U.S. House Committee on Foreign Affairs

Committee News

Monday, March 01, 2010

Mack Introduces Legislation Supporting President's Call for Free Trade with Panama, Colombia and South Korea

WASHINGTON – As a follow-up to the agenda laid out in the President’s State of the Union Address last month, Congressman Connie Mack (FL-14) introduced a resolution (H.Res.1124) in the House of Representatives late last week supporting the President’s call to enact the pending free trade agreements with Panama, Colombia and South Korea.

Mack, the Ranking Republican of the House Subcommittee on the Western Hemisphere, said:

“In his State of the Union address, President Obama called upon Congress to pass the pending free trade agreements with Panama, Colombia and South Korea. I couldn’t agree more.

“These trade agreements will create jobs, grow our economy, and level the playing field for American manufacturers and businesses. These three countries are among America’s strongest friends, and we should build upon our good relationships with our allies in Latin America and East Asia. In particular, free trade agreements with Panama and Colombia will help to thwart the increasing influence of Venezuelan strongman Hugo Chavez and other thugocrats in the hemisphere.

“The President has called for more bipartisanship. This is an opportunity for President Obama and Speaker Pelosi to prove that this wasn’t just another political calculation, but a real attempt to move forward in a bipartisan manner on these widely-supported agreements. I encourage him to submit them to Congress quickly so we can pass them without delay.”

The text of Mack’s resolution is below:

A RESOLUTION

Supporting President Obama and his agenda to strengthen United States trade relations in Asia and with key partners like South Korea, Panama, and Colombia.

Whereas, on November 22, 2006, the United States and Colombia signed the United States–Colombia Free Trade Agreement;

Whereas, on June 28, 2007, the United States and Panama signed the United States–Panama Free Trade Agreement;

Whereas, on June 30, 2007, the United States and South Korea signed the United States–Korea Free Trade Agreement;

Whereas during the State of the Union on January 27, 2010, President Obama declared that the “more products we make and sell to other countries, the more jobs we support right here in America.”;

Whereas the United States International Trade Commission (USITC) has concluded that the United States–Panama Free Trade Agreement would significantly increase United States exports to Panama;

Whereas 88 percent of United States commercial and industrial exports to Panama would become duty-free upon implementation of the United States–Panama Free Trade Agreement, and approximately 50 percent of United States farm exports to Panama would achieve immediate duty-free status;

Whereas the USITC has concluded that a free trade agreement with Colombia would significantly increase market access for United States goods and services in Colombia;

Whereas currently more than 90 percent of Colombian exports to the United States enter duty-free, while United States exports to Colombia face duties of up to 20 percent;

Whereas the United States–Colombia Free Trade Agreement would immediately eliminate duties on 80 percent of United States exports of consumer and industrial products to Colombia;

Whereas the USITC has concluded that United States gross domestic product would increase by $10 billion to $12 billion annually once the United States–Korea Free Trade Agreement is fully implemented;

Whereas under the United States-Korea Free Trade Agreement, almost 95 percent of trade in consumer and industrial products would become duty free within three years, with most remaining tariffs eliminated within 10 years.

Whereas during the State of the Union, President Obama also said that “[w]e have to seek new markets aggressively, just as our competitors are. If America sits on the sidelines while other nations sign trade deals, we will lose the chance to create jobs on our shores.”;

Whereas Colombia has concluded free trade trade agreements with Canada and countries throughout Latin America and is currently negotiating a free trade agreement with the European Union;

Whereas Panama has negotiated free trade agreements with Canada, Singapore, Taiwan, Chile, El Salvador, the Dominican Republic, Costa Rica, Nicaragua, Guatemala, and Honduras;

Whereas, on October 15, 2009, the European Union and South Korea signed the world’s biggest free trade agreement since 1994;

Whereas United States competitors continue to expand their presence in regions where the United States has traditionally been the principle trade partner, as exemplified by the tenfold increase in China’s trade with Latin America from 2000 to 2007, which reached $142 billion in 2008; and

Whereas during his State of the Union, President Obama declared that “we will strengthen our trade relations in Asia and with key partners like South Korea and Panama and Colombia.”: Now, therefore, be it

Resolved, That the House of Representatives—

(1) strongly supports President Obama and his agenda to strengthen United States trade relations in Asia and with key partners like South Korea, Panama, and Colombia;

(2) remains concerned that the United States risks losing markets in Colombia, Panama, and South Korea to its competitors due to its inaction as these and other countries continue to move forward with their respective free trade agreements; and

(3) calls on President Obama to submit to Congress the trade agreements the United States has signed with Colombia, Panama, and South Korea and work to ensure that they secure passage as quickly as possible.