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The Year in Trade: Operation of the Trade Agreements Program During 1997

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The Year in Trade: Operation of the Trade Agreements Program During 1997 THE YEAR IN TRADE: OPERATION OF THE TRADE AGREEMENTS PROGRAM DURING 1997 49th Report USITC PUBLICATION 3103 MAY 1998 Prepared in Conformity With Section 163(c) of the Trade Act of 1974 U.S. International Trade Commission COMMISSIONERS Marcia E. Miller, Chairman Lynn M. Bragg, Vice Chairman Carol T. Crawford Robert A. Rogowsky Director of Operations Acting Director, Office of Economics Address all communications to Secretary to the Commission United States International Trade Commission Washington, DC 20436 www.usitc.gov This report was principally prepared by Country and Regional Analysis Division Arona Butcher, Chief Walker A. Pollard, Project Leader Kim S. Frankena, Deputy Project Leader Thomas Jennings James Stamps Magdolna Kornis Edward C. Wilson Diane Manifold S. Michael Youssef Office of the General Counsel William W. Gearhart Office of Tariff Affairs and Trade Agreements Terry O’Brien Office of Unfair Import Investigations Jeffrey Whieldon Office of Investigations Debra Baker Office of Industries James Bedore Jonathan Coleman Roger Corey William Greene David Lundy Laura Rodriguez-Archila Office of Information Systems Barbara V. Bobbitt Dean M. Moore With the assistance of David Colin, Intern Supporting assistance was provided by: Patricia M. Thomas, Secretarial Services CONTENTS Page Chapter 1. Introduction . 1 Purpose and organization of the report. 1 Summary of 1997 trade agreements activities. 1 The World Trade Organization. 5 The Organization for Economic Cooperation and Development. 6 Regional trade initiatives . 6 Bilateral trade relations . 7 Canada . 7 European Union . 7 Japan . 8 Mexico . 8 China . 8 Taiwan . 9 Korea . 9 Administration of U.S. trade laws and regulations. 9 Trade sanctions activities. 10 The international economic environment and world trade in 1997. 10 International economic environment. 10 Asian financial crisis . 12 U.S. balance of payments position. 13 U.S. trade in 1997 . 14 World trade . 14 Chapter 2. Trade Activities in the WTO and the OECD in 1997 . 17 WTO . 17 Ongoing negotiations . 17 Financial services . 17 Background . 18 Scope and structure. 18 Objective of the negotiations. 19 Summary of commitments on financial services. 20 The Quad and OECD member states. 20 Japan and Korea. 21 Eastern Europe. 22 Southeast Asia. 22 Latin America. 23 North America. 24 Other countries. 24 Impact on the United States. 24 Basic telecommunications services. 25 Information Technology Agreement. 25 High-level meeting on least-developed countries. 25 Agenda . 26 Outcome . 26 Select WTO committee activity. 27 General Council . 28 v CONTENTS—Continued Page Chapter 2. Trade Activities in the WTO and the OECD in 1997—Continued Council for trade in goods. 28 Council for trade in services. 30 Council for trade-related intellectual property rights. 31 Dispute settlement . 31 Trade policy review body. 32 Other committees . 40 Committee on trade and environment. 40 Committee on trade and development. 40 Committee on regional trade agreements. 40 Committee on balance-of-payments restrictions. 41 New issues . 41 Working group on the interaction between trade and competition policy. 41 Working group on the relationship between trade and investment. 41 Working group on transparency in government procurement. 43 Multilateral trade agreements. ..
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