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Industry Applauds Bush’s Choice for U.S. Trade Representative

Intellectual property and technology advocates lauded President Bush’s pick for U.S. Trade Representative on Thurs., calling Rep. Portman (R-O.) a friend of the industry who has a firm grasp on free markets and fair trade. The former international trade attorney served in Congress for more than a decade and was a staunch advocate for American manufacturers and entrepreneurs.

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Portman understands the importance of high-tech in gaining access to foreign markets, Information Technology Industry Council (ITI) Pres. Rhett Dawson said. Naming Portman as the nation’s top trade negotiator “shows how serious the Administration is about knocking down trade barriers,” he said. Since Portman is a longtime friend of Bush’s, the industry hopes he will have the White House’s ear when it comes to opening up foreign markets. The Business Software Alliance and Telecommunications Industry Assn. also voiced support for Portman’s nomination.

Although he has widespread support, Portman was somewhat of a dark horse, emerging only in the last couple of weeks as the White House floated his name on the Hill. Other contenders included Gary Edson, Bush’s deputy assistant for international economic affairs, Josette Shiner, deputy USTR and Al Larson, former under secy. for economic affairs, State Dept. One wild card is the possible departure of one or more of the 3 USTR deputies, who are well known in trade circles. Shiner is considered the most likely to leave but so could acting USTR Peter Allgeier and Geneva-based Linnet Deily.

In the House, Portman has been a leading member of the Ways and Means Committee, which Dawson said will make him an effective advocate on the Hill for the Central American Free Trade Agreement (CAFTA) and continued Trade Promotion Authority. Portman achieved high scores on ITI’s biannual High-Tech Voting Guide with a perfect 100% record in the 108th Congress and a lifetime score of 96%.

“As a former legislator, he will probably be more attuned to legislative concerns than some of the past USTRs, probably more adept at working with the Hill,” Patricia Paoletta, former dir. of Telecommunications Trade Policy for USTR, told us. “He’s considered close to the president, so you could have a relationship like [former USTR] Mickey Kantor and President Clinton.”

Paoletta added that the Bush ties “augur well for getting a lot of synchronization with the White House.” She added that while the tradition was to pick a senior trade lawyer, “congressmen are very adept at being quick studies, understanding salient points.

During Robert Zoellick’s term, USTR helped bring China and Taiwan into the WTO and worked with Congress to secure Trade Promotion Authority, Bush said. Zoellick, whose new post will be deputy secy. of State, completed free trade agreements with 12 nations that will open a combined market of 124 million consumers for American businesses, Bush said.

Zoellick’s efforts were helpful in advancing the MPAA’s global anti-piracy agenda and the group looks forward to working with Portman in the future on this, CAFTA and other issues, said John Malcolm, senior vp- Worldwide Anti-Piracy Operations. The MPAA wants Portman to continue to put pressure on countries that have been identified as having piracy and market access issues. Malcolm said: “We are now an economy that has a significant portion of its gross domestic product based on the value of our creativity and we, as a country, cannot afford to have the fruits of that labor stolen.”

RIAA CEO Mitch Bainwol told us he was “thrilled” with the pick, saying Portman “follows in the Zoellick tradition of a rock-solid, super-bright, super-energetic leader.” He noted there are still enormous piracy challenges abroad and Zoellick was “enormously accessible [and] always made sure we had a fair shake.”