Trade Legislation in the 107th Congress: An Overview

Publication Date: May 2002

Publisher: Library of Congress. Congressional Research Service

Author(s):

Research Area: Trade

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Abstract:

Since the beginning of the 107th Congress, congressional leaders and the Bush Administration have placed international trade issues high on the legislative agenda. Legislation was introduced during the first session to provide trade promotion ("fasttrack") authority to the President, to rewrite export control provisions, and to revise trade remedy laws. Congress approved a free trade agreement with Jordan and a bilateral agreement with Vietnam. Legislation has also been introduced to reauthorize the Generalized System of Preferences and the Andean Trade Preference.

This report provides an overview of major trade bills considered by Congress in 2001 and discusses the background and recent legislative developments for each issue. An appendix listing significant trade legislation and the status of each bill is also provided.

The Bush Administration has requested that the President be provided trade promotion authority as soon as possible so that U.S. trade officials might have increased credibility when engaging in future international trade negotiations--including talks on the free trade area of the Americas and an imminent new round of World Trade Organization negotiations. A bill providing this authority was passed by the House on December 6, 2001.

Other legislation passed by the House during the first session of the 107th Congress included an amended extension of the Andean Trade Preference Act and a measure to extend the Trade Adjustment Assistance Program for firms and workers. The Senate has passed a reauthorization of the Export Administration Act.

On November 10, 2001, the WTO Ministerial Conference approved the text of the agreement for China's entry into the WTO, and China formally acceded to the WTO a month later. Legislation has recently been introduced to provide permanent normal trade relations to Russia pursuant to its desire to accede to the WTO.

Specific domestic industries, including lumber and steel, have also been subjects of congressional interest. The U.S. lumber industry is seeking relief from Canadian softwood lumber imports following the expiration of an agreement with Canada. The steel industry is seeking relief from increased import competition, and has requested that the President provide the industry with "Section 201" protection. Trade remedy reform may also be addressed, especially with regard to Section 201.

Many Members have expressed the hope that Congress and the Administration will be able to come together to reach consensus on a broad trade agenda. Some believe, however, that failure to reach at least a partial consensus on trade could put at risk the leadership role the United States has held in global trade negotiations.