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"Issue Insight"

 

February 2004

BritishAmerican Business Supports Reinvigorated TABD

Brussels/ Washington/London

Douglas Daft, Chairman and CEO of Coca-Cola, and Niall FitzGerald, Co-Chairman and CEO of Unilever, have taken over the leadership of the TransAtlantic Business Dialogue (TABD), with a mission to reinvigorate its effectiveness in improving the transatlantic business environment. BritishAmerican Business has been in touch with both business leaders, to provide support for their work and ensure that it takes account of BritishAmerican Business member views. LINK

 

For the TABD World Economic Forum (WEF) summary: LINK - PDF

US/UK Enterprise Initiative

London

On 26 January, Chancellor of the Exchequer Gordon Brown announced moves to cut European red tape in a speech to an international enterprise conference. Along with three other European Finance Ministers, Dr Brown is developing plans to reduce regulation of the European economy. LINK

 

Updated Patents Law to Encourage Innovation

London

On 16 January, the Patents Bill, was published. The Bill will provide a more supportive framework, particularly for small businesses, to enforce patent rights and ensure that UK patent law continues to underpin and promote innovation. It includes measures which would help those trying to resolve disputes over patent rights, and to ensure compliance with the revised European Patent Convention to reduce bureaucracy and make it simpler for UK businesses to operate across Europe.

 

Foreign and Commonwealth Office (FCO)

Strategy White Paper

London
This is the first time that the FCO has published its planning for the UK’s international policy for the next 5-10 years. It includes useful links on each region and country of the world: LINK

 

US lifts Steel Tariffs – EU Sanctions Averted

Washington/Brussels

On 4 December 2003, President Bush rescinded tariffs that the White House had planned to keep in place until 2005.

 

This was in line with BritishAmerican Business’s urging on both the US and EU to avoid taking or maintaining measures that would impact negatively on transatlantic business and BritishAmerican Business member companies.

 

The removal of the tariffs ended the threat of a trade war with Europe and Japan. The European Union announced it would lift its threat of sanctions on $2.2 billion of U.S. products that would have taken effect Dec. 15.

 

President Bush also announced that the US would continue to work in the Organisation of Economic Cooperation and Development (OECD) towards stronger subsidies disciplines.

 

President’s announcement: LINK

EU response: LINK

 

EU/US Air Services Negotiations
Brussels/Washington

A second round of EU/US air services negotiations were held in Brussels on 9-11 December. The talks yielded progress toward a comprehensive agreement on aviation liberalisation between the EU and US. The delegations included representatives of airlines, airports and labour as well as officials from the European Commission, EU Member States, and the US Government. To prepare for the next round of negotiations, the delegations established an action plan. The third round of negotiations will be held in Washington in the week of 16 February. LINK
- PDF

 

Single Sky for EU

Brussels

In December 2003, the EU Commission welcomed the agreement reached between the European Parliament and the Council to create a single European airspace for the benefit of both civil and military users. The main objectives are to increase capacity, improve safety, reduce fragmentation of air traffic control, ensure closer integration of the military sector and smooth the way for the introduction of new technologies. On 2 February, the European Council also adopted 4 regulations aimed at creating a “Single European Sky”. LINK

 

 

 

US-VISIT Programme Launched

Washington

On 5 January, the Department of Homeland Security launched US-VISIT, a programme that requires UK passport holders travelling to the US on a visa to have both index fingers scanned and a digital photograph taken to verify their identity at the port of entry. This does not apply to those on the visa-waiver programme. So far it has been implemented at 115 US airports and 14 seaports. If the test is successful, kiosks will be rolled-out over the year. Congress has mandated that an automated entry-exit programme be implemented at the 50 busiest land ports of entry by 31 December, and at all land ports by 31 December 2005. More information can be found at www.dhs.gov/us-visit.

 

Biometric Passport Deadline

Washington

From 26 October 2004, US legislation requires that participation in the Visa Waiver Programme (VWP) - which allows citizens from the UK to travel to the US without obtaining a visa - will be conditional on countries having Machine-Readable Passports (MRPs) that incorporate a biometric identifier. The UK believes that it is technically and practically impossible to begin widescale production of biometric passports before late 2005; and that unless the deadline is put back, hundreds of thousands of UK citizens will be required to get a visa to travel to the US. LINK

 

 

Politics at a Glance

Washington:

9 February: President Bush to submit federal budget to Congress.

10 February: Primaries in Tennessee and Virginia

 

John Kerry now the firm favourite in the race for Democratic presidential nomination. He needs 2,161 votes to win the nomination from his party.

 

Brussels:

18 February: Tony Blair, Jacques Chirac and Gerhard Schröder meet to discuss the European economy and the EU constitutional process.

Westminster:
17 March: The Chancellor of the Exchequer announces the UK Budget

 

EU Announces Merger Control Rules

Brussels

On 20 January the Council of Ministers gave final approval to a new merger control law which will come into force in May at the same time as the European Union’s enlargement.

 

Irish Presidency of the EU sets out Objectives

Brussels

The 6-month Irish Presidency of the European Union started this January. It has identified four priority objectives:

  - Successful EU enlargement with 10 new
       Members;
  - Economic Growth,
  - A Safer Union;
  - Global Engagement;

 
For the first time, in order to have a clearer set of common goals for the EU, the six countries that will take on the 6-month EU presidency role over the next 3 years have worked together to create a joint plan of action. This will help to provide more consistency between EU Presidencies, as they can be a driving force in both the legislative and the political decision-making process.
 
For Ireland’s objectives: LINK

For the 1-year Irish -Dutch EU plan: LINK - PDF

For the 3-year six country plan: LINK - PDF

 

Upcoming BritishAmerican Business Policy Events
19 February, “Regulatory Risk in the New Europe”
February 29, “The Business Implications of Recent Elections in the Balkans”
2 March, CEO Briefing with Mike O’Brien, UK Minister for International Trade
Please contact: ukevents@BritishAmerican Businessnc.org