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Stop Fast Track

What's Next for Fast Track?

It is expected that the U.S. Senate will vote on the Fast Track bill as early as the first week of February 2002. San Diego Green Party members have been meeting with members from other organizations who actively oppose Fast Track. According to reports from the California Fair Trade Coalition, it will be difficult if not impossible to sway enough Senators to vote against this bill. We will continue to meet and discuss different strategies against Fast Track. If you are interested in this issue please email Magali at magali@sdgreens.org or call (858) 578-4505.

In the meantime take some time to write to our California Senators, Dianne Feinstein and Barbara Boxer. They need to hear from their constituents and others about why Fast Track needs to be voted down, or at the least, changed. Although we are in support of getting rid of Fast Track completely, here are ways in which Fast Track can be changed:

  • Change language around negotiating objectives. Currently the language is weaker than what was used to pass NAFTA. Add enforceable measures that protect the environment and jobs in the U.S. and abroad. It is estimated that over 500,000 jobs have been lost in the U.S. because of NAFTA. It is a known fact that Fast Track will be used to pass the FTAA agreement which will expand NAFTA throughout the Americas. U.S. jobs will be lost, poverty in the Americas will rise and migration north will increase as well.
  • Limit the Executive Branch from signing trade agreements that would result in creating corporate courts. This is directly related to language around chapter 11. Currently, a corporation can sue the government for restricting their rights under NAFTA.
  • Ask that the ban on labelling Genetically Modified Organisms (GMOs) be excluded from the Fast Track bill. Over thirty nations around the world currently require labelling of GMO products as a response to their citizen's concerns. Each nation, including our own, should have the right to make such decisions without penalty.

    Contact your Senator

    Use the form at www.unionvoice.org to send a fax to your Senator or write a letter to the addresses below. Remember that letters are better than emails.

    Dianne Feinstein
    Phone in DC:
    (202) 224-3841
    San Diego office
    750 "B" Street,
    Suite 1030
    San Diego, CA 92101
    (619) 231-9712
    (619) 231-1108 Fax
    or send her an email through her website
    Barbara Boxer
    San Diego office
    600 B Street,
    Suite 2240
    San Diego, CA 92101
    (619) 239-3884
    (619) 239-5719 fax
    or send her an email through her website.

    For more facts on Fast Track and Fair Trade:

  • Fast Track Congress votes. Results are in.
  • Global Trade Watch page
  • Global Exchange's Fast Track page
  • International Federation for Alternative Trade

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    Reasons to oppose Fast Track Proposal

    1. Fast Track Proposal drafted by Rep. Thomas is Divisive

    Rep. Bill Thomas (R-CA) began maneuvering immediately after the 9/11 attacks to advance a so-called "compromise" bill on fast track (now called "trade promotion authority"). While the nation was in mourning, Thomas appears to have jumped at an opportunity to take advantage of the pressure on lawmakers to demonstrate unity in order to secure passage of divisive legislation. The last Administration failed twice to obtain trade promotion authority. The current U.S. Congress had to delay a vote on the bill until after the August recess, due to lack of support. The country deserves a thorough and thoughtful debate on this controversial issue-not a senseless rush to advance an unpopular free trade agenda.

    2. Thomas Proposal a Sleight of Hand on Labor and Environment

    Thomas claims that his proposal incorporates concerns about labor and environmental impacts of free trade. However, upon close inspection, it is clear that these proposals do not adequately address these concerns. First of all, the proposal merely calls for U.S. trade officials to seek labor and environmental provisions in future trade agreements. It does not make them mandatory. Moreover, the proposal falls short of demanding that countries respect the internationally recognized standards established by the International Labor Organization. Instead, it asks U.S. officials to seek a commitment to enforce existing domestic laws, which are inadequate in many countries. On environment, the proposal only calls for "promoting consideration" of Multilateral Environmental Agreements, such as the international conventions on biodiversity and climate change. Environmentalists have demanded that these international agreements take precedent over international trade laws. The proposal completely ignores concerns about the controversial investor protections under NAFTA, which are perhaps the most extreme examples of excessive power granted to corporations in trade agreements.

    3. Claims that We Can Fight Terrorism with Trade are Opportunistic and Misguided

    In recent speeches and published commentaries, U.S. Trade Representative Robert Zoellick has asserted that trade promotion authority is necessary as a means to fight terrorism. Rep. Charles Rangel (D-NY) expressed the feeling of many by responding that he was "offended by the strategy of the Current United States Trade Representative to use the tragedy in New York and at the Pentagon to fuel political momentum behind a partisan 'Fast Track' proposal." Beyond his sheer opportunism, Zoellick is misguided in his claim that the current free trade agenda is a tool for promoting international security. Instead, agreements like NAFTA encourage a form of international dog-eat-dog competition that rewards labor repression and environmental destruction and exacerbates economic inequality and financial volatility. To promote real security, we need new rules to guide the global economy that place controls on corporate behavior and support dignified jobs, a clean environment, financial stability, and healthy, democratic communities.

    4. Claims about the Benefits of Free Trade are Flawed

    The U.S. Trade Representative has repeatedly claimed that the North American Free Trade Agreement and the World Trade Organization have created an annual benefit of $1,300 to $2,000 for the average American family. However, according to the Economic Policy Institute, these numbers do not represent the actual experience of these treaties but rather estimates based on forecasting models of what the effects might be. In fact, these were the same models that predicted that NAFTA would create more and better U.S. jobs by generating a U.S. trade surplus with Mexico. Seven years later, just the opposite has occurred. The U.S. trade deficit with Mexico has mushroomed to about $35 billion. Beyond the negative impacts of this influx of imports on employment, NAFTA has given employers even more power to threaten to move production to Mexico or other low-wage countries in order to fight unions and bargain down wages in the United States.

    5. NAFTA Record Undermines Argument that Free Trade is Good for the Poor in Developing Countries

    President Bush recently claimed that "those who protest free trade are no friends of the poor. Those who protest free trade seek to deny them their best hope for escaping poverty." The experience of Mexico under NAFTA completely undermines this argument. Despite dramatic increases in Mexican exports to the United States and in foreign investment since NAFTA went into effect, average Mexicans have seen little benefit. In fact, the value of real wages in manufacturing has dropped about 21 percent, despite a sharp increase in productivity. Meanwhile, the World Bank reports that the percentage of Mexicans living in poverty has increased from about 51 percent to more than 58 percent. The true lesson of NAFTA is that free trade is no automatic friend of the poor, particularly when workers' rights to fight for their fair share of economic benefits are not respected. Before Congress grants trade promotion authority to expand NAFTA through the Free Trade Area of the Americas, we need a careful analysis of the problems with NAFTA and a full debate on better alternatives.

    - Sarah Anderson, Institute for Policy Studies, October 3, 2001

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    Roll Call
    October 29, 2001

    Some New Democrats Balk On Trade Deal

    By Susan Crabtree

    Dealing a new blow to the chances of President Bush winning more freedom to negotiate trade deals, several business-friendly House Democrats are threatening to yank their support for the bill unless House GOP leaders agree to address their concerns. About a dozen lawmakers, many of them pro-trade New Democrats, are frustrated that the GOP leadership has failed to move any legislation providing economic relief for workers displaced by the events of Sept. 11 and the slowing economy.

    "It's an issue that Republicans said they would deal with,"said Rep. Adam Smith (D), whose Washington district is home to several Boeing manufacturing plants, a company he says has been forced to lay off about 100,000 workers nationwide since the terrorist attacks. "We've got a fair number of people laid off, and our country should be able to take care of the people in need."

    "Speaker [Dennis Hastert (R-Ill.)] publicly stated his support for worker relief, but we've seen little or no progress on it on the House side," added Rep. Harold Ford (D-Tenn.).

    Even though administration officials have stepped up lobbying efforts on trade promotion authority, in the past week Republican leaders have failed to present a clear picture of when - or if - it would come up this year.

    Ways and Means Chairman Bill Thomas (R-Calif.), the chief sponsor of the GOP trade bill, said in an interview Friday that he would like to take up TPA before the World Trade Organization's ministerial meeting in Doha, Qatar, on Nov. 9.

    But Friday, Hastert spokesman John Feehery said the House was only "pretty likely" to take up the bill this year, giving it an "85 percent" chance of coming to the floor.

    When the House passed a $15 billion bailout for the airline industry at the end of September, Smith said that at the time GOP leaders promised they also would do something to meet the needs of workers who had been laid off.

    But in the past two weeks, Democrats' cries for funds to help displaced workers have gone unanswered as GOP leaders passed a stimulus package full of tax cuts for corporations.

    Earlier this month conservative Republicans threatened to pull their support for the trade deal, formerly known as fast track, unless White House officials agreed to their demands on the economic-stimulus plan and an aviation security measure.

    The White House and House GOP leaders appear to have headed off the conservative revolt for now, although some Republicans this week are also voicing new concern over how TPA would affect textile and citrus interests in their districts.

    "I figure if [conservative Republicans] are leveraging one way, that forces my hand to leverage the other way," Smith said.

    Smith laid out his argument in a letter addressed to Hastert that he circulated over the weekend. By Friday, five Democrats had signed it - Reps. Ford, Ron Kind (Wis.), John Larson (Conn.), Rick Larsen (Wash.) and David Wu (Ore.).

    Until the issue is resolved "in a fairer and more reasonable manner, we will not support passage of any trade promotional authority, or 'fast track' legislation,"they wrote.

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    GOP lawmakers in trade bill push
    By Takashi Yokota, Medill News Service
    Last Update: 8:31 PM ET Oct. 29, 2001
    CBS Market Watch

    WASHINGTON (CBS.MW) -- As Republicans lawmakers sought to advance legislation that would expand presidential trade-negotiating authority, the bill's backers hoped to open House debate by next week, Republican sources said.

    The proposed measure would prevent Congress from making amendments to trade agreements made by the president, thus streamlining his capacity to reach a trade agreement. Foreign leaders have expressed reluctance to hold trade talks with the United States' negotiators whose authority is limited under current law.

    While the so-called fast-track bill is considered a high priority, aviation-security and appropriations bills have more urgency, said Christin Tinsworth, spokesperson for Rep. William Thomas, R-Calif.

    Supporters of the bill would like to gather enough support and open debate by Nov. 9, when the World Trade Organization meeting starts in Doha, Qatar, said Greg Crict, spokesman for House Majority Leader Richard Armey, R-Texas.

    But that's wishful thinking, said Kathy Roeder, spokeswoman for Rep. Robert Matsui, D-Calif., who said the bill lacked support on both sides of the aisle.

    Democrats argue the bill doesn't require countries to follow international labor and environmental standards. They are also reluctant to limit Congress's influence on trade deals.

    And there isn't enough room for horse trading by the administration either, Roeder said. The chances of mustering support for fast-track got slimmer because the White House has opposed a farm bill and is looking for a cap on the appropriations bill, she said.

    "They've backed themselves into a corner on everything," Roeder said. "There's no way to horse trade out of it unless they really ramp up how much money they're going to spend on appropriations."

    Rep. Adam Smith, D-Wash., and seven other Democrats sent a letter to Speaker Dennis Hastert, declaring they wouldn't support the bill unless their demands for relief to displaced airline workers and a "fiscally responsible" economic stimulus packages were met.

    "It doesn't seem like [the Republicans] have a strategy to bring it to the floor," Roeder added.

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    The Christian Science Monitor
    October 29, 2001, Monday
    Debate revs up over fast-track trade measures

    David R. Francis Staff writer of The Christian Science Monitor

    Presidential trade representative Robert Zoellick last week called for the House of Representatives to set a date for a vote on "fast track" legislation.

    "The eyes of the world will be on Congress," he said.

    But getting what is now called Trade Promotion Authority (TPA) won't be easy. The bill would enable the White House to negotiate a global trade-liberalizing deal or a less ambitious trade package and present it to Congress for an up-or-down vote without any complicating amendments.

    "It will be a close vote," says Harald Malmgren, a Washington trade consultant who helped draft the first fast-track bill in 1974.

    A survey of House members by CongressDaily shows 178 members publicly undeclared or on the fence on the issue.

    It's unlikely the House leadership will call a vote if it has no chance of passage.

    The White House would love to have TPA before Nov. 9, when the World Trade Organization opens a ministerial meeting in Doha, Qatar. The goal of those talks is to launch another global trade round such as the Kennedy Round that Mr. Malmgren helped negotiate, or the latest, the Uruguay Round.

    Earlier rounds didn't have fast track before getting going. Nor is it essential this time, Malmgren says.

    Behind the battle over TPA passage is greater uncertainty of the merits of more free trade and international investment, especially with poor nations.

    Prior to all postwar trade rounds, there were struggles between groups striving to protect special interests and those seeing great benefits from freer trade for the nation as a whole.

    That's true again today.

    But now, some analysts maintain that most Americans have been hurt economically from past trade treaties.

    For instance, economists Dean Baker and Mark Weisbrot note that trade liberalization in the past two decades has led to a net loss in real income for three quarters of the American labor force lacking college degrees. Those wages, say the Center for Economic and Policy Research economists, have been redistributed to workers with college and advanced degrees.

    Liberalized trade has also shifted income from wages generally to business profits. Hourly wages fell as much as 12.6 percent - or as little as 1.6 percent, they maintain.

    Wait a minute, says an independent task force sponsored by the Council on Foreign Relations. Since 1990, as the US has become significantly more open to trade, real average household incomes have grown by at least 10 percent.

    Indeed, the poorest fifth of Americans has enjoyed slightly bigger gains than the richest fifth, figures the group co-chaired by Kenneth Duberstein, President Reagan's chief of staff, and Robert Rubin, Treasury Secretary under President Clinton.

    A similar debate has been going on between economists over the impact of trade on the world's poor.

    The globalization agenda, which includes trade and international investment, is a "scourge" on the poor, maintains a briefing paper of the Economic Policy Institute. It has widened the gap between the rich and poor both within and between nations on this globe.

    Any gains in poverty reduction have been "relatively small," not keeping up with inflation. The world's poorest 400 million people lived on an average of just 78 cents a day or less in 1999, 79 cents or less in 1990 and 72 cents in 1980.

    In 1980, median income in the richest 10 percent of countries was 77 times greater than in the poorest 10 percent. This gap reached 122 times by 1999.

    "It's a clash of [economic] ideology versus experience," charges one author of the paper, Robert Scott. "The economics profession would like to keep its eyes closed to the facts."

    On the other side, World Bank economist David Dollar calculates that there are 200 million fewer extremely poor people on earth than there were 20 years ago.

    In a paper written with colleague Aart Kraay, he finds that the world economy grew well during the 1990s, despite the financial crisis in East Asia. And a study of 137 countries shows that the poor benefited proportionately from such growth - they weren't undermined by globalization.

    But "good" policies - openness to trade, stable economies, moderate size of government, strong property rights, and rule of law - don't systematically add to the incomes of the poorest fifth.

    Sorting out the contrary economic claims is hard. Columbia University economist Donald Davis says too often the intellectual framework of a trade study guarantees an expected result.

    Sometimes the differences stem from the choice of statistics. For example, since 1980, individual wages haven't advanced much for most Americans. But households have done better as more family members work.

    In general, trade gives Americans more choice in goods. It can boost the nation's economy as a whole. But it hurts some Americans. And they get little help.

    Congress has a difficult balancing act ahead on the subject.

    (c) Copyright 2001. The Christian Science Monitor

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    CongressDaily
    Issue date: October 26, 2001
    TRADE

    Business Roundtable To Start $1M Trade Ad Campaign

    Although the bill's prospects are uncertain at best, the Business Roundtable is preparing a major new effort to pass presidential trade negotiating authority, shelling out more than $1 million for advertising targeted at 20 uncommitted House legislators. The BRT already has television and radio spots in the can for the new campaign, which will begin this weekend and extend throughout portions of the next two weeks. Depending on the timing of a vote, the campaign could be extended, and much more cash will be made available from the BRT's sizable kitty. "We will spend what it takes to counter labor's message of misinformation," said one BRT official. Indeed, the campaign is in part a direct response to recent advertising by labor groups opposed to the legislation, and many of the BRT ads will appear in districts targeted by the unions. Most of the 20 legislators in the BRT's crosshairs are Democrats. Democratic support for trade negotiating authority has been anemic so far, and many business lobbyists are now focusing on Democrats, with the expectation that the administration will be able to keep GOP ranks in line.

    But the expenditure still could amount to a gamble. House Republican leaders, once eager to schedule a vote on the measure, are now refusing to say when they will put it on the floor. And labor operatives say they are confident they can defeat it. Nevertheless, other backers of the bill are ramping up their efforts. President Bush was set at presstime to promote trade negotiating authority during an East Room appearance. The president was planning to describe the trade bill, energy legislation and the economic stimulus measure as a comprehensive package designed to bolster the economy. And the U.S. Chamber of Commerce is also planning to put up a series of radio ads touting trade negotiating authority - including Spanish language-only spots - according to a Chamber official.

    Among the 20 legislators targeted by the BRT are Reps. Dennis Moore, D-Kan.; Tom Sawyer, D-Ohio; Shelley Moore Capito, R-W.Va.; Bob Etheridge, D-N.C.; David Price, D-N.C., and Melissa Hart, R- Pa. Other districts on the list are in California, Washington and Indiana. The BRT expects spillover into radio and television markets not directly targeted to reach portions of another 40 congressional districts. The buys will supplement a print campaign that is partially underway and which is centered mainly inside the Beltway. The BRT is also mobilizing its goTRADE advocacy network - which has a presence in 167 districts - to visit and phone lawmakers and work the local media. The Chamber's radio ads will also run mainly in Democratic districts. The Chamber's Spanish language ads will emphasize that trade negotiating authority could help secure trade agreements with countries in Central and Latin America. The Chamber's campaign is designed to highlight the business community's view that the legislation is essential for keeping the United States engaged internationally. - by Keith Koffler

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  • Resources

  • Reasons to oppose Fast Track
  • HR 3005 PDF file from the Ways and Means committee website.
  • NAFTA Chapter 11 Investor-to-State Cases: Bankrupting Democracy From Public Citizen, Sept 2001

    Articles

  • GOP Makes Pitch for High-Tech Donors - Dec 02
  • Push Continues For Support As Trade Vote Approaches - Dec.
  • Zoellick's Trade Concession Wins WTO Talks, But Could Cost Bush Fast-Track Authority
  • Green Party Names Names: Reps. Clement, Dicks, Smith, Green, Kind, Kleczka. - Nov 19
  • Some New Democrats Balk On Trade Deal
  • GOP lawmakers in trade bill push
  • Business Roundtable To Start $1M Trade Ad Campaign
  • Debate revs up over fast-track trade measures
  • Greens warn Democrats and Republicans: Don't pass fast track
  • The Thomas Trade Promotion Authority and its effects on affordable access to life-savings medicines from Oxfam America.
  • Trading on Terror by John Nichols