En Contacto Summer'18

S U M M ER 2018

T H E Y E A R OF T H E W O M A N

FindYourVoice

pg.

6

ST. LOUIS BUSINESS DIVERSITY CONNECT 2018

pg.

8

HISPANIC WORKING WOMEN: FIND YOUR VOICE

11

pg.

INTRODUCING SMALL BUSINESS MAJORITY WOMEN’S ENTREPRENEURSHIP PROGRAM

LETTER FROM THE PRESIDENT & CEO Dear members /readers, St. Louis and the warm summer gave us the opportunity to create wonderful and rewarding events. We started August with the 4th Hispanic Working Women: Find Your Voice event, which took place at the Palladium Saint Louis with over 150 attendees. The event included a negotiation presentation and a panel composed of three amazing women who discussed how they have found their voice in different situations. We also had the presence and enormous support of our sponsors, Midwest BankCentre, AT&T and Butler’s Pantry who were eager to support and connect with all of the guests.

Next, the weather let us enjoy the 12th Annual Golf Classic on September 13th. This year we raised over $30,000 for the HCC STL Foundation. This would not be possible without the participation of 200 golfers and of course, the contributions of our sponsors and our members who donate to this event every year to make this tournament a successful one.

I am overjoyed with each of these events and of course I am very fortunate to say that we have an amazing Board of Directors who always support our ideas. I want to personally thank every single committee member who participates in each of these events and I want to thank the HCC staff for all of the effort they put into our initiatives and each of these events. Our team is committed to closing this year stronger than ever.

OUR GREATEST DESIRE AS AN ORGANIZATION IS TO CONTINUE TO BRING VALUE TO OUR MEMBERS.

The HCC continues to focus on the St. Louis community and we work every day to create new events for you. Our greatest desire as an organization is to continue to bring value to our members. We will host Linking Leaders on November 7th and Restaurant Training on December 3rd. Additionally, we will have our online forums, Café with Business, which air 1st Tuesday of the month and we will host Business After Hours every third Tuesday of the month to close out the remainder of the year. For more information about these events, contact us through Facebook: Hispanic Chamber of Commerce of Metropolitan St. Louis or at www.hccstl.com contributing author: NERISHKA CRUZ cover: ELENA SOLIS

Thank you!

Karlos Ramirez President & CEO

Enterprise B&T: Surprising Actions That Improve Employee Productivity pg.

4

St. Louis Business Diversity Connect 2018 pg.

6

WELCOME NEW MEMBERS!

By joining, the following individuals and companies have decided to make an investment in the Hispanic Chamber of Commerce and our community at large. We encourage you to find out more about them and, whenever possible, to use their services. If you would like more information about any of these individuals or organizations, please contact us at 314.664.4432.

| Allstate Insurance

| Hispanic Bar Association

| American Eagle Credit Union

| Lilian Schott Interpretation/ Translation

| Colombian Society of St. Louis

| Maria Vergara

| Covo

| Our Lady of Guadalupe

| Thrivent Financial Services

| Crafted: An Artisan Cookie Company

| Primerica Financial Services

| Twain Financial Partners

| Quest Beverage

| Unleashing Potential

| Schmidt Media Group

| Weilian Poder Global Consulting LLC

| Dulce Vida | FCB Banks Florissant | Gateway Arch Park Foundation

2

SUMMER 2018 HISPANIC CHAMBER OF COMMERCE

| St. Louis Scholarship Foundation | St. Louis Symphony | Sun Basket

| Munie Greencare Professionals | Systems & Change

| Scrambled Eggs | St. Louis International Spouses Group

Southeast Student Selected as U.S. Student Delegate at WFUNA’s Plenary Assembly, Global Youth Forum pg.

7

Introducing Small Business Majority Women’s Entrepreneurship Program pg.

11

12th Annual Golf Classic pg.

12

NAFTA, tariffs and trade wars: Are you ready to do battle in Missouri? pg.

14

Vargas Reelected HETS Executive Committee Chair pg.

16

Hispanic Working Women: Find Your Voice pg.

8

US. Supreme Court Decision Greatly Impacts Sales Tax pg.

10

S U M M ER 2 0 1 8

YOUR COMPANY’S GROWTH AND PROFITABILITY ARE DEPENDENT ON MAXIMIZING YOUR EMPLOYEES’ PRODUCTIVITY. 1. AM I LISTENING FOR...

What motivates them and how do they like to be recognized? What motivates and energizes your employees? Ask, and listen to your team members when they tell you how they like to be acknowledged for a job well done. Outside of pay, there are many reasons why an employee is willing to put forth extra effort and these reasons are individual and personal. If there is no recognition connected to their key motivators, then it can be perceived that their work is not valued or valuable. It’s critical to find what boosts each person’s confidence and energy.

2. AM I OBSERVING...

If they have a purpose? Does your team know what they are working for? Do they reference the annual goals, the company mission, or the strategy? If these things are missing from everyday conversations, you can help your team realize the connections between their day-to-day work and the “bigger picture” by clearly communicating the direct impact it has on the company’s goals and results.

If they are collaborating and creating comradery? You can evoke teamwork by encouraging group discovery, brainstorming, and deliverables. When other peers are involved, an employee will often devote extra effort to a project or initiative to enhance the overall outcome.

3. AM I ASKING...

How they like to work? You can optimize your team’s output by addressing how they like to work. It’s not a one-size-fits-all solution for follow up and oversight; each employee will thrive with a style that optimizes their preferred interaction.

Outside of management style, seek to understand working conditions they prefer. Do they perform a certain task better during off hours or offsite? If the work allows for it, provide flexibility in not only work style but also environment.

Surprising Actions

THAT IMPROVE EMPLOYEE PRODUCTIVITY

WHAT MOTIVATES AND ENERGIZES YOUR EMPLOYEES? 4

Joe receives the phone call he’s anxiously expecting. His company was awarded the big deal that will help the team achieve their goals for the year. Joe can’t wait to tell his team—the team who made this possible by pushing the boundaries and coming up with the winning solution. As the conversation unfolds, Joe quickly realizes his team is not as excited as he is about this win. They say it’s impossible to roll this out by year-end. What happened to his group? Joe’s resources are limited, and he needs an engaged team to meet the company’s goals and expectations. How can he engage his employees to put forth the discretionary effort needed beyond routine responsibilities?

We hear versions of stories like this from companies like yours every day.

Your company’s growth and profitability are dependent on maximizing your employees’ productivity. The surprising answer to tapping this energy is active management that addresses these three critical actions:

79%

“ G lobal studies reveal that 79% of people who quit their jobs cite ‘lack of appreciation’ as their reason for leaving.”

https://appliedpsychologydegree.usc.edu/blog/the-importanceof-job-satisfaction-in-todays-workforce/

What do they need to do the job? It’s essential to invest in your employees to ensure they have the knowledge and skills they need to do their jobs effectively.

Whether it’s investing in additional education, attending a conference, or even shadowing another employee who already possesses the needed competencies, there are many ways to encourage and support employee-learning opportunities.

No budget? Send your team to relevant business courses offered at no cost through Enterprise University. And don’t forget to provide the necessary tools and technologies required for great performance and results!

What is their preferred communication style? Learn what communication style your employee prefers and follow suit. Let go of formalities, and focus on the right things: frequency, transparency, and mutual understanding.

Effective management will pay dividends by maximizing your employees’ efforts to reach growth and profitability goals.

LORIE WHITE, SVP, Human Resources, Enterprise Bank & Trust. Lorie is a strategic Human Resources executive with a passion for maximizing the effectiveness, value and potential of an organization’s “human capital”. A respected leader with demonstrated ability to gain commitment for strategic initiatives and align individual, team, business unit and company goals/objectives to drive performance, Lorie is a practical and resourceful team player who excels at bringing people with diverse perspectives and experiences together to identify winwin solutions and optimize results. Lorie has a Master’s Degree in Education from Washington University, and has earned certifications in Change Management, Myers Briggs Type Inventory, Culture Shaping, and other areas of organizational leadership and development. An avid reader, Lorie also loves mountains, animals and music, but most of all she loves her family (especially her three year old granddaughter!)

SUMMER 2018 HISPANIC CHAMBER OF COMMERCE

5

Southeast Student

ST. LOUIS BUSINESS DIVERSITY CONNECT

Intentionally Collaborating for Diverse Economic Inclusion in the St. Louis Region

SELECTED AS U.S. STUDENT DELEGATE AT WFUNA’S PLENARY ASSEMBLY, GLOBAL YOUTH FORUM

2018 Connecting diverse businesses with corporate partners for business development

WELCOME PRESENTING SPONSORS:

BROUGHT TO YOU BY:

Graphic credits: Carlos Restrepo

ORGANIZATION LEADERS WERE ABLE TO BRING TOGETHER DIVERSE BUSINESS OWNERS, CORPORATIONS AND SUPPLIER DIVERSITY PROFESSIONALS FOR THE INAUGURAL ST. LOUIS BUSINESS DIVERSITY CONNECT ON SEPTEMBER 25TH.

6

St. Louis Business DIVERSITY CONNECT 2018

Minority businesses have increased by 38% since 2007.

With this consistent growth and impact on the economic development of the region, it is no question that some of St. Louis’ largest companies want to be involved.

With the dedication of 5 organizations including Mid-States Minority Supplier Development Council, the St. Louis Minority Business Council, the Women’s Business Development Center, the Hispanic Chamber of Commerce of Metropolitan St. Louis and the St. Louis Minority Business Development Agency, organization leaders were able to bring together diverse business owners, corporations and supplier diversity professionals for the inaugural St. Louis Business Diversity Connect on September 25th.

The event took place at the Marriott St. Louis Grand and was designed to connect the resources of the Midwest’s leading minority and women business advocacy organizations for the advancement of supplier diversity. Additionally, this event connected diverse business owners with corporate partners to further business development opportunities.

The event included a seminar presented by Facebook for small businesses—How to Boost My Business, a supplier diversity CPO roundtable, a keynote from Dr. Cheryl Watkins-Moore, a matchmaking opportunity and finally, a pitch competition.

Over fifteen minority businesses competed in the competition and represented a wide array of industries. During these presentations, two members of the HCC participated in this competition, Trish Jensen, Owner of Millicare, and Lusnail Herberberger, President & Owner of LUZCO Technologies. The Hispanic Chamber could not have been more proud of these companies’ hard work and were thrilled when LUZCO was announced as the first place winner of the pitch competition. Collaborative efforts like these continue to move St. Louis forward as a more inclusive place for minority businesses and overall, economic growth.

IT WILL BE A WONDERFUL EXPERIENCE TO HEAR THE GREAT IDEAS FROM MINDS ALL AROUND THE WORLD COMING TOGETHER ON A JOINT CAUSE.

Southeast Missouri State University student Myriah Bernard was recently selected to serve as a student delegate at the 42nd World Federation of United Nations Association’s (WFUNA) Plenary Assembly and 3rd Global Youth Forum in Punta Cana, Dominican Republic.

Bernard, a senior majoring in political science and communications studies with a minor in global studies from Cape Girardeau, Missouri, is one of five U.S. youth delegates that will join the official United Nations delegates in the five-day assembly and meeting Oct. 17-21 to experience global citizenship and participate first-hand in strengthening the United Nations.

“It will be a wonderful experience to hear the great ideas from minds all around the world coming together on a joint cause,” Bernard said.

Every three years, WFUNA’s Plenary Assembly brings together representatives from over 50 United Nations Associations (UNAs) all around the world to establish the organization’s goals in support of the United Nations. Bernard was nominated for a youth delegate position representing 18- to 35-year-olds across the United States.

“During these discussions, the UN delegates collaborate to address each topic in how to deal with it in a way that benefits not just one state, but all states involved, and myself and the other youth delegates will be a part of that,” Bernard said. “I will be a part of impacting positive change and being a student delegate is a step in building the means to do just that.”

Bernard will attend the WFUNA Plenary Assembly soon after returning to the Southeast campus in early September from a summer in Washington, D.C., as an intern with the Federal Emergency Management Agency’s (FEMA) Pathways Program.

The Pathways Program allows students from high school through post-graduate level to gain valuable work experience and explore careers in the U.S. federal government.

Bernard began her internship in early July and is getting an inside experience with a federal agency that helps people before, during and after disasters.

The hands-on experiences she’ll have gained at FEMA and the WFUNA’s Plenary Assembly will prepare her for a career after graduation in December. She plans to put her international and governmental knowledge to work as a volunteer with the Peace Corps in Ethiopia. Bernard will spend two and half years helping an underdeveloped region in their mission to grow as a country.

“I will be working directly with small shareholder farmers to help them on their personal goals for their farms,” she said. “I will also be fulfilling various jobs as needed, including helping with after school sports and implementing women’s empowerment in the region.”

“Being a Peace Corps volunteer is another lifelong dream coming true,” said Bernard.

“I will gain a better cultural understanding of a new area of the world. I will learn a new language. I will learn many new skills in both my job and adapting my lifestyle norms, but I also will learn a lot about myself and what I value,” she said. “I know as much as I give I will receive.”

SUMMER 2018 HISPANIC CHAMBER OF COMMERCE

7

THE HCC AIMS TO CONTINUE CREATING EVENTS LIKE THESE WITH THE GOAL OF ENCOURAGING WOMEN TO UNDERTAKE NEW ENDEAVORS FOR THE FUTURE AND TO SUPPORT EACH OTHER. HISPANIC WORKING WOMEN

Find Your Voice

T H E Y E A R OF T H E W O M A N

Find Your Voice

The Hispanic Working Women: Find Your Voice event took place at the Palladium in downtown St. Louis, MO on August 23rd. With generous sponsors like Midwest BankCentre, AT&T and Butler’s Pantry, we were able to welcome over 150 guests to this event.

The event started with some remarks from the Hispanic Chamber of Commerce team and was followed by a speech from Kathleen Spies, Mortgage Officer at Midwest BankCentre, who shared some empowering words with the audience. The HCC’s goal was to empower women with topics they rarely talk about. The topics shared during the night were Negotiation, Saying No and Dealing with Difficult Conversations / Situations and the panelists amazed the audience with many stories and experiences from their professional and personal lives.

After the opening remarks, Nicci Roach, Co-Founder of The Mosaic Ceiling, presented on the inequalities of pay among women and women of color. The presentation highlighted that Hispanic Women in the United States are paid just 54 cents for every dollar paid to white, non-Hispanic men. Along with this fact, Nicci shared tips of how to negotiate and suggested a few techniques that women can use when negotiating for a new job.

Following the presentation, we invited 3 panelists of women who represented various perspectives. Lusnail Herberberger, President at LUZCO Technologies; Allison Friedman, Human Resource Manager at Graybar and Jessica Mendez, Intellectual Property Counsel at Tucker Ellis.

BEHIND EVERY SUCCESSFUL WOMAN IS A TRIBE OF OTHER SUCCESSFUL WOMEN WHO HAVE HER BACK.

“I love events like Hispanic Working Women because women learn they are not the only ones struggling with whatever it is. It is empowering to see successful women leaders have the same feelings and are able to overcome whatever it is at the moment they are trying to overcome.” said Lusnail Herberberger, President of LUZCO Technologies.

The HCC aims to continue creating events like these with the goal of encouraging women to undertake new endeavors for the future and to support each other. Remember, “Behind every successful woman is a tribe of other successful women who have her back!”—Anonymous.

Photo credits: Lance Omar Thurman, LOT Photography

8

SUMMER 2018 HISPANIC CHAMBER OF COMMERCE

9

FOR NOW, ONLINE VENDORS WILL NEED TO LOOK FOR GUIDANCE FROM EACH STATE’S DEPARTMENT THAT ADMINISTERS SALES TAX REPORTING AND COLLECTION.

U.S.Supreme Court DECISION GREATLY IMPACTS SALES TAX

Next Steps? In short, sales tax nexus has been re-defined.

While challenging for sellers, this is a win for the states (in the form of increased sales tax collections). South Dakota’s law states that sales of over $100,000 per year into the state will create economic nexus. Per the Court’s decision, we know that $100,000 in sales creates substantial nexus in South Dakota. However, the Court did not provide any guidance regarding states with lower standards. There are 16 states that have “economic nexus” laws in place that currently require collection of sales tax if certain thresholds etc. are met and sales to those states need to be addressed immediately to determine sales tax liability, registration etc. These states are: Alabama (250,000), Indiana (100,000), Maine (100,000), Massachusetts (500,000), Mississippi (250,000), North Dakota (100,000), Ohio (500,000), Oklahoma (10,000), Pennsylvania (10,000), Rhode Island (100,000), South Dakota (100,000), Tennessee (500,000), Vermont (100,000), Washington (10,000) and Wyoming (100,000).

In June, the U.S. Supreme court issued a decision in South Dakota vs. Wayfair, which overturned the physical presence standard resulting from Quill v. North Dakota. The court held that the physical presence rule in Quill was an “unsound and incorrect” interpretation of the Commerce Clause and that it created unfair marketplace advantages for remote sellers and also costs states tremendous amounts of revenue.

Since 41 states, plus the District of Columbia, petitioned The Court ruled that the correct standard in determining the constitutionality of a state tax law is whether the tax applies to an activity that has substantial nexus with the taxing state. South Dakota’s economic nexus law imposes tax collection duty on out of state sellers meeting gross sales and transaction volume thresholds. By overturning Quill, the Court determined that physical presence is not required to meet the substantial nexus requirement. The Court stated that the respondents had established substantial nexus in this case through “extensive virtual presence.”

the Court to repeal Quill, it will be very interesting to see what the remaining states (those not mentioned above) will do. Will the states use South Dakota’s $100,000 threshold or will they push the envelope with something lower? Since the Court overturned Quill’s physical presence test, the states could, in theory, go back several years and demand back taxes, penalties and interest. The common belief in our industry is that states will treat the Court’s Wayfair decision on a go-forward basis. For now, online vendors will need to look for guidance from each state’s department that administers sales tax reporting and collection. In Missouri’s case, this is the Missouri Department of Revenue.

Since the U.S. Supreme Court’s 1992 decision in Quill v. North Dakota, the standard for a state requiring out-of-state retailers to collect sales tax has been physical presence. A seller had to have property, people or some other physical connection with a state in order to have a sales tax requirement. The virtual marketplace has changed tremendously since the Court’s decision in 1992.

Since the decision in 1992, sellers have structured companies in creative ways Please contact an advisor at Purk & Associates to assist and taken other steps to try to avoid setting a toe into more than one or two you in responding to this situation. jurisdictions.

BRETT RUGEN, CPA, is a Tax Manager with Purk & Associates, who has more than 10 years of accounting and tax experience working for a publicly traded company and public accounting firms. In his role, Brett oversees a team of professionals who provide income tax planning, guidance, and compliance for high-net-worth individuals and entrepreneurs. He is also responsible for new business development and client engagement for the tax division. Brett can be contacted at brugen@purkpc.com.

10

BETWEEN 2014 AND 2015, MINORITY WOMEN-OWNED EMPLOYER FIRMS GREW ALMOST TWICE AS FAST AS ALL WOMENOWNED FIRMS, WITH HISPANIC FEMALEOWNED BUSINESSES INCREASING 5.3%.”

Introducing Small Business MAJORITY WOMEN’S ENTREPRENEURSHIP PROGRAM Around the country and here in St. Louis, we’re celebrating hardworking women business owners this October during National Women’s Small Business Month. Many don’t realize that women—especially women of color—are one of the fastest-growing segments of our economy.

and resources to promote small business growth. As part of the new Women’s Entrepreneurship Program, Small Business Majority is providing in-person and online resources for women through educational events. These free events and resources are designed to help women entrepreneurs, particularly those of color, succeed.

Through the program, we’re also helping to connect women with vetted local lenders, business resource providers and mentoring Between 2007 and 2016, the number of women-owned businesses opportunities. increased by 45% nationwide. According to the National Women’s While Small Business Majority started by piloting this program in Business Council, between 2014 and 2015, minority women-owned Los Angeles in July, we’re expanding the Women’s Entrepreneurship employer firms grew almost twice as fast as all women-owned firms, Program to offer resources for women business owners and aspiring with Hispanic female-owned businesses increasing 5.3%. entrepreneurs around the country. We’re hosting a series of events Despite this rapid progress, women business owners still face a number of barriers that are holding them back from further growth.

Women account for only 16% of conventional small business loans and 17% of Small Business Administration loans. And women don’t just receive fewer loans; they also receive smaller loan amounts: Women approved for loans only receive 4.4% of the total dollars of conventional loans made. Similarly, businesses owned by entrepreneurs of color often have higher borrowing costs, receive smaller loans and are more likely to have their loan application rejected.

here in Missouri throughout October to coincide with National Women’s Small Business Month. Topics include access to capital for women entrepreneurs, wealth building tactics, retirement security, goal planning and more. Additionally, we are highlighting special resources for women entrepreneurs through our online Entrepreneurship Program resource hub at smallbusinessportal.org.

Women entrepreneurs are growing our economy at rapid rates, but the resources they need to be even more successful haven’t kept up with demand. Supporting female entrepreneurs, especially women of color, In order to address these concerns, Small Business Majority is proud has the potential to unlock tremendous growth for our communities. to announce the launch of its Women’s Entrepreneurship Program to We hope our Women’s Entrepreneurship Program can help even support women entrepreneurs and aspiring business owners. Small more women entrepreneurs realize their full potential.

Business Majority is a national nonprofit small business advocacy Find out more about our Women’s Entrepreneurship Program or register organization with an office here in St. Louis, offering free education for an upcoming event by visiting www.smallbusinessmajority.org

MAXIMILIANAH ZALES manages Small Business Majority’s efforts from our St. Louis office by building partnerships with state and local partners, as well as small business owners and business groups across Missouri. She is fluent in Spanish and supports Small Business Majority’s national Hispanic small business outreach work. Maximilianah was recently selected to the 2018 FOCUS Leadership St. Louis program, one of the most highly-respected leadership development programs in the country.

SUMMER 2018 HISPANIC CHAMBER OF COMMERCE

11

TITLE S P ON SOR

B I R DI E S PON SORS

B EVE RAG E CART S P ON SOR

B EVE RAG E S P ON SOR S

PA R S P O N S O R S

12th Annual ANNUAL

T URNAMEN GOLF TO

HCC STL FOUNDATION GOLF CLASSIC

Steve Martinez

Agency Recruiting

HOLE S P ON SOR S

With over 22 sponsors and 200 golfers, the 12th Annual HCC STL Foundation Golf Classic that took place at Forest Park Golf Course, was a huge success. This year we raised more than $30,000 for the HCC STL Foundation, which benefits the HCC STL Foundation’s Hispanic Leadership Institute and High School Hispanic Leadership Institute. With the money raised, the HCC STL Foundation provides scholarships to the participants. This program consists of training sessions that focus on particular skill sets for the developing leader.

We are very delighted with the support received from all of the organizations and individuals through their contributions and participation in this event. Our goal is to develop talented leaders in the community of St. Louis.

Photo credits: Carol Lara, Carol Lara Photography and Joe Bommarito, Bommarito Videos 12

We are pleased to announce the participation of 20 professionals for 2018 HLI Class VIII: Ivan Ayala Maria Bautista Eduardo Bravo Kevin Clark Nerishka Cruz Paulina De Regil Jessica Delgadillo Katia Delgado Ignacio Escudero Diana Estrada

Anita Hansen Ilenia Hennessy Jeanette Katic Marisol Lamplot Stephanie Martinez Diana Parra Patricia Sanchez De Andrei Hayar Tomioka Humberto Vasquez Jaclyn Norono-Rodriquez

WE ARE VERY DELIGHTED WITH THE SUPPORT RECEIVED FROM ALL OF THE ORGANIZATIONS AND INDIVIDUALS THROUGH THEIR CONTRIBUTIONS AND PARTICIPATION IN THIS EVENT. OUR GOAL IS TO DEVELOP TALENTED LEADERS IN THE COMMUNITY OF ST. LOUIS.

SUMMER 2018 HISPANIC CHAMBER OF COMMERCE

13

EXPECT INCREASED PRICES ON MANY MACHINES, CHEMICALS, AND RAW MATERIALS IN THE NEAR FUTURE.

term protection. With agriculture and related industries constituting nearly 10 percent of Missouri’s economy, the state may feel the effects of tariffs for several years.

HOW TO MITIGATE TRADE WAR IMPACT?

In a previous article, we discussed strategies to help avoid significant damage from the trade wars. Though the window for filing comments with the USTR in the latest round of the trade war with China has closed, there are still a number of ways to protect your business and “fight” in the trade wars.

• Reach out to your Congressional Representatives • Review ACE data and classifications: U.S. Customs and Border Protection maintains an Automated Commercial Environment (ACE), which provides importers with detailed information about the customs entries that have been filed on your behalf.

All importers should compare their ACE data with the lists of goods that may be subject to tariffs. Keep up to date on the classification of goods.

NAFTA, tariffs and trade wars: ARE YOU READY TO DO BATTLE IN MISSOURI? The trade wars between the U.S. and other countries have not slowed, and Missouri is on the front lines. Additional duties have been imposed on steel and aluminum products, increasing the cost of these products to the benefit of these industries, but to the detriment of steel and aluminum consumers.

all three countries. Should the U.S. withdraw from NAFTA, the U.S. Chamber of Commerce predicts Missouri would experience some of the harshest effects. If USMCA is enacted, the changes will still be significant.

Missouri’s largest trading partners are Canada and Mexico, with around half of Missouri’s exports going to one or the other and culminating in billions of dollars’ worth of commerce for Missouri.

This is a two-way street: goods produced in Canada and Mexico also supports Missouri jobs, as they provide the inputs for Missouri production and sales opportunities. The current trade system with Canada and Mexico supports tens of thousands of jobs across the state. While USMCA maintains the core of NAFTA, the changes are significant and it is not clear that the changes will result in a net benefit to Missouri. Companies should closely review the origin of their products and their supply chains to measure the possible impact.

Additional duties have been imposed on nearly half of the goods imported from China, with more duties on the way. Countries have retaliated against these actions by imposing duties on U.S. exports.

The United States, Mexico, and Canada have now completed the negotiations of the U.S. Mexico Canada Agreement (USMCA) that will replace NAFTA if ratified by all three countries. The impacts of these changes are just being determined. Between trade negotiations and tariffs, Missouri businesses have already felt significant strain with no signs of easing.

EFFECTS OF TARIFFS ON MANUFACTURING, AGRICULTURE Steel and aluminum tariffs have been a small boon for manufacturers NAFTA In this article, we summarize recent developments in the trade wars such as the U.S. Steel plant in Granite City, Illinois, but have placed that will affect Missouri-based manufacturers and suppliers and significant pressure on manufacturers that import raw materials from provide suggestions on how your organization can get involved in outside the U.S., or that use steel in their production operations. the process and position yourself to limit the negative impact and The tariffs have supported price increases and investment in take advantage of potential opportunities. The U.S. Mexico and production capacity. The increased supply of U.S.-sourced steel Canada have now negotiated a new agreement, but the rules have and aluminum, however, has not kept up with demand, forcing changed and it is not certain that the agreement will be ratified by some businesses to consider shuttering.

14

• Exclusion requests: The USTR is taking requests to have specifically identified products excluded from the additional tariffs. A business can still submit requests even if they did not file comments or appear at hearings. The deadline for exclusion requests on the first list of goods is October 9.

• Reevaluate product designs: Goods are dutiable in their condition as imported. Small changes in product design may change the classification of the item and remove it from the additional tariffs that have been enacted.

• Alternative sourcing: If possible, consider searching for new sources of raw materials other than countries targeted by tariffs.

It may be worth moving from one trade war battle to another. If According to the St. Louis Post-Dispatch, Mid Continent Nail in importing from Mexico rather than China provides better longPoplar Bluff, Missouri, which previously imported steel from Mexico term stability, look towards those markets. and benefited from the fact that import competition has served to cap the price of steel procured domestically, has only stayed • Review export supply chains open through its parent corporation absorbing the majority of the Overall, there is no clear solution for Missouri to avoid most of the losses. Tariffs imposed on goods imported from China are just trade war’s effects and the state’s businesses should prepare for beginning to be felt. Expect increased prices on many machines, attrition. Missouri businesses can work with Thompson Coburn, chemicals, and raw materials in the near future. using cost efficient processes, to help avoid the collateral damage China, Mexico, Canada, and other countries in the world are retaliating that businesses may experience as a result of the trade war’s against the trade actions taken by the United States, and Missouri’s impact. We can also analyze an organization’s ACE data compared agricultural industry is a prime target of this retaliation. Increased to the HTSUS subheadings to provide an accurate estimate of duties on agricultural products are shrinking the markets for Missouri your exposure. agricultural products and driving down commodity prices.

For further assistance, contact Robert Shapiro in our International Farm aid packages have mitigated some short-term effects of the Trade group at rshapiro@thompsoncoburn.com or 202-585-6926. retaliatory tariffs imposed on U.S. agricultural exports, but are not You can also follow us on Twitter at @TCTradeReg. expected to cover this year’s losses and may not offer any long-

ROBERT SHAPIRO has extensive experience in advising clients on issues concerning the valuation, classification and origin of imported merchandise; duty-deferral and recovery; free trade agreements; and export controls governing sanctions at the Office of Foreign Assets Control (OFAC), dual use goods under the Export Administration Regulations (EAR) and munitions under the International Traffic in Arms Regulations (ITAR). Robert represents clients in antidumping, safeguard and other trade remedy actions before the International Trade Commission and the Department of Commerce.

SUMMER 2018 HISPANIC CHAMBER OF COMMERCE

15

HETS IS THE FIRST BILINGUAL CONSORTIUM CONSTITUTED BY MORE THAN 40 HIGHER EDUCATION INSTITUTIONS IN PUERTO RICO, THE UNITED STATES AND LATIN AMERICA.

Vargas Reelected HETS EXECUTIVE COMMITTEE CHAIR

Dr. Carlos Vargas, president of Southeast Missouri State University, was recently reelected chair of the Hispanic Education Technology Services (HETS) Executive Committee. The elections were held July 13 during the annual summer Board Meeting at Bronx Community College in New York. Vargas will serve a two-year term.

Dr. Carlos Morales, president of TCC Connect at Tarrant County College in Texas, was elected the new vice chair.

Hispanic Educational Technology Services (HETS) was established in 1993. HETS is the first bilingual consortium constituted by more than 40 higher education institutions in Puerto Rico, the United States and Latin America. HETS is dedicated to promoting, supporting and increasing the capabilities of member institutions to enhance Hispanic/ Latino student access, retention and success in higher education through the integration of technology.

Southeast Missouri State University takes great pride in its Hispanic community on campus. Hispanic enrollment is up nearly two percent from this time last year, according to a first-day enrollment report issued after the first full day of classes of the fall 2018 semester on Aug. 20.

Southeast will celebrate Hispanic Heritage Month Sept. 15 –Oct. 15 with a variety of events that recognize the many contributions that Latinos have made to U.S. culture and the U.S. economy. The Celebration of Hispanic Heritage in the United States started with a week-long commemoration, which was first proclaimed by President Lyndon Johnson in 1968 after being established by a legislation sponsored by Rep. Edward R. Roybal. It was extended to a 30-day period by a legislation underwritten by Rep. Esteban E. Torres under President Ronald Reagan in 1988.

ANN HAYES is the director of University Communications at Southeast Missouri State University, where she has managed both internal and external communication for more than 27 years. She previously served as an assistant account executive with FleishmanHillard in St. Louis. She holds a Master of Science in Journalism from the Medill School of Journalism at Northwestern University, Evanston, Illinois, and a Bachelor of Arts with majors in mass communication and government from St. Mary’s College, Notre Dame, Indiana. She is a member of the Southeast Missouri Press Association and the SEMO Information Officers Association.

16

HELPING PEOPLE LIVE THEIR BEST POSSIBLE LIVES Problems.

The ones too big to tackle alone.

The ones that limit people and limit potential.

The ones that impact all of us.

We go looking for them.

In farm towns and river towns.

Suburbs and cities.

From South City to Swansea.

Overland to Highland.

We surround our community’s most critical problems.

And we fight.

We are the hand-raisers.

The game-changers The never stop fighting, never back down, life transformers.

At United Way of Greater St. Louis, we fight for every person in our community.

We fight for the education of every child.

The basic needs of every family.

The self-sufficiency of every person.

Because what happens to one of us, happens to all of us.

United, we fight for those who can’t.

United, we fight for change.

United, we fight to help people live their best possible lives.

Unite with us.

HELPINGPEOPLE.ORG

SUMMER 2018 HISPANIC CHAMBER OF COMMERCE

17

where

are made

Building a more diverse and inclusive region.

That’s our business.

We’re the Regional Business Council. We’re 100 of the area’s leading businesses, with over $60 billion in revenue, staffed by over 100,000 professional associates.

And we’re targeting those resources and that expertise directly at the St. Louis region. Improving the St. Louis region is a big job. But that’s our Business.

The Regional Business Council stands with the

THE HISPANIC CHAMBER OF COMMERCE

in its work empowering communities and changing lives.

The Premier St. Louis Destination for Brewery, Beer and Food Lovers F O C U S + C O L L A B O R AT I O N + I N V E S T M E N T + A C T I O N + R E S U LT S THE CEOS OF ST. LOUIS’ LEADING COMPANIES John P. Stupp, Jr., Chairman Tony Tersigni, Past-Chairman Carmen Jacob, Vice Chair Tony Thompson, Vice Chair Mike Zambrana, Co-Chair Diversity and Inclusion Kathy Osborn, President and CEO 18

7701 FORSYTH, SUITE 205 ST.

EDUCATION

LOUIS, MISSOURI 63105

GOVERNANCE

314.225.2100

QUALITY OF LIFE

KOSBORN@STLRBC.ORG WWW.STLRBC.ORG

BUSINESS DIVERSITY COMMUNITY ENGAGEMENT

SUMMER 2018 HISPANIC CHAMBER OF COMMERCE

19

C O R P O R AT E S P O N S O R S PLATINUM

DIAMOND

GOLD

SILVER

BRONZE

FRIEND

Anthem ALPLA, Inc. Armstrong Teasdale LLP BMO Harris Bommarito Automotive Group Carrollton Bank Central Bank of St. Louis Citrus Springs Commerce Bank Country Financial CTS Group Dot Foods, Inc. Facilitec Corporate Furnishings Fairway Holdings First Bank Fontbonne University Fox 2 KTVI-TV Garcia Properties Graybar GSG Consultants, Inc. Guarantee Electrical Company Home Depot KWS Gateway Research Center LHM

Spire, Inc LUXCO, Inc. St. Charles Community College Madrina’s St. John’s Bank Magnolia Hotel St. Louis Community College Major Brands St. Louis Economic Development Partnership McCormack Baron Salazar, Inc. St. Louis Post-Dispatch Midland States Bank Strategic Staffing Solutions Midwest BankCentre Success Promotions Mississippi Lime Company Talisen Technologies, Inc. Missouri History Museum TheBANK of Edwardsville Montgomery Bank The Private Bank NextGen Information Services, Inc. Pangea Group Thompson Coburn LLP People’s Health Centers UMB Bank Pinnacle — St. Louis UMSL PNC Bank University of Missouri System Ponce Realty powered by ReMax Gold USA Mortgage Regions Bank ValDivia Enterprises Reliance Bank Volpi Foods, Inc Republic Services Washington University Risk Consulting Partners Weber Chevrolet Creve Coeur R.P. Lumber Webster University Western Illinois University Southern Illinois University—Edwardsville Scottrade Bank World Wide Technology

www.hccstl.com | 3611 South Grand Blvd., Ste 105 St. Louis, MO 63118 | 314.664.4432