Tag Archive for 'North American Free Trade Agreement (NAFTA)'

AEM Hails USMCA Senate Passage

Association of Equipment Manufacturers (AEM) senior vice president of government and industry relations Kip Eideberg issued the following statement on the U.S. Senate passing implementing language to ratify the United States-Canada-Mexico Agreement (USMCA) today: 
“Equipment manufacturers, farmers, and hardworking families across the country are thankful for today’s full congressional ratification of the United States-Mexico-Canada Agreement (USMCA),” said Kip Eideberg, AEM senior vice president of government and industry relations. “This new agreement updates the current, decades-old trade deal, supporting a modernized global marketplace. As members of the USMCA Coalition, we are proud to have joined more than 600 associations and business groups in advocating for a stronger trade deal that will add up to $68 billion to our economy, create 176,000 jobs, and preserve duty-free market access to our Canadian and Mexican trading partners. We applaud President Trump, Vice President Pence, Senate Majority Leader McConnell, and House Speaker Pelosi for their efforts to negotiate and ratify the agreement.” 
Since the creation of NAFTA two decades ago, equipment manufacturers have benefited greatly from duty-free market access to our industry’s two largest export markets, Canada and Mexico. Equipment manufacturers support 1.3 million jobs in the U.S. and 149,000 in Canada. The industry also contributes $188 billion to the U.S. and Canadian economies.Over the past two years, AEM has called on both the Trump Administration and Congress to deliver an updated North American trade agreement for the 21st century. USMCA fulfills many of our industry’s goals and strengthens North American equipment manufacturing. 
Efforts include co-hosting the Honorable Mike Pence, Vice President of the United States, at an equipment manufacturing facility earlier this year in support of the agreement, sending a letter in support of the USMCA to Chairman Neal (D-Mass.) and the nine members of the House Democrats’ Trade Working Group, and running an ongoing public education campaign on the various benefits of a ratified USMCA. AEM is also a member of the USMCA Coalition.

AEM is the North American-based international trade group representing off-road equipment manufacturers and suppliers, with more than 1,000 companies and more than 200 product lines in the agriculture and construction-related industry sectors worldwide. The equipment manufacturing industry supports 1.3 million jobs in the U.S. Equipment manufacturers also contribute $159 billion to the U.S. economy. AEM is celebrating its 125th anniversary in 2019.
Visit www.aem.org/advocacy for more information.   

AEM At U.S. Trade Representative Special Briefing –
Export-Friendly Policies Vital For Growth Of Equipment Manufacturing

Fostering a competitive trade environment to boost the American economy and create jobs was the subject of a May 14 invitation-only briefing and roundtable discussion with United States Trade Representative (USTR) Ron Kirk attended by Association of

Dennis Slater, AEM President

Equipment Manufacturers (AEM) representatives. AEM President Dennis Slater and AEM Senior Vice President Al Cervero participated along with several Wisconsin member companies. The event was held in Milwaukee at the University of Wisconsin-Milwaukee.

“It is essential to create a healthy business environment here in the U.S. where manufacturers can be encouraged to pursue exports and create jobs. We need sound policies so U.S. manufacturers can remain competitive in the increasingly growing global marketplace,” Slater stated.

Slater applauded the potential of the new National Export Initiative to help revive the U.S. economy, create and preserve jobs in the United States, and strengthen America’s competitiveness.

“Exports have been a buoy for the construction equipment industry as U.S. business has plummeted and industry unemployment has been double the national average,” Slater said. “And, in 2009, due to reliance on exports, the value of exported agricultural machinery and industrial equipment from the U.S. was at approximately 30% of U.S. production.”

Slater also cited data from the Institute for International Economics showing that export business helps U.S. companies not only grow faster, but they are also nearly 8.5 percent less likely to go out of business than non-exporting companies.

An immediate step to expand exports is Congressional approval of pending

with Panama, Colombia and South Korea, according to Slater, who also relayed these comments in a letter to the President.

China and European countries are moving ahead on agreements with the three countries, and “we don’t want our U.S. manufacturers to get shut out of the market because we acted too late,” Slater stated.

The benefits of liberalized trade are apparent from our past trade agreements, noted Slater. The North American Free Trade Agreement (NAFTA) and World Trade organization (WTO) agreements are estimated to have increased U.S. Gross Domestic Product (GDP) by $40 billion to $60 billion a year.

AEM outlined other action, in addition to FTA passage, which would encourage investment and remove barriers to global competition:

  • Timely enactment of a multi-year surface transportation bill to improve America’s deteriorating roads, bridges and ports, so manufacturers can receive materials and ship their products more efficiently and less expensively.
  • Corporate tax reform to encourage exports and help companies compete globally and build products here in the U.S.

Visa-application procedural changes to encourage and facilitate travel for business applicants by reducing extreme delays and high visa denials that disproportionately harm the competitiveness of U.S. manufacturers. “American manufacturers are losing customers because in many instances, these international buyers become frustrated and then purchase equivalent machinery from European, Japanese or other non-U.S. machinery manufacturers,” Slater said.