[Federal Register Volume 78, Number 47 (Monday, March 11, 2013)]
[Notices]
[Pages 15351-15355]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-05521]
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DEPARTMENT OF COMMERCE
International Trade Administration
U.S. Civil Nuclear Trade Policy Mission to Hanoi, Vietnam & Beijing
and Sanmen, China; May 16-23, 2013
AGENCY: International Trade Administration, Department of Commerce.
ACTION: Notice.
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Mission Description
The United States Department of Commerce (DOC) International Trade
Administration's (ITA) Manufacturing and Services (MAS) and U.S. and
Foreign Commercial Service (CS) units are organizing an executive-led
Civil Nuclear Trade Policy Mission to Hanoi, Vietnam and to Beijing and
Sanmen, China from May 16-23, 2013. Participants may elect to
participate in both the Vietnam and China portions of the mission, or
only one of these countries. The purpose of the mission is to connect
U.S. companies with key contacts in the target markets and to promote
market policies and procedures that enable U.S. companies to gain
robust access to commercial opportunities in these markets. As an
optional day prior to the start of the trade mission, in Hanoi,
Vietnam, trade mission participants will have the opportunity to
observe the U.S.-Association of Southeast Asian Nations (ASEAN) \1\
Energy Cooperation--Subsector Network workshop on civil nuclear power
on May 16, 2013.
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\1\ ASEAN Member countries include, Brunei, Burma, Cambodia,
Indonesia, Laos, Malaysia, the Philippines, Singapore, Thailand, and
Vietnam. The ASEAN Plan of Action for Energy Cooperation 2010-2015
noted one of its strategic goals as being ``regional capacity
building in nuclear energy for regulators, operators and relevant
educational institutions, among other things through training,
workshop, seminar and information exchange.''
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Vietnam and China offer abundant opportunities to civil nuclear
companies. According to the China Nuclear Power Middle and Long Term
Plan 2005-2020, China's nuclear power installed capacity will reach 60
million to 70 million kilowatts, and the total investment in the
nuclear power market will be more than 450 billion yuan (U.S. $72
billion) by 2020.\2\ China's nuclear industry is expected to grow to
nearly $300 billion by 2020 and commercial opportunities in Vietnam are
currently estimated at $10 billion and are expected to grow to $50
billion by 2030.
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\2\ As reported by the United States Embassy to China in
Beijing.
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The Civil Nuclear Trade Policy Mission offers a timely and cost-
effective means for U.S. firms to engage
[[Page 15352]]
with key stakeholders and to enter the promising Chinese and Vietnamese
markets for civil nuclear goods and services. Target subsectors holding
high potential for U.S civil nuclear exporters include: Legal and
advisory services; engineering, procurement and construction; operators
and maintenance providers; component manufacturers; and the fuel
subsector, including mining, enrichment, fuel fabrication, transport
and storage. There are also opportunities for collaboration on
education and research and development with U.S. universities and
research institutions. A U.S. government delegation with senior
officials from the U.S. Departments of Commerce, Energy and State, as
well as the White House, will accompany participants during the mission
to serve as advisors and civil nuclear subject matter experts.
This mission will contribute to the President's National Export
Initiative (NEI, www.export.gov/nei) and the DOC's Civil Nuclear Trade
Initiative (CNTI, http://export.gov/civilnuclear/index.asp), by
assisting U.S. businesses in entering or expanding in international
markets, and enhancing U.S. exports.
Eligible mission participants include representatives of U.S.
companies from across the civil nuclear supply chain, including
entities providing related services to the industry such as
universities and research institutions, as well as U.S. trade
associations in the civil nuclear industry whose members have both
commercial and policy interests in China and Vietnam. The mission will
help U.S. companies and U.S. trade associations gain market insights,
make industry contacts, solidify business strategies, and identify or
advance specific projects with the goal of increasing U.S. civil
nuclear exports to China and to Vietnam. The schedule will include
business appointments with pre-screened potential buyers, agents,
distributors and joint venture partners; meetings with national and
regional government officials; and networking events. This mission also
will provide venues for senior U.S. government officials and
participating organizations to meet with Chinese and Vietnamese
officials to discuss timely nuclear issues. The mission will allow U.S.
companies and trade associations to be part of an official U.S.
government delegation, rather than traveling to China or Vietnam
individually, and enhances their ability to secure desired meetings.
The delegation will be comprised of at least 15 U.S. companies and
trade associations.
In November 2009, President Obama signed a Joint Statement at the
first U.S.-ASEAN Leaders' Meeting that included the following: ``the
United States proposed that the U.S. Secretary of Energy and the ASEAN
Ministers on Energy meet in 2010 to advance energy security and clean
energy and to explore cooperation in renewable and alternative energy *
* * Under the ASEAN Energy Cooperation--Subsector Network, the U.S.
government finalized an energy work plan that includes nuclear. A
number of the countries in ASEAN are considering nuclear energy for
power generation as a long-term option. The U.S.-ASEAN workshop on
civil nuclear power serves as a forum for the U.S. mission participants
to gain substantive insights on each of the ten member countries'
energy plans, including nuclear developments and planning horizons. In
addition, there will be networking opportunities for mission delegates
to meet and speak with representatives from the ASEAN member countries.
Commercial Setting
Vietnam: From 2000 until 2012, Vietnam's annual GDP growth rate
averaged 6.6 percent, reaching an all-time high of 8.5 percent in
December 2007. Its energy mix in 2010 was 38 percent hydro, 31.4
percent gas, 18.5 percent coal, and 12.1 percent other fuels.\3\ Demand
is growing rapidly, resulting in electricity rationing. Electricity
demand growth has been 14 percent per year. In July 2011, in the
aftermath of the March 2011 Fukushima accident, the Prime Minister
approved the National Master Plan for Electricity Development for 2011-
2020 with the Vision to 2030. The government specified Ninh Thuan 1 & 2
Nuclear Power Plants (NPP) with a total of eight 1000 MWe reactors
coming on line annually from 2020-2027. In March 2012, the Vietnamese
government re-stated that it would continue to implement its nuclear
power program and deploy the Ninh Thuan NPPs in cooperation with
Russia. Vietnam may be the first Southeast Asian country to build a
NPP. The goal for this segment of the mission is to help U.S. suppliers
establish a ``foothold'' in the Vietnamese market as the country
develops its nuclear power program.
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\3\ Vietnam Atomic Energy Agency's Presentation to IAEA, March
2012.
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China: Since 1979, China's GDP has grown at an average rate of
almost ten percent annually and in 2009 China surpassed the United
States to become the world's largest energy consumer. Nearly eighty
percent of China's electricity is produced from fossil fuel (mostly
coal) and 18 percent from hydro, with a small percentage produced from
renewable sources. Nuclear power supplies 2 percent of China's
electricity. China has the fastest growing nuclear energy program in
the world. There are currently 16 reactors in operation and nearly 30
under construction employing technologies from France, Canada, Russia
and the United States.\4\ In October 2012, Premier Wen Jiabao outlined
a modified approach to nuclear power development that takes a steady
pace to build NPPs and will comply with new generation safety
standards. The revised nuclear capacity target for 2020 is now 58 GWe.
During the same timeframe, the State Council approved the 12th Five-
Year Plan for Nuclear Safety and Radioactive Pollution Prevention and
Vision for 2020, in which China plans to spend RMB 80 billion ($13
billion) on improving nuclear safety at plants already in operation as
well as those currently under construction or planned over the next
three years. The planned inland sites have been put on hold until after
2015.
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\4\ This information is in accordance with reports from the U.S.
Embassy in Beijing and the World Nuclear Association, http://www.world-nuclear.org/info/inf63.html (2013).
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China has three state-owned enterprises (SOEs) that are
permitted to own NPPs:
[cir] China National Nuclear Corporation (CNNC);
[cir] China Guangdong Nuclear Power Corporation (CGNPC); and
[cir] China Power Investment Corporation (CPI)
China also has set up additional SOEs to undertake NPP
construction and other business activities, including:
[cir] China Nuclear Power Engineering Company;
[cir] China Guangdong Engineering Company;
[cir] State Nuclear Power Engineering Company;
[cir] China Power Investment Nuclear Engineering Company;
[cir] China Nuclear Engineering and Construction Corporation; and
[cir] State Nuclear Power Technology Corporation (SNPTC) is
undertaking AP1000 technology and developing the CAP1400.
The governmental organizations that are responsible for nuclear
energy development in China are the State Council, the National Energy
Administration (NEA), the China Atomic Energy Authority (CAEA), and the
National Nuclear Safety Administration (NNSA).
[[Page 15353]]
The State Council is the highest executive body of state
power and administration responsible for carrying out principles and
policies as well as the regulations and laws.
The NEA, an independent ministerial level agency within
the National Development and Reform Commission, is responsible for
nuclear power development and nuclear industry management;
The CAEA, an agency under the Ministry of Industry and
Information, is responsible for nuclear fuel cycle industry management
and nuclear emergency preparedness and response.
The NNSA under the Ministry of Environment Protection is
responsible for nuclear safety regulation and licensing and regulating
nuclear installations, components, and materials.
Ultimately, China's long-term nuclear energy policy goals are to
establish indigenous assembly, fabrication, and nuclear fuel production
capability; maximize domestic manufacturing of power plants and
equipment with self-reliance in design and management; and to establish
and enhance international cooperation to establish their own reactor
market, aimed at exporting its own reactors in the future. However, in
the near-term, China will rely on existing equipment and services in
the global supply chain.
Mission Goals
The goal of the Civil Nuclear Trade Policy Mission to Vietnam and
China is to promote exports of civil nuclear goods and services and
encourage market policies and procedures that enable U.S. companies to
gain robust access to commercial opportunities in these markets.
In Vietnam, the mission will help U.S. companies and trade
associations investigate potential opportunities, and educate
Vietnamese stakeholders on U.S. nuclear energy capabilities. The
mission also will include a best practices seminar to discuss the
challenges countries face when first developing a nuclear energy
program. These activities will contain a strong trade promotion
component and also seek to address the policy challenges to U.S. civil
nuclear energy companies operating or seeking to operate in this
country. While in Hanoi, trade mission participants will participate in
the U.S.-ASEAN workshop on civil nuclear power, enabling networking
opportunities with ASEAN government officials and industry experts and
promoting U.S. civil nuclear technologies and services.
In China, the mission will clarify for U.S. companies and trade
associations how to access commercial opportunities in various sectors
of China's nuclear energy industry, will seek to increase awareness of
U.S. nuclear industry capabilities among Chinese government officials
at the central and provincial government levels, and will connect U.S.
companies and trade associations with appropriate decision-makers.
Mission Scenario \5\
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\5\ Subject to availability and confirmation.
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Prior to the start of the trade mission, on May 16 in Hanoi, trade
mission participants will have the option to observe the U.S.-ASEAN
civil nuclear power workshop. The workshop will include five panel
sessions on topics ranging from nuclear infrastructure to waste
management and fuel services, and a discussion on the essential
elements in developing a safe and secure nuclear power program. ASEAN
representatives will discuss the appropriateness of new technologies to
their country's particular circumstances and learn about developing a
robust regulatory and legal framework for safety and liability.
On May 17 in Hanoi, trade mission participants will receive a U.S.
Embassy briefing, and meet with senior Vietnamese officials at the
Ministry of Science and Technology, the Ministry of Industry and Trade,
and executives from Electricity Vietnam. Participants will attend a
luncheon with remarks by the Commerce official leading the trade
mission, the U.S. Ambassador to Vietnam and officials from the
Government of Vietnam (GOV). In addition, there will be a seminar on
best practices where trade mission participants will share their
experience from projects in other markets and Vietnamese participants
will discuss opportunities for U.S. companies in Vietnam. Vietnamese
participants in the seminar on best practices include: Vietnam Atomic
Energy Institute (VINATOM), Vietnam Agency for Radiation and Nuclear
Safety and Control (VARANS), Electricity Vietnam (EVN), and the
Ministry of Industry and Trade. In the evening, mission participants
will meet with Vietnamese Prime Minister Nguyen Tan Dung and attend a
farewell dinner with the U.S. government delegation, Vietnamese
government officials and mission participants.
On May 20 in Beijing, trade mission participants will participate
in an Embassy briefing, meet with Chinese government officials (NEA,
CAEA, NNSA, Ministry of Commerce, CNNC, SNPTC, CPI and CGNPC) and take
part in business appointments with private-sector organizations. In
addition, they will enjoy a networking reception hosted by U.S.
Ambassador Gary Locke and attended by representatives of Chinese
industry and government officials and other key stakeholders.
On May 23 in Sanmen, trade mission participants will have meetings
with key civil nuclear Chinese government and industry officials and
visit the Sanmen AP1000 nuclear power plant.
A U.S. government delegation, which will include senior officials
from the U.S. Departments of Commerce, Energy and State, and the White
House, will accompany participants during the mission. Trade mission
participants will be counseled before and after the mission by CS China
and CS Vietnam staff and other federal agencies actively involved in
nuclear energy trade promotion activities in Vietnam and China.
Proposed Timetable for the U.S.-ASEAN Workshop (Optional)
[Note that specific events and meeting times have yet to be confirmed]
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Date Location Activity
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Wednesday, May 15............. Hanoi............ Arrive and check-in
at hotel.
Thursday, May 16, Optional Day Hanoi............ ASEAN Nuclear Energy
Cooperation-
Subsector Network's
(NEC-SSN) U.S.-ASEAN
Workshop on Civil
Nuclear Power: ``The
Essential Elements
of Developing a Safe
and Secure Nuclear
Power Program''
followed by an
evening reception
and networking
event.
Arrive and check-in
at hotel (for
participants not
attending the U.S.-
ASEAN Workshop).
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[[Page 15354]]
Proposed Timetable for U.S. Mission to Vietnam and China
[Note that specific events and meeting times have yet to be confirmed]
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Date Location Activity
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Friday, May 17, Day 1....... Hanoi............... Morning:
U.S.
Embassy Briefing.
Visit
Ministry of Science
and Technology.
Visit
Ministry of
Industry and Trade.
Visit with
Electricity
Vietnam.
Luncheon: with
remarks by Trade
Mission Leader,
Ambassador Shear,
and Government of
Vietnam.
Afternoon: Seminar
on Best Practices--
U.S. delegates
share experience
from projects in
other markets.
Vietnamese
participants
include: Vietnam
Atomic Energy
Institute
(VINATOM), Vietnam
Agency for
Radiation and
Nuclear Safety and
Control (VARANS),
Electricity Vietnam
(EVN), Ministry of
Industry and Trade.
Evening:
Meeting
with Prime Minister
Nguyen Tan Dung.
Farewell
Dinner with
Delegates.
Saturday, May 18, Day 2..... Hanoi............... Delegates on their
own.
Sunday, May 19, Day 3....... Beijing............. Arrive Beijing.
Check in at hotel.
Welcome reception
and U.S. Embassy
Briefing
(organizations,
U.S. government
delegation, Embassy
staff).
Monday, May 20, Day 4....... Beijing............. Morning: Beijing
government meetings
to include: NEA,
CAEA, NNSA, MOFCOM.
Afternoon:
Government
meetings.
Evening: Networking
reception hosted by
Amb. Locke.
Tuesday, May 21, Day 5...... Beijing............. Morning: Industry
meetings.
Afternoon:
Government meetings
with CNNC, SNPTC,
CGNPC, CPI.
Evening: Open.
Wednesday, May 22, Day 6.... Beijing-Ningbo...... Morning: Industry
meetings.
Afternoon: Train/
plane to Ningbo,
bus to Sanmen.
Evening: Dinner with
CNNC.
Thursday, May 23, Day 7..... Ningbo.............. AP1000 site visit.
End of Mission.
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(NB: The precise schedule will depend on availability of local
government officials and business managers, and the specific goals of
participants.)
Participation Requirements
U.S. companies and U.S. trade associations interested in
participating in the trade mission must complete and submit an
application package for consideration by the DOC. All applicants will
be evaluated on their ability to meet certain conditions and best
satisfy the selection criteria as outlined below. A minimum of 15 and
maximum of 20 companies and/or trade associations will be selected to
participate in the mission from the applicant pool. U.S. companies or
trade associations already doing business with China and/or Vietnam, as
well as those seeking to enter these markets for the first time, may
apply.
Fees and Expenses
After a company or organization has been selected to participate on
the mission, a payment to the DOC in the form of a participation fee is
required. U.S. companies and organizations may elect to participate in
both the Vietnam and China portions of the mission, or one of the
countries. Participants will be able to take advantage of U.S. Embassy
rates for hotel rooms.
The fee to participate in the mission to China and Vietnam
is $5500 for a small or medium-sized company (SME) \6\ or for a trade
association, and $7000 for a large company. The fee for each additional
representative (large company, trade association, or SME) is $1300.
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\6\ An SME is defined as a firm with 500 or fewer employees or
that otherwise qualifies as a small business under SBA regulations
(see http://www.sba.gov/services/contracting opportunities/
sizestandardstopics/index.html). Parent companies, affiliates, and
subsidiaries will be considered when determining business size. The
dual pricing reflects the Commercial Service's user fee schedule
that became effective May 1, 2008 (see http://www.export.gov/newsletter/march2008/initiatives.html for additional information).
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The fee to participate in the China portion only is $4000
for an SME or trade association and $4800 for a large company. The fee
for each additional representative (large company, trade association,
or SME) is $800. This fee also includes the cost of transportation from
Beijing to Sanmen.
The fee to participate in the Vietnam portion only is
$1500 for an SME or trade association and $2200 for a large company.
The fee for each additional representative (large company, trade
association, or SME) is $500.
Exclusions
The mission fee does not include any personal travel expenses such
as lodging, most meals, local ground transportation, except as stated
in the proposed timetable, and air transportation from the United
States to the mission sites and return to the United States. Business
visas may be required. Government fees and processing expenses to
obtain such visas also are not included in the mission costs. However,
the DOC will provide instructions to each participant on the procedures
required to obtain necessary business visas.
Conditions for Participation
Applicants must submit a completed mission application signed by a
company or trade association official, together with supplemental
application materials, including adequate information on the
organization's
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products and/or services, primary market objectives, and goals for
participation. If the DOC receives an incomplete application, the DOC
may reject the application, request additional information, or take the
lack of information into account in its evaluation.
Each applicant also must certify that the products or services it
seeks to export through the mission are either produced in the United
States, or, if not, marketed under the name of a U.S. firm and have
demonstrable U.S. content of the value of the finished product or
service. In the case of a trade association or trade organization, the
applicant must certify that, for each company to be represented by the
trade association or trade organization, the products and services the
represented company seeks to export are either produced in the United
States, or, if not, marketed under the name of a U.S. firm and have
demonstrable U.S. content.
Selection Criteria
Preference will be given to applicants who plan to participate in
both the Vietnam and China mission stops. Selection will be based on
the following criteria:
Suitability of the company's (or, in the case of a trade
association, represented companies') products or services to each of
the markets the company or trade association has expressed an interest
in visiting as part of this trade mission.
The company's (or, in the case of a trade association,
represented companies') potential for business in the region and in
each of the markets the company or trade association has expressed an
interest in visiting as part of this trade mission, including
likelihood of exports resulting from the mission.
Consistency of the applicant company's (or, in the case of
a trade association, represented companies') goals and objectives with
the stated mission scope.
Diversity of company size, sector or subsector, and location also
may be considered in the review process.
Referrals from political organizations and any documents containing
references to partisan political activities (including political
contributions) will be removed from an applicant's submission and will
not be considered.
Timeline for Recruitment and Application
Mission recruitment will be conducted in an open and public manner,
including publication in the Federal Register, posting on the DOC trade
mission calendar (http://export.gov/trademissions) and other Internet
Web sites (including the Civil Nuclear Exporters Portal at
www.export.gov/civilnuclear), press releases to general and trade
media, direct mail, notices by industry trade associations and other
multiplier groups, and publicity at industry meetings, symposia,
conferences, and trade shows. Recruitment will begin immediately and
conclude no later than April 15, 2013. The DOC will review applications
and make selection decisions on a rolling basis by April 20, 2013.
Applications received after April 15, 2013 will be considered only if
space and scheduling permits.
Contacts
David Kincaid, Manufacturing and Services, Office of Energy and
Environmental Industries, Washington, DC, Tel: (202) 482-1706, Email:
[email protected].
Jonathan Chesebro, Manufacturing and Services, Office of Energy and
Environmental Industries, Washington, DC, Tel: (202) 482-1297, Email:
[email protected].
Elnora Moye,
Trade Program Assistant.
[FR Doc. 2013-05521 Filed 3-8-13; 8:45 am]
BILLING CODE 3510-FP-P