That mechanism has got off to a good start. But it will remain vulnerable so long as major WTO members continue to flirt with unilateral trade sanctions and the extraterritorial application of national laws. Next year marks the 50 th anniversary of the multilateral trading system. The ICC will be celebrating the enormous contribution that system has made to raising world living standards by organizing a major business event in Geneva. As the representative of world business, the ICC looks forward to continuing to work closely with the WTO to assist it in its vital task of keeping the multilateral rules for the global marketplace aligned with new business realities and requirements.
Companies trade to invest and they invest to trade.
The ICC urged the first Ministerial Conference of the WTO to aim to build a solid consensus for work to begin within the WTO to establish a truly global framework of rules and disciplines to govern cross-border direct investment. We were gratified that Ministers took a step in that direction by setting up a working group to examine the relationship between trade and investment - albeit without prejudging whether negotiations will be initiated in the future. We are somewhat disappointed that the MAI negotiations have not been concluded in time for the 1997 OECD Council Meeting at Ministerial level. However, we recognize the complexity of the negotiations, and are generally pleased with the progress made so far to create an instrument which incorporates a broad definition of investment and high standards of liberalization and protection. Business attaches major importance to such investment factors as the protection and remuneration of intellectual property, freedom to organize capital structures and to take a local partner, the absence of performance requirements, and competition policy that does not discriminate against foreign investors.