WASHINGTON – U.S. Senator Mike
Crapo (R-Idaho), Ranking Member of the U.S. Senate Finance Committee, delivered
the following remarks at a hearing to consider the nomination of Katherine Tai to
be the United States Trade Representative.
The text of Ranking Member Crapo’s
remarks, as prepared, is below.
“Thank you Mr. Chairman. Ms. Tai, welcome, and congratulations on your
nomination.
“The U.S. Trade Representative (USTR) is a very
important position, where today’s decisions will be felt for years to
come.
“A successful trade policy means more high paying
jobs. We need these jobs more than ever
if we are to emerge from this pandemic stronger than before.
“I know the importance of free trade very
well. Idaho exports over $4 billion in
goods annually, including $1.7 billion in computer and electronics
products.
“Remarkably, 85 percent of Idaho’s exporters are
businesses that employ fewer than 500 people.
We cannot forget that.
“Free trade does not just strengthen the powerful;
it empowers all Americans, including those running and working in smaller
businesses.
“It does so for a simple reason: we sell high
quality goods and services that people around the world want.
“We do not need to be intimidated by foreign
competitors. Our market is already one
of the most open in the world. Our
problem is not about whether to open our market further, it is, in fact, that
too many foreign markets remain closed to us.
“History demonstrates repeatedly that Americans do
very well in foreign markets, if only given the chance – the chance to
participate in an environment of fair trade.
“For example, bringing down just some of Japan’s agricultural
barriers in the ‘US-Japan Phase 1’ deal increased Idaho’s agricultural exports
by over a third.
“The importance of fair trade, and the price of it
being denied, is also well understood by the people of Idaho.
“Idaho is home to Micron Technology – a global
leader in semiconductor technology.
Chinese state-owned companies stole Micron’s trade secrets in order to
secure an unfair advantage.
“China’s systematic theft of American innovation
has been estimated to cost the United States nearly half a trillion dollars
each year.
“Idaho’s softwood lumber producers face an uneven
playing field against subsidized Canadian exports. We cannot let the 750,000 jobs in the lumber
industry or the 420 million acres of family-owned timberlands be threatened by
unfair subsidies.
“Idaho’s world famous potatoes cannot be shipped
more than 16 miles south of the Mexican border because of protectionism
disguised as a safety measure.
“Potato farms, including Cranney Farms in Oakley,
Idaho, gave away millions of potatoes last year because domestic customers
dried up as a result of the pandemic.
“Put plainly, the United States does not just lose
potential opportunities when its leaders fail to engage appropriately on
trade. Our businesses and workers lose
ground here at home, in every state.
“This is why the United States needs an effective
USTR to tear down trade barriers and confront abusive trade practices.
“President Biden has nominated someone with
extensive trade policy experience, including experience litigating major trade
disputes against China.
“I look forward to hearing more from you, Ms. Tai,
regarding how you would use your experience to engage the numerous challenges
facing the United States, if confirmed as USTR.
“Your experience no matter how extensive will go to
waste if the Biden Administration’s approach to trade policy ends up being a ‘time
out,’ as some officials have suggested.
“In particular, I am referencing statements by
Administration officials who have asserted that the President will not sign any
new trade agreements until he sees his domestic priorities achieved, including
strengthening ‘Buy American’ requirements in government purchasing.
“Ms. Tai, you must make the president understand
that trade is a domestic priority for hundreds of millions of Americans. “I am happy to discuss ‘Buying American.’ However, our businesses and workers are ready
to ‘Sell American’ to all foreign customers—right now.
“While often said, it is worth repeating: most of
the world’s customers are outside of U.S. borders. Americans deserve to sell their products and
need access to that huge foreign marketplace.
“Our businesses need that access more than ever
because other countries are not standing still.
“The United Kingdom is the fifth largest economy in
the world. And, the UK is taking
advantage of its newfound freedom from EU restrictions to aggressively
negotiate its own new trade deals.
“Our special political relationship with the UK
must now be complemented with a special economic relationship that will
increase employment and output on both sides of the Atlantic.
“It is not just our allies that are moving
forward. Other countries are taking
steps that may push us back even further if the United States is seen as
standing still and not negotiating trade deals.
“Notably, China is moving forward with the Regional
Comprehensive Economic Partnership or ‘RCEP.’
“It is arguably the largest free trade agreement in
the world. Yet, the RCEP has weak rules on
intellectual property and on protecting foreign investment.
“And, the RCEP has no rules whatsoever on
state-owned enterprises, labor rights or environmental protection.
“If the Biden Administration wants a ‘worker-centered’
trade policy as it claims it does, then our USTR should ensure that the
international trading regime strongly reflects American values rather than
those of China’s government.
“In short, the need for an energetic and effective
trade policy is more compelling than ever.
“I expect Ms. Tai will well demonstrate in today’s
hearing that she has the requisite skillset to deliver as much. But, the question is whether she will have
the President’s support to do so? I hope
for America’s sake, that she will.
“Mr. Chairman, thank you for holding this hearing
today. I look forward to hearing from
Ms. Tai.”
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