President Obama is pushing fast-track approval of the Trans-Pacific
Partnership, which would restrict the government’s ability to regulate
multinational corporations in their pursuit of profits in the name of
harmonizing trade. Democrats should say, “Mr. President, with all due
respect, no.”
Democratic leaders, including Sens. Elizabeth Warren (Mass.), Sherrod
Brown (Ohio), Charles Schumer (N.Y.) and Harry Reid (Nev.), as well as
Bernie Sanders (I-Vt.) and most organized labor and environmental
leaders have raised concerns about the deal that is being finalized with
11 other Pacific countries. They fear the deal could worsen income
inequality and allow private companies to challenge domestic regulations
before an international tribunal. Those challenges, critics argue,
could undermine key financial, environmental and other regulations.
More than 150 Democrats in the House have signed a letter to the White
House circulated by Reps. Rosa DeLauro (D-Conn.) and George Miller
(D-Calif.) opposing the use of “fast track” procedures to usurp
Congress’ authority over trade matters.
President Obama on Feb. 21 singled out Warren as wrong. “I love
Elizabeth. We’re allies on a whole host of issues, but she’s wrong on
this,” he told MSNBC’s Chris Matthews. He said progressives should “Wait
and see what we actually have in this deal before you make the
judgement.”
Warren replied, via email, “Have you seen what’s in the new TPP trade
deal? Most likely, you haven’t – and don’t bother trying to Google it.
The government doesn’t want you to read this massive new trade
agreement. It’s top secret. Why? Here’s the real answer people have
given me: ‘We can’t make this deal public because if the American people
saw what was in it, they would be opposed to it.’”
The Office of US Trade Representative has said the deal would not
undermine bank regulations, and Obama’s team may have gotten concessions
on health and labor standards, but, as Sam Levine of HuffingtonPost.com
noted, it’s difficult to know exactly what the deal contains because
Obama’s administration has deemed the negotiations to be classified.
Members of Congress may review drafts of the deal only in a secure room
and may not make copies.
Organized labor, which has not been a party to the talks, has been
adamantly opposed to more “free trade” deals. “At a time when workers
all over the country are standing up for higher wages, Congress is
considering legislation that will speed through corporate-driven trade
deals,” AFL-CIO President Richard Trumka said. “For decades, we’ve seen
how fast-tracked trade deals devastated our communities through lost
jobs and eroded public services. We can’t afford another bad deal that
lowers wages and outsources jobs.”
Sen. Brown said, “There’s too much at stake for Congress to be rushing
through a bill that would allow more NAFTA-style trade deals. Our
manufacturing sector has lost more than 5 million jobs since 1994. While
we’ve seen an impressive recovery, the more than 629,000 Ohio jobs tied
to the auto industry could be at risk if our trade deals don’t protect
against competitors that cheat trade law or manipulate currency. Rushing
a trade package through Congress without a healthy debate is not only
reckless, but it’s a betrayal to middle class and working families in
Ohio.”
Trade promotion authority, also known as “Fast Track,” originally was
conceived in the 1970s as a means for Congress to authorize and set
guidelines for the negotiations before the talks start. The US entered
TPP negotiations in February 2008 during the George W. Bush
administration, and the talks picked up steam after Obama was
inaugurated and the deal is now being finalized.
The bill before the Senate Finance and House Ways and Means committees
requires the president to notify Congress of the deal’s completion 90
days before he intends to sign it. But the full agreement would have to
be made public for 60 days before the president could send it to
Congress and Congress would not begin considering it for 30 days after
that. So Congress probably would not consider the TPP until at least
October, as the presidential primary debates are just heating up.
But Lori Wallach, director of Public Citizen’s Global Trade Watch,
said the Trade Promotion Authority bill also would extend Fast Track
procedures for up to six years. It would delegate away Congress’
constitutional trade authority, even after the Obama administration
dismissed bipartisan and bicameral demands that the TPP include
enforceable currency manipulation disciplines. The trade authority
proposal would not require negotiators to actually meet Congress’
negotiating objectives in order to obtain the Fast Track privileges,
making the bill’s negotiating objectives entirely unenforceable.
“Congress is being asked to delegate away its constitutional trade
authority over the TPP, even after the administration ignored bicameral,
bipartisan demands about the agreement’s terms, and then also grant
blank-check authority to whomever may be the next president for any
agreements he or she may pursue,” Wallach said. “Rather than putting
Congress in the driver’s seat on trade, this bill is just the same old
Fast Track that puts Congress in the trunk in handcuffs. I expect that
Congress will say no to it.”
The bill comes despite broad and growing opposition to Fast Track and
the TPP, Wallach said. A 2015 bipartisan poll from the Wall Street
Journal and NBC News shows that 75% of Americans think that the TPP
should be rejected or delayed. In recent weeks, voters in Maryland,
Oregon, Washington, Connecticut, Colorado and other states protested
against Fast Track, citing the devastating impact past Fast Tracked
pacts have had on local jobs, small businesses and farmers. Recent data
show that similar trade deals have already pushed the United States to
the precipice of a historic $1 trillion trade deficit, contributed to
the loss of 5 million American manufacturing jobs and increased US
income inequality.
Public Citizen noted at citizen.org/TPP that the deal isn’t even
mainly about trade. “Of TTP’s 29 draft chapters, only five deal with
traditional trade issues. One chapter would provide incentives to
offshore jobs to low-wage countries. Many would impose limits on
government policies that we rely on in our daily lives for safe food, a
clean environment, and more. Our domestic federal, state and local
policies would be required to comply with TPP rules.
“The TPP would even elevate individual foreign firms to equal status
with sovereign nations, empowering them to privately enforce new rights
and privileges, provided by the pact, by dragging governments to foreign
tribunals to challenge public interest policies that they claim
frustrate their expectations. The tribunals would be authorized to order
taxpayer compensation to the foreign corporations for the ‘expected
future profits’ they surmise would be inhibited by the challenged
policies.”
And we only know about the TPP’s threats thanks to leaks – the public
is not allowed to see the official draft. Neither Public Citizen nor
other public advocates have been allowed to monitor the talks. “Even
members of Congress, after being denied the text for years, are now only
provided limited access. Meanwhile, more than 500 official corporate
‘trade advisors’ have special access. The TPP has been under negotiation
for six years, and the Obama administration wants to sign the deal this
year.”
Our suspicions are raised when Republicans, who normally wouldn’t
agree with Obama on the time of day, and have delayed the confirmation
of his highly qualified attorney general nominee for five months, now
are willing to grant the President Fast Track review of the trade deal
that Obama’s people have struck behind closed doors. If that isn’t a
sign that the fix is in for the Powers That Shall Not Be Named, we don’t
know what it is.
As we have said before, if the Trans-Pacific Partnership is a good
deal, it should go through the normal legislative process as a treaty,
which requires consent of two-thirds of the Senate. Trade deals modeled
after the North American Free Trade Agreement have proven disastrous for
Main Street manufacturers and workers. Maybe this is the one that will
turn global trade around to work for us. But we’re still doubters. Say
no to Fast Track. — JMC
From The Progressive Populist, May 15, 2015
Blog | Current Issue | Back Issues | Essays | Links
About the Progressive Populist | How to Subscribe | How to Contact Us
Copyright © 2015 The Progressive Populist
PO Box 819, Manchaca TX 78652