White House Pushes Forward With Trade Deals Despite initial reservations, President Obama is now ready to move forward with two of the three trade agreements he inherited from the Bush administration. The deals with South Korea and Panama are "solid," says an administration official. But the third pact — with Colombia — has hit some stumbling blocks.
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White House Pushes Forward With Trade Deals

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White House Pushes Forward With Trade Deals

White House Pushes Forward With Trade Deals

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President Obama says the federal government will do everything it can to help victims of the tornados. He leaves for Alabama early tomorrow morning to meet with some of those who have been affected.

On his slate today at the White House was a meeting with the president of Panama. They talked about a new trade agreement, one of three such deals the administration is working on in a push to double U.S. exports.

Here's NPR's Scott Horsley.

SCOTT HORSLEY: The White House inherited the three trade agreements, with Panama, South Korea, and Colombia, from the Bush Administration. And at first, Mr. Obama had reservations about all of them.

Late last year though, South Korea agreed to revise its treaty, offering better terms for U.S. automakers. And this month, Panama agreed to provide stronger labor protections and to help the U.S. crack down on tax evaders. As a result, U.S. Trade Representative Ron Kirk says the administration is now ready to move forward with these two deals.

Mr. RON KIRK (U.S. Trade Representative): These are good solid agreements now. They each have the opportunity to add billions of dollars to our exports and help support thousands of new jobs at a time many Americans are still desperate to find employment.

HORSLEY: The Colombian trade agreement has also moved forward, but not as far. Protection of labor rights is the biggest stumbling block. Kirk says the Colombian government has agreed to a plan to improve labor protections that could pave the way for a deal down the road.

Colombia is one of the biggest markets in Latin America, so would-be exporters like wheat farmer Gordon Stoner are anxious to see that deal move forward.

Mr. GORDON STONER (Wheat Farmer): Exports are just critical to my profitability and continued operation of the farm.

HORSLEY: Stoner farms about 11,000 acres in northeastern Montana, just a few miles from the Canadian border. Canada has its own trade deal with Colombia, so Stoner's northern neighbors will soon be selling their wheat there duty-free, while he and other American farmers are facing tariffs of 15 percent.

Mr. STONER: I'm willing to compete with any farmer anywhere, but we've got to have a level playing field. And if one country is able to import duty-free and we are not, we're at a disadvantage right out of the gate.

HORSLEY: U.S. manufacturers could be at a similar loss. That's why vice president John Murphy of the U.S. Chamber of Commerce wants the White House and Congress to act quickly on all three of the free-trade deals.

Mr. JOHN MURPHY (Vice President, U.S. Chamber of Commerce): On trade, when you stand still, you fall behind.

HORSLEY: President Obama's efforts to move forward with the trade agreements put him at odds with some of his traditional supporters in organized labor. Thea Lee of the AFL-CIO says her union has a respectful disagreement with the White House about the potential for economic benefits. And she says the Colombian pact is particularly controversial.

Ms. THEA LEE (AFL-CIO): Colombia has one of the worst records in the world in terms of violence against trade unionists. There have been almost 3,000 murders of trade unionists over the last 20 years or so.

HORSLEY: Lee says the Obama administration should take its time and make sure Colombia's new action plan on labor rights is really working before signing any long-term trade deal.

House Republicans are already growing impatient. They want the three trade agreements considered together this summer. But Michigan Congressman Sandy Levin, the top Democrat on the Ways and Means Committee, says only the Korean and Panama deals are ripe for congressional action.

Representative SANDY LEVIN (Democrat, Michigan): Colombia is a work in progress. And so it's a mistake to tie them together. Each of these should be on their own merits.

HORSLEY: Ambassador Kirk says he understands Republicans' desire for fast action on all of the trade pacts. But he warns that moving too quickly could backfire, further eroding Americans' confidence in the benefits of trade.

Mr. KIRK: Many Americans, frankly, still believe that trade is not a vehicle by which the United States can compete and win in terms of job creation.

HORSLEY: Kirk thinks the administration can change those attitudes but only if it's allowed to push the trade agreements on its own timetable.

Scott Horsley, NPR News, the White House.

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