The China-CAFTA connection

The Washington Times ^ | 07/20/05 | William R. Hawkins

[RoyalsFan]

The House Ways and Means Committee marked up the Central America Free Trade Agreement (CAFTA) June 30, but the pact does not have the votes to pass on the floor.

The sticking point are Republican members concerned not only with the mounting trade deficit, which will likely top $700 billion this year, but the lack of action by the administration against the largest bilateral part of the trade imbalance, China. The issue is not just economics, but national security, as Beijing uses the gains from trade -- the inflow of capital and technology -- to support a foreign policy agenda that threatens major U.S. national interests.

CAFTA proponents have tried to square the circle by arguing it is part of an anti-China strategy. The agreement will supposedly create a trade bloc that will protect infant industries of Central America from Chinese competition so democratic governments can put down roots. This harkens back to the Caribbean Basin Initiative during the Reagan administration. CBI used trade preferences to strengthen anti-communist regimes against Soviet-fomented revolutions.

Last month Robert Zoellick, the U.S. Trade Representative who negotiated CAFTA, wrote in The Washington Post that a CAFTA defeat would send "jobs in apparel production and similar industries to China." New USTR Rob Portman in the Wall Street Journal wrote, "The trade agreement will allow us to compete more effectively with China."

[RoyalsFan]

but the pact does not have the votes to pass on the floor.

This is what I heard on Fox News a few days ago, I kind of hope this is true.

[Iscool]

Hooo-raay for that...

[B4Ranch]

ping

[hedgetrimmer]

Bump for later

[Willie Green]

William Hawkins ping!!!

[Klickitat]

bttt

[ex-snook]

Thanks for ping.

I just heard Congressman David Dreier on C-Span. He said a vote for CAFTA would curtail illegal immigration, help to prevent future terrorism, help our economy, etc. etc. etc. In short it would do everything but cure the common cold. BOHICA

Why can't they trade with each other instead of sucking on our teat? We don't have anything to export except Hollywod pap and gansta rap i.e. our 'intellectual property'.