The Philippines and TPP - U.S. Chamber of Commerce

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THE PHILIPPINES AND TPP:

Opportunities and Challenges

March 17, 2016

Dusit Thani Hotel

Ayala Centre, 1223 Makati City

Metro Manila, Philippines

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Registration

Welcome Remarks

Susan K. Brems, PhD, USAID Mission Director

Opening Remarks

John Goyer, Senior Director for Southeast Asia, US Chamber of Commerce

Overview of TPP and Introduction to the TRADE Project

Cielito F. Habito, Chief of Party, USAID Trade-Related Assistance for

Development (TRADE) Project, Deloitte Consulting LLP

Session 1: Market Access Opportunities in Goods: Commercial

Implications and Rules of Origin

Moderator: Anne Robeniol, TRADE Project

Presenter: Francis De Leon

Tariff liberalization is the heart of any free trade arrangement (FTA). For the

TPP, the National Treatment and Market Access Chapter provides the framework that will govern market access for trade in goods, including tariff reduction/elimination for “originating” goods. The TPP Chapter on Rules of

Origin (ROO) sets out the conditions for a good to be eligible for preferential tariff treatment. Mr. De Leon would present the outcome of the gap analysis he did with

Discussion and Open Forum

Coffee Break regard to the Philippines’ current origin and certification regime vis-à-vis that of the TPP.

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Session 2: Trade in Services under the TPP: Approaches to Scheduling

Commitments

Moderator: Ruy Moreno

Presenter: Sherry Stephenson (TBC)

National treatment and market access for trade in services is another traditional component of any FTA. Trade in services, such as software, R&D, cloud-based computer services, engineering and architecture, logistics and express delivery account for a growing amount of exports and economic output throughout the

Asia-Pacific region. Unlike in the WTO General Agreement on Trade in Services

(GATS), TPP countries have agreed to schedule their specific commitments using the “negative list” approach, meaning all obligations apply to all sectors and activities, apart from limitations negotiated and explicitly set out in a list of specific reservations. Ms. Stephenson’s presentation would focus on the pros and cons of the negative list approach and the challenges this would present to the

Philippines should it join the TPP.

Discussion and Open Forum

Session 3: Investment Protection and Investor-State Dispute Settlement

(ISDS)

Moderator: Perry L. Pe, President, Management Association of the Philippines

Presenter: Manuel Teehankee

The TPP Investment Chapter seeks to strengthen the rule of law, deter governments from imposing discriminatory requirements on investors, and protect the right to regulate in the interest of the public. It further seeks to ensure that investors have effective remedies in the event of a breach of their rights, while reforming the investor-state dispute settlement (ISDS) system by providing for tools to dismiss frivolous claims and instituting a range of other procedural and substantive safeguards. In his presentation, Mr. Teehankee would discuss the readiness of the Philippines to adopt the new generation TPP Chapter on

Investment, in particular the depth and breadth of the application of the ISDS to the obligations being made in the Chapter on Investment.

Discussion and Open Forum

Session 4: Competition Policy and Telecommunications

Presenter: Gigo Alampay, TRADE Project

Moderator: Raphael Perpetuo Lotilla

The TPP Chapter on Competition will help ensure that Asia-Pacific markets have a foundation in principles of fair competition, consumer protection and transparency. Its rules will require TPP partners to maintain legal regimes that prohibit anti-competitive business conduct as well as fraudulent and deceptive commercial activities that harm consumers. This will help to guarantee that markets in TPP members are genuinely open, while simultaneously promoting consumer protection in all TPP countries. Mr. Alampay will present on the

Philippine Competition Act in relation to the Competition provisions of the TPP.

Mr. Alampay will also discuss the legal and policy issues pertaining to the

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Philippines’ telecommunications vis-à-vis the TPP provisions on telecommunications.

Discussion and Open Forum

Luncheon

Session 6: Intellectual Property Issues

Moderator: TBD by the AmCham IP group

Presenter: Gladys Vilchez

The TPP Chapter on Intellectual Property (IP) seeks to promote trade and innovation, and advance scientific, technological and creative exchange throughout the region. The Chapter combines strong and balanced protections with effective enforcement of those protections. Drawing from and building on other bilateral and regional trade agreements, TPP includes commitments to combat counterfeiting, piracy and other infringements, including trade secret theft; obligations to facilitate legitimate digital trade, including in creative content; and provisions to promote development of, and access to, innovative and generic medicines. In her presentation, Ms. Vilchez will present the Philippine IP regime in the context of the obligations the Philippines would make in the event it joins the TPP. Ms. Vilchez will discuss the contentious issues from the Philippines’ perspective, including the pharmaceutical industry where much of the debate appears to be focused.

Discussion and Open Forum

Session 7: Government Procurement

Moderator: Mr. Charlie Villaseñor, Global Procurement Association

Presenter: Dr. Ramon Clarete

The TPP Chapter on Government Procurement would allow TPP Parties to access each other’s government procurement market for covered procurement activities based on the core disciplines of national treatment and non-discrimination. In his presentation, Dr. Clarete would discuss the readiness of the Philippines to open up its government procurement regime to the TPP countries and possible implications to the Philippine economy.

Discussion and Open Forum

Coffee Break

Reflections from the Philippine Business Sector

 Makati Business Club

 Management Associations of the Philippines

 Philippine Chamber of Commerce and Industry

Synthesis and Concluding Remarks

President of AmCham Philippines

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