The Computer & Communications Industry Association (CCIA) has voiced its apprehension over the recently published 2024 National Trade Estimate Report on Foreign Trade Barriers (NTE Report). The association alleges that while obstacles impeding the export of digital products have escalated, the report downplays many of them.
"USTR seems to be doubling down on its new stance to abandon U.S. trade interests, abdicating the role Congress assigned it," stated Matt Schruers, CCIA President and CEO, in a press release.
According to a press release by U.S. Trade Representative (USTR) Katherine Tai, the NTE Report was made public on March 29. Initially published in 1985, this annual report details significant foreign barriers to U.S. exports of goods and services, U.S. foreign direct investment, and U.S. electronic commerce in major export markets.
In a CCIA press release, the association clarifies that the NTE Report offers a country-by-country review of trade and investment restrictions imposed by governments. It aims to assess whether these restrictions are reasonable and justified and outlines the actions to be taken if they are not. The NTE Report also notifies foreign governments about U.S. areas of concern regarding laws, regulations, and policies.
In previous editions as noted in the CCIA press release, the USTR identified regulations such as Europe’s Digital Markets Act, the EU’s AI Act, Indonesia and Vietnam’s data localization requirements, and online news levies in Australia and Canada as trade barriers. However, in the 2024 edition, these barriers were either not identified as problematic or were understated. Schruers added: "In a decade where the U.S. has experienced persistent and growing deficits, the tech sector is a bright spot in U.S. exports, delivering a $256 billion trade surplus. Standing down in the face of digital trade barriers will have grave consequences for U.S. global competitiveness and supply chain resilience."
Schruers also questions the timing of the report’s release, as stated in the CCIA press release. "USTR buries the news that it is abandoning the most dynamic U.S. export sector on a Friday ahead of Easter weekend. This is an unwise precedent that will cost U.S. economic growth."
