Mike Crapo Questions Deputy Trade Rep Nom About Upholding Digital Trade Commitments

Forbes Breaking News

At a Senate Finance Committee hearing on Tuesday, Sen. Mike Crapo (R-ID) questioned Joseph Barloon, nominee to be a Deputy United States Trade Representative, about digital trade commitments.

Transcript

00:00and professionalism, and that I will work every day to serve as a faithful steward of that office

00:05who aims to build upon its strong foundations and pass it off stronger to its future leadership.

00:11Thank you again for your time today, and I look forward to your questions.

00:15Thank you, Mr. Morrissey. I'll start with you, Mr. Barloom.

00:20As USTR's former general counsel, you supervised U.S. litigation in the WTO dispute settlement system.

00:28It's not a perfect system, particularly because many disputes drag on for years,

00:33but it can be a useful tool, particularly for expanding agricultural market access.

00:40While I understand there's a need to reform WTO dispute settlement, we should not discount it as a tool altogether.

00:47If confirmed, would you support the United States pursuing offensive WTO cases where appropriate,

00:54particularly for America's agriculture industries?

00:58Thank you for that question, Chairman Crapo, and yes, most definitely I will do so.

01:06During my time in the first Trump administration, we did pursue disputes at the WTO.

01:14I don't believe there are disputes pursued more recently,

01:16but I certainly think that there is a role for the WTO dispute settlement system,

01:23particularly to gain access for our farmers and our businesses.

01:31And the prior administration abandoned key longstanding digital trade commitments

01:36in the e-commerce negotiations at the WTO.

01:39These included, one, promoting the free flow of data, two, combating forced data localization,

01:48three, preventing forced technology transfer, and four, promoting open competitive markets

01:55for digital goods and services.

01:57Can we expect to see the USTR actively promote these digital trade commitments at the WTO,

02:03particularly and especially given the policy vacuum that China and Russia will otherwise fill?

02:09Thank you for that question, Senator.

02:12Yes, I believe that advancing digital trade should be a key component of US trade policy,

02:19and I believe that there are many areas, such as the ones you mentioned,

02:23and then discriminatory policies of some of our trading partners regarding digital trade in our companies

02:31that need to be addressed at the WTO,

02:33and I very much would look forward to working with you in your office if I'm confirmed on that issue.

02:38Thank you very much.

02:40And, Ms. Dillon,

02:45the Democrats' Special Financial Assistance Program, which you referenced in your testimony,

02:50provided nearly $90 billion to pay for failing multi-employer plans

02:55without requiring any reforms to how those plans operate.

03:00As a result, the shortcomings of the multi-employer system remain.

03:05Although the PBGC does not create policy,

03:08Congress does rely on the PBGC for technical assistance,

03:12and this committee would value your insight.

03:15Can you discuss the changes Congress should consider, in your opinion,

03:19to strengthen the multi-employer pension system?

03:23Well, thank you, Senator, for that question,

03:25and I agree with your statement that the Special Financial Assistance Program,

03:31while it certainly provided benefits to the members of those multi-employer plans

03:38that were in critical financial condition,

03:40what it didn't do was address the overall structural issues

03:45with the multi-employer pension plan system.

03:48And so while the programs that qualify for the Special Financial Assistance

03:53have received funds,

03:56there is still an issue of the remaining program.

04:00And so if I am confirmed,

04:02I would want to work with the experts at the PBGC

04:06to provide input and technical assistance

04:09to the policymakers in Congress

04:10to address the continuing issues

04:14with the multi-employer pension plan system.

04:17Thank you very much.

04:18And Mr. Morrissey,

04:20in your role as Deputy General Counsel

04:23during the first Trump administration,

04:26you undoubtedly became very involved

04:28in what we now fondly call the TCJA,

04:31Tax Cuts and Jobs Act,

04:33which is going to expire at the end of this year

04:36if we do not extend it.

04:40You advised leaders across the department

04:43on a broad range of legal issues

04:44that arise from the many important programmatic

04:47and policy responsibilities

04:48that Congress has entrusted to the department

04:51in that law as well as others.

04:53Can you please discuss how your experience

04:56in the first administration will help you

04:58as you advise Treasury personnel on regulations

05:00and guidance related to this forthcoming tax legislation?

05:05Yes, Chairman Crapo, thank you for the question.

05:07I think it's important in any year

05:09when Congress is considering tax legislation,

05:12as you mentioned in TCJA

05:13and the potential negotiations that are going on now,

05:16that the legal division of Treasury

05:18is working proactively with the IRS

05:20and the Office of Tax Policy,

05:22that if there is new legislation passed,

05:24we're working with them to get rules and guidance out

05:27that are appropriate for taxpayers

05:29and their preparers

05:30and that we're doing it swiftly

05:31so that preparers can rely on that

05:34in the next tax season.

05:36Thank you very much.

05:37Senator Wyden.

Category

Transcript

Recommended