Trade Officials from US, EU, Japan Focus On Non-Market Oriented Economies

Top trade officials from the U.S., European Union (EU) and Japan discussed the issue of non-market policies and practices by other countries and their plans to engage fellow World Trade Organization (WTO) members on that and other subjects, during a Jan. 9 trilateral meeting in Washington. Alliance concept - two businessmen put blank puzzle pieces together U.S. Trade Representative (USTR) Robert Lighthizer, EU Trade Commissioner Cecilia Malmström and Japanese Trade Minister Hiroshige Seko met for the fifth time as part of ongoing trilateral trade policy discussions. During the gathering, the ministers discussed their shared goal of addressing "non market-oriented policies and practices of third countries," according to a joint statement. Those non market-oriented practices "lead to severe overcapacity, create unfair competitive conditions for their workers and businesses, hinder the development and use of innovative technologies, and undermine the proper functioning of international trade, including where existing rules are not effective," the ministers wrote. Specifically, they looked at ways to identify "additional criteria indicating market-oriented conditions," and reiterated that "market-oriented conditions are fundamental to a fair, mutually advantageous global trading system." The three trade partners pledged to continue work to finalize a trilateral text on the topic of industrial subsides by this spring meant to "engage other key WTO members." One impetus for the establishment of the trilateral meetings was the issue of global overcapacity in certain markets, particularly steel. China has never been cited specifically by the group, but the emphasis on overcapacity and the issue of industrial subsidies get to the heart of criticisms the three have leveled at China over its steel sector policies.