Trade Rep urges Bush authority

Manufacturing News, Source : The Manufacturer US
Published : 05 Mar 2007 21:39

Government: US Trade Representative Schwab wants fast-track trade authority for Bush

The White House needs to maintain fast-track authority if it is to compete in the global market, US Trade Representative Susan Schwab said at the launch of the Trade for America Coalition. TFA is a think tank and action group of government and industry leaders, which include the US Chamber of Commerce; the US Council for International Business; the National Association of Manufacturers (NAM); and the American Farm Bureau Federation. According to news reports, those organizations are joined by Procter & Gamble and Wal-Mart, among other US trade giants.

Under Trade Promotion Authority (TPA), Congress cannot amend White House trade initiatives and has limited time to hold an up or down vote. Bush’s fast-track authority expires on June 30. The Administration narrowly won reinstatement of fast-track authority in 2002.

It had previously lapsed in 1997.

Schwab and the coalition argue that fast-track authority, essentially bypassing a vote in Congress, allows the US to “aggressively negotiate” trade agreements. Conversely, as World Trade magazine reported, lawmakers opposed to free trade are threatening to quash President Bush’s request for renewal of fast-track authority unless Bush develops a “meaningful action plan that addresses the burgeoning deficit.”

TPA has been available to presidents from Ford through Clinton, and Clinton used the authority to create 17 free trade agreements.

As evidence of TPA power, Schwab pointed out that the first free trade agreement approved by Bush under TPA was with Chile in 2002, taking effect in 2004. Since then, Chile has become Caterpillar’s fifth-largest export market.

“With such a compelling record—and with so much as stake,” said Schwab, “I am hopeful and confident that Congress will quickly answer the President’s call for TPA renewal with a resounding yes and begin the next chapter in America’s success as a trading nation.”

Comments on this story

click here to add a comment