bilaterals.org logo
bilaterals.org logo
   

US House agrees to shelve Colombia trade pact vote

Dow Jones Newswires | 10 April 2008

US House Agrees To Shelve Colombia Trade Pact Vote

By Martin Vaughan

Of DOW JONES NEWSWIRES

WASHINGTON -(Dow Jones)- The House voted 224-195 Thursday to effectively postpone a vote on the U.S.-Colombia trade agreement until House Democratic leaders decide to bring it to the floor.

The move circumvents a 90-day deadline for considering the deal that is part of fast-track trade legislation signed into law in 2002. That 90-day clock was triggered when President George W. Bush sent the trade agreement to Congress on Tuesday.

U.S. Trade Representative Susan Schwab told reporters the House action " effectively kills the Colombia FTA."

"This rule gutted 34 years of trade policy and practice," she said. She also said the House vote could chill efforts to reach agreement with Democrats on approving separate trade deals with Panama and South Korea.

"I’m not sure at this point it would be smart to subject other U.S. allies to that kind of treatment," she said of the House move to shelve the Colombia pact.

In floor debate Thursday, House Speaker Nancy Pelosi said the Colombia agreement could still come before the House this year, if Colombia takes adequate steps to protect union leaders and if the White House moves to accept Democratic demands on domestic economic issues.

If those conditions are met, "I pledge to the body as the Speaker of the House...at the appropriate time, that we can take up trade legislation for such an agreement," she said.

"This isn’t about ending anything. It’s about having a timetable that respects the concerns, the aspirations of the American people," Pelosi added.

Treasury Secretary Henry Paulson said the House vote undercut the U.S.’s ability to negotiate agreements beyond just the Colombia trade deal.

"Changing the TPA (Trade Promotion Authority) process could have lasting impact, undermining our country’s ability going forward to open foreign markets to American goods and services," Paulson said. "It also sends an unwelcome signal to global markets at an economically sensitive time."

The 224-195 vote was largely along party lines. Ten Democrats broke party ranks, while six Republicans voted in favor of putting the Colombia agreement on ice. One member, Rep. John Tanner, D-Tenn., voted present, which commits his vote to neither side.

In Bogota, President Alvaro Uribe Thursday insisted the relationship between both countries goes beyond partisan rivalries on Capitol Hill.

He urged the U.S. to move swiftly to approve the pact, as Colombia has been a loyal ally. "By approving the FTA, the U.S. can strengthen economic growth in both countries, support democracy and help peace and prosperity in Colombia and the region."

Colombian Trade Minister Luis Guillermo Plata said there’s still a possibility for U.S. lawmakers to reach a bipartisan agreement.

"We still hope, we trust in the wisdom of U.S. Congress to approve this deal, which is very important for Colombia," he told reporters.

Colombia and the U.S. signed the free trade agreement in November 2006, but the agreement requires approval by the U.S. Congress.

Colombia and the U.S. negotiated and signed the agreement to replace and extend existing trade preferences, which were granted to Colombia, Peru, Ecuador and Bolivia to help them diversify their economies away from cocaine production.

The U.S. Congress ratified a similar agreement with Peru in December. Ecuador and Bolivia didn’t negotiate a free trade agreement with the U.S.

Since 2000, the U.S. government has transferred $5 billion to help Colombia’s anti-drug efforts. The Colombian government is considered one of the U.S.’s main allies in the war against drugs.

"This action is deeply irresponsible and betrays a lack of seriousness in dealing with an important U.S. ally at a critical time," said John Walters, the U.S. drug czar, in a statement. "Multiple, critical national interests and a steadfast American ally are to be sacrificed for the most misguided of partisan special interests. This is unworthy of the trust our citizens have placed in their national leaders - it is shameful."

— By Martin Vaughan, Dow Jones Newswires

(Diana Delgado and Inti Landauro in Bogota contributed to this report.)


 source: Nasdaq