The three areas covered by the Protocol speed up trade and represent an important step in the ongoing work between the two countries
Brasilia, October 19, 2020: U.S. Trade Representative Robert Lighthizer and Minister of Economy Paulo Guedes signed a U.S.-Brazil Protocol on Trade Rules and Transparency on Monday, October 19, during a virtual conference. The new protocol has three annexes aimed at expediting processes involving trade. They cover the foundations for reducing border bureaucracy, improving regulatory processes and stakeholder contribution opportunities, and supporting integrity in public institutions.
Ambassador Chapman said regarding today’s protocol: “This protocol is an important step in creating a solid base for open trade between the U.S. and Brazil. As the two largest economies in the Western Hemisphere, we are creating an environment for our businesses to thrive and recover from the negative impacts of the pandemic that has hit our countries.”
The protocols aim to streamline trade processes already supported by the private sectors of both countries. The text of the Protocol contains, in addition to general provisions on entry into force and mechanism for consultations on the obligations adopted by the Parties, three Annexes relating, respectively, to I) Customs Administration and Trade Facilitation; II) Good Regulatory Practices; and III) Anti-corruption.
Customs Administration and Trade Facilitation:
This Annex extends the WTO Multilateral Trade Facilitation Agreement and includes online publication of customs information and other border information, including practical steps for import, export and transit; fees, taxes and current fees charged at the border; requirements related to customs brokers and procedures for correcting errors; among other points.
Good Regulatory Practices:
The Regulatory Good Practices Annex is only the second such U.S. agreement, following the new USMCA between the U.S., Mexico and Canada. Encourages the use of a Regulatory Impact Assessment to evaluate draft regulations; online publication of draft regulations with the opportunity to comment on draft regulations and appropriate consideration of comments; review of regulations to assess the effectiveness of regulations and identify opportunities to reduce regulatory burden; among other points.
Anti-corruption commitments include obligations to adopt and maintain measures to prevent and combat bribery and corruption; effective and persuasive sanctions for corrupt acts; procedures to denounce acts of corruption and protection for people who report corruption; provisions to prevent the tax deductibility of bribes and establishes measures relating to the recovery of revenues from corruption and the denial of a safe haven for foreign civil servants involved in corruption; among other points.
The Protocol demonstrates that we can successfully conclude a high standard agreement and creates opportunities for the future.
For more information on the protocol, please visit the website: https://br.usembassy.gov/fact-sheet-u-s-brazil-protocol-on-trade-rules-and-transparency-2/
For further information on this Press Release, please contact the U.S. Embassy Press Office in Brasília at BrasiliaEMBEUA@state.gov or on (+55 61) 3312 – 7367 / 7350 / 7364. Follow us on Twitter and Flickr.