Search

Trade has not played a major role this year in either the presidential race or in most congressional contests in the U.S. But in America's rapidly globalizing economy, trade looms as a major challenge for the incoming U.S. Congress and whoever wins the presidency. The new administration must wrap up a string of unfinished bilateral free trade negotiations and probably find a way to gracefully abandon talks for a Western Hemisphere free trade deal, which after a decade of head-butting seems hopelessly deadlocked. Also, the new Congress and president might no longer be able to avoid dealing with the flood tide of imports coming from China, especially as China sells to the U.S. increasingly sophisticated products that directly threaten U.S. jobs.

Although farm groups are still seeking details of the recently concluded U.S.-Australian Free Trade Agreement, at least two U.S. agricultural groups say they see considerable benefits for domestic producers. The Dairy Trade Coalition today sent members of Congress charts based on U.S. and Australian government sources and media reports showing that the Australian quota on all dairy products would rise from 10,765 metric tons to 60,925 metric tons over the next 20 years. The charts also showed an increase in Australian cheese quotas over 20 years from 7,000 metric tons to 21,000 metric tons.

The U.S. Department of Commerce has announced that it was invoking "safeguard relief" to limit imports on three textile products exported to the U.S. from China. Although Commerce officials said the action was justified in its own right, the decision could also be used to help build support in Congress next year for the Central American Free Trade Agreement (CAFTA). Concerns over competition from foreign textile producers will be front and center during debate over CAFTA, which is now being negotiated and is expected on Capitol Hill next year. The decision, made in response to petitions by U.S. textile producers, limits growth in imports from China of knit fabric and dressing gowns and robes to 7.5 percent over the next 12 months.

Australian Trade Minister Mark Vaile has described the chances of finishing an Australian-U.S. free trade agreement this year as "better than 50-50," and defended AWB Ltd.--the former Australian Wheat Board--for selling wheat to former Iraqi President Saddam Hussein's government at unusually high prices. During an appearance on "Sunday Sunrise," an Australian public affairs show, Vaile was asked about speculation that if a free trade agreement is not reached by Christmas it will not get done.

If U.S. cattlemen are going to support a free trade agreement with Australia, they need increased market access for beef in other countries, preferably South Korea and Japan according to National Cattlemen's Beef Association lobbyist Chandler Keys. He said U.S. imports and exports of beef are now roughly equal— about 12 percent of production— but that cattlemen believe reducing or eliminating the U.S. tariff rate quota on Australian beef could increase imports with no likelihood of export sales to Australia, which already produces more beef than its population can consume.

U.S. House Agriculture ranking member Charles Stenholm, Democrat from Texas, and sugar grower lobbyists at their annual symposium said the 2002 farm bill has restored the sugar industry to health, but said they fear the possible impact of the Doha round and bilateral trade negotiations, as of August 6, 2003. Stenholm noted in a speech that, "after a tumultuous period between 1999 and 2001 when sugar prices fell to 22-year lows," the 2002 farm bill's "effective inventory management program" led raw cane sugar prices to rise from just over 17 cents per pound in 2002 to almost 22 cents and refined beet sugar prices to rise from 19 cents to 28 cents. Stenholm noted that the administration of the U.S. President George W. Bush is engaged in bilateral and regional free trade negotiations with 28 countries and that all those countries provide some type of government support to their sugar industries.

A U.S. trade official indicated that the United States may not be prepared to seek strict rules on labor and environment in free trade talks with Central America than it did in text of the Chile free trade deal. Congressional Democrats have criticized those provisions, saying they will oppose the Central American Free Trade Agreement if the Chile provisions are used as a model. Another tough issue that has seen little progress so far is textiles and apparel, where Central American countries are seeking tariff preference levels that would allow them a level of duty-free access for products assembled of fabric from Asian countries.

Encouraged by signs of a swift and relatively bloodless victory, business backers of free trade agreements with Chile and Singapore are gearing up to try to win final approval of both agreements before the U.S. Congress takes its August 2003 recess. The Office of the U.S. Trade Representative will likely send final legislation to Capitol Hill implementing those agreements the week of July 14, according to congressional and K Street sources. A Senate leadership aide agreed that it was possible that a final vote on both agreements could happen before the August recess— but added that the schedule would depend on how much time each side wanted to debate the agreements. A set of talking points being used by backers of the U.S.-Singapore FTA, in addition to reaping benefits from the FTA in the areas of strengthened intellectual property protections and expanded access for U.S. service companies, attempts to defuse potential objections to the agreement's provisions.

Reports on the general concerns expressed by supporters of U.S.-Chile free trade agreement on the refusal of Chile to support U.S.-backed resolution for the use of forces in Iraq. Division among the supporters of the free trade agreement; Possibility of delay in the trade agreement; Criticism of Chile's refusal by business supporters of the trade agreement.

Reports that members of the U.S. organization K Street are confident of winning the two major congressional free trade deals with Chile and Singapore. Speculations over the outcome of the deals; Possible difficulties in implementation of the deals; Senators supporting the deals.

The article reports that the World Trade Organization (WTO) Doha round talks in Hong Kong headed into the weekend with little prospect for any dramatic breakthroughs that would lead to a liberalization of world trade. But WTO Director General Pascal Lamy was expected by Saturday to try to write a text that would bridge the differences among the different factions. U.S. officials complained that the European Union and others had declined to negotiate on tariff reductions and the most likely agricultural agreement is to restrict programs known as export competition, although even that is problematic.

The article informs that U.S. Trade Representative Rob Portman said that the meeting of trade ministers from all 148 World Trade Organization member countries is unlikely to produce the results needed to push the Doha, Qatar, round forward and suggested they meet again in Geneva by March 31, 2006. Portman did not suggest why negotiators would be able to make more progress three and a half months from now. But Portman said he hopes he and other trade ministers from developed countries will be able to make an announcement on a proposal to provide duty-free and quota-free access to the U.S. market for products from the 49 least developed countries.

This article reports that the American and Peruvian trade negotiators plan to meet on Monday and Tuesday in Washington to try to finalize a bilateral free trade agreement, potentially moving Peru ahead of Colombia and Ecuador. All three countries have until now been negotiating together with the United States toward a U.S.-Andean trade pact. Ecuador and Colombia temporarily put talks on hold last month, citing differences with the United States over market access for agriculture and intellectual property protections related to pharmaceutical trade. But Peruvian president Alejandro Toledo has indicated his desire to press ahead and conclude an agreement before the end of the year.

The article reports that the U.S. government and U.S. industry officials criticizes a revised offer from the European Union (EU) on market openings for agriculture in the Doha round of global trade talks. The U.S. government said that the offer left too much room for Europe to protect farm products from import competition. The EU proposal to protect up to 8 percent of its tariff lines--or about 176 of 2,200 farm products--from across-the-board tariff cuts is a show stopper. While the EU members still would be required to increase market access for those sensitive products either by lowering tariffs or expanding quotas, those products would be shielded from the tariff-cut formula that will apply to other agriculture goods.

The article reports that the U.S. Agriculture Department's Farm Service Agency (FSA) is a New Deal relic with little prestige. The FSA administrator, who runs a network of offices in nearly every county of the country, is unlikely to be invited to Georgetown dinner parties. U.S. President George W. Bush's administration has never shown much enthusiasm for FSA. In mid-September, the Associated Press obtained an internal FSA document showing the agency was planning to close about one-quarter of its county offices. Agriculture Undersecretary for Farm and Foreign Agricultural Services J.B. Penn denied he had ever seen the document.

This article reports that the U.S.-Bahrain Free Trade Agreement won praise from most Republican and Democratic members of the House Ways and Means Committee in a hearing, signaling a likely smooth, bipartisan passage through the House for the deal. But House Ways and Means Chairman Bill Thomas did not give a specific timeline for further committee action on the trade deal, and underscored that Bahrain must make further progress on agreed-upon changes to its labor code. Trade Subcommittee ranking member Benjamin Cardin, said that these changes address shortcomings in Bahrain's 2002 labor overhauls, including penalties for anti-union infractions, the withholding of salaries from foreign workers, the right to strike, and the reinstatement of workers fired for union affiliation.

This article reports that significant work remains to be done on market-access provisions in the U.S.-Andean free trade agreement following negotiations in the last week of September 2005, in Cartagena, Colombia. According to Regina Vargo, Assistant Trade Representative for the Americas, a positive note out of last week's meeting was a recognition that they had a particular window of opportunity over the next two months to see what they can do about possibly bringing these talks to conclusion, but that will be challenging. While concluding that a deal by the end of the year would set the stage for bringing an Andean trade pact before the U.S. Congress early in 2006, Vargo stressed there is no deadline for conclusion of the talks.

The article reports that Peruvian President Alejandro Toledo called on U.S. President George W. Bush administration to complete the negotiations on the U.S.-Andean free trade agreement by the end of 2006. This is required so that it can be approved in January or February 2006 before election campaigns begin in Peru and Colombia. Speaking at a U.S. Chamber of Commerce breakfast, Toledo noted that he is not running for re-election, but said waiting until after that time would make the debate over the Andean pact "too political."

Presents comments of U.S. House Ways and Means Chairman Bill Thomas on the possibility of a free trade agreement of the U.S. with South Korea. Statement of Thomas that the people of South Korea are desperate for fresh fruit and vegetables.

This article reports that U.S. Trade Representative John Portman reported to key members of the U.S. Congress today that the final barriers to the free trade agreement (FTA) with Bahrain are being ironed out and that the deal should be ready for congressional consideration this year. Portman also told lawmakers that South Korea, Egypt, Malaysia and Switzerland all have approached the United States about the possibility of launching bilateral trade talks. The FTA between the United States and Bahrain was signed a year ago and following extensive consultations between the Office of the U.S. Trade Representative and Capitol Hill, supporters hope to put the agreement before the House and Senate this fall.

The article reports that Democrat Tim Dunn, an Iraq war veteran, said he probably will run in the U.S. elections to be held in 2006, for the seat held by Representative Robin Hayes. Dunn, a lieutenant colonel in the Marine Corps Reserves and a lawyer, spent six months in Baghdad helping the Iraqi Special Tribunal investigate and begin prosecuting leaders in Iraqi President Saddam Hussein's former regime. Dunn said he would like to make the war an issue, along with homeland security and the Central America Free Trade Agreement.

The article reports that Idaho's Republican lawmakers said recently the U.S. administration led by President George W. Bush, might play a bigger role in the 2007 farm bill debate than other recent administrations, and sugar interests will need to step up their efforts to influence that legislation. The gathering of cane, beet and corn farmers took place one week after the U.S. House approved Central America Free Trade Agreement, which the sugar growers bitterly opposed. But sugar growers and their supporters in Congress expressed no regrets about their opposition.

This article reports that in a sign of labor's frustration with the 15 U.S. House Democrats who voted last month for the Central America Free Trade Agreement, members from New York's Working Families Party (WFP), a liberal, labor-based political party, targeted New York Democratic Representatives Gregory Meeks and Edolphus Towns at a Sunday event at City Hall. At the Sunday rally, the WFP and members of local unions announced an informational campaign to reach 75,000 union members in their two districts criticizing their support of the trade agreement.

The article reports that three House Republicans in the U.S. who loudly opposed the Central America Free Trade Agreement (CAFTA) saw their highway projects cut as much as 70 percent, based on figures in the recently passed surface transportation reauthorization conference report. GOP leaders said they held off a vote on the highway bill to squeeze out support for the CAFTA, which passed by two votes last week despite 27 GOP defections. Two of the loudest defectors--Virgil Goode of Virginia and Walter Jones of North Carolina--had their "high-priority" highway projects cut by more than 70 percent from the House-passed bill.

The article reports that a procedural dispute between U.S. House Speaker Dennis Hastert and U.S. House Minority Leader Nancy Pelosi's floor operations ratcheted up frustration levels and left four Democratic bills in the dust heading into the August 2005 recess. Originally scheduled for floor votes on August 3 Republicans bumped four Democratic suspension bills to make room for debate and a vote on the Central America Free Trade Agreement, with the understanding that the bills would be voted on August 4.

This article reports that Republican Main Street Partnership Executive Director Sarah Chamberlain Resnick had issued a challenge on July 28, 2005 to the fiscally conservative Club for Growth, which has previously backed primary challenges to incumbent members of Resnick's group. Resnick said she counted at least a dozen Grand Old Party members with ties to the Club for Growth who voted against the Central America Free Trade Agreement (CAFTA) on July 28. Resnick said only three Main Street members had voted against CAFTA.

The article informs that American Federation of Labor and Congress of Industrial Organizations (AFL-CIO) President John Sweeney today threatened to retaliate against the U.S. House of Representative Democrats who voted for the Central America Free Trade Agreement. We need to look at running primary opponents against so-called Democrats who refused to stand with the working people who elected them, Sweeney told labor delegates on the final day of the AFL-CIO's biennial convention in Chicago, Illinois. He also urged local union leaders to mobilize phone banks and e-mail networks to contact members of Congress who supported the trade pact.

The article informs that it took 47 extra minutes and a personal appeal from the U.S. President George W. Bush to help the U.S. House Republican leaders push the Central America Free Trade Agreement over the top early today. The crucial votes in the 217-215 squeaker came from the House members Robin Hayes and Steven LaTourette, who had previously opposed the agreement. Before falling back on Hayes, who switched to yes at the last minute, and LaTourette, leaders and administration officials appealed for support to other members, too.

The article focuses on the political debate about the Central America Free Trade Agreement (CAFTA) in the U.S. The Republican and Democratic leaders traded charges that the CAFTA was being used for political gain rather than examining the merits of the agreement itself. According to the chairman of the House Ways and Means Committee, this is not a major trade vote--it is a major political vote. It has been made a major political vote by the Democrats. The Democrats were exerting pressure on their members to oppose the treaty "to blunt" the power of a Grand Old Party-controlled Congress and a Republican president for political gain.

The article focuses on the legislative bill related to the Central America Free Trade Agreement (CAFTA) in the United States. On July 27, 2005, the U.S. House of Representatives leaders will open debate on CAFTA at 10 pm, which would set up a vote around midnight on the bill. As the Republican whip team and the pro-CAFTA business lobby scrambled to win over still-undecided members, Democrats raised questions about side deals on textiles and apparel that have been used to secure votes from a handful of Southern Republicans.

The article reports that with a U.S. House vote on the Central America Free Trade Agreement (CAFTA) on tap for next week, President George W. Bush's administration today announced the creation of a new post designed to help combat intellectual property rights violations. The CAFTA vote has featured aggressive efforts by supporters to counter various concerns about free trade on Capitol Hill, and legislation addressing Chinese trading practices is moving in tandem with the CAFTA implementation bill. China's spotty record on intellectual property rights (IPR) is a major concern of businesses and many legislators, including some who may vote for CAFTA and who have in their districts high-technology firms that are particularly worried about IPR violations.

The article reports that the U.S. House hearings schedule for the first week of August 2005 is fluid as the floor time has been set aside for a series of healthcare bills. The American political party, Grand Old Party leaders are also eyeing long-stalled highway and energy bill conference reports, two or three FY06 appropriations conference reports, and the near-certainty of a vote on the Central America Free Trade Agreement. The House will also take up three bills under the Republican leadership's theme of "healthcare week," including a medical liability overhaul measure, a bill on association health plans, and a bill to allow individuals to purchase healthcare insurance across state lines.

The article reports that the U.S. House Ways and Means Chairman William Thomas insisted today that a package of China trade measures he has endorsed will come to the floor before the House votes on the Central America Free Trade Agreement. Thomas defended the decision to hold a vote on a package of China trade provisions despite objections from the business community that bilateral trade might be adversely affected. Thomas said that legislation might also be required to implement an agreement with Nicaragua to restrain its ability to use negotiated tariff-preference levels to source from outside the United States or Central America, depending on the details of the agreement.

This article reports that following a meeting with his Cabinet today, U.S. President George W. Bush highlighted four agenda items for the days preceding the August 2004 recess but failed to include social security, which has been his top domestic priority all year. Bush listed the energy bill, the Central America Free Trade Agreement, legal reform and the transportation bill. On the upcoming U.S. Supreme Court nomination process, Bush promised to continue consulting with the U.S. Congress, and he welcomed suggestions from lawmakers.

This article reports that the U.S. House Ways and Means Committee's Chairman is pressing GOP leaders to set a date for a vote on the Central America Free Trade Agreement, aiming to signal recalcitrant Republicans that they will have to vote on the controversial trade pact. House leaders are eyeing the last week of July 2004 for a CAFTA vote, but have not set a firm date. House Republicans were adamant today that the House will vote on CAFTA that week, even though the chairman has not yet filed the committee report that would set in motion a 15-day clock for a House vote to occur. The Republicans said it is likely there will be a vote around the same time as CAFTA on legislation to address alleged trade abuses by China.

This article reports that while the U.S. Senate continues working through FY06 appropriations bills with a few policy proposals along the way in July 2005, the U.S. House faces a crucial vote on the Central America Free Trade Agreement, and both chambers might vote on conference agreements on surface transportation reauthorization and comprehensive energy bills. When the Senate and House return in the third week of July, they begin a three-week run toward a scheduled August recess. Next week, the House will take up the Water Resources Development Act and a bill to overhaul operations at OSHA. The House will name conferees to the energy bill early in the week.

The article reports that after House Ways and Means Chairman Bill Thomas' panel voted to approve the Central America Free Trade Agreement, Thomas said he expects the House to act on a legislative package addressing China trade before it votes on CAFTA. Thomas is examining options to be included in such a package, including earmarking enforcement money for the Office of the U.S. Trade Representative for such priorities as intellectual property enforcement. Ways and Means members passed the CAFTA implementing legislation on a 24-11 vote but Thomas said he would hold the roll call open until 5 p.m. for the benefit of members who were not present at the markup.

The article reports that the U.S. Senate Finance Committee approved the Central America Free Trade Agreement (CAFTA) by voice vote, setting up a possible Senate vote. CAFTA would likely be brought up on the Senate floor with a vote expected contingent on senators agreeing to yield back part of the 20 hours of debate provided under trade negotiating authority legislation. Of that $40 million, $3 million will be used for a twice-yearly report from the International Labor Organization to monitor progress CAFTA signatories are making on labor reforms they committed to as part of a "white paper" they completed in concert with CAFTA negotiations.

This article reports that House pushes CAFTA vote to July 2005. House GOP leaders will wait until July 2005 to bring the Central America Free Trade Agreement to the floor, although a House Ways and Means Committee markup is still a possibility, according to congressional and business sources. House Ways and Means Chairman is weighing whether to push the bill through committee because doing so would start a 15-legislative day clock by which the House must vote on it, under timelines established in the presidential trade negotiating authority law.

This article focuses on the Central America Free Trade Agreement. At a Washington International Trade Association event, Clayton Yeutter, a former U.S. trade representative and Agriculture secretary, and Hugo Paeman, a former European Ambassador to the United States, said they see major changes in attitudes, and not for the better. Paemen also noted that business leaders such as former American Express CEO, Jim Robinson, who played a major role pushing the 1994 Uruguay Round agreement, are not playing the same role in the Doha round because they do not see the same bottom line return.

This article focuses on the Central America Free Trade Agreement (CAFTA) legislation. An announcement by the panel came after the White House sent the final CAFTA implementing bill to Congress and sets up a possible confrontation at the panel over sugar. Separately, economists at a Manufacturing Institute event today said depressed export growth because of an overvalued dollar was a larger factor than imports in manufacturing job losses and recession in the United States between 2000 and 2004.

The article focuses on a report released today by Public Citizen. The report catalogues promises made to lawmakers by Clinton and George W. Bush administrations, on trade votes from North American Free Trade Agreement to permanent normal trade status for China to the 2002 trade negotiating authority law, and attempts to track whether those promises were kept. Examples of broken promises highlighted in the report include a pledge from the Clinton administration to put in place expedited safeguard procedures for tomatoes, helping to secure support for NAFTA from Florida members including House Ways and Means Trade Subcommittee Chairman Clay Shaw, Democratic Representative Alcee Hastings and a number of others who have since left Congress.

This article reports that the U.S. House Ways and Means Committee approved draft Central America Free Trade Agreement (CAFTA) implementing legislation by a 25-16 vote. It is now that U.S. President George W. Bush's Administration to decide when to push for a vote on the final version. An amendment offered by Ways and Means ranking member Charles Rangel, addressing labor standards was defeated on a party line, 24-16 vote. Rangel's amendment would have blocked CAFTA from taking effect until it is re-negotiated to secure commitments from each country to bring its labor laws into compliance with core International Labor Organization standards within three years, and to make labor violations punishable by trade sanctions under the pact.

The article reports that Senator Craig Thomas is ready to cast the deciding vote in the Senate Finance Committee to support the draft Central America Free Trade Agreement, despite his misgivings about the impact of its provisions on the U.S. sugar growers. Senator Kent Conrad objected to the vote on grounds that panel rules require that proxy votes cannot be used to report out a bill. The panel approved by voice vote an amendment that would expand trade adjustment assistance to workers in service industries.

The article informs that Senate Finance Chairman Charles E. Grassley might have the votes to approve the Central America Free Trade Agreement, but it is not in the bag. In a conference call with Iowa reporters, Grassley said he hopes to win approval of the agreement despite the concerns of the big, 800-pound gorilla sugar industry. He is promoting his case by giving senators laminated, three-by-five inch cards showing the agricultural products that enter the U.S. market without duties and U.S. exports to Central America and the Dominican Republic that have an average tariff of 11 percent.

The article focuses on issues related to the way the Central America Free Trade Agreement (CAFTA) deals with sugar. The administration would implement a provision that would allow the United States to compensate other countries rather than take their sugar. Senate Agriculture Chairman Saxby Chambliss fears the CAFTA provision that allows an increase of 100,000 metric tons per year in sugar imports would disrupt the sugar program. The administration officials have minimized the impact of the sugar provision and have yet to explain how the compensation program would operate.

The article reports on the prediction by the U.S. Chamber of Commerce officials, today, that supporters of the Central America Free Trade Agreement would begin to find more success among undecided members of the U.S. Congress as the business community next week begins for its final push on the trade deal. The U.S. Chamber of Commerce has arranged visits in various U.S. cities on Monday and Tuesday for the Presidents of Costa Rica, the Dominican Republic, El Salvador, Guatemala, Honduras and Nicaragua.

The article focuses on free trade agreement between the U.S. and Oman. Oman's minister of trade and industry Maqbool bin Ali said that talks with the U.S. government over this issue have gone so well that the deal should be wrapped in May. The U.S. government is seeking to reach free-trade agreements with a number of countries in the Middle East, hoping that economic liberalization will foster a movement toward greater democracy in the region. Negotiations on deal over this issue with a number of countries in the Middle East are scheduled for next week.

The article presents information on a U.S. House Ways and Means Committee hearing on the Central America Free Trade Agreement. The hearing discussed differences over the role of labor and environmental provisions in trade agreements. Ways and Means Trade Subcommittee ranking member Benjamin Cardin, attacked trade negotiators of the administration of U.S. President George W. Bush, for settling for an "enforce your own laws" standard, rather than seeking to pressure Central American countries to strengthen their labor laws.

The article reports that U.S. Trade Representative Rob Portman has offered to come to Capitol Hill to negotiate the implementation of a sugar provision in the Central America Free Trade Agreement (CAFTA). Portman also offered to take a fresh look at enforcement of U.S. trade laws and pledged a "top-to-bottom review" of trade disputes with China. Senator Craig Thomas noted that sugar is a major Wyoming product and asked Portman if he thought the sugar section of CAFTA was negotiated properly. Portman also noted that CAFTA, unlike other trade agreements, contains a provision that allows the United States to compensate those countries rather than import their sugar.