From kmander@igc.apc.orgSat Apr 8 11:24:00 1995 Date: 14 Sep 94 14:00 PDT From: Kai Mander Reply to: "Conference trade.news" To: "Recipients of conference trade.news" Newsgroups: trade.news Subject: Trade Week 9-15-94 Trade Week in Review and Resources Thursday, September 15, 1994 Volume 3, Number 37 _________________________________________________ HEADLINES: Clinton Removes Fast Track From GATT Mixed Predictions on GATT's Future Glickman Echoes Dole's GATT Concerns 60 Votes Needed to Pass GATT in Senate Trade Ministers Determined to Ratify GATT Labor Unions Continue to Oppose GATT Rush Limbaugh Opposes GATT Resources _________________________________________________ GATT NEWS SUMMARY _________________________________________________ Clinton Removes Fast Track From GATT President Bill Clinton removed "fast track" authority from GATT implementing legislation to help ensure passage of the bill before Congress adjourns in October. Clinton had sought an extension of the authority to limit congressional debate and require straight yes or no votes on future trade pacts. But Republicans opposed the extension after the administration indicated it would use fast track to address environmental and labor aspects of future trade bills. Senate Finance Committee Chair Daniel Patrick Moynihan (D-New York) had urged Clinton to drop fast track and other "excess baggage" from GATT to increase the trade pact's chances of passing. White House Chief of Staff Leon Panetta said the administration would only remove fast track from GATT if Moynihan and House Ways and Means Committee Chair Sam Gibbons (D-Florida) promised to make fast track extension their first order of business in January. Sources: "GATT: Clinton May Swap 'Fast Track' for Fast Approval," GREENWIRE, September 12, 1994; David Lawsky, "Panetta Willing to Drop Fast-Track From GATT Bill," REUTER, September 12, 1994; Morton Kondracke, "From White House, A Three Part Plan to Cut Fall Losses," ROLL CALL, September 12, 1994; "Administration Aims to Save GATT Bill," CONGRESSDAILY, September 13, 1994; _________________________________________________ Mixed Predictions on GATT's Future After dropping fast track, U.S. Trade Representative Mickey Kantor expressed confidence that GATT legislation would move quickly through Congress. "We're on a good track here now," Kantor told reporters after discussing strategies to pass the Uruguay Round with lobbyists. Others feel passage of the trade pact is still in doubt. They believe that Republicans will continue to do whatever is necessary to prevent Clinton from obtaining a political victory on the eve of mid-term elections. Many Democrats continue to oppose the trade pact as well. Yesterday, a group of newspaper editors released a letter to Clinton protesting the "unprecedented secrecy" of proposed dispute resolution panels under the new World Trade Organization. The editors urged Clinton to assert that U.S. citizens have a "constitutional right to access" to the panel's proceedings when U.S. laws are challenged. Sources: "World Trade Pact Ratification to Move Fast, Kantor Asserts," WALL STREET JOURNAL, September 14, 1994; David Lawsky, "GATT Passage Predicted in Congress," REUTER, September 13, 1994. _________________________________________________ Glickman Echoes Dole's GATT Concerns Representative Dan Glickman (D-Kansas) echoed Senate Minority Leader Bob Dole's (R-Kansas) recent statements suggesting that Clinton delay a vote on GATT until next year. "I feel that we can put off any consideration until next year and use the next few months to further explore the complete ramifications, positive and negative, of this comprehensive trade agreement," Glickman wrote in the KANSAS CITY STAR. Dole has come under increasing attack since suggesting a delay in voting on GATT. The September 19 issue of BUSINESS WEEK argues: "What's really behind Dole's high-minded rhetoric is a GOP ploy to go for President Clinton's political jugular ... It's a dangerous game that Dole and the GOP should abandon." The WASHINGTON POST (September 6) said: "We think (Dole's) wrong. We also think he is taking his party, with its admirable free- trade history, onto new and risky political ground." The NASHVILLE TENNESSEAN, USA TODAY, CHICAGO TRIBUNE, JOURNAL OF COMMERCE, and BALTIMORE SUN also wrote editorials critical of Dole. After meeting Tuesday with U.S. Trade Representative Mickey Kantor, Dole softened his position a little and said it may be possible to pass GATT this year. "I have not been around trying to hustle opposition to the GATT treaty," Dole said. "The bottom line is that we think there are some serious concerns, but I hope we can resolve them." Sources: "Sen. Dole Says Vote on GATT Pact May Be Possible," REUTER, September 13, 1994; Thomas L. Friedman, "Dole Explains Trade Treaty Stand," NEW YORK TIMES, September 14, 1994; "GATT: Clinton May Swap "Fast Track" for Fast Approval," GREENWIRE, September 12, 1994; "GATT: Admin. to Drop Fast-Track: Glickman Speaks Out," HOTLINE, September 13, 1994. _________________________________________________ 60 Votes Needed to Pass GATT in Senate Senator Bob Packwood (R-Oregon), the ranking member on the Finance Committee, warned it will likely take 60 votes in the Senate to pass GATT. Because Senators have not agreed on ways to finance the trade pact, a budget point-of-order would be issued, which would require 60 votes to pass GATT. Packwood predicted the trade pact would pass by about 65 votes with "a reasonable split between Democrats and Republicans." Source: "Packwood: GATT Budget Point-of-Order Is Inevitable," CONGRESSDAILY, September 13, 1994. _________________________________________________ Trade Ministers Determined to Ratify GATT Trade ministers from the United States, European Union, Japan and Canada reiterated their determination to ratify the Uruguay Round of GATT by the end of this year. "We all accorded the highest priority to the rapid and effective implementation of the Uruguay Round and bringing the World Trade Organization into operation on January 1, 1995," the trade ministers said at the end of last weekend's "quadrilateral" meeting of the world's leading economic powers in Los Angeles. Meanwhile, GATT Director General Peter Sutherland told European business leaders not to fear competition from emerging economies in Asia and Latin America and that the European Union would benefit from the Uruguay Round. He urged the EU to act quickly to ratify the pact. So far only 26 of GATT's 125 countries have actually ratified the Uruguay Round. Sources: Louise Kehoe, "Trade Ministers Firm on Ratifying GATT," FINANCIAL TIMES, September 12, 1994; Robert Evans, "GATT Chief Urges EU: Ratify Trade Treaty Fast," REUTER, September 13, 1994. _________________________________________________ Labor Unions Continue to Oppose GATT U.S. labor unions continue to oppose the Uruguay Round. Lane Kirkland, president of the AFL-CIO, warned the Clinton administration recently that if labor rights are not included in world trade rules, the federation will oppose the trade pact. "If the goal of effective minimum labor rights (and) environmental rights and standards is abandoned, we will oppose GATT with all of our strength," Kirkland told reporters. Source: "Kirkland Wants Labor Protected in World Trade Pact," REUTER, August 31, 1994. _________________________________________________ Rush Limbaugh Opposes GATT Conservative talk show host Rush Limbaugh has voiced his opposition to GATT. "I don't think it's a good deal for the United States," Limbaugh said on a recent show. "The GATT deal that was signed by the president could have been signed six years ago. They didn't get anything for it ... I'm totally against the establishment of this World Trade Organization." Source: Excerpt from Rush Limbaugh radio program. _________________________________________________ RESOURCES _________________________________________________ For copies of the following, please contact the authors or organizations listed: "Dangerous Liaisons: The World Trade Organization and the Environmental Agenda," K. Anne McCaskill, CANADIAN DEPARTMENT OF FOREIGN AFFAIRS, No. 94/14, June 1994. 43 pages. For copies, contact the Canadian Department of Foreign Affairs Info Centre (BPTE) (1-800-267-8376) or (613) 944-4000. Fax: (613) 996-9709. Indicate Code SP49A. Available in English and French. A Policy Staff Paper intended to foster discussion of international trends and issues by foreign policy officials. "Social Dumping and the European Community," Rachel Markus, STANFORD JOURNAL OF INTERNATIONAL AFFAIRS, Volume III, Issue 1, Fall/Winter 1994. 197 pages. Stanford Journal of International Affairs, Institute for International Studies, Encina Hall Room 200, Stanford University, Stanford, CA 94305. _________________________________________________ For more information about the Institute for Agriculture and Trade Policy, send email to iatp-info@igc.apc.org. Trade Week in Review is produced by: Kai Mander Institute for Agriculture and Trade Policy (IATP) 1313 5th Street, SE, Suite 303 Minneapolis, MN 55414-1546 USA tel: (612) 379-5980 fax: (612) 379-5982 email: kmander@igc.apc.org _________________________________________________