International Trade Today is a service of Warren Communications News.

CBTPA Renewal Passes in House

The House of Representatives gave approval Sept. 22 for a 10-year renewal of the Caribbean Basin Trade Partnership Act. For it to stay in force beyond its expiration date, Sept. 30, the Senate will have to follow suit with a unanimous consent process (see 2009210048).

Sign up for a free preview to unlock the rest of this article

If your job depends on informed compliance, you need International Trade Today. Delivered every business day and available any time online, only International Trade Today helps you stay current on the increasingly complex international trade regulatory environment.

Senate Finance Committee Chairman Chuck Grassley, R-Iowa, said the CBTPA has been around for 20 years, so it ought to be able to move, but he said that “until we do the hotline, and I find out who's against it,” he can't know for sure. To “do the hotline,” the leadership calls each senator and finds out if he or she will agree to move a bill under unanimous consent, which limits the time for debate.

Rep. Terri Sewell, D-Ala., a co-sponsor of the renewal in the House, said on the floor, “A lapse in this agreement would jeopardize the economic and social well-being of workers in the region. Today's step forward to re-authorize this very important trade promotion program will allow for continued cooperation and enforcement” of workers' rights and against corruption.

Rep. Brad Wenstrup, R-Ohio, also spoke on the floor, saying that helping poor countries to develop while supporting jobs in the U.S. is “a true win-win scenario.” He said the fact that apparel producers under the Caribbean Basin Trade Partnership Act have to use U.S yarn boosts jobs in cotton production and the textile industry. He referred to a Cincinnati-headquartered firm in his district that has a strong partnership with Haitian suppliers. He didn't name it during his floor speech, but in earlier comments had quoted Cintas Corporation, which has used Haitian factories since 2002.

Wenstrup's statement earlier this month included an explanation of the interlocking nature of the CBTPA and the Caribbean Basin Economic Recovery Act. “CBTPA works in conjunction with ... (CBERA) to facilitate the development of 17 independent countries of the Caribbean Basin region. For these two preferential trade programs to be effective, both CBTPA and CBERA must be authorized.”

American Apparel and Footwear Association CEO Steve Lamar said, "We now urge the Senate to quickly take up and pass this measure before it expires eight days from today, and for President Trump to sign it into law. At a time of considerable uncertainty, it is reassuring to see Congress approve a 10-year renewal of the CBTPA to foster predictable and stable trade with Haiti."