(Washington D.C.)- U.S. Rep. Sander Levin (D-MI), Chairman of the House Ways and Means Trade Subcommittee, offered the following statement regarding trade policy and Trade Promotion Authority (TPA) after the President's speech at Caterpillar Inc., in Illinois.

"The Bush Administration has not used current Trade Promotion Authority nearly well enough to advance the interests of U.S. businesses and workers and to shape the terms of globalization.  That must change.
 
"The Administration must demonstrate quickly that they will use Trade Promotion Authority well - in pending agreements with Peru, Panama and Colombia, in negotiations with Korea, and in our bi-lateral trading relationship with China, Japan and other nations.
 
"We must both expand trade and use it as a tool to shape the rules of competition in the era of globalization.  The Administration's policy has been far too passive in enforcing trade agreements, in breaking down unfair barriers to U.S. products, and in establishing rules that raise standards of living in the U.S. and around the globe."

For example, the President should insist right now in the negotiations with South Korea that South Korea end its discriminatory practices that keep U.S. auto and auto-parts from breaking into the South Korean market.  Because of long-standing non-tariff barriers instituted in South Korea, U.S. car companies sold just 5,415 cars in South Korea in 2005. In contrast, South Korea enjoys wide-open access in the U.S. car market with the sale of 688,700 cars. This one-way street has to end.

The Bush Administration should also change the pending Free Trade Agreements with Peru, Panama and Colombia to incorporate enforceable international labor standards.  Basic standards like a ban on child labor, a ban on forced labor, anti-discrimination, and the right of workers to associate and bargain collectively are a win-win for the U.S. and the developing world. 

The President should insist that his Administration more vigorously use the WTO dispute settlement system to bring about China?s compliance with its international commitments and to break down the non-tariff barriers used by numerous trading partners.

"Acting to set trade policy on the right course in these and other key areas is the right way to call for the extension of TPA."

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