National Journal's CongressDaily
Senate Finance Committee members today hammered Trade Representative Barshefsky about what they see as the failings of President Clinton's leadership on world trade issues. Finance ranking member Daniel Patrick Moynihan, D-N.Y., warned, "America's trade policy is in a crisis and it is a crisis that came about in this administration." Moynihan, who often has been an administration critic, then chronicled what he described as a retrenchment in trade in recent years. At one point, when Barshefsky was jotting a few notes, Moynihan snapped, "Madam Ambassador, am I boring you?" Senate Banking Chairman Gramm later echoed Moynihan's concerns by saying: "I guess you could say Sen. Moynihan is an old style Democrat. It reminds me of why I used to be one." Gramm then launched a similar tirade against Clinton, saying, "He's playing cheap partisan politics and I think it's a disgrace." Barshefsky defended Clinton's policies, reminding panel members that he secured passage of the North American Free Trade Agreement and about 300 smaller trade pacts. But Finance Chairman Roth observed that the collapse of the World Trade Organization ministerial meeting in Seattle last fall "began with the president's ambivalence on trade issues from 1992 to the present."
A clearly frustrated Roth said, "It is time to get down to business on trade." He sought specific clarification from Barshefsky on the administration's position on labor and environmental matters. Roth observed that Barshefsky and other top administration officials have insisted that expanded market access is the first aim of trade policy, while at the same time Clinton has declared that labor and environmental matters should play a more prominent role in trade — a position that appears to create an impediment to pursuing market access.
Barshefsky insisted the two concerns are compatible because trade can only be expanded if there is faith in the institutions of trade. She observed there has been "very substantial and sustained" erosion in public support and so it is more important to work toward improving labor and environmental standards in tandem with opening markets. Barshefsky also pointed out that the European Union and other U.S. trade partners have slowly moved in the direction of the U.S. position on labor and environmental standards. This in turn has helped bolster the confidence in the WTO, which she reiterated is essential for its continued role in establishing a rational trade regime. Roth listened but concluded, "When the chips are down, we cannot get a clear cut statement on what the policy is." — by Stephen Norton:
