TRADE in ACTION – August 3, 2017

THIS WEEK IN TRADE

A number of high profile trade deal reports were released this week.

The U.S. Chamber of Commerce released its performance review of all US trade deals to find violations and abuses. The United States International Trade Commission released its 2016 report on the economic impact of trade agreements implemented under US trade authorities. Furthermore, President Trump delays his announcement of trade action against China that was scheduled for today, Friday, August 4. 

WHAT TO WATCH

The first round of NAFTA renegotiations will start on August 16 in Washington DC. The second round of NAFTA renegotiations will be held in Mexico on September 10. Trade ministers from Brazil, Russia, India, China and South Africa (BRICS) will meet in Shanghai next week to quell ongoing border tensions and trade disagreements between key members.

SPOTLIGHT
tweet of the week 1 August 3 2017
tweet of the week 2 August 3 2017

European finance ministers meeting in Brussels on July 11 endorsed a number of significant new policy initiatives in an attempt to accelerate the development of European capital markets over the next six months. These initiatives point to a policy priority that aims to strengthen European banks. Creating a European Capital Markets Union is a daunting endeavor in the EU, however, it may be necessary in order to spur the economic growth needed to repair and propel the EU economy forward. Atlantic Council Nonresident Senior Fellow Barbara Matthews has written a new article titled “Building Europe’s Capital Markets“, offering an overview of the progress being made in building Europe’s Capital Markets, and what to expect in the short and medium term and which role EU institutions will play in the matter. 

TRADE
Analysis: Europe Seeks to Set Global Trade Rules After Trump Steps Back, Robin Emmott & Philip Blenkinsop, Reuters
Opinion: Free-Trade is a Two-Way Street, Wilbur Ross, The Wall Street Journal
Opinion: Brussels Must Aim for Substance on Trade, Financial Times
News: Senate Democrats Unveil ‘Better Deal’ on Trade With New Restrictions on Outsourcing and Foreign Deals, David Weigel, The Washington Post 
Opinion: Why It May Be Harder Than You Think to Do NAFTA Deal, Ronald Orol, Center for International Governance Innovation 
Analysis: Trump’s NAFTA Agenda—Annotated and Explained, C. Fred Bergsten, Gary Clyde Hufbauer, Peterson Institute for International Economics
Analysis: How America Will Use NAFTA to Settle Scores with China, Kevin Carmichael, Centre for International Governance Innovation
Analysis: NAFTA as A National Security Priority, John Hamre, Global Trade Magazine
Commentary: How the United States and China Could Avoid a Trade War, Kevin Nealer, Center for Strategic & International Studies
Press Release: The General Council Approves First Ever Amendment to Trade Policy Review Mechanism, World Trade Organization
Report: World Trade Statistical Review 2017, World Trade Organization
News: UK PM May’s Spokesman: Free Movement with EU Will End in March 2019, Kylie MacLellan, Reuters
Briefing: One Year on From The Brexit Vote: A Briefing for Wholesale Banks, Oliver Wyman, Marsh & McLennan
Summary: Everything You Need to Know About the EU Agencies Leaving London Because of Brexit, Cat Contiguglia, Helen Collis, Carmen Paun, Politico
Op-Ed: The Good News About Brexit They’re Not Telling You, Daniel Hannan, The New York Times
News: Three Questions for Three Very Important Brexit Actors, John Bruton, European American Chamber of Commerce
Analysis: Here’s What British Business Wants From Brexit, Charlotte Ryan, Thomas Seal, Bloomberg
New Release: June 2017 Euro Area Unemployment at 9.1%, Eurostat
Opinion: Populist Trade Policies Will Not Protect Jobs Anywhere in the World, Kenneth Rogoff, The Guardian

TWEET/FACTOID OF THE WEEK
tweet of the week 3 August 3 2017
Did you know...

…that at roughly 300 billion barrels, Venezuela has the most proven oil reserves in the world? However, despite their resource-rich land, the state-owned oil company cannot afford to extract and export the oil due to excessive regulation, corruption, and economic mismanagement.

(ForeignPolicy.com)
GLOBALIZATION
Analysis: Advanced Economies Increasingly to Blame for Global Imbalances, Shawn Donnan, Financial Times
Commentary: IMF Warns Against Global Trade Imbalances, Ian Talley, The Wall Street Journal
Analysis: Renegotiating NAFTA: The Role of Global Supply Chains, Emily Blanchard, Vox.eu
Commentary: Globalization in Retreat- China’s Next Target: U.S. Microchip Hegemony, Bob Davis, Eva Dou, The Wall Street Journal 
Commentary: Deloitte Global Chairman: We Need to Redefine Globalization, David Cruickshank, Business Insider
Opinion: Why China Isn’t Ready Yet to Lead Globalization, Caroline Freund, Peterson Institute for International Economics
Commentary: BRICS Make the Case for Globalization, Andrew Hammond, The Globe and Mail
Opinion: Is Globalization an Engine of Economic Development?, Esteban Ospina, Our World In Data
Opinion: Climate Shifts Aren’t Limited to the Weather, Thomas Friedman, The New York Times
Report: Trump, Brexit, and Cross-Border E-Commerce Rising Economic Nationalism and the Growth of Digital Retail, Jonathan Camhi, Business Insider

WHAT WE ARE READING
Issue Brief: Ten Ways to Expand U.S. Growth, Yasser Abdih, International Monetary Fund
News: Eurozone GDP Growth Accelerates to 0.6% in Q2, Graeme Wearden, The Guardian
Opinion After Trump and Brexit, is This the End for the Anglo-Saxon West? Timothy Garton Ash, The Guardian
Opinion: The EU and the US: a Relationship in Motion, Maria Demertzis, Bruegel 
Analysis: What We Know and Don’t Know About the GOP Tax-Reform Plan, Naomi Jagoda, The Hill
News: Clouds Linger Over Troubled Transatlantic Data-Transfer Deal, Mark Scott, Politico 
Report: Italy: 2017 Staff Report and Statement, International Monetary Fund
Analysis: Trump Vs. Merkel: Friends or Frenemies, Russell Berman, Hoover Institution
News: German Pollsters Confident Before Election, Despite Brexit, Trump, Erik Kirschbaum, Reuters
Analysis: Brexit and the Decline of British Foreign Policy, Denis Macshane, Carnegie Europe
Graphs & Figures: Road to Brexit: The Heartlands Where a Good Deal Matters Most, Andre Tartar, Samuel Dodge, Jeremy Diamond, Bloomberg
Q&A: Three Questions for Three Very Important Brexit Actors, John Bruton, European American Chamber of Commerce
News: Brussels Sets Clock Ticking Again in Showdown with Poland, Quentin Aries, Politico

UPCOMING
EVENTS
August 15: Reorganizing the Federal Government: What Needs to Be Done and How to Do it, Heritage Foundation
September 11: Operations Choke Point: How Regulatory Abuse Hurts Consumers, Competitive Enterprise Institute
September 21: The Future of NAFTA and the State of U.S.-Mexico Relations, Progressive Policy Institute
October 3: Smart Cities & Smart Buildings: The Future of Commercial RE in the U.S. and Across Europe, American Enterprise Institute

Your Newsletter Team:
Marie Kasperek, Associate Director, Global Business & Economics, Atlantic Council
Thomas Driscoll, Intern, Global Business & Economics, Atlantic Council 

Please send us suggested news stories, opinion pieces, publications, and upcoming events that you would like us to highlight! Email mkasperek@AtlanticCouncil.org with your ideas and suggestions.

The views expressed in this newsletter and linked external articles and content do not necessarily reflect the opinions of the Atlantic Council, its staff, or its sponsors.

Analysis: Advanced Economies Increasingly to Blame for Global Imbalances, Shawn Donnan, Financial Times
Commentary: IMF Warns Against Global Trade Imbalances, Ian Talley, The Wall Street Journal
Analysis: Renegotiating NAFTA: The Role of Global Supply Chains, Emily Blanchard, Vox.eu
Commentary: Globalization in Retreat- China’s Next Target: U.S. Microchip Hegemony, Bob Davis, Eva Dou, The Wall Street Journal 
Commentary: Deloitte Global Chairman: We Need to Redefine Globalization, David Cruickshank, Business Insider
Opinion: Why China Isn’t Ready Yet to Lead Globalization, Caroline Freund, Peterson Institute for International Economics
Commentary: BRICS Make the Case for Globalization, Andrew Hammond, The Globe and Mail
Opinion: Is Globalization an Engine of Economic Development?, Esteban Ospina, Our World In Data
Opinion: Climate Shifts Aren’t Limited to the Weather, Thomas Friedman, The New York Times
Report: Trump, Brexit, and Cross-Border E-Commerce Rising Economic Nationalism and the Growth of Digital Retail, Jonathan Camhi, Business Insider

Economy & Business Trade and tariffs