----- Original Message -----
From: "Michael Perelman" <[EMAIL PROTECTED]>
To: <[EMAIL PROTECTED]>
Sent: Thursday, May 09, 2002 9:30 PM
Subject: [PEN-L:25836] fast track


> The Dems. got a little, then caved.  Sad.
> --
=====================
5-10-02
Trade Bill Faces Senate Challenge
By JIM ABRAMS Associated Press Writer

WASHINGTON (AP) - Senators intent on preserving trade-retaliation laws
present a fresh obstacle to giving President Bush the broad new
negotiating authority he wants.

Their effort to maintain congressional control over antidumping and other
laws triggering import tariffs follows the resolution of what had been
the biggest hurdle to a Senate trade bill - providing health care
subsidies for the first time to workers whose jobs move overseas.

Sens. Larry Craig, R-Idaho, and Mark Dayton, D-Minn., now want to amend
the bill to allow lawmakers to remove provisions from negotiated trade
agreements that weaken U.S. trade remedy laws. Both sides say the vote on
the amendment, expected early next week, is too close to call.

Craig, a conservative member of the Senate GOP leadership, said the White
House called to urge him to withdraw the amendment. He said he refused.

Supporters of legislation giving the president fast track negotiating
authority are so concerned they held a news conference Thursday, attended
by Commerce Secretary Don Evans and U.S. Trade Representative Robert
Zoellick, to warn that the amendment puts the entire bill at risk. "If
you want to kill the bill, this is how to do it," Zoellick said.

Fast track, or trade promotion authority, gives the president the power
to negotiate trade agreements that Congress can approve or reject but
cannot amend. President Bush says this authority, denied the White House
since 1994, is crucial as the World Trade Organization enters a new round
of talks aimed at breaking down trade barriers.

Proponents overcame a major hurdle Friday when Senate negotiators and the
administration reached a compromise on health care and other benefits for
trade-dislocated workers that Democrats have insisted must be part of the
package. President Bush, at a fund-raiser in Columbus, Ohio, said he was
pleased with the Senate agreement.

"This nation ought to be confident," he said. "We ought to be opening up
markets all around the world to trade."

But still looming before the bill gets to Bush's desk are the
Craig-Dayton amendment and other efforts to change the measure, as well
as tough negotiations with the House, which passed a different version of
the legislation.

Craig, who supports free trade, said his measure, which has 13 Republican
and 13 Democratic sponsors, will strengthen the president's negotiating
hand. It would "send a clear message to our trading partners that
Congress stands behind the administration in defending U.S. trade law at
the negotiating table."

Only Congress has the authority to pass trade remedy laws, "and Congress
should retain the unfettered authority to change them," said Dayton.

Trade remedy laws are aimed at protecting American industries from
practices in which foreign competitors subsidized by their governments
dump their lower-priced goods in the American market. Craig said these
laws have been important in shielding his state of Idaho from the dumping
of Korean microchips or Canadian softwood lumber and "must not be
negotiated away."

Under their amendment, a lawmaker could raise a point of order against a
provision in a trade agreement that weakens a trade remedy law. If that
point of order is sustained, the provision would be stricken from the
rest of the bill.

Craig and Dayton point to a letter to the president last year that was
signed by 62 senators. It said the United States "should no longer use
its trade laws as bargaining chips in trade negotiations."

But Sens. Max Baucus, D-Mont., and Charles Grassley, R-Iowa, chief
authors of the fast track package, said it already requires the president
to preserve the nation's ability to rigorously enforce its trade laws and
to notify Congress of any proposed changes to trade laws.

If the amendment becomes law, Grassley said, it "would have an immediate
and very damaging effect on the ability of U.S. negotiators to do what we
pay them to do: go out and get good trade agreements." He said the Bush
administration, in moving to raise tariffs on Canadian lumber and foreign
steel, has shown its resolve in preserving trade remedy laws.




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