President Obama Signs New Legislation

Statement by the Press Secretary

On Friday, October 21, 2011, the President signed into law:

H.R. 2832, the “Trade Adjustment Assistance Extension Act of 2011,” which extends the Generalized System of Preferences program through July 31, 2013, and reauthorizes the Trade Adjustment Assistance program through December 31, 2013;

H.R. 3080, the “United States-Korea Free Trade Agreement Implementation Act,” which implements the United States-Korea Free Trade Agreement;

H.R. 3078, the “United States-Colombia Trade Promotion Agreement Implementation Act,” which implements the United States-Colombia Trade Promotion Agreement and extends the Andean Trade Preference Act; and

H.R. 3079, the “United States-Panama Trade Promotion Agreement Implementation Act,” which implements the United States-Panama Trade Promotion Agreement.

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Politics in Action: H.R. 3078, 3079, 3080 and 2832

STATEMENT OF ADMINISTRATION POLICY

H.R. 3078 – United States-Colombia Trade Promotion Agreement Implementation Act

(Reps. Cantor, R-Virginia, and Farr, D-California)

The Administration strongly supports H.R. 3078, which approves and implements the United States-Colombia Trade Promotion Agreement, signed by the United States and Colombia on November 22, 2006, and amended through a protocol on June 28, 2007.

The Agreement advances U.S. national economic interests and meets the negotiating principles and objectives set out by Congress in the Trade Act of 2002.

Under the Agreement, over 80 percent of U.S. industrial and consumer goods exports (not including petroleum) will gain duty-free access to the Colombian market immediately upon implementation.

This will help to level the playing field, since 91 percent of our imports from Colombia have enjoyed duty- free access to our market. U.S. agricultural exports in particular will enjoy substantial new improvements in access to Colombia's market.

Currently, no U.S. agricultural exports enjoy duty free access to Colombia. Once the Agreement enters into force, almost 70 percent, by value, of current U.S. agricultural exports will be able to enter Colombia duty-free immediately.

The Agreement contains state of the art provisions to help protect and enforce intellectual property rights, reduce regulatory red tape, and eliminate regulatory barriers to U.S. exports.

The Agreement also contains high standards for protecting labor rights, carrying out covered environmental agreements, and ensuring that key domestic labor and environmental laws are enforced, combined with strong remedies for non-compliance.

Colombia has already made significant reforms related to the obligations it will have under the labor chapter, including measures taken under the Colombian Action Plan Related to Labor Rights. The Administration will ensure that Colombia has successfully implemented key elements of the Action Plan before the Administration will bring the Agreement into force.

The Agreement forms an integral part of the Administration's larger strategy of doubling exports by the end of 2014. In addition, the Agreement represents an historic development in our relations with Colombia, a steadfast strategic partner for the United States and a leader in the region.

The Agreement reflects the commitment of the United States to supporting democracy and economic growth in Colombia. The Agreement will also help Colombia battle production of illegal crops by creating alternative economic opportunities.

The bill also extends the Andean Trade Preference Act (ATPA), which helps countries in their fight against drug production and trafficking by expanding their economic alternatives. Extension of this program will restore, until the entry into force of the Agreement, the access that Colombian goods had enjoyed under ATPA prior to its expiration in February 2011.

H.R. 3079 – United States-Panama Trade Promotion Agreement Implementation Act

(Reps. Cantor, R-Virginia, and McDermott, D-Washington)

The Administration strongly supports H.R. 3079, which approves and implements the United States–Panama Trade Promotion Agreement, signed by the United States and the Republic of Panama on June 28, 2007.

The Agreement advances U.S. national economic interests and meets the negotiating principles and objectives set out by the Congress in the Trade Act of 2002. Since 1985, our trade relationship with Panama has been characterized by the unilateral trade preferences that the United States provides through the Caribbean Basin Initiative (CBI) program. This program has contributed to economic growth and development and export diversification in Panama.

The Agreement will build on the success of the CBI program. Today, Panama is one of the fastest-growing economies in the Western Hemisphere. Most imports from Panama currently enter the United States duty-free, but U.S. exports to Panama face substantial tariffs.

The Agreement will create significant new opportunities for American workers, farmers, ranchers, and businesses by opening Panama's market and eliminating barriers to U.S. goods, services and investment.

Upon entry into force of the Agreement, Panama will immediately eliminate its tariffs on over 87 percent of U.S. exports of consumer and industrial goods and on more than half of U.S. exports of agricultural goods, by value.

The Agreement also contains state of the art provisions to help protect and enforce intellectual property rights, reduce regulatory red tape, and eliminate regulatory barriers to U.S. exports.

The Agreement contains high standards for protecting labor rights, carrying out covered environmental agreements, and ensuring that key domestic labor and environmental laws are enforced, combined with strong remedies for non-compliance.

The Agreement is an important part of the Administration's efforts to spur economic growth, increase exports, and create jobs in the United States, while promoting our core values.

The Agreement forms an integral part of the Administration's larger strategy of doubling exports by the end of 2014. It will strengthen our economic and political ties with Panama, support democracy and freedom, and contribute to greater competitiveness and economic growth in both countries.

H.R. 3080 – United States-Korea Free Trade Agreement Implementation Act

(Reps. Cantor, R-Virginia, and Levin, D-Michigan)

The Administration strongly supports H.R. 3080, which approves and implements the United States – Korea Free Trade Agreement, signed by the United States and the Republic of Korea on June 30, 2007, and carries out provisions of the exchange of letters concluded between the United States and Korea in February 2011.

Increased U.S. exports expected under the Agreement will support more than 70,000 American jobs. The Agreement will bolster our economic competitiveness in the Asia-Pacific region and strengthen our ties with a key U.S. ally.

The Agreement will level the playing field for U.S. businesses, workers, farmers, ranchers, manufacturers, investors and service providers by offering them unprecedented access to Korea's nearly $1 trillion economy, and meets the negotiating principles and objectives set out by Congress in the Trade Act of 2002.

The Agreement eliminates tariffs on over 95 percent of U.S. exports of industrial and consumer goods to Korea within the first five years and, together with the agreement entered into through an exchange of letters in February 2011, addresses the concerns of American automakers and workers regarding the lack of a level playing field in Korea's auto market.

The Agreement also ensures that almost two-thirds of current U.S. agricultural exports will enter Korea duty-free immediately. In addition, the Agreement will give American service providers greater access to Korea's $580 billion services market.

The Agreement forms an integral part of the Administration's larger strategy of doubling exports by the end of 2014. The Agreement contains state of the art provisions to help protect and enforce intellectual property rights, reduce regulatory red tape, and eliminate regulatory barriers to U.S. exports.

The Agreement also contains high standards for protecting labor rights, carrying out covered environmental agreements, and ensuring that key domestic labor and environmental laws are enforced, combined with strong remedies for non-compliance.

H.R. 2832 – Generalized System of Preferences and Trade Adjustment Assistance Extensions

(Rep. Camp, R-Michigan, and 3 cosponsors)

The Administration strongly supports enactment of H.R. 2832, which renews the Generalized System of Preferences (GSP) and Trade Adjustment Assistance (TAA) programs.

The TAA provisions renew coverage for American workers whose jobs have been adversely affected by global competition. These workers need, and would benefit from, job retraining and other services.

As the United States expands access to other markets through new Free Trade Agreements, the Federal Government can help ensure that American workers are provided with the tools they need to take advantage of opportunities for retraining and other services and to compete in the global economy.

The TAA provisions preserve the key goals of the 2009 TAA program reforms (which expired in February, 2011), such as covering service workers and workers whose jobs shift to China, India, and other countries, to help ensure workers adversely affected by global competition are given the best opportunity to acquire skills and credentials to get good jobs.

The Administration estimates that this version of TAA will provide significant savings when compared to a straight extension of the full 2009 program.

The Administration is pleased that this legislation also renews and extends the GSP, one of the United States' largest preference programs. The GSP program provides preferential, duty-free entry to the United States for up to 4,800 products from 129 designated beneficiary countries and territories.

Many GSP imports are used as inputs by U.S. companies to manufacture goods here in the United States. The program is particularly important to American small businesses, many of which rely on the program's duty savings to stay competitive.

The lapse in GSP authorization has already cost U.S. businesses tens of millions of dollars in additional import duties, increased costs to American manufacturers and consumers, and undercut efforts by poor countries to grow their economies and fight poverty. Timely passage of this legislation will address these concerns.

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