The Technology CEO Council (TCC) applauded the Obama Administration’s announcement today that the United States and the People’s Republic of China have reached an understanding on an agreement expanding the scope of goods covered by the Information Technology Agreement (ITA). The agreement will pave the way to conclude the World Trade Organization’s ITA expansion negotiations, which will eliminate tariffs on an estimated $1 trillion in annual global sales of information and communications technology products, of which more than $100 billion now come from the United States.
“This agreement represents a major breakthrough in global trade for the high tech sector,” said Bruce Mehlman, executive director of TCC. “The information technology sector has changed dramatically in the 17 years since the ITA first went into effect. By updating the product scope and eliminating tariffs on more than 200 new products, a new and expanded ITA will support thousands of new manufacturing and technology jobs here in the U.S. and infuse billions of dollars in revenue to the global economy.”
“We applaud the persistent efforts of President Obama and his Administration, including U.S. Trade Representative Michael Froman, as well as the Departments of Treasury and Commerce to move this agreement forward and keep ITA expansion as a top economic priority. We look forward to the swift completion of the final ITA agreement as soon as possible.”
High tech products that will see tariff elimination under the final ITA expansion agreement include computer software and software media, such as solid state drives, next generation semiconductors, video game consoles, printer ink cartridges, GPS devices and medical devices such as MRI machines and CT scanners.