WASHINGTON — Two key House Democrats proposed a framework of conditions for the Bush administration in order to gain their support for pending trade agreements, and a broader set of principles for renewing the president’s trade promotion authority.
Reps. Charles Rangel (D., N.Y.), chairman of the Ways & Means Committee, and Sander Levin (D, Mich.), chairman of the trade subcommittee, gave the blueprint to U.S. Trade Representative Susan Schwab and Treasury Secretary Henry Paulson Jr. on Tuesday and unveiled a one-page document, entitled “A New Trade Policy for America” at a news conference, saying they had the backing of House Democratic leaders and the party caucus.
“The Democratic proposal released today is a positive, credible proposal,” said Reps. Jim McCrery (R., La.) and Wally Herger (R., Calif.), the two top Republicans on Ways & Means. “It goes a long way towards reaching our shared goal.”
Schwab said in a statement: “We have an historic opportunity to create a path forward at this critical point in U.S. trade policy.”
Highlights of the Democrats’ trade plan, including conditions for the administration, are:
–Requiring countries, particularly those with which the U.S. has pending free trade agreements — Peru, Colombia and Panama — to meet core International Labor Organization standards, including abolishing slave and child labor and the right to collective bargaining for a union.
-Congressional passage of a two-year extension for the Andean trade preference program, which provides duty free benefits for Peru, Colombia, Bolivia and Ecuador and is set to expire in June.
-Pressing for “immediate” action by the administration on China “currency manipulation.” Critics, including many in Congress, say China’s currency is undervalued by as much as 40 percent, making goods from that country unfairly cheap and leading to job losses in the U.S.
-Establish a U.S. trade enforcer to prepare World Trade Organization cases.
-Require countries to implement and enforce common multilateral environmental agreements to combat global warming.
“We now have a trade policy that we think is going to be acceptable to Republicans and to the administration for all trade agreements,” Rangel said. “We have a boilerplate basic policy we expect to be in every agreement.”
Related Articles
You May Also Like
The release of the Democrats’ trade principles comes as the administration is trying to find a compromise with Democrats on pending agreements with Peru, Colombia and Panama, and one being negotiated with South Korea.
Democrats are calling for changes to the signed accords with Peru and Colombia, urging that labor and environmental provisions be strengthened. Levin said he expects the deals to be amended.
Asked whether the principles and conditions were a “take it or leave it” demand, Rangel said, “I don’t know how to say ‘take it or leave it.’ They are looking at it and I know one thing, they’re not going to leave it.”
Levin said the Democrats’ “preference” is to get an agreement with the administration on labor and environmental provisions before a March 31 deadline, but the timing appears to be flexible.
The administration is trying to submit the four trade pacts to Congress under existing Trade Promotion Authority, which expires June 30. Although this authority allows the president to make agreements without amendments from Congress, the new Democratic majority is exerting pressure to shape the accords.