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Business Reading Room
Glossary and Acronyms - from C to
Con
A An
B C Con D E F G H I J K L M N O P Q R S Sp T U VWXYZ
CABEI
See Central American Bank for Economic Integration
Cabotage
A law which requires coastal and intercoastal traffic to be carried by vessels belonging
to the country owning the coast.
Cairns Group
The Cairns Group, established in August 1986 in Cairns, Australia, is an informal
association of agricultural exporting countries. Members include: Argentina, Australia,
Brazil, Canada, Chile, Colombia, Fiji, Hungary, Indonesia, Malaysia, New Zealand,
Philippines, Thailand, and Uruguay. The Group seeks to reduce export subsidies and
internal support measures and to bring about other reforms to international agricultural
trade. The Cairns Group countries account for one third of world farm exports.
Caisse Centrale de Cooperation Economique
The CCCE, a specialized financial institution, is the lead agency in the French Ministry
of Cooperation and Development in providing funds for aid and cooperation. The Caisse
provides support for development and technical assistance in developing countries,
particularly in supporting economic and social development in Africa and in various
countries on the Indian Ocean, the Caribbean and the South Pacific, and in overseas French
departments and territories where it supports productive private and public investment.
The Caisse was created in December 1941; headquarters are in Paris, France.
Calvo Doctrine
The Calvo Doctrine (or principle) holds that jurisdiction in international investment
disputes lies with the country in which the investment is located; thus, the investor has
no recourse but to use the local courts. The principle, named after an Argentinean jurist,
has been applied throughout Latin America and other areas of the world.
Canadian Commercial Corporation
By serving as the prime contractor in government-to-government sales transactions, the CCC
facilitates exports of a wide range of goods and services from Canadian sources. In
response to requests from foreign governments and international agencies for individual
products or services, CCC identifies Canadian firms capable of meeting the customer's
requirements, executes prime as well as back-to-back contracts, and follows through with
contract management, inspection, acceptance, and payment.
Canadian International Development Agency
CIDA (French: Agence Canadienne de D‚veloppement International) is Canada's official
agency which has the task of supporting sustainable development in developing countries.
The Agency was established in 1968; headquarters are in Hull, Quebec.
Capital Account
See: Balance of Payments.
Capital Development Initiative
The CDI, administered by the U.S. Agency for International Development, encourages
infrastructure investment in countries in central and Eastern Europe. The CDI provides
financial and technical services and assists U.S. businesses by providing up to 50 percent
of estimated development work and feasibility study costs for proposed projects in energy,
telecommunications, and the environment.
Cargo Selectivity System
The Cargo Selectivity System, a part of Customs' Automated Commercial System, specifies
the type of examination (intensive or general) to be conducted for imported merchandise.
The type of examination is based on database selectivity criteria such as assessments of
risk by filer, consignee, tariff number, country of origin, and manufacturer/shipper. A
first time consignee is always selected for an intensive examination. An alert is also
generated in cargo selectivity the first time a consignee files an entry in a port with a
with a particular tariff number, country of origin, or manufacturer/shipper.
Caribbean Basin Economic Recovery Act
The CBERA affords nonreciprocal tariff preferences to developing countries in the
Caribbean Basin area to aid their economic development and to diversity and expand their
production and exports. The CBERA applies to merchandise entered, or withdrawn from
warehouse for consumption, on or after January 1, 1984. This tariff preference program has
no expiration date.
Caribbean Basin Initiative
The CBI is an inter-American program to increase economic aid and trade preferences for 28
states of the Caribbean region. The Caribbean Basin Economic Recovery Act of 1983 provided
for 12 years of duty-free treatment of most goods produced in the Caribbean region. The
Initiative was extended permanently (CBI II), by the Customs and Trade Act of August 1990.
The 23 countries which are currently eligible for CBI beneifts include Antigua and
Barbuda, the Bahamas, Barbados, Belize, the British Virgin Islands, Costa Rica, Dominica,
the Dominican Republic, El Salvador, Grenada, Guatemala, Guyana, Honduras, Jamaica,
Montserrat, the Netherlands Antilles, Nicaragua, Panama, St. Christopher-Nevis, St. Lucia,
St. Vincent and the Grenadines, and Trinidad and Tobago. The following countries may be
eligible for CBI benefits but have not formally requested designation: Anguilla, Cayman
Islands, Suriname, and the Turks and Caicos Islands.
Caribbean/Central America Business Advisory Service
The BAS helps entrepreneurs in the Caribbean and in Central America to develop project
ideas into investment proposals and to obtain long-term finance for them. The Service does
not lend or invest, but does provide advice and assistance in project structuring,
identification of technical and marketing partners, project appraisal, and identification
of financing resources. BAS operates under the auspices of the United Nations Development
Program and is managed by the World Bank's International Finance Corporation. BAS was
established in 1981 as the Caribbean Business Advisory Service (CBAS). The BAS 1989
expansion to Central America extended its operations to all CBI beneficiary countries. See
also: Caribbean Basin Initiative.
Caribbean Common Market
CARICOM includes 13 English-speaking Caribbean nations: Antigua and Barbuda, the Bahamas,
Barbados, Belize, Dominica, Grenada, Guyana, Jamaica, Montserrat, St. Kitts-Nevis, St.
Lucia, St. Vincent/Grenadines, and Trinidad and Tobago). CARICOM was established in 1973;
headquarters are in Georgetown, Guyana.
Caribbean Development Bank
The CDB promotes economic development and cooperation by providing long-term financing for
productive projects in CARICOM member countries and U.K.-dependent territories in the
Caribbean. Members include: Anguilla, Antigua and Barbuda, the Bahamas, Barbados, Belize,
British Virgin Islands, Canada, Cayman Islands, Dominica, France, Grenada, Guyana,
Jamaica, Mexico, Montserrat, Saint Kitts and Nevis, Saint Lucia, Saint Vincent and the
Grenadines, Trinidad and Tobago, Turks and Caicos Islands, the United Kingdom, and
Venezuela. The Bank was established in 1969; headquarters are in St. Michael, Barbados,
West Indies. Beginning in 1977, the Inter-American Development Bank (IADB) may make loans
through the CDB to all CDB members, regardless of whether those countries are members of
the IADB. See: Inter-American Development Bank.
CARICOM
See Caribbean Common Market
Carnets
Customs documents permitting the holder to carry or send sample merchandise temporarily
into certain foreign countries without paying duties or posting bonds. Foreign customs
regulations vary widely; in some countries, duties and extensive customs procedures on
sample products may be avoided by obtaining an ATA Carnet. The ATA Carnet is a
standardized international customs document used to obtain duty-free temporary admission
of certain goods into the countries that are signatories to the ATA Convention. Under the
ATA Convention, commercial and professional travelers may take commercial samples; tools
of the trade; advertising material; and cinematographic, audiovisual, medical, scientific,
or other professional equipment into member countries temporarily without paying customs
duties and taxes or posting a bodn at the border of each country visited. The carnets are
generally valid for 12 months. Telephone: 1-800-CARNETS.
Carriage Paid To
Carriage paid to (CPT) and carriage and insurance paid to (CIP) a named place of
destination. Used in place of CFR and CIF, respectively for shipment by modes other than
water.
Cartagena Agreement
See Andean Pact.
Cartagena Group
See Group of Eleven.
Cartel
An organization of independent producers formed to regulate the production, pricing, or
marketing practices of its members in order to limit competition and maximize their market
power.
Cash Against Documents
A term denoting that payment is made when the bill of lading is presented.
Cash With Order
CWO is a means of payment in which the buyer pays cash when ordering; the order is binding
on both seller and buyer.
Catalog Exhibitions
These promotions are low-cost exhibits of U.S. firms' catalogs and videos which offer
small, less-experienced companies an opportunity to test overseas markets for their
products without travel. The International Trade Administration promotes exhibitions,
provides staff fluent in the local language to answer questions, and forwards all trade
leads to participating firms.
Category Groups
Groupings of controlled products. See also: Export Control Classification Number.
CBERA
See Caribbean Basin Economic Recovery Act
CBI
See Caribbean Basin Initiative
CCC
See Canadian Commercial Corporation
CCCE
See Caisse Centrale de Cooperation Economique
CDB
See Caribbean Development Bank
CDT
See Center for Defense Trade
CEFTA
See Central Europe Free Trade Association
Census Interface System
The Census Interface System, a part of Customs' Automated Commercial System, includes
edits and validations provided by the Bureau of the Census to allow for the accurate and
timely collection and submission of entry summary data. Census Interface is accomplished
through Automated Broker Interface entry summary transmissions.
Center for Defense Trade
In 1990, the Center for Defense Trade, CDT, was created within the Bureau of
Politico-Military Affairs (PM) at the Department of State. CDT was established with the
purpose of improving the Department of State's export licensing services. CDT also has
responsibility for clarifying all defense trade policy guidelines. The Center includes two
offices:
- The Office of Defense Trade Controls (DTTC) which administers controls on permanent
exports and temporary imports of defense articles and technology covered by the U.S.
Munitions List (USML) and performs USML export license review and compliance functions.
- The Office of Defense Trade Policy (DTP)) which seeks to support the efforts of the U.S.
defense industry to sell products overseas. DTP provides policy guidance to licensing
officers, in support of their efforts to implement the International Traffic in Arms
Regulations (ITAR) and provides advice on technology transfer and strategic trade issues.
Center for International Research
CIR analyzes and forecasts world demographic trends and economic developments in selected
countries, based on current statistics obtained through international agreements. The
center, which is a component of the Commerce Department's Bureau of the Census, conducts
research with funds from government and private business sponsors. See: International Data
Base.
Center for Trade and Investment Services
CTIS, established in September 1992, promotes increased participation of U.S. businesses
in generating economic development in lesser developed countries which receive assistance
from the Agency for International Development. Telephone: 1-800-USAID-4-U.
Central African Customs and Economic Union
The Central African Customs and Economic Union (French: Union Douaniere et Economique de
l'Afrique Centrale, UDEAC) created in 1966 (revised 1974) to promote establishment of a
Central African Common Market with a common external tariff. Members include: the
Cameroon, Central African Republic, Chad, Congo, Equatorial Guinea, and Gabon. The Union's
headquarters are in Bangui, Central African Republic.
Central African States Development Bank
The Central Africa States Development Bank (French: Banque de D‚veloppement des
tats de l'Afrique Centrale, BDEAC) was created in December 1975 (began operations in
January 1977) to provide loans for economic development and to support integration
projects. Members include: the Cameroon, Central African Republic, Chad, Congo, Equatorial
Guinea, and Gabon. Bank headquarters are in Brazzaville, Congo.
Central American Bank for Economic Integration
CABEI (Spanish: Banco Centroamericano de Integraci¢n Econ¢mico, BCIE) was established in
1960 (began operations in September 1961) to promote economic integration and development.
The Bank is an institution of the Central American Common Market. Bank members include:
Costa Rica, El Salvador, Guatemala, Honduras, and Nicaragua. CABEI is associated with the
Central American Common Market; bank headquarters are in Tegucigalpa, Honduras. See:
Central American Common Market.
Central American Common Market
A first effort to establish a Central American Common Market, CACM (Spanish: Mercado
Com£n Centroamericano, MCCA) was attempted in 1960 under the auspeices of the Organiztion
of Central American States (OCAS). A restructuring was started in 1973. Members include
Honduras, Guatemala, El Salvador, Nicaragua and Costa Rica. The common market will cover
all products traded within the region by the end of 1992. A second step toward regional
integration will be the establishment of a common external tariff. CACM is associated with
the Central American Bank for Economic Integration; headquarters are in Guatemala City,
Guatemala. See: Central American Bank for Economic Integration.
Central Europe Free Trade Association
CEFTA is a trade agreement among the "Visegrad" countries -- Poland, the Czech
Republic, Slovakia, and Hungary -- that is somewhat parallel to the European Free Trade
Association.
Centre Europeen de Recherche Nucleaire
CERN (English: European Center for Nuclear Reseach) is a huge lab used by international
collaborators to do frontier work in nuclear and particle physics. The Center, created
after World War II and open to physicists from all countries, is funded by countries
according to their abilities. The Center is located outside Genvea, partly in Switzerland
and partly in France.
CERN
See Centre Europeen de Recherche Nucleaire
Certificate of Delivery
See Delivery Verification Certificate.
Certificate of Inspection
A document certifying that merchandise (such as perishable goods) was in good condition
immediately prior to shipment. Pre-shipment inspection is a requirement for importation of
goods into many developing countries.
Certificate of Manufacture
A document (often notarized) in which a producer of goods certifies that the manufacturing
has been completed and the goods are now at the disposal of the buyer.
Certificate of Origin
Certain nations require a signed statement as to the origin of the export item. Such
certificates are usually obtained through a semiofficial organization such as a local
chamber of commerce. A certificate may be required even though the commercial invoice
contains the information.
Certified Trade Fair Program
The Department of Commerce Certified Trade Fair Program is designed to encourage private
organizations to recruit new-to-market and new-to-export U.S. firms to exhibit in trade
fairs overseas.
To receive certification, the organization must demonstrate:
(1) the fair is a leading international trade event for an industry and
(2) the fair organizer is capable of recruiting U.S. exhibitors and assisting them with
freight forwarding, customs clearance, exhibit design and setup, public relations, and
overall show promotion. The show organizer must agree to assist new-to-export exhibitors
as well as small businesses interested in exporting.
In addition to the services the organizer provides, the Department of Commerce will:
- assign a Washington coordinator;
- operate a business information office, wwhich provides meeting space, translators,
hospitality, and assistance from U.S. exhibitors and foreign customers;
- help contact buyers, agents, distributorrs, and other business leads and provide
marketing assistance;
- provide a press release on certificationn.
Certified Trade Missions
Certified trade missions (formerly State/Industry Organized, Government Approved trade
missions) are planned and organized by state development agencies, trade associations,
chambers of commerce, and other export-oriented groups. To qualify for U.S. government
sponsorship, organizers of this type of trade mission must agree to follow International
Trade Administration criteria in planning and recruiting the mission. ITA offers guidance
and assistance from planning through completion of the mission and coordinates the support
of all relevant offices and the assistance of overseas commercial officers in each foreign
city on the itinerary. The missions are normally led by a representative of the sponsoring
organization. Organizers of certified trade missions recruit for the event and cover the
expenses of the event incurred by ITA's overseas post. Certified trade missions may use
the seminar format, the exhibit format, the traditional trade mission format, or a
combination, such as a seminar/mission or exhibit/mission.
Chaebol
Chaebol are Korean conglomerates which are characterized by strong family control,
authoritarian management, and centralized decision making. Chaebol dominate the Korean
economy, growing out of the takeover of the Japanese monopoly of the Korean economy
following World War II. Korean government tax breaks and financial incentives emphasizing
industrial reconstruction and exports provided continuing support to the growth of
Chaebols during the 1970s and 1980s. In 1988, the output of the 30 largest chaebol
represented almost 95% of Korea's gross national product.
Chemical/Biological Weapons
The Department of Commerce maintains foreign policy export controls on certain chemical
precursors and equipment and biological agents and equipment useful in chemical warfare.
Through the Australia Group, AG, the United States cooperates with other nations in
controlling chemical and biological weapons proliferation. The AG developed a list of 54
precursors useful for chemical weapons development, along with control on certain
biological organisms and on equipment useful in producing CBW agents. The AG also provides
the forum in which the member countries share information concerning the activities of
non-member countries where the proliferation of these weapons is of concern, including
entities that are seeking chemical precursors and related items.
Chemical Weapons Convention
The CWC prohibits the development, production, stockpiling, and use of chemical weapons.
The Convention permits monitoring, collection and review of data and on-site inspections
that involve questions of protection of proprietary rights and confidentiality. The
Convention has been signed by over 160 nations; entry into force is expected in January
1995.
Chinese Economic Area
The CEA is an informal reference to the economic integration of Southern China with Hong
Kong and Taiwan which has proceded without any "arrangement."
CIDA
See Canadian International Development Agency
CDI
See Capital Development Initiative
CIR
See Center for International Research
"Class or Kind" of Merchandise
A term used in defining the scope of an antidumping investigation. Included in the
"class or kind" of merchandize is merchandise sold in the home market which is
"such or similar" to the petitioned product. "Such or similar"
merchandise is that merchandise which is identical to or like the petitioned product in
physical characteristics.
Clean Bill of Lading
A receipt for goods issued by a carrier with an indication that the goods were received in
"apparent good order and condition," without damages or other irregularities.
Clean Draft
A draft to which no documents have been attached.
Clean Float
Clean float refers to a system in which exchange rates are determined by market forces
rather than government intervention or restrictions. See: Dirty Float.
Club du Sahel
The Club du Sahel is an informal coalition which seeks to reverse the effects of drought
and the desertification in the eight Sahelian zone countries: Burkina Faso, Chad, Gambia,
Mali, Mauritania, Niger, Senegal, and the Cape Verde Islands. The Club coordinates plans
and financing of aid and sustained economic development in the region. The Club (sometimes
called "Club des Amis du Sahel"), formed in December 1975, comprises both donor
countries (Austria, Belgium, Canada, France, the Netherlands, Switzerland, the United
Kingdom, and the United States) and Sahelian zone countries. Headquarters are in
Ouagadougou, Burkina Faso.
CoCom
See Coordinating Committee on Multilateral Export Controls.
CoCom Cooperation Forum
The CCF provides a venue for emerging democracies in Central and Eastern Europe and the of
the former Soviet Union to discuss international export controls and to help coordinate
technical assistance efforts. The Forum, established in June 1992, held its first meeting
in November 1992. At the close of 1992, 42 nations were CCF participants, including most
states of the former Soviet Union (except Georgia, Tajikistan, and Turkmenistan) and all
of the former Soviet satellites of Eastern and Central Europe (except the former Yugoslav
republics).
Codex Alimentarius Commission
As a subsidiary body of the United Nations Food and Agricultural Organization and the
World Health Organization, CAC (or CODEX) develops food standards and Recommended
International Codes of Hygienic and/or Technological Practices. Commission standards are
voluntary, becoming enforceable only if accepted as national standards. The Commission
also works in cooperation with Regional Coordinating Committees (Africa, Europe, Latin
America and the Caribbean) in promoting regional standards activities. The Commission was
established in 1962; headquarters are in Rome, Italy.
Collection Papers
All documents (invoices, bills of lading, etc.) submitted to a buyer for the purpose of
receiving payment for a shipment.
Collections System
The Collections System, a part of Customs' Automated Commercial System, controls and
accounts for the billions of dollars in payments collected by Customs each year and the
millions in refunds processed each year. Daily statements are prepared for the automated
brokers who select this service. The Collections System permits electronic payments of the
related duties and taxes through the Automated Clearinghouse capability. Automated
collections also meet the needs of the importing community through acceptance of
electronic funds transfers for deferred tax bills and receipt of electronic payments from
lockbox operations for Customs bills and fees.
Colombo Plan
The Colombo Plan was established in 1951 to promote economic and social development among
members in Asia and the Pacific. Members include: Afghanistan, Australia, Bangladesh,
Bhutan, Burma, Cambodia, Canada, Fiji, India, Indonesia, Iran, Japan, South Korea, Laos,
Malaysia, Maldives, Nepal, New Zealand, Pakistan, Papua New Guinea, Philippines,
Singapore, Sri Lanka, Thailand, the United Kingdom, and the United States. The Plan's
formal name is the Colombo Plan for Cooperative Economic Development in South and
South-East Asia; headquarters are in Colombo, Sri Lanka.
Comision Panamericana de Normas Tecnicas
COPANT (English: Pan American Standards Commission) coordinates the activities of all
institutes of standardization in the Latin American countries. The Commission develops all
types of product standards, stnadardized test methods, terminology, and related matters.
COPANT headquarters are in Buenos Aires, Argentina. U.S. contact with COPANT is maintained
through the American National Standards Institute.
Comite Permanent Consultatif du Maghreb
The CPCM (English: Maghreb Permanent Consultative Committee) seeks to improve economic
coordination among Maghreb countries, with eventual expectation of establishing a Maghreb
economic community. Originally established in October 1964, the committee began operations
in February 1966; its headquarters are in Tunis, Tunisia.
Commerce Business Daily
CBD is the Commerce Department's daily newspaper which lists government procurement
invitations and contract awards, including foreign business opportunities and foreign
government procurements.
Commerce Control List
The CCL includes all items -- commodities, software, and technical data -- subject
to BXA export controls and incorporates not only the national security controlled items
agreed to by CoCom (the "core" list), but also items controlled for foreign
policy (i.e., biological warfare, nuclear proliferation, missile technology, regional
stability, and crime control) and short supply.
The list is divided into 10 general categories:
(1) materials,
(2) materials processing,
(3) electronics, (4) computers,
(5) telecommunications and cryptography,
(6) sensors,
(7) avionics and navigation,
(8) marine technology,
(9) propulsion systems and transportation equipment, and
(10) miscellaneous.
Commercial Activity Report
The Commercial Activity Report, CAR, is prepared annually by the economic and commercial
sections of the U.S. Embassies covering over 100 countries where the Department of
Commerce is not represented. The CAR assesses the country's political, economic, and
business activities, and market potential and strategies for increasing U.S. sales.
Commercial Information Management System
CIMS is a PC-based system used by International Trade Administration staff in export
counseling. CIMS is a trade-related application using National Trade Data Bank CD-ROMs to
disseminate market research and international economics data to US&FCS domestic
offices and overseas posts. The system includes data on foreign traders and supports local
collection and update of information on business contacts.
Commercial Invoice
The commercial invoice is a bill for the goods from the seller to the buyer. These
invoices are often used by governments to determine the true value of goods for the
assessment of customs duties and are also used to prepare consular documentation.
Governments using the commercial invoice to control imports often specify its form,
content, number of copies, language to be used, and other characteristics.
Commercial Law Development Program
The CLDP helps Central and Eastern Europe and the Baltic States develop a commercial
infrastructure consistent with free market principles. The program, operated through the
Commerce Department's International Trade Administration, is part of the U.S. Government's
efforts to assist the region. CLPD is also compiling a Language Resources List of U.S.
commercial law experts with strong language capabilities.
Commercial News USA
Commercial News USA, CNUSA, is an International Trade Administration (ITA) fee-based
magazine, published 10 times per year. CNUSA provides exposure for U.S. products and
services through an illustrated catalog and electronic bulletin boards. The catalog is
distributed through U.S. Embassies and consulates to business readers in 155 countries.
Copies are provided to international visitors at trade events around the world.
The CNUSA program covers more than 30 industry categories. To be eligible, products must
be at least 51 percent U.S. parts and 51 percent U.S. labor. The service helps U.S. firms
identify potential export markets and make contacts leading to representation,
distributorships, joint venture or licensing agreements, or direct sales.
Commercial Officers
Commercial officers are embassy officials who assist U.S. business through arranging
appointments with local business and government officials, providing counsel on local
trade regulations, laws, and customs; identifying importers, buyers, agents, distributors,
and joint venture partners for U.S. firms; and other business assistance. At larger posts,
International Trade Administration staff perform these functions. At smaller posts,
commercial interests are represented by State's economic officers.
Commercial Risks
With respect to Eximbank guarantees, commercial risks cover nonpayment for reasons other
than specified political risks. Examples are insolvency or protracted default. See also
Political Risks.
Commercial Treaty
An agreement between two or more countries setting forth the conditions under which
business between the countries may be transacted. May outline tariff privileges, terms on
which property may be owned, the manner in which claims may be settled, etc.
Committee for the Implementation of Textile Agreements
CITA is an interagency committee chaired by the Department of Commerce which exercises the
rights of the United States under the Multi-Fiber Arrangement. CITA initiates
"calls" for consultation when imports of a particular textile product from a
particular country disrupt the U.S. domestic market for that product. Other member
agencies include the Departments of Labor, State, and Treasury and the United States Trade
Representative. See: Multi-Fiber Arrangement.
Committee of Experts
The CE is an autonomous body of 20 independent legal experts appointed by the
International Labor Organization (ILO) Governing Body. The CE meets annually prior to the
June conference to examine reports of governments on ILO conventions, and information
provided by governments on what they have done with newly adopted conventions. The CE
submits its report and findings to the International Labor Conference Committee on the
Application of Conventions and Recommendations.
Committee on Trade and Development
The CTD was established in 1965 to consider how the General Agreement on Tariffs and Trade
(GATT) can aid the economic development of Less Developed Country (LDC) contracting
parties (that is, LDC members).
Committee on Foreign Investment in the United States The Committee on Foreign Investment
in the United States, CFIUS, was created in 1975 to provide guidance on arrangements with
foreign governments for advance consultations on prospective major foreign governmental
investments in the United States, and to consider proposals for new legislation or
regulation relating to foreign investment. The authority was amended by Section 5021 (the
Exon-Florio provision) of the Omnibus Trade and Competitiveness Act of 1988 (Section 721
of the Defense Production Act), which gives the President authority to review mergers,
acquisitions, and takeovers of U.S. companies by foreign interests and to prohibit,
suspend, or seek divestiture in the courts of investments that may lead to actions that
threaten to impair the national security. By Executive Order in December 1988, Treasury
has authority to implement the Exon-Florio provision. CFIUS has 11 members: the
Secretaries of the Treasury (the chair), State, Defense, and Commerce, the chairman of the
Council of Economic Advisors, the U.S. Trade Representative, the Attorney General, the
Director of the Office of Management and Budget, the Director of the Office of Science and
Technology Policy, the Assistant to the President for National Security Affairs, and the
Assistant to the President for Economic Policy. The Assistant Secretary for Trade
Development serves as Commerce's representative to CFIUS. The Commerce working group is
chaired by the International Trade Administration and includes the Bureau of Export
Administration, the Economics and Statistics Administration, the Technology
Administration, and the Office of the General Counsel.
Committee on Renewable Energy, Commerce, and Trade
CORECT facilitates the cost-effective use of U.S. renewable energy products and services
around the world. The Committee is comprised of 14 federal agencies: the Departments of
Commerce, Defense, Energy, Interior, State, and Treasury, the Agency for International
Development, Environmental Protection Agency, Export-Import Bank, Overseas Private
Investment Corporation, Small Business Administration, Trade and Development Agency,
United States Information Agency, and U.S. Trade Representative. The Committee, chaired by
Energy, was established by legislation in 1984.
Commodity Credit Corporation
The CCC finances a variety of federal domestic and international farm programs, including
Title I, Title II, and Title III of Public Law 480 (Food for Peace). The CCC is a
government-owned and operated corporation within the U.S. Department of Agriculture
(USDA), and is managed by a board of directors headed by the Secretrary of Agriculture.
All members of the board and the corporation's officers and staff are officals of USDA.
The CCC provides financing and stability to the marketing and exporting of agricultural
commodities.
Commodity Import Programs
CIPs finance the export of U.S. goods to U.S.-aid recipient countries. Under CIPs, the
Agency for International Development (AID) makes dollars available to the assisted country
on a loan or grant basis to pay for essential commodity imports. In nearly all cases,
these imports come from the United States. CIPs are used to provide relatively fast
disbursing balance of payments support or to generate local currency for budget support
for project goals, particularly in efforts designed to encourage private sector
development. CIP agreements usually provide for AID's financing of a wide variety of basic
items including agricultural goods, construction and transportation equipment, fertilizer,
chemicals, raw materials, semi-finished products, and foodstuffs. CIPs do not finance
military or police equipment, luxury items, or items of questionable safety or efficacy.
In some cases, the range of allowable commodities is narrowed in order to tailor them to
development needs of particular sectors in the assisted country or to accomplish other,
specific development goals.
Commodity Jurisdiction
Export jurisdiction of products is administered by the State Department's Office of
Defense Trade Controls (DTC) if the commodities are defense articles, technical data, and
services or by the Commerce Department's Bureau of Export Administration if the
commodities are dual-use items. An exporter may request DTC to conduct a commodity
jurisdiction (CJ) review if the exporter is uncertain as to whether an item is covered by
the United States Munitions List (USML) or believes it has been inappropriately placed on
the list. CJ procedures include deadlines for making a determination and the use of
criteria assessing: (a) performance, (b) significant military or intelligence
applicability, and (c) significant civilian applicability.
Common Agricultural Policy
The CAP is a set of regulations by which members states of the European Community (EC)
seek to merge their individual agricultural programs into a unified effort to promote
regional agricultural development, fair and rising standards of living for the farm
population, stable agricultural markets, increased agricultural productivity, and methods
of dealing with food supply security. Two of the principal elements of the CAP are the
variable levy (an import duty amounting to the difference between EC target farm prices
and the lowest available market prices of imported agricultural commodities) and export
restitutions, or subsidies, to promote exports of farm goods that cannot be sold within
the EC at the target prices.
Common External Tariff
A uniform tariff adopted by a customs union to be assessed on imports entering the union
territory from countries outside the union; abbreviated: CET or CXT.
Common Market
A common market (as opposed to a free trade area) has a common external tariff and may
allow for labor mobility and common economic policies among the participating nations. The
European Community is the most notable example of a common market.
Common Monetary Agreement
South Africa, Lesotho, and Swaziland are members of the CMA under which they apply uniform
exchange control regulations to ensure monetary order in the region. Funds are freely
transferable among the three countries, and Lesotho and Swaziland have free access to
South African capital markets. Lesotho also uses the South African currency, the rand. The
CMA was formed in 1986 as a result of the renegotiation of the Rand Monetary Agreement
(RMA) which was originally formed in 1974 by the same member countries.
Common Standard Level of Effective Protection
The common standard level of effective protection, CSP, refers to the minimum shared
standards between the U.S. and CoCom members for implementing an effective export control
system, including licensing and enforcement elements.
Commonwealth
A commonwealth is a free association of sovereign independent states that has no charter,
treaty, or constitution. The association promotes cooperation, consultation, and mutual
assistance among members. The British Commonwealth (with headquarters in London, England)
is the most notable example; it included 50 states at the beginning of 1991.
Commonwealth Development Corporation
The CDC is a British public corporation which provides medium- and long-term loans and
equity financing for development-related private and public sector projects in selected
countries. CDC financing is available for projects in the folowing sectors: agriculture
(livestock, horticulture, and acquaculture), forestry, fishing, mineral extraction,
industry, public utilties, transport, telecommunications, low-cost housing, hotels,
construction and civil engineering, financial management and consultancy services, and
leasing of assests. The Corporation does not invest in schools, colleges, hospitals,
public service works or broadcasting. Since 1969, CDC has been able to invest in
non-Commonwealth countries with ministerial agreement. The CDC was established in 1948;
headquarters are in London, England.
Commonwealth of Independent States
The CIS was established in December 1991 as an association of 11 republics of the former
Soviet Union. The members include: Russia, Ukraine, Belarus (formerly Byelorussia),
Moldova (formerly Moldavia), Armenia, Azerbaijan, Uzbekistan, Turkmenistan, Tajikistan,
Kazakhstan, and Kirgizstan (formerly Kirghiziya). The Baltic states did not join. Georgia
maintained observer status, before joining the CIS in November 1993. Until that time, the
NIS (Newly Independent States) differed from the CIS in that the NIS is a collective
reference to 12 Soviet republics, including Georgia.
Communautes Europeenes
The CE mark is applied to products, their packaging or paperwork as a declaration of
conformity, third party testing and/or certification, quality assurance audit and/or full
type approval by a body authorized by a European Economic Community member state and
recognized by the European Commission. Effective January 1, 1993, the CE mark on a product
attests that it complies with all in-force Directives pertinent to it. The CE mark
preempts all other European Community national safety marks. If it is discovered that the
CE mark has been improperly affixed, the product in question will be prohibited and no
longer marketed. Legal penalties are at the discretion of each member state.
Communications Satellite Corporation
COMSAT was established in 1963 under provision of the Communications Satellite Act of
1962. The legislation directed that COMSAT establish the world's first commercial
international satellite communications system. The Act also stipulated that the company
operate as a shareholder-owned "for-profit" corporation. COMSAT represents the
U.S. in the International Telecommunications Satellite Organization.
Compagnie Francaise d'Assurance pour le Commerce Exterieur
COFACE is a French company acting as a commercial export finance
agency by insuring short-term political and commercial risk and by facilitating the
financing for export credit. Any French exporter (manufacturers, intermediaries,
confirmers, and merchants) of French goods and services can be insured for sales abroad.
In conjunction with the Banque Fran‡aise du Commerce Ext‚rieur and other banks
and institutions, COFACE provides services similar to the Export-Import Bank. COFACE was
established in 1946; headquarters are in Paris, France.
Compensatory and Contingency Financing Facility
The CCFF is an International Monetary Fund (IMF) facility which provides resources to an
IMF member for a shortfall in export earnings or an excess in cereal import costs that is
due to factors largely beyond the member's control and which is temporary. Compensatory
financing, introduced in 1963 and broadened several times, provides aid to members
experiencing balance of payments problems as a result of fluctuations in commodity prices
and shortfalls of receipts in tourism, "workers' remittances" and most services.
Contingency financing helps members with IMF-supported adjustment programs to maintain the
momentum of adjustment efforts in the face of a broad range of unanticipated, adverse
external shocks -- for example, changes in international interest rates or prices or
primary imports or exports.
Composite Currency Peg
See Exchange Rate Classifications.
Composite Theoretical Performance
Computer hardware export license requirements are evaluated according to Composite
Theoretical Performance (CTP), which replaced the former Processing Data Rate (PDR)
parameter. CTP is measured in Million Theoretical Operations Per Second (MTOPS). CTP was
developed by the U.S. as a new parameter, and was adopted by CoCom during the Core List
negotiations, because PDR was not applicable to certain modern computer architectures such
as vector processors, massively parallel processors, and array processors. CTP is designed
to measure all of these architectures, as well as signal processing equipment.
COMPRO
COMPRO is an on-line trade data retrieval system maintained by the International Trade
Administration within the U.S. Department of Commerce. The system is exclusively for use
within the federal government trade community (ITA, USTR, ITC, and other executive branch
agencies. It is also the oldest and best known component of the Trade Policy Information
System (TPIS). COMPRO is slated to be replaced in the FY 1995-96 TPIS modernization, but
its functions will remain available in an expanded and generalized form. See: Trade Policy
Information System.
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