USSFTA – Key Elements The USSFTA covers merchandise trade, rules of origin, customs administration, technical barriers to trade, cross-border trade in services, financial services, temporary access, telecommunications, e-commerce, investment, competition, public procurement, intellectual property protection, transparency, general rules, labour, environment, dispute settlement. The key elements are the production of maximum liberalization for bilateral goods trade products, in order to support the anchoring of manufacturing activities in Singapore. Many of these benefits benefit U.S. MNCs, as intra-MNC trade accounts for more than 60% of U.S.-Singapore trade. Singapore Commitment – Zero tariffs on all imports when the USSFTA comes into force. Elimination of tariffs on beer, stout, samsoo and medical samsoo. U.S. commitment – 92% of Singapore`s current tariffs on exports to the United States were removed immediately after the USSFTA came into force. Virtually all the others will be eliminated in 8 years. The sectors that will benefit: electronics, chemicals and petrochemicals, instrumentation facilities, processed food products and mineral products. Only exports with significant processing and capital gain in Singapore can be valued “originally from Singapore” and can benefit from preferential tariffs. There are a few possibilities: in addition to reducing tariffs, the agreement has also facilitated the free movement of citizens of both countries. Its implementation has allowed Singaporeans to stay in the United States for a long time.
Businessmen and traders with E-1 or E-2 visas are allowed to stay for two years with an unlimited extension. The ESTV also opens regulatory procedures for Singapore`s telecommunications supervisory authority and requires the publication of interconnection agreements and service rates. Singapore must commit to deregulating this sector when competition materializes in a telecommunications sector. The agreement provides that companies, not governments, make technology decisions, particularly with respect to wireless mobile telephony services, so that companies can compete on the basis of technology and innovation and not by state-imposed standards. Both parties should work towards the implementation of a comprehensive mutual recognition regime for the assessment of compliance of telecommunications equipment.