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Mr. GOODLATTE [presiding]. Thank you, Ms. Peters. Ambassador Barshefsky.
STATEMENT OF AMBASSADOR CHARLENE BARSHEFSKY, DEPUTY U.S. TRADE REPRESENTATIVE, OFFICE OF THE U.S. TRADE REPRESENTATIVE
Ms. Barshefsky. Thank you very much, Mr. Chairman and Mr. Conyers. It's a pleasure to be here.
I ask that my full statement be accepted into the record.
Mr. GoODLATTE. And it will be.
Ms. BARSHEFSiC5f. Our copyright law provides strong protection to the rights of American creators and artists. It also provides a flexible market-responsive means of transferring and exploiting these rights. These two factors have enabled the U.S. copyright-based industries to become the clear leaders in the creation and supply of informational materials and entertainment products around the globe. Consumers all around the world appreciate the quality of our films, music, books, and software. This enables our cop3nnight industries to generate very significant positive trade flows for the United States.
Recognizing the importance of the U.S. copyright industries in the U.S. economy and in our international trade, the Office of the U.S. Trade Representative has given very high priority to raising the level of protection afforded copyrighted works around the globe and of securing market access for these works. We will continue to pursue these objectives using a wide range of mechanisms.
First, through bilateral agreements, particularly with countries that we have identified under the special 301 process as failing to provide adequate and effective protection of intellectual property rights — this is the mechanism, for example, that we have utilized most recently in connection with China.
Second, through monitoring and enforcement of the groundbreaking Uruguay Round Agreement on trade-related aspects of intellectual property rights, the TRIPS Agreement.
Third, through regional exchanges such as in APEC, the Asia Pacific Economic Cooperation Forum, and in the Americas through the free trade of the Americas process.
And, last, through negotiating in the World Intellectual Property Organization, WIPO, the international rules needed to insure the protection of copyrighted works that will be transmitted over the global information infrastructure.
Mr. Lehman will review for the subcommittee the full range of issues that the administration has considered in assessing H.R. 989. In light of my agency's missions and responsibilities, I would like to focus on the international trade implications of the proposed legislation.
Based on recent changes to the laws of the European Union member states, the passage of H.R. 989 would have a positive effect on our balance of trade. The member states of the European Union are in the process of implementing the 1993 European Council directive to harmonize their copyright terms to 70 years. The directive requires member states to deny the increase in protection, to deny the additional 20-year protection, to foreign nationals of any country that does not also provide long terms to nationals from