
Trade Issues | |
Export License Bottleneck Costs Sales |
Concerned about improper sharing of U.S. satellite technology with China, Congress last year shifted responsibility for review of U.S. export licenses for satellites and related items to the State Department from the Commerce Department. Since then, the length of time needed to complete such reviews has risen 30 percent. The upshot is that some of our best trading partners are taking their business elsewhere -- resulting in some U.S. companies experiencing billions of dollars in lost sales. Satellites are not all that is at stake. U.S. companies have been hampered in competing for foreign buyers of a wide range of products -- including airplane landing and navigation gear, communication radios and binoculars.
Even the Canadian government has begun complaining and seeking alternate suppliers for some U.S. products. In 1999, the State Department had just 45 employees processing 45,000 applications with an estimated value of $20 billion. A typical application consists of a 3-foot pile of paper that often must be copied in-house and moved between offices by grocery cart. Source: Anne Marie Squeo, "Regulations Stifle U.S. Aerospace Sales," Wall Street Journal, March 16, 2000. For more on Tariffs and Other Trade Barriers http://www.ncpa.org/pd/trade/trade8.html |