According to U.S. government sources, the quotas imposed on textile and apparel from Vietnam will be removed on the date that Vietnam becomes a member of the World Trade Organization (WTO).
The International Trade Administration (ITA) has issued a notice announcing the establishment of a monitoring program covering imports of textile and apparel products from Vietnam. According to the ITA, the monitoring program will begin upon Vietnam's accession to the World Trade Organization (WTO) and will expire at the end of the Bush Administration (January 19, 2009).
In late September 2006, the U.S. Trade Representative and the Secretary of Commerce sent letters to Senators Dole and Graham regarding their constituents' concerns over the possible granting of Permanent Normal Trade Relations (PNTR) to Vietnam and its effect on the domestic textile industry once Vietnam joins the World Trade Organization (WTO).
According to the Office of the U.S. Trade Representative (USTR), on November 19, 2006, the U.S. and Russia signed a bilateral market access agreement which the USTR states is an important element in Russia's accession to the World Trade Organization (WTO).
Washington Trade Daily reports that House Republican leaders have announced that instead of holding another vote on a Vietnam Permanent Normal Trade Relations (PNTR) bill on Wednesday, the House will consider such a measure when it returns in December after a break for the Thanksgiving holiday. (WTD, dated 11/15/06, www.washingtontradedaily.com )
Washington Trade Daily reports that the House yesterday evening fell 32 votes short of approving HR 5602, a bill that would grant permanent normal trade relations (PNTR) to Vietnam. The vote occurred on the suspension calendar, which requires a two-thirds majority. The bill is expected to come up under the regular calendar on Wednesday, requiring only a majority to pass. (WTD, dated 11/14/06, www.washingtontradedaily.com )
The Washington Post reports that the House is expected to pass the Vietnam Permanent Normal Trade Relations (PNTR) bill on Monday, November 13, 2006. In addition, the article notes that Vietnam is expected to release in December a U.S. citizen charged with plotting violence against the communist-run government, which should, at some point, result in the removal of a Senator's 'hold' on Senate approval of the Vietnam PNTR bill. (WP, 11/10/06, at http://www.washingtonpost.com/wp-dyn/content/article/2006/11/10/AR2006111001288_pf.html )
The World Trade Organization (WTO) has issued a press release announcing that on November 7, 2006, the General Council approved Vietnam's WTO membership.
The Washington Trade Daily (WTD) reports that on October 26, 2006, World Trade Organization (WTO) members were expected to formally receive Vietnam's draft schedule of commitments on goods and services and a draft report on its multilateral legal and institutional obligations as a final step in its accession to the WTO. The article indicates that Vietnam is expected to be ready to formally join the WTO as early as December 2006, and that U.S. officials are pressing Congress to approve PNTR (permanent normal trade relations) for Vietnam before then, so that the U.S. can recognize Vietnam's status as a WTO member. (WTD Pub 10/26/06 and 10/27/06, www.washingtontradedaily.com)
American Shipper's Shippers' NewsWire reports that a trade association has condemned a deal worked out last week between the Bush administration and two senators who have held up legislation to grant Permanent Normal Trade Relations (PNTR) status to Vietnam. In exchange for the senators' removal of their hold, the Bush administration will work to ensure that the U.S. textile industry is not harmed when Vietnam joins the WTO, by for example, considering self-initiating an antidumping (AD) case for garments. (The U.S. must remove its quotas on Vietnamese textiles and apparel when Vietnam joins the WTO if PNTR has been granted to Vietnam, among other things). (AS, dated 10/02/06, www.americanshipper.com )