Résumé
Any Swiss-US free trade agreement should have an investment chapter because bilateral foreign investment is the bedrock of Swiss-US commercial relations. A closer look at investment policies and other issues relevant for investors reveals the value-added of an investment chapter. The mutual benefits of an investment chapter flow from high standards of investment protection, a standstill in discrimination at the sub-federal level, and zero tariffs on imports. Investment protection would be improved by access to the international investor-to-state dispute settlement system of ICSID. An appellate mechanism for this dispute settlement system would not be necessary. An investment chapter and investment-related disciplines with high standards would bring positive welfare effects for both economies in the longer run.
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Extrait
Swiss-Us Foreign Investments: The 'Bedrock' of Any Free Trade Agreement
1 Introduction
1.1 The value added of an investment chapterGiven the high volume and quality of bilateral flows of foreign direct investments (FDI) between the USA and Switzerland, the question of whether a bilateral investment chapter could add value is not a trivial one. This question is particularly pertinent as investment chapters are more common in free trade agreements between industrialised and emerging or developing countries. Moreover, the 2400 existing bilateral investment treaties (BITs) are typically signed by OECD countries and developing countries. Furthermore, the high level of FDI between the USA and Switzerland could indicate that no substantial barriers and problems exist. Thus, neither basic investor protection nor the principle of market access provide immediately obvious rationales for an investment chapter in this case. A closer look at investment policies and the other issues relevant for investors reveals the value added of an investment chapter. The HUFBAUER/BALDWIN Report1 stresses that: ,,It is no exaggeration to say that investment provides the bedrock for Swiss-US commercial relations."2 Following this line of argument, HUFBAUER and BALDWIN highlight the positive link between investment and trade and demonstrate that there is still room for substantial improvement in the already very good Swiss-US commercial relationship.3This short contribution puts the issue of an investment chapter in the wider...Voir le contenu complet de ce document
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