Industry-driven export reform

Industry-driven export reform       If exports are considered good for the country, then why aren't more U.S. companies shipping their high quality goods and services abroad?
      One of the primary answers points to the federal government's cumbersome export control regulations, which have convinced many U.S. companies to settle for less market share. These regulations, which have evolved little since the Cold War, often trip over bureaucratic jurisdictions and for U.S. companies and their overseas customers become more costly to navigate than the export transaction is actually worth. Thus, overseas competitors swoop in and take over the business.
      As explained in this issue's Shippers' IT column (page 18), even the most seasoned U.S. exporters with the best computer systems and knowledgeable staff still struggle to comply with the regulations, and occasionally find themselves in the unpleasant penalty spotlight.
      The past two decades are littered with administrative and legislative promises to reform the U.S. export control system. Similarly, many failed business deals are cited because U.S. companies could not effectively compete with their European and Asian counterparts for export business. Antiquated export control regulations have even complicated the ability of U.S. companies to hire the best overseas talent for their research and development programs.
      Now, with an apparent political will in both the White House and Capitol Hill, the industry has a real chance to influence export control reform in the United States.
      On Jan. 11, the Coalition for Security and Competitiveness sent key administration officials a well-thought plan on how best to reform the U.S. export control system without compromising national security. The ultimate purpose of export controls is to keep certain technologies out of the hands of adversarial militaries and terrorist organizations, an object that's no longer black and white as it was during the Cold War when it was the United States and its allies versus the Soviet Union and theirs.
      The coalition, which comprises nearly 20 of the biggest industry groups in Washington, said export control reform can be met in the near term if the government's efforts include:
      ' Drawing clear lines of agency responsibility.
      ' Revising and reducing control lists.
      ' Completing the transition to an end user-based system.
      ' Enhancing cooperation with allies.
      ' Enhancing cooperation with the business community.
      As in most cases when Washington gets involved, business reality becomes lost among political shenanigans when seeking to formulate legislative and regulatory improvements. If the government is truly serious about finally improving the nation's export competitiveness and jumpstarting the job market, then it's now more important than ever for the Obama administration and Congress to listen to what the industry has to say.