Long-Awaited Free-Trade Pacts Sent to Congress
The Obama administration introduced to Congress three free-trade agreements—after years of languishing in limbo— signed years ago with South Korea, Colombia and Panama.
Congress, which received the accords on Oct. 3, now has 90 days to pass or reject the trade pacts on a yes-or-no vote, but no amendments can be made.
The move caps years of back-and-forth maneuvering between Congress and the Obama administration over the free-trade agreements and how they should be implemented. Concerns over labor violence in Colombia, where union leaders have been murdered, were resolved by implementing a labor action plan for beefed-up security for union leaders and workers.
“For far too long, the U.S. apparel and footwear industry and our more than 4 million U.S. workers have been threatened by growing international competition because of inaction on the pending free-trade agreements with Colombia, Panama and South Korea. In fact, this is the first major step forward for U.S. trade policy since 2009, when the U.S.-Peru Free Trade Agreement entered into force,” said Kevin Burke, president and chief executive of the American Apparel & Footwear Association in Arlington, Va. “Today’s action by the president reaffirms our position as a global leader. Opening these three markets to permanent two-way trade will provide the U.S. apparel and footwear industry with increased opportunities to create more jobs here at home.”
The free-trade agreements are expected to boost U.S. exports by more than $12 billion a year.
The free-trade accords were negotiated and signed during the previous Bush administration. The Colombian free-trade accord was signed in November 2006, the Panama FTA in January 2007 and the South Korea FTA in June 2007.
The Obama administration decided it wouldn’t send the agreements to Congress until the Senate and the House approved the Trade Adjustment Assistance amendment, which provides benefits and funds to train U.S. workers who lose their jobs because of free-trade pacts. The Senate approved TAA on Sept. 22.
The House assured the Obama administration it will approve training and unemployment benefits for displaced workers at the same time it considers the free-trade agreements.
Trade officials were happy to see progress finally being made to get the trade agreements approved. “We must take every opportunity to get America back to work, and Congress should pass these agreements without delay,” U.S. Trade Representative Ron Kirk said in a statement. “Taken together, the pending trade agreements and Trade Adjustment Assistance advance a balanced trade agenda that opens new markets for our exporters and new opportunities for America’s working families.”—D.B.
