Engineering Construction Sector Agreement

In the early years of negotiations on services, several negotiating proposals were put forward for construction services, both by the members who promoted development and by the member states (i.e. the European Communities, Australia, Korea, New Zealand, Brazil and Cuba). There were also cross-sector proposals from Chile, Kenya and Japan. Related construction and engineering work includes construction and civil engineering, installation and assembly, building construction and finishing. Architectural and engineering services are classified as “professional services.” Related construction and engineering services will be included in the new services negotiations that began in January 2000. The principles of trade in construction services are included, as with all services, in the General Agreement on Trade in Services (GATS). The union asked councils to award government-subsidized engineering and construction contracts for the supply of waste energy (EfW) in order to learn from the energy company. Global construction output increased by 3 per cent in 2007 to $4.7 trillion, compared with growth of nearly 5 per cent in 2006. The U.S. market continues to dominate the world stage as the largest domestic construction market, accounting for 25% of the world`s total area. Japan comes in second, followed by China. This is followed by Italy, France, the United Kingdom, Brazil, Spain, Korea, Mexico, Australia and India.

NaECI was concluded in 1981 as a labour regulation agreement for the entire mechanical engineering sector. Since then, many construction projects have been successfully completed with NAECI. However, NAECI is not just about new construction, as customers at a number of large industrial facilities support the use of NAECI for their long-term repair and maintenance work, as well as for breakdowns, turnarounds and events. The membership structure and the constitution of the NJCECI form the basis of a single table agreement and set the standards for the practice in place. Continuous improvement in standards has had a positive impact on workers` safety and well-being conditions; and it continues to have a great influence on the performance of the engineering industry. SEOS sets a legally binding floor for tariffs and commitments in sectors across the country. The construction sector accounts for about one-tenth of global GDP and 7% of employment. Following the Hong Kong Ministerial Declaration of December 2005, a group of members from developing and industrialized countries submitted a unique application for related construction and engineering services.

The application focused on Mode 3 obligations (a foreign company that establishes subsidiaries to provide services in another country) and focused on restrictions on foreign ownership, restrictions on the type of commercial presence, discriminatory practices and restrictions on the types of projects for foreign service providers (TN/S/M/19, point 41).