs to be fostered in order for U.S. regulatory agencies to make trade facilitation a greater priority.
Better Regulation & Cooperation
Differences in the regulatory processes and administrative procedures adopted by governments around the globe are often the sources of divergent regulations that cause market-distortions. It is critical that governments adopt regulatory processes that are transparent, involve stakeholder input, and use a risk-based and economic approach prior to promulgating regulations.
Competition Policy & Antitrust
Competition policy & antitrust enforcement should be the vehicles through which market distortions are minimized, but differences in enforcement can make competition authorities instruments of market distortion themselves. In addition, competition authorities must recognize the interface between competition policy and trade as well as its nexus with intellectual property and standards.
Investment
Investment policy should also support open and competitive markets, but often government action can distort investment flows and limit investment opportunities. Such policies that act as barriers to trade often take the form of questionable regulatory reviews of foreign investment and limits on the amount of foreign direct investment allowed.
Standards
Governments often attempt to set standards or adopt regulations that are incompatible with internationally accepted standards. Such a practice is inconsistent with the goal of achieving open and competitive markets. Governments should leave standard setting to the private sector and reference international standards in their regulations.
The modernization of trade and investment policy needs to reflect the anti-competitive realities of state capitalism and its associated industrial policies in order to ensure a level-playing field between all commercial actors. Bilateral, plurilateral, and multilateral trade and investment agreements must ensure competitive neutrality between state owned or state influenced enterprises and those enterprises with which they compete.
If you have questions regarding the Chamber's Global Regulatory Cooperation (GRC) Project or to learn how to get involved please contact grc@uschamber.com.