Congressman Faleomavaega announced today that he is responding to an article published by Samoa News on October 18, 2005 entitled “US/Thai Free Trade Agreement negotiations threaten American Samoa economy.” 

 “Like the Andean Free Trade agreement, the US/Thailand Free Trade agreement does threaten American Samoa’s economy,” Faleomavaega said.  “However, the US/Thailand Free Trade Agreement is not a new issue in Washington.  It has been ongoing since 2004.”

“For this reason, in 2004, I wrote to key members of the House Committee on Ways and Means and the Senate Finance Committee opposing duty-free treatment for canned tuna.  On May 4, 2004, I also sent a press release to Samoa News entitled “Faleomavaega and StarKist oppose duty-free preference for canned tuna from Thailand and work together to save the jobs of more than 5,100 workers in American Samoa.”

“In the release, I informed our people that I had submitted testimony to the International Trade Commission (ITC) regarding this issue.  A complete copy of my testimony is posted on my website as is my original press release.”

“Since this time, I have worked closely with our US trade negotiators to see that American Samoa’s interests are protected.  The US negotiators are supportive of my requests regarding the Andean and Thai Free Trade Agreements and they are committed to negotiating the best deal possible for American Samoa.” 

“Unlike the ATPEA, it is important for our people to understand that the current trade agreements being proposed by the Bush Administration cannot be amended by Congress.  These agreements are broad and go way beyond tuna.  Also, when these agreements are presented to Congress, Congress will have to vote in favor or opposition but Congress cannot amend the agreement as was the case with the Andean Trade Preference Expansion Act.”

“Only the US trade negotiators can push American Samoa’s agenda and this is why I have worked quietly behind the scenes with them since 2004.  Given the sensitivity of these negotiations, the US negotiators have asked that I keep our progress confidential and this is a commitment which I have honored.”

“What I can say is that in the case of these kinds of trade agreements, all items are on the table.  In other words, the US cannot take canned tuna off the table for consideration.  This said, the next best option is to have canned tuna in water placed in the longest phase-out possible.”

“This is what I requested for the Central America Free Trade Agreement (CAFTA) and the US trade negotiators were successful on this point.  Regarding the Andean and Thailand Free Trade agreements, I am hopeful that our US negotiators will again be successful on this point.” 

 “I have also asked that a rules of origin provision be included in the Andean and Thailand Free Trade agreements.  The rules of origin provision would protect our US tuna fishing fleet by requiring that the tuna be caught by US vessels or the vessels of the beneficiary country.” 

“If this provision sticks, then American Samoa’s position will be strengthened because Thailand does not have a large fishing fleet.  Thailand only has small, local fishing boats.  In other words, Thailand buys its tuna from other countries like Taiwan.  Therefore, if we win on rules of origin, then the bulk of tuna from Thailand would not qualify for duty-free treatment because the bulk of tuna Thailand processes is purchased from other countries.”

“In my ITC statement, I made the case for rules of origin by reminding the Administration that Congress set a precedent in the ATPEA Act when we included the rules of origin provision in Public Law 107-210.  I believe this should continue to be the US position on any and all trade agreements and I am hopeful that the US trade negotiators will support this position.”

“If so, Thai Union would not be encouraged to transfer its production from American Samoa to Thailand, as Mr. Wasko suggests.  However, Thai Union may at any time choose to transfer its production regardless of any pending trade agreement since it is the prerogative of any company to do business in the location of its choice.  My point is, we must cross one bridge at a time and now is not the time to speculate about what Thai Union may or may not do.”

“In conclusion, let me say again, our US trade negotiators are well aware of the impact the Andean and Thailand Free Trade agreements will have on American Samoa’s economy and I am confident that our negotiators are working in our best interest.  Nonetheless, I was disappointed that StarKist opened this Pandora’s box in 2002 by pushing for the Andean countries to have the same trade privileges as American Samoa.  Although StarKist has now reversed its position, the damage has been done.  American Samoa will be fighting off these trade agreements for years to come and our local government must be prepared for the eventual downsizing of our canneries.” 

“At the same time, I do not believe our people should live in fear.  The tuna industry has been with us for over 50 years and I believe the tuna industry will have a limited presence in American Samoa for many more years.  Nevertheless, a limited presence of the tuna industry will require adjustments on the part of our local government but I believe our people will stand together and overcome the challenges that are presented to us so that our economy will be protected for future generations,” the Congressman concluded.