Technology companies step up lobbying eff ort in NAFTA talks
Technology companies such as Microsoft and Cisco Systems have ramped up lobbying ahead of talks to renegotiate the North American Free Trade Agreement ( NAFTA), looking to avoid any restrictions on cloud storage and promote an international pact to eliminate technology goods tariff s.
US, Mexican and Canadian negotiators were due to start discussions on Wednesday ( US time) on the 23- yearold trade pact.
Farming and transportation groups have traditionally dominated lobbying on NAFTA, but technology lobbyists are helping lead the recent surge in efforts to infl uence Washington, according to data from the Center for Responsive Politics.
Technology companies and trade organizations disclosed they had 48 arrangements with lobby groups that discussed NAFTA with US administration offi cials or lawmakers in the second quarter, up from 17 groups in the fi rst quarter and one group at the end of 2016, according to the data.
“It’s both defensive and off ensive,” Devi Keller, director of global policy for the Semiconductor Industry Association, said of the industry’s position on the new talks. “There is an opportunity for expansion.”
While the vehicle and farm lobbies are seeking to preserve cross- border supply chains and retain access to markets in Mexico and Canada, the technology sector wants a revamped NAFTA to help it expand.
US President Donald Trump has blamed NAFTA for the loss of US
manufacturing jobs and threatened withdraw from the pact unless it can be reworked in the US’ favor.
Technology companies want a ban on government requirements that providers of services such as cloud computing store data in particular country. They also seek a commitment by NAFTA members to join a broader international pact to eliminate all tariff s on a broad range of information technology goods, including ers, smartphones, semiconductors and medical devices.
The US and Canada already follow the broader technology agreement but Mexico does not.
Technology goods already face no tariff s under NAFTA and industry representatives said there are no data flow restrictions in the region hampering trade. However, US companies want an updated NAFTA to help them access other markets by serving as a template for other trade pacts.