The top House Democrat on trade released a report on Sept. 18 that reiterates a call for more congressional influence on U.S. free trade agreements and trade policy in order to ensure FTAs best serve U.S. workers, the economy and the environment. House Ways and Means Committee ranking member Sandy Levin, D-Mich., is urging trade policymakers to include the principles of the “May 10th Agreement,” brokered in 2007 among lawmakers, in all U.S. FTAs. That pact focuses on worker rights, environmental protections, access to medicine and human rights.
Republicans are trying to give a “death knell” to the Export-Import Bank through its short-term extension in the funding measure passed by the House on Sept. 17, said House Financial Services ranking member Maxine Waters, D-Calif. “By isolating the expiration of the Bank’s charter from any other must-pass legislation, Chairman Hensarling and his ideological stalwarts are counting on increased partisan gridlock to shutter the institution in July,” said Waters in a statement, referring to staunch critic of the bank, Financial Services Committee Chairman Jeb Hensarling, R-Texas. “Although Mr. Hensarling believes this could ultimately result in the Bank’s demise, he and Mr. McCarthy should be ready for Democrats and Republicans to engage in a tireless, bipartisan effort to preserve the Bank, and ensure America’s businesses continue to compete in the global economy.” House Majority Leader Kevin McCarthy, R-Calif., has also opposed the bank. Waters voted for the Continuing Appropriations Resolution 2015, H.J.Res.124 (here). Meanwhile, Boeing also said the short-term extension will damage investor confidence. "Congress has left thousands of small, medium and large U.S. exporters and their workers in limbo until the middle of next year and this will likely negatively impact U.S. sales to foreign customers," said Boeing in a statement. "We will continue to press Congress for a multi-year reauthorization of Ex-Im." Boeing is one of the biggest participants in Export-Import Bank financed contracts. National Associations of Manufacturers official Linda Dempsey also urged a long-term extension in a Sept. 17 letter, while calling on lawmakers to first support the continuing resolution. "While extending Ex-Im Bank’s reauthorization in the CR will address the short-term crisis facing manufacturers, their employees, and their families, Congress’ job is far from over," said Dempsey in the letter. "Manufacturers of all sizes require a long-term, multi-year reauthorization to help grow sales overseas and jobs here at home."
The Senate is scheduled to vote on Sept. 18 on the nomination of Robert Holleyman as deputy U.S. Trade Representative. The vote is slated to come after the Senate considers and votes on a stopgap funding measure. The American Apparel and Footwear Association in recent days pressed the Senate to approve the Holleyman nomination in order to complete the USTR leadership team (see 14091701).
The Senate is set on Sept. 18 to vote on the Continuing Appropriations Resolution 2015, H.J.Res.124 (here), following the House approval of the bill the day before. The measure gives the go ahead for the administration to train and arm Syrian rebels. It also includes an extension of the Export-Import Bank charter through June 2015. The House voted 319-108 to pass the bill. A spokesman for the Senate Appropriations Committee said the last votes are expected tonight by 6 p.m.
Unrestricted global data flows are critical to the health of e-commerce, said eBay Executive Director-Global Public Policy Lab Brian Bieron, testifying Sept. 17 before the House Subcommittee on Commerce, Manufacturing and Trade. "Government restrictions on where companies can process data "would greatly limit the many benefits of the Internet," Bieron said, in prepared remarks. "Imposing data localization requirements on Internet-enabled businesses is problematic from both an economic and security perspective." Bieron said the problem is not remote. "Localization barriers are actually proliferating most among some of the larger and more developed countries," he said. "G20 countries are responsible for 65 percent of the protectionist measures, and at the same time, they are also the countries which are the worst affected by protectionism." Subcommittee Chairman Lee Terry, R-Neb., said in his opening statement "the European Commission, for example, has argued that localization of data could be a way to promote domestic industry and create jobs" (here). The hearing was to discuss the role of cross-border data flows in the ongoing negotiations for the Trans-Pacific Partnership, Trade in Services Agreement, Transatlantic Trade and Investment Partnership and U.S.-EU safe harbor agreement, said a background memo (here). "I am hopeful that Congress can send a unified message to current and future trading partners that trade barriers will not be tolerated, and that we will protect our economic interest in data flows," Terry said.
Senate leadership should act quickly to approve the nomination of Robert Holleyman as deputy U.S. Trade Representative before the end of the week, said the American Apparel and Footwear Association on Sept. 15. AAFA President Juanita Duggan said Holleyman has widespread support on both Capitol Hill and within the trade community. The Senate Finance Committee unanimously advanced the nomination in late July (see 14080121). “By swiftly confirming Mr. Holleyman, the Senate has an opportunity to ensure a full leadership team at the USTR right now,” said Duggan in the letter to Senate Majority Leader Harry Reid, D-Nev., and Minority Leader Mitch McConnell, R-Ky. “This is vital if we are to engage our trading partners at the highest levels during the coming months on a range of trade negotiations, enforcement actions, and bilateral dialogues that are entering sensitive phases.” Reid previously warned senators that the chamber would stay in session through the weekend of Sept. 19-21. The Senate will then go into recess through the November mid-terms. Reid's office did not respond for comment.
The House is set on Sept. 17 to vote on the stopgap funding measure that will allow the government to operate at fiscal year 2014 levels through mid-December. The Continuing Appropriations Resolution 2015, H.J.Res.124 (here), also includes an extension of the Export-Import Bank through June 2015, and is likely to provide authorization for arming Syrian rebels. The Senate will then have to vote on the bill and send it to the president’s desk for his signature before it leaves the Capitol for a roughly two-month recess.
Recent trade-related bills introduced in Congress include:
The House Republican move to put a nine-month Export-Import Bank extension in a 2015 stopgap funding measure actually aims to “eventually kill it altogether,” said Democratic leadership in recent days. The House is set to consider the Continuing Appropriations Resolution 2015, H.J.Res.124 (here), on Sept. 16 (here). Minority Whip Steny Hoyer, D-Md., and Financial Services Chairwoman Maxine Waters, D-Calif., urged a long-term renewal of the bank, but did not reject the addition of an Ex-Im extension in the funding measure. “A multi-year extension of its charter would end the uncertainty that is deterring businesses from entering new markets,” said a letter to Democratic colleagues. “We oppose the Majority’s cynical strategy to eliminate the Export-Import Bank and are committed to working with you to preserve and strengthen it for the long term with a multi-year authorization.”
The Commerce Department’s decision to launch antidumping and countervailing duty investigations on Chinese passenger vehicles and light truck tires is a step in the right direction toward mitigating U.S. industry damage, said 31 Democratic senators, led by Kay Hagan, D-N.C., in a Sept. 15 letter. Commerce is set to make preliminary determinations on countervailing duties for the Chinese imports in late November (see 14081313). The United Steelworkers have petitioned Commerce multiple times in recent years to try to put CV duties into effect. “The Steelworkers’ petitions identified dumping margins as high as 87.99 percent and provided sufficient information for the department to initiate an investigation on 39 separate subsidies available to tire producers in China,” said the letter, sent to Commerce Secretary Penny Pritzker. The union also rallied behind the letter. "China has methodically targeted industry after industry to fuel their export-led growth model and to keep their people employed,” said USW President Leo Gerard in a statement (here). “Too often, America is on the receiving side of their unfair trade practices that have contributed to the loss of more than 5 million manufacturing jobs and the shuttering of more than 60,000 facilities.”