Mr. Speaker, at a White House news conference 2 weeks ago, President Bush called on Congress to pass the Central American Free Trade Agreement this summer. Last week in this Chamber, the gentleman from Texas (Mr. DeLay), the most powerful…
Mr. Speaker, at a White House news conference 2 weeks ago, President Bush called on Congress to pass the Central American Free Trade Agreement this summer. Last week in this Chamber, the gentleman from Texas (Mr. DeLay), the most powerful Republican in the House, promised a vote by July 4. Well, he actually promised a vote last year, and then he promised a vote again in May, but this time he means it, I think, and we are going to actually vote on this by July 4.
I am joined tonight by the gentleman from Niles, Trumbull County, Ohio (Mr. Ryan) and the gentlewoman from Toledo, Ohio (Ms. Kaptur), two of my colleagues from my State; and there will be the gentlewoman from Illinois (Ms. Schakowsky) and others coming along later.
Mr. Speaker, many of us who have been speaking out against the Central American Free Trade Agreement have a message for the President, and that is we should renegotiate CAFTA.
President Bush signed CAFTA more than a year ago. Every trade agreement negotiated by this administration has been ratified by Congress within 2 months of its signing. Australia, Singapore, Chile, Morocco, each of those trade agreements the President signed was passed, was ratified, was voted on by Congress within a couple of months. CAFTA, however, has languished in Congress for more than a year without a vote because this wrong-headed trade agreement offends both Republicans and Democrats. It offends small manufacturers and labor. It offends environmentalists and food safety advocates. It offends religious organizations in Central America and in our country.
But most importantly, Mr. Speaker, look at what our trade policy has brought us. In 1992 the United States trade deficit, in other words, how much we import versus how much we export, our trade deficit was $38 billion, the year I first ran for Congress, in 1992. Last year this trade deficit was $618 billion. It went from $38 billion to $618 billion in literally a dozen years. It is hard to argue our trade policy is working when the deficit goes from $38 billion to $618 billion in just a dozen years.
Tomorrow, Mr. Speaker, the Senate Finance Committee is scheduled to take up CAFTA in what is called a mock markup. In tomorrow's mock markup, 10 legislators from Central America will attempt to offer statements on behalf of the hundreds of thousands of Central Americans who oppose this dysfunctional cousin of the North American Free Trade Agreement. I say these legislators will ``attempt'' because they have not been asked nor, the word we get, will they be allowed to offer any official remarks at any hearings on CAFTA.
Instead, the administration and CAFTA supporters in Congress crafted a one-sided plan to benefit multinational corporations at the expense of U.S. workers and businesses, U.S. farmers and ranchers, and Central American workers and businesses and Central America's farmers and ranchers. Opponents to CAFTA know it is simply an extension of NAFTA, which clearly, as the gentlewoman from Ohio (Ms. Kaptur) has pointed out on this floor for a dozen years, has not worked for our country.
It is the same old story, Mr. Speaker. Every time there is a trade agreement, the President says it will mean more jobs for the U.S., it will mean increased manufacturing in the U.S., increased exports of American-produced goods to other countries, and better wages for developing countries.
But look at this chart, Mr. Speaker. The States here in red are States that in the last 5 years have lost 20 percent of their manufacturing. Michigan, 210,000 jobs, more than 20 percent of their manufacturing base; Illinois, 224,000; Ohio, 216,000; Pennsylvania, 200,000 jobs; North Carolina, 228,000; Mississippi and Alabama combined, about 130,000 jobs. In State after State after State, we have lost 20 percent of our manufacturing base. In many of the other States, we have lost thousands of jobs also.
So they continue to promise more jobs, more manufacturing, more exports, a higher standard of living in the developing world. But with every trade agreement, their promises fall by the wayside in favor of big business interests that send U.S. jobs overseas and exploit cheap labor abroad. In the face of overwhelming bipartisan opposition, the administration and Republican leadership have tried every trick in the book to pass this CAFTA.
As I said earlier, we in this body could agree on a Central American Free Trade Agreement, but not one that is tilted against American workers, not one that is tilted against workers in Central America, not one that is tilted for the drug industry and against the environment and against worker rights.
But this year, because nothing else seems to be working in convincing Congress, Republicans and Democrats alike, the administration is linking CAFTA to helping democracy in the developing world. Defense Secretary Rumsfeld, Deputy Secretary Zoellick, both have said CAFTA will help in the War on Terror. I am not sure how. They have never really explained that. But that is what they claim.
Ten years of NAFTA, Mr. Speaker, has done nothing to improve border security between Mexico and the United States; so that argument does not wash. Then in May, the U.S. Chamber of Commerce, in one of their famous junkets that we hear more and more about from some of our friends in this body, flew the six presidents from Central America and the Dominican Republic around our country, hoping they might be able to sell CAFTA to newspaper editors, to our country's voters, to our country's Congress. They flew to Albuquerque. The Chamber of Commerce flew these six presidents to Albuquerque and to Los Angeles; to New York; to Miami; to Cincinnati, my home State of Ohio.
Again they failed. And after the trip, the Costa Rican President broke off from the group and announced that his country would not ratify CAFTA unless an independent commission could determine the agreement will not hurt the working poor.
In addition, Mr. Speaker, we have seen demonstration after demonstration in Central America, 45 demonstrations with more than 150,000 workers, opposing this agreement. Some of their Presidents might be for it, some of them might be, but their workers certainly are not. In this case, this was in Guatemala, when the police went up against 8,000 workers, two of these workers were killed by their country's security forces.
Now the administration is trying something different. They have opened up the bank. Desperate after failing to gin up support for the agreement based on its merits, CAFTA supporters now are attempting to buy votes with fantastic promises. If history is any example, should the promises fail, they will try and force votes their way with outrageous threats.
Instead of wasting time with toothless side deals, U.S. Trade Ambassador Portman should negotiate a CAFTA that will actually pass Congress. Republicans and Democrats, small manufacturers and labor groups, farmers, ranchers, faith-based groups in all seven countries, religious leaders, environmental human rights organizations and workers are all speaking with one voice: Renegotiate CAFTA; give us a CAFTA, but one very different from this.
This CAFTA will not enable Central American workers to buy cars made in the district of the gentleman from Ohio (Mr. Ryan) or the district of the gentlewoman from Ohio (Ms. Kaptur.) They will not enable Central American workers to buy software developed in Seattle, or prime beef in Nebraska.
A Nicaraguan worker, Mr. Speaker, earns $2,800 a year. The combined economic output of the Central American nations is equivalent to that of Columbus, Ohio, or New Haven, Connecticut, or Orlando, Florida, or Memphis, Tennessee. Workers in the United States make $38,000 a year on average.
Workers in Costa Rica make $9,000; Dominican Republic, $6,000; Nicaragua and Honduras, the average makes significantly less than $3,000 a year. They are not going to buy the cars made in the district of the gentleman from Ohio (Mr. Ryan) or the gentlewoman from Ohio (Ms. Kaptur). They are not going to buy steel made in my district. They are not going to buy apparel made in North Carolina. They are not going to buy software from Seattle, or prime beef from Kansas. They simply cannot afford to do this.
This CAFTA is not about exporting American products. It is about U.S. companies moving plants to Honduras, paying $2,600 a year; outsourcing jobs to El Salvador, where workers make less than $5,000; exporting cheap labor in Guatemala where workers make $4,000 a year.
Mr. Speaker, when the world's poorest people can buy American products and not just make them, then we will know that our trade policies are working.
Mr. Speaker, we should renegotiate; defeat this Central American Free Trade Agreement, start again and renegotiate a CAFTA that will lift up workers and environmental standards in all the involved countries.
I would like to yield to my friend from Toledo, the gentlewoman from
Ohio (Ms. Kaptur), and thank her for her terrific work for years on trade issues.
Mr. Speaker, reclaiming my time, I thank my friend for her terrific work representing American workers.
I yield to my friend the gentleman from Ohio (Mr. Ryan).
Mr. Speaker, I thank my friend, the gentleman from Ohio (Mr. Ryan). One of the things that the gentleman pointed out is talking about school kids in Youngstown or talking about police and fire in his community, and we do a lot of talking about statistics and numbers and the trade deficit going from $13 billion to $618 billion in a dozen years, but then we think about what this means. When President Bush, Senior, said for every billion dollars in trade surplus or trade deficit, that translated into 12,000 jobs; for every billion-dollar trade surplus, it is 12,000 more jobs for our country; for every 12 billion-dollar trade deficit, it is 12,000 fewer jobs, many of those manufacturing jobs.
So when we have this kind of trade deficit of $618 billion, you multiply that times 12,000 jobs, according to President Bush, Senior, however you do the math, these are a lot of people that lose jobs, communities that experience plant closings, a lot of police and fire who protect our communities who get laid off when these plants close. These are a lot of cuts to public education. As the gentleman from Ohio (Mr. Ryan) says, you then need to pass school levies and it is so hard to pass school levies when people have lost their homes and lost their jobs and are barely able to make ends meet, and have taken a job where they were making $35,000 a year and are now making $17,000 a year, and they cannot afford a property tax increase, so schools lose out and kids lose out, and it is just a downward spiral.
So when you see these numbers, you think about people in our communities, it does not matter if they are Democrats or Republicans, because these job losses, as we have pointed out, these job losses in manufacturing alone, particularly throughout the Midwest and the south, North and South Carolina, Alabama, Georgia, Mississippi, and States from Pennsylvania, Ohio, Michigan, Indiana and Illinois, up into Wisconsin, think of these 200,000 per State manufacturing job losses is a whole lot of people, a whole lot of bread winners and families that come home to their kids and cannot do what they were able to do before they lost their jobs. Their schools are hurting, their public safety is hurting, they are not able to send their kids on to school, all the kinds of things that go with lost jobs. That is why this is so important.
Mr. Speaker, I would point out that the States in white, and there are two of them, actually had manufacturing job growth. In these two States, total population is about 2 million people out of a country of 280 million, so these two States represent less than one percent of our country. Not that they are not important if you live in those two States, but they are the only States that have had manufacturing job growth.
All of the States in red have lost 20 percent of their manufacturing, 20 percent, hundreds of thousands of jobs in many of these States. The States in blue have lost up to 20 percent, 15 to 20, so it is State after State after State has just been hurt badly by this. And as we have all talked, it clearly translates into people's lives.
Mr. Speaker, the gentleman from Ohio (Mr. Ryan) mentions freedom. Another word or phrase that is thrown around here a lot is Christian values and fair play and morality. And when we pass a trade agreement that throws American workers in these numbers out of jobs and then exploits a worker that the gentlewoman from Ohio (Ms. Kaptur) talked about making 12 cents that makes a product that sells in the United States for $20, what kind of exploitation, what kind of family values, what kind of morality that does describe our actions?
Yet, it is pretty clear to an awful lot of people in this body, I think, and it is pretty clear to a whole lot of Americans that the values that we hold dear, no matter what your religion or your faith, if your religion or your faith is based on our country doing the right thing, it simply does not fit, to pass a trade agreement that costs people these kinds of jobs, that exploits the most defenseless people in the developing world, the people that the gentleman from Ohio (Mr. Ryan) says are trapped, the women that the gentlewoman from Ohio (Ms. Kaptur) describes, and then go home and talk about practicing our faith and family values and morality. It just does not work.
Mr. Speaker, CAFTA specifically protects, if you look at the text of CAFTA, it specifically protects the prescription drug companies, but offers no real protection to workers. It specifically protects and supports Hollywood films and CD-ROMs, but does not have protection for the environment and for food safety. I mean, if that does not tell us something about values; we will write a
trade agreement that will help the most privileged, wealthiest people in both our country and the six CAFTA countries, but we will not protect the workers, we will not protect and help and enhance the environment, food safety, safe drinking water, clean air, all of that.
We are joined by my friend, the gentleman from Michigan (Mr. Stupak) who also has been in this Chamber, came with me in 1992 and has been a part of these discussions on trade for many, many years, and I thank the gentleman for joining us.
I thank the gentleman from Michigan (Mr. Stupak). And before calling the gentlewoman from Illinois (Ms. Schakowsky), I would like to reiterate a couple of things that the gentleman from Ohio (Mr. Stupak) said, talking about people playing by the rules, and American workers who played by the rules and were involved in their community and raised their kids and worked their jobs and put their time in, that they lose their jobs; people who have played by the rules in Central America, who have been exploited in these jobs that have been outsourced; and all the groups, all the religious leaders and all six of these, the six Central American countries and including the Dominican Republic; and the United States religious leaders that oppose these because they know that people that have played straight and played by the rules have been hurt by these trade agreements in the past.
And I want to mention one thing before turning to the gentlewoman from Illinois (Ms. Schakowsky) because of what the gentleman from Michigan (Mr. Stupak) said and the gentleman from Ohio (Mr. Ryan), and the opposition to these agreements from the public. People know they are getting hurt by these agreements, people in Niles, Ohio, that work at Lordstown, people in Lorain or in the Upper Peninsula of Michigan or in Chicago that have been hurt by these agreements, people in Central America that have been hurt by these agreements. Because of that it is clear if this vote were to come to the House today, there is no doubt that we would defeat this trade agreement by 30 or 40 votes. But that is today. And the gentleman from Ohio (Mr. Stupak) pointed out the White House is beginning all kinds of ways to convince this Congress to do something to vote for the agreement.
Just a couple of days ago Tom Donahue with the Chamber of Commerce told a bunch of Members of Congress, if you vote against CAFTA, it will cost you. Those kinds of threats. At the same time the President and his people are now putting out carrots, not just sticks. They are, in a sense, bribing Members of Congress with everything from promising highways and bridges and other kinds of pork to now saying that they are going to put $20 million in labor enforcement assistance into something called the Department of Labor's Bureau of International Affairs.
Now the administration cut the ILAB from $148 million in 2001 down to $12 million, from 148- to $12 million. Now they are saying they are going to add 20 million to it, as if that is helping something, when they have no interest, they have written a trade agreement that does not enforce labor standards or provide labor standards. Now they are saying they are putting a little money in even after they have cut it. At the same time something called the International Labor Organization, which is a multinational group that sets labor standards, were one of, I believe, two countries out of 80 that said we are going to vote against the funding for that international body.
So it is pretty clear all the promises they want to make about enforcing labor standards, they wrote weak standards, they cut funding on enforcement. Now they are trying to buy off a few Members' votes by promising to put a little money in enforcing labor standards.
I yield to the gentlewoman from Illinois (Ms. Schakowsky), who has been a stellar outspoken advocate for workers' rights and the environment, both internationally and in the gentlewoman's Illinois district and around this country.
Mr. Speaker, I thank the gentlewoman from Illinois (Ms. Schakowsky). She is exactly right. I think the point she made is so important.
First of all, at the beginning of her comments, she said there is a growing bipartisan group, and it is clearly way larger than a majority of this Congress, large numbers of people in both parties, who do not like our trade policy, who see that we have seen this incredible growth in the deficit from $38 billion to $618 billion in 12 years. It is clear our policies are not working.
We have seen the kind of job loss that the gentleman from Michigan (Mr. Stupak) and others have talked about, particularly in these red States, with losing 200,000 jobs.
She talked about that we are not against trade agreements; we are against this Central American Free Trade Agreement. We are against this trade agreement because we know who the winners and losers are. The winners have been the drug companies, the largest most powerful corporations. The losers are small manufacturers that are from my district and in Chicago or in the upper peninsula of Michigan. The losers are workers all over the country.
When these workers lose, it is not just 216,000 Ohioans who lost their jobs. It is the families. It is the children. It is the school districts, the police and fire protection, and the safety of these communities.
It is clear, Mr. Speaker, that we can simply do better, that we should reject the Central American Free Trade Agreement as presented to us for this vote; renegotiate CAFTA; come back here and pass a trade agreement that lifts standards up, that lifts workers' standards up in our country and Central America; that protects and preserves the environment; that speaks to food safety and all the things that matter in our lives.
In closing, I would add both comments from the gentleman from Michigan (Mr. Stupak) and the gentlewoman from Illinois (Ms. Schakowsky) about what do we stand for as a Nation, what kind of values, and when I look at the fact that religious leaders in all seven of these countries, the six countries south of us and our country, religious leaders have spoken out saying they are not against trade either, but they can do better, they believe we can do better and come up with a negotiated trade agreement so that working families and the poor in these countries, the environment benefits, food safety benefits. We do better with all of those things that we care about.
So I thank my friends for joining us tonight, the gentleman from Ohio (Mr. Ryan), the gentlewoman from Ohio (Ms. Kaptur), the gentleman from Michigan (Mr. Stupak), the gentlewoman from Illinois (Ms. Schakowsky), and just again saying we should renegotiate CAFTA, start again. It has been a year and a month since this agreement was signed by the President. We can do better. Let us start again and do it right this time.