As Rep. Paul Ryan, R-Wis., takes on his second month as House Ways and Means chairman, his top priority is wrapping up talks on free trade agreements and putting those pacts into force, Ryan said in a Feb. 5 speech at the Washington International Trade Association. Ryan urged countries involved in Trans-Pacific Partnership negotiations to either meet U.S. expectations for trade barrier removals or join the talks at a later time, a statement couched in criticism toward both Canadian and Japanese reluctance to slash agricultural duties and regulatory restrictions.
U.S. exports to Japan are dropping due to ongoing undervaluation of the Japanese yen, and Congress needs to tackle currency manipulation in the Trans-Pacific Partnership, said a paper released by the Economic Policy Institute on Feb. 4 (here). The author of the paper, EPI Director of Trade and Manufacturing Policy Research Robert Scott, joined Alliance for American Manufacturing President Scott Paul and Sen. Debbie Stabenow, D-Mich., on a conference call on the same day to discuss the paper.
Senate Democrats blocked a vote on Feb. 3 that would have allowed debate on the House-passed Department of Homeland Security appropriations measure. The procedural motion failed with a 51-48 vote (here). To advance to debate, the measure needed 60 votes. Sen. Dean Heller, R-Nev., sided with the Democratic caucus, and the chamber’s two independents, to oppose the motion. Senate Democrats rail against the bill, HR-240 (here), for its inclusion of policy riders that would prevent implementation of President Barack Obama’s November executive action on immigration (see 1502020034). DHS funding is set to lapse on Feb. 28 if lawmakers don’t pass an appropriations bill by that point, and CBP will lose funding as a result.
The House Ways and Means Committee is poised to push policies that spur growth in the U.S. economy, and international trade is a “surefire way” to boost strong-paying U.S. jobs, said committee chairman Paul Ryan, R-Wis., in a Milwaukee Journal Sentinel op-ed on Feb. 3 (here). “But we also want to break down trade barriers because we know American workers and businesses can compete with any nation,” said Ryan. “We believe in markets, and there are great big ones abroad in which American farmers and businesses can sell their products and services.” Ryan said he chose not to run for president in 2016 in order to focus on the Ways and Means agenda. He has championed Trade Promotion Authority and the Trans-Pacific Partnership since taking over the committee at the outset of this Congress (see 1502030014).
Lawmakers introduced the following trade-related bills since International Trade Today's last legislative update:
House Ways and Means Chairman Paul Ryan, R-Wis., again pointed to trade as a policy area where the Republican-led Congress aims to collaborate with the Obama administration during opening remarks at committee hearing on Feb 3 with Treasury Secretary Jack Lew. "My top priority is putting in place Trade Promotion Authority," said Ryan (here). "To get the best trade deals possible, we have to be in the best position possible, and that’s what TPA will do." Many Democrats on Capitol Hill continue to push Republican lawmakers and the Office of the U.S. Trade Representative to tackle currency manipulation in U.S. trade policy, but USTR Michael Froman has repeatedly deferred to Lew and the Treasury Department on that subject.
Rep. Stephen Fincher, R-Tenn., recently introduced a bill to reauthorize the Export-Import Bank and overhaul many aspects of the credit agency, such as taxpayer exposure levels and new reporting requirements. Fincher and 57 Republican co-sponsors haven’t yet released the text of the bill. Following months of bitter fighting on Capitol Hill over the future of the bank, Congress authorized its extension through June 2015 as part of a funding measure to keep the government running in September 2014 (see 14092203).
The U.S. agricultural industry continues to suffer from the months-long labor negotiation impasse at West Coast ports, despite the recent federal intervention, said a bipartisan group of House members in a Jan. 30 letter to the International Longshore Warehouse Union and the Pacific Maritime Associations (here). The two sides have battled over the terms of a new contract, since the last one expired at the end of June 2014. The ILWU and the PMA have reportedly made progress on chassis maintenance and repair though (see 1501270026), but lawmakers say the threat of port shutdowns looms. “We are becoming increasingly concerned the negotiations are not progressing and a shutdown is possible, which our trade-dependent communities, and nation cannot withstand,” said the lawmakers, led by Reps. Dave Reichert, R-Wash., and Kurt Schrader, D-Ore. “Moreover, even if a resolution is reached quickly, our constituents will endure months of attempting to clear the backlog at the ports and some business may never be recovered.” Federal mediators joined the negotiations at the beginning of January (see 1501060012).
The Senate Banking Committee approved new Iran sanctions legislation on Jan. 29, with an 18-4 vote in favor. The Nuclear Weapon Free Iran Act of 2015, S-269 (here), would direct a rollout of sanctions if the U.S. doesn’t strike a deal with Iran over its nuclear enrichment program by June, or if the Obama administration fails to report to Congress on the details of such a deal (see 1501290026). Banking ranking member Sherrod Brown, D-Ohio, opposed the bill, as did Sens. Jack Reed, D-R.I., Jeff Merkley, D-Ore., and Elizabeth Warren, D-Mass., a Brown spokeswoman said. Banking Chairman Richard Shelby applauded the committee’s approval of the bill. “It is clear that further action is necessary to compel Iran to reach an acceptable agreement, which is why I strongly support this critical bill,” said Shelby in a statement (here). President Barack Obama has vowed a veto, saying the legislation will threaten ongoing negotiations between Iran, the U.S. and other countries (see 1501200072).
A push by the Internet Association (IA) for Congress to renew Trade Promotion Authority and to consider limitations and exceptions for copyright laws prompted applause and skepticism from music licensing and trade experts. IA released a report emphasizing the Internet’s key role in global trade and arranged for three small-business owners to meet with lawmakers to underline the “importance of including digital trade provisions in future trade legislation,” an IA news release said (here). IA sent a letter to the House Ways and Means and Senate Finance committees’ leadership Jan. 14 asking for TPA's passage and flexible copyright provisions (see 1501160008).