Trade Week in Review and Recent Publications August 21-27, 1993 Volume 2 Number 154 Headlines: Buchanan to Work Against NAFTA Most Democrats Against NAFTA Perot to Publish Anti-NAFTA Book NAFTA Supporters Want It Ahead of Health Care Reform Appeals Court Hears Arguments Over EIS for NAFTA Germany May Back France in Farm Trade Talks ___________________________________________________________ NAFTA News Summary ___________________________________________________________ Since the Clinton administration announced the completion of side agreements to the North American Free Trade Agreement, there have been many news reports describing the reasons a majority of Democrats in Congress are opposed to the trade package. Apparently, President Clinton is counting on near unanimous approval from Congressional Republicans to pass NAFTA. But support from conservatives could slip in coming weeks. -Buchanan to Work Against NAFTA- Conservative commentator and presidential aspirant Patrick Buchanan, a long-time opponent of NAFTA, announced yesterday at a news conference that he would form a group to work against passage of the trade agreement. Buchanan, who said he wanted to demonstrate that not all conservatives are supporting NAFTA, said, "We don't want to merge our country with Mexico." He criticized the environmental and labor accords as threats to American sovereignty and unnecessary foreign aid to Mexico. "Why should the American people be responsible for cleaning up the pigpen that the Mexicans have made on their side of our common border?" he asked. Buchanan ripped two 1996 presidential hopefuls, former Secretary of Housing and Urban Development Jack F. Kemp and Senate Minority Leader Bob Dole (R-Kansas), for supporting NAFTA. Appearing with Buchanan, former Customs Commissioner William von Raab said NAFTA would increase the flow of drugs entering the U.S. from Mexico. -Most Democrats Against NAFTA- A majority of Democrats continue to oppose NAFTA despite President Clinton's strong support of it. "There's no question that the Democratic Party is divided on the North American Free Trade Agreement with, I would say, a significant majority of House Democrats probably against it or at least tending against it," said House Speaker Thomas Foley (D-Washington). Foley said Democratic leaders would not endorse a particular position on the trade pact. -Perot to Publish Anti-NAFTA Book- Ross Perot announced that his latest book is a critical analysis of NAFTA. NAFTA supporters have been quick to pounce on the accuracy of SAVE YOUR JOB, SAVE YOUR COUNTRY, but Perot and co- author, economist Pat Choate, defend the book. Speaking to delegates at the annual convention of the Southern Christian Leadership Conference, Perot said that "the first jobs that will go to Mexico" will be those that otherwise might go to stimulate inner-city economic development. Jesse Jackson said he and Perot see eye to eye on NAFTA. "NAFTA," Jackson said, "is a shafta, shifting our jobs out of the country." -NAFTA Supporters Want It Ahead of Health Care Reform- Senate Minority Leader Bob Dole and other vocal supporters of NAFTA are now calling for the Clinton administration to make the trade package a higher priority than health care reform. White House economist Laura D'Andrea Tyson said the two are equal priorities of the administration. -Appeals Court Hears Arguments Over EIS for NAFTA- A federal appeals court heard oral arguments concerning whether the White House must complete an environmental impact statement (EIS) for NAFTA. Environmental and citizens' groups argued that U.S. District Court Judge Charles Richey was correct in ruling that the National Environmental Policy Act (NEPA) requires the Clinton administration to complete an EIS for NAFTA. The Justice Department says the executive branch is exempt from NEPA. The court may announce a decision within a month. Sources: Keith Bradsher, "Buchanan Joins the Foes of Trade Pact," NEW YORK TIMES, August 27, 1993; "U.S. Conservatives Blast NAFTA as 'A Fraud,'" REUTER, August 26, 1993; "House Speaker Says Most Democrats Oppose NAFTA," REUTER, August 22, 1993; Todd Wasserman, "US-Perot," UPI, August 22, 1993; H. Josef Hebert, "Perot- Jackson," AP, August 26, 1993; "U.S.'s Tyson Says NAFTA, Healthcare Priorities-TV," REUTER, August 26, 1993. ___________________________________________________________ GATT News Summary ___________________________________________________________ GERMANY MAY BACK FRANCE IN FARM TRADE TALKS German Chancellor Helmut Kohl said he agreed with French Prime Minister Edouard Balladur that there are "enormous problems with the agricultural part" of the Uruguay Round of trade talks. Speaking after two hours of talks with Balladur, Kohl implied that he might back France in seeking modifications to an EC-U.S. farm agreement, known as the Blair House accord, which is a key to concluding the long-stalled GATT talks. France opposes the cuts in subsidies for agricultural exports proposed in Blair House. Kohl stopped short of calling for a renegotiation of the accord. "We must find a compromise acceptable to everyone," he said. "The Blair House agreement as it stands has some problem areas for us as well." Balladur said he would send Germany new proposals next week aimed at reaching a common position prior to a special meeting of EC foreign and agricultural ministers next month. GATT Director-General Peter Sutherland will travel to Germany and France in the next 10 days to seek ways of concluding the Uruguay Round. He'll then go to Montivideo for a meeting September 17 with Latin American trade ministers, followed by a week in the United States. Sources: Quentin Peel, "Kohl Hints He May Back France Over Farm Trade Talks," FINANCIAL TIMES, August 27, 1993; Rick Atkinson, "Kohl Shores Up France in Trade Dispute With U.S.," WASHINGTON POST, August 27, 1993; Tom Heneghan, "Kohl Leans Toward France in GATT Farm Dispute," REUTER, August 26, 1993; "GATT Leader Hopes to Maintain Momentum of Talks," UPI, August 27, 1993. ___________________________________________________________ Recent Publications on International Trade ___________________________________________________________ For copies of the following, contact the authors or organizations listed. All prices in U.S. dollars. "Runaway America: U.S. Jobs and Factories on the Move," Resource Center Press, October 1993. P.O. Box 4506, Albuquerque, NM 87196. (505) 842-8288. $14.95. "BAT NET Resource Guide," Robbin Lee Zeff, ENVIRONMENTAL RESEARCH FOUNDATION, June 1991. 36 pages. P.O. Box 73700, Washington, DC 20056-3700. (202) 328-1119. $5. This publication profiles 35 different organizations involved in investigative research on corporate and environmental crimes. "The Urgency of Fighting Poverty, for Democracy and the Environment," Taoufik Ben Abdallah and Phillipe Engelhard, UN NONGOVERNMENTAL LIAISON SERVICE, April 1993. 44 pages. ENDA- TM, B.P. 3370, Dakar, Senegal. Free. Available in English and French. "Announcement of NAFTA Supplemental Agreements on Labor and the Environment: Statement by Ambassador Mickey Kantor," August 13, 1993. Institute for Agriculture and Trade Policy. $3. "Breaking Boundaries: Women, Free Trade and Economic Integration," ALTERNATIVE WOMEN-IN-DEVELOPMENT, 1993. Alt-WID c/o Center of Concern, 3700 13th St. NE, Washington, DC 20017. (202) 635-2757. $1.50. Looks at the impact of free trade and the proposed NAFTA on the daily lives of women. "Economic Justice Update," INTER-CHURCH COALITION ON AFRICA, No. 7, August 1993. 8 pages. 129 St. Clair. W., Toronto, ON M4V 1N5. (416) 927-1124. Fax: (416) 927-7554. $15. This update, distributed quarterly, highlights the impacts of structural adjustment programs on health in Africa. ___________________________________________________________ Editors: Kai Mander and Chirag Mehta The Institute for Agriculture and Trade Policy (IATP) 1313 Fifth Street SE, Suite #303, Minneapolis, MN 55414-1546 USA Telephone:(612)379-5980 Fax:(612)379-5982 E-Mail:kmander@igc.apc.org ___________________________________________________________