Posted on 10/05/2007 6:18:06 PM PDT by Tailgunner Joe
WASHINGTON (Reuters) - U.S. Democrats sought to reassure Costa Rican voters on Friday their country would not lose U.S. trade benefits if they rejected a free-trade agreement with Washington, following a Bush administration warning they could be at risk.
"Congress is constitutionally responsible for regulating international commerce. As such, we reiterate our longstanding position that preference programs should not be conditioned on a country entering into a free trade agreement (FTA) with the United States," two senior Democrats in the House of Representatives said.
House Ways and Means Committee Chairman Charles Rangel and Rep. Sander Levin, chairman of the Ways and Means' trade subcommittee, also said the Bush administration had no power to revoke Costa Rica's benefits if the pact were turned down.
The joint statement came just before Costa Rican voters will decide on Sunday whether to join the U.S.-Central American Free Agreement along with four of their neighbors and the Dominican Republic.
It followed a warning by U.S. Trade Representative Susan Schwab on Thursday that some of Costa Rican's trade benefits were at risk if the treaty was rejected.
The referendum has split the nation, with Costa Rican President Oscar Arias and some businesses saying CAFTA will bring investment and jobs. Opponents says it will mean a flood of cheap farm imports and limit the country's sovereignty by taking investment disputes to international arbitration.
About 100,000 Costa Ricans turned out last Sunday to protest the pact, a huge number in a country of 4 million.
The deal locks in Costa Rica's duty-free access to the U.S. market under the Caribbean Basin Initiative and phases out many trade barriers facing U.S. manufacturers, farmers and service industry companies in Costa Rica.
Although many of trade benefits Costa Rica currently receives are permanent, certain others benefiting Costa Rica's textile and tuna industries expire next year.
In her statement on Thursday, Schwab argued Costa Rica could not be sure Congress would renew those trade benefits if the trade pact was rejected.
"The fact is, the United States has never faced a situation where one of our trading partners rejects a reciprocal trade agreement with the United States, but continues to seek unilateral trade preferences," Schwab said.
Schwab also said the United States was unlikely to renegotiate the pact with Costa Rica if it was not approved.
Sen. Bernie Sanders, a Vermont Democrat whose remarks during a recent trip to Costa Rica partly prompted Schwab's statement, urged President George W. Bush in a letter on Friday to make clear Costa Rica would not face U.S. retaliation if the pact were rejected.
"For an official of the United States to warn the people of Costa Rica of possible retaliation of any kind for exercising their rights in an election is unworthy of the democratic traditions our countries share. This is particularly disheartening since CAFTA is just as controversial in the United States as it is in Costa Rica," Sanders said.
Two other Democrats announced plans on Friday to introduce legislation that would make all of Costa Rica's current trade benefits permanent.
BDS is the cause for Congress; the others most people can figure out.
“The fact is, the United States has never faced a situation where one of our trading partners rejects a reciprocal trade agreement with the United States, but continues to seek unilateral trade preferences,” Schwab said.
Isn’t this quite common?
No.
Just like on the other thread I posted. I am astounded that the Dems negotiating position is “set your tariffs where you want, we promise to keep ours at zero.”
More proof that the Dimocraps will oppose anything to do with President Bush whether they can or not, country be damned.
More proof that the Dimocraps will oppose anything to do with President Bush whether they can or not, country be damned.
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Their fanatic pursuit of power and control knows no bounds. They are sinking, and will continue to sink America, if it means POWER AND CONTROL for them....
The only sense I can make of it is the Democrat's standard line is now to oppose everything the Administration does, whether it makes sense or not.
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