Robust and open global trade drives the world’s economic engine, Scott Davis said in a keynote speech to the America’s Competitiveness Forum Nov. 15 in Atlanta. “Everyone wins when trade flows freely,” he said to a room packed with about 1,000 international business and government leaders including the vice presidents of Colombia, the Dominican Republic, Panama and Costa Rica.

In his remarks, Scott Davis challenged officials to knock down trade barriers and clear the way for more exports as a driver of global economic growth and prosperity. He said the United States should mend fraying ties with both NAFTA trading partners, Canada and Mexico.

And he called for the United States to pass stalled trade agreements with South Korea, Colombia, and Panama. Davis cited statistics from the United States Chamber of Commerce that said that failure to pass these agreements on the table would cost the United States 380,000 jobs—at a time of 9.6 unemployment. “Does that make any sense?” he asked.

“Sadly, when it comes to trade, our elected leaders seem to be following their hearts more than their heads. In the halls of Congress, compelling arguments for trade get overwhelmed by noisy and heated attacked on globalization.” But he added, with the election over, he’s hopeful that “cooler heads would prevail” and trade deals would move forward.

Davis was introduced by Francisco Sanchez, United States Undersecretary of Commerce for International Trade.  Also attending the forum was U.S. Commerce Secretary Gary Locke who serves with Davis on the President’s Export Council.

The U.S. Commerce Department hosts the Americas Competiveness Forum each year with the aim of building commercial ties among the economies and markets of the Western hemisphere. After his speech, in response to a question, Davis said he was “very bullish” on Latin America and that UPS is continuing to expand its presence in the growing economic region to meet rising demand. Several Latin American and Caribbean nations have signed trade agreements that have boosted growth and commerce, he added.

Davis also mentioned the benefits of working with the U.S. Commercial Service, a U.S. Commerce Department office that helps U.S. businesses export and increase sales in global markets.

An example of a UPS customer that is leveraging the power of new logistics is Jurlique, a maker of high-end skin- and hair-care products based in Australia. In the past, the company absorbed a high cost of doing business in Europe because of air freight shipping expenses and warehouse costs in London.

UPS helped Jurlique streamline its supply chain by consolidating its distribution operations for the United States, Canada and Europe. These distribution facilities are now located in a 7,000-square-foot warehouse space in Atlanta.

By leveraging new logistics capabilities, Jurlique cut shipping costs by an estimated $60,000 per year. Their solution was to piggyback European inventory onto U.S.-bound ocean shipping containers. This logistics adjustment eliminated its London warehouse, saving approximately $7,000 to $8,000 per month. And it reduced customs brokerage expenses and border delays by using UPS World Ease to consolidate international shipments.

The success of Jurlique illustrates Davis’ larger point in his ACF speech about the importance of trade and logistics. “With improved capabilities and electronic customs, shipments can more seamlessly and swiftly around the global and at lower cost.  But trade-friendly rules have to be in place. The bottom line is this: When global commerce suffers, we all suffer and end up paying a price.”