Industry Thinks There's Still Hope This Year for TPP, Cites Encouraging Signs

The general dialogue between the administration and Congress to resolve concerns about the pact, as well as the fact that several trade-friendly lawmakers recently won competitive primary elections, has given members of the express industry confidence that TPP passage still can happen, UPS Vice President of Global Public Affairs Dontai Smalls said during the call. “It’s also important to note that when you hear comments of others saying this won’t get done at a particular period, you notice that there’s always a caveat,” such as qualified opposition to the pact “in its current form,” or [acceptance] with certain revisions, Smalls said. “So I think it’s important to note that it’s never been a door fully closed on this, and we will continue to keep our foot in that door, prevent it from being closed, and getting it wide open.”

The services industry has told members of Congress that it views the Obama administration’s recent communications with the private sector on how it will approach financial services provisions in future trade deals as a positive and welcome development, Coalition of Service Industries President Christine Bliss said on the call. But a Senate Finance Committee spokesperson said that committee Chairman Orrin Hatch, R-Utah, believes written "implementation road maps" from the administration would especially help allay member concerns about TPP, pertaining to financial services provisions and otherwise. “Should the administration fully engage with members and actively work to address the substantive concerns that have been expressed, we’d have a real opportunity to advance a strong TPP that meets the high standards set by the bipartisan Trade Promotion Authority," Hatch said in a statement. "We’re simply not there yet.” House Ways and Means Chairman Kevin Brady, R-Texas, expressed similar concerns in an emailed statement, saying while the administration's financial services proposal is "very welcome," the committee is still looking for assurances that all TPP parties will agree to enforceable obligations. Both House and Senate leaders have said there are some major hurdles going forward (see 1609090013 and 1608260022).

U.S. Trade Representative Michael Froman this week continued his office’s emphasis on visiting locations throughout the U.S. to spread a positive message about the believed benefits of TPP. Froman participated in a panel discussions on TPP this week in Texas. During his speech at Rice University (here), Froman focused on the bipartisan support for free trade agreements. He noted “it’s in that same bipartisan spirit” that USTR is working with Hatch and House Ways and Means Committee Chairman Kevin Brady, R-Texas, to move the agreement forward.

In addition to the “hundreds upon hundreds” of meetings that NAM members and peers have had with House and Senate members, members of the TPP Coalition will head to Capitol Hill next week, replete with information technology, media, entertainment and financial services representatives, in an effort to nudge lawmakers toward support. Also of note, last week, Minnesota Farm Bureau members met with eight of the 10 members of Minnesota’s congressional delegation to build support for TPP, bureau President Kevin Papp said during the call. NAM joined with the Coalition of Service Industries, the Information Technology Industry Council and the American Farm Bureau Federation in a letter (here) to President Barack Obama, Senate Majority Leader Mitch McConnell, R-Ky., House Speaker Paul Ryan, R-Wis., Senate Minority Leader Harry Reid, D-Nev., and House Minority Leader Nancy Pelosi, D-Calif., reiterating economic arguments for pact approval, saying trade agreements help grow the U.S. agriculture, manufacturing and IT industries. “It is past time for our government to roll up its sleeves and work together with Congress to find a path forward,” the letter says. “Industries throughout the United States are waiting.”