EIA: Electronic Industries Alliance
FOR IMMEDIATE RELEASE
Tuesday, June 28, 2005
EIA to Congress: CAFTA Passage Important to Future U.S. Trade Relations

Washington, DC, June 28, 2005 - The Electronic Industries Alliance (EIA) is intensifying its Central American-Dominican Republic Free Trade Agreement (CAFTA) lobbying efforts and is urging members of both the House and Senate to expand trade by passing the CAFTA legislation in the coming weeks.

"With CAFTA passage, the U.S. can underscore its commitment to free markets, economic growth and free trade as an economic partner in the Western Hemisphere and in the world," EIA President and CEO Dave McCurdy said. "A vote for CAFTA is a vote for the benefits of innovation and global competitiveness - benefits that will spur economic growth in the U.S. high-tech industry."

CAFTA will encourage the creation and retention of high-tech jobs in the U.S. by eliminating U.S. export trade barriers to other CAFTA treaty nations; currently, Central American and Dominican tariffs on electronics and other high-tech goods are as high as 20 percent, with average tariffs between 2.1 and 5.5 percent. Additionally, because 99 percent of all US industrial exports will receive duty-free treatment immediately upon implementation of the agreement, CAFTA gains will be realized promptly, rather than 'phased-in' over an extended period. CAFTA also allows US manufacturers to recover the cost of duties paid on materials imported from third countries and subsequently exported again.

"The Dominican Republic-Central American Free Trade Agreement encourages domestic economic growth while promoting economic opportunity, stability and democratic values in our hemisphere," McCurdy said. "The Alliance and its 1,300 member companies endorse the agreement. It is a step forward for the United States economy, and warrants the full support of Congress."

About EIA: The Electronic Industries Alliance (EIA) is the leading advocate in Washington, D.C., for the U.S. high-tech industry. The Alliance, which traces its origins to the Radio Manufacturers Association (chartered in 1924), is a partnership of electronic and high-tech associations and companies whose mission is to promote the market development and competitiveness of the $400 billion U.S. high-tech and electronics industries through domestic and international policy efforts. EIA's corporate members - nearly 1,300 - provide products and services ranging from microscopic electronic components to state-of-the-art defense, space and industry high-tech systems, as well as the full range of telecommunications and consumer electronics products. Headquartered in Arlington, Va., the Alliance is made up of the Electronic Components, Assemblies & Materials Association (ECA); the Government Electronics & Information Technology Association (GEIA); JEDEC; the Telecommunications Industry Association (TIA); and leading consumer electronics companies who participate in EIA's Environmental Issues Council. EIA is also heavily involved in cyber security issues through the Internet Security Alliance (ISAlliance), and education issues, through the National Science & Technology Education Partnership (NSTEP).

Contact Name: Neil Gaffney
Contact Email: ngaffney@eia.org
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