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Trade

Trade is critical to the prosperity of our nation, and Texas – our state is the number one exporting state in the nation, and one of the fastest growing. The Port of Houston is the second largest in the United States, first when you count tonnage. The goods and services we produce are sold around the world – creating good-paying jobs right here at home. One in five manufacturing jobs in Texas results from trade. One in three acres Texas farmers plant are sold abroad. And 280,000 jobs in the Houston region are associated with the economic activity the Port generates.

The principle in trade is this: If we, as Americans, build a better mouse trap, we ought to be able to sell it anywhere in the world without discrimination. If someone else builds a better mouse trap, we ought to be able to buy it for our families and our businesses.

But as our business owners and farmers look to sell their products overseas, more often than not, they find the world market tilted against them. Other countries have negotiated over 100 bilateral trade agreements that benefit each other – but leave the United States out. Our competitors erect barriers to our goods and services that make it difficult to do business. U.S. trade policy must focus on tearing down these unfair barriers.

That’s why I have supported a range of trade negotiations – at the global level, regional and bilateral – that can help level the playing field for U.S. workers and brighten our economic future – especially at a time when we need it the most. Our bilateral partners make up only 7% of the world’s economy, but they are some of our best customers, buying over 40% of all that the United States sells. In 2008, as our nation has faced dire economic times, exports have been the one bright spot in our economy – helping to keep our GDP afloat.

And a new global trade agreement, however far from reach it might be, will help to increase the standard of living for all and is a worthy goal for us to continue to pursue.

That’s why I have called for a renewed authority for the next President to continue to negotiate market-opening trade agreements.

America shouldn’t retreat from competition in the world marketplace, we should insist on it. It is America’s strength and the key to the high-tech, high-paying jobs of the future.

Read more about my views on trade policy, as seen in The Hill newspaper.

To view my power point presentation on Free Trade, as presented at the Woodlands-Montgomery County Chamber of Commerce’s 21st Annual Economic Outlook Conference, please click here.

Please read more about my work on specific issues by selecting from the following:


U.S.-Dominican Republic Central American Free Trade Agreement

President Bush signed into law the U.S.-Dominican Republic-Central American Free Trade Agreement (DR-CAFTA) on August 2, 2005.   This is an agreement that eliminates tariffs and other barriers to trade among the United States and six of its neighboring countries, providing U.S. businesses, workers, and farmers greater opportunity to sell to customers in Central America and the Dominican Republic.    Our partner countries already had nearly duty-free access to the U.S. market prior to the agreement’s implementation; the DR-CAFTA locked that treatment in and leveled the playing field for U.S. companies.

I am proud to have led the effort in the U.S. House of Representatives to see that Congress passed this important agreement, and continue to monitor its progress to ensure DR-CAFTA is working as intended.  

Proven Results

U.S. exports have risen significantly to our DR-CAFTA partners.  In fact, this agreement helped turn our U.S. trade deficit with our neigh to a trade surplus, as our exports increased 33% between 2005 and 2008.   Please read these letters to fellow colleagues on how this agreement is a win-win for the United States and Central Americans.

For more information on the DR-CAFTA, please click here to be connected with the Office of the U.S. Trade Representative.

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U.S.-Colombia Trade Promotion Agreement

The United States and Colombia have negotiated a trade promotion agreement, but this Congress refuses even to vote on it.   Instead, Democratic leaders opted to change the rules and cut off the time clock for considering the agreement.   I strongly opposed this unprecedented action and will continue to call for a vote on this important bill that will help to strengthen ties between the United States and a top ally in a critical area of the world, South America. 

The U.S.-Colombia agreement will eliminate tariffs and other barriers to trade between our two countries.   Already, Colombia enjoys nearly duty-free access to the U.S. market for its goods under U.S. development programs.   The trade agreement would afford the United States the same privileges to Colombia’s market, tearing down trade barriers that block U.S. goods and services.   Colombia would commit to live up to the high business standards we designed, as well as important labor and environment protections.  

I have asked for a hearing on this agreement, but the Committee on Ways and Means has refused.  Please read my letter.

Read a summary of this agreement , courtesy of the Office of the United States Trade Representative.

See how Texas would benefit from this agreement.

Rescue of American Hostages

On July 2, 2008, the Colombian Army successfully rescued 15 hostages held by the Colombian terrorist group, FARC.  These hostages included three Americans, Marc Gonsalves, Keith Stansell, and Thomas Howes, held in captivity since 2003.   I introduced a resolution, H.Con. Res 389, recognizing the dramatic rescue and the President of Colombia, Alvaro Uribe, for his role in freeing the Americans.

Please read my remarks on the House floor about the rescue.

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U.S.-Panama Trade Promotion Agreement

The United States and Panama signed a trade promotion agreement on July 28, 2007.   Before it can be implemented, however, Congress must vote to approve it.  Unfortunately, this Congress has yet to vote on this agreement, in large part because Congress normally considers trade agreements in the order they were signed.   Accordingly, Colombia would be voted on first, then Panama.    This Congress refuses to take up the Colombia agreement.

I am a strong supporter of the U.S.-Panama Trade Promotion Agreement because I believe it will help U.S. and Texas businesses, workers and farmers sell more of their goods and services to customers in Panama.  It will also help us take better advantage of the $5 billion expansion of the Panama Canal, which would double its capacity.   This is a positive development for Texas, and particularly the Port of Houston.  The more goods we can sell abroad, and the more commerce we have at the Port, the more jobs created here at home.

Please read a summary of the U.S.-Panama Trade Promotion Agreement.

Please see how this agreement can benefit Texas.

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U.S.-South Korea Free Trade Agreement

The United States and South Korea concluded trade agreement negotiations on April 1, 2007, but Congress and South Korea’s legislative branch must approve the agreement before it can go into effect.   I am a strong supporter of this agreement, and have called for this Congress to vote to approve it.  Unfortunately, this Congress has yet to schedule a vote on the agreement.

This agreement is important because it would eliminate tariffs on most goods and services between our two countries.  It represents the most significant market-opening agreement for the United States in fifteen years.  The potential benefits for our economy are huge:   The non-partisan International Trade Commission estimates that should the agreement be implemented, U.S. GDP could get a boost of $10 billion a year, as the United States is able to produce more goods and services to sell to the South Korean market. 

Please view my speech on the U.S.-Korea FTA at the Greater Houston Partnership.

Please view my Congressional Record statement on the opening of the beef market in Korea, and the U.S.-Korea FTA.

Please read a summary of the agreement.

Please see how this agreement benefits Texas.

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Doha Negotiations of the World Trade Organization

The United States has been engaged in trade negotiations with other Member nations of the World Trade Organization since late 2001, when the body launched a new round of global trade negotiations, called the Doha Round (named after Doha, Qatar, where the new talks began).

There have been many starts and stops during these negotiations, the most recent disappointment being a breakdown in negotiations at the highest level in late July, 2008. The cause? Several developing countries with fast-emerging economies wanted few restrictions on their ability to put tariffs back on farm goods if there were to be surges in such imports. The United States, led by U.S. Trade Representative Ambassador Susan Schwab, resisted, since this could unfairly block U.S. farm goods. The negotiators also failed to agree on how to reduce tariffs in key industrial sectors. So, the talks faltered, but negotiations continue at the staff level.

While these developments certainly lessen the hope for a successful round, I remain supportive of the Doha Round negotiations. The United States and other developed countries keep relatively low tariffs, thanks to cutbacks during the last round of global trade negotiations, the Uruguay Round, but many others maintain high tariffs and other barriers that block U.S. goods and services. Poor countries often have high tariffs, which can hinder their development because the tariffs prevent these countries from trading with each other. A successful Doha round would seek to lower these tariffs and other barriers in manufacturing, services, and agriculture, and in exchange, the EU, United States and other developed countries would roll back agriculture subsidies that can distort the world market.

Such an outcome would be a win-win for the U.S. and many other countries. Experts say that a successful Doha Round could help lift tens of millions out of poverty and add more to household incomes. To read more, please click here.

I do believe, however, that failure to reach agreement on a broad package should not stop us from pursuing side agreements, where it makes sense. For example, an agreement on trade facilitation would remove red tape and streamline customs procedures, helping to spur commerce. If it becomes clear that progress can’t be made on the Doha Round, generally, then trade facilitation can be a development tool that shouldn’t wait.

And to encourage an agreement to lower barriers to trade in certain environmental and energy technologies, like solar panels, I have introduced legislation, H.R. 6924, with my colleague Rep. Wally Herger that would provide the Administration the authority to lower U.S. tariffs in these goods, provided we receive the same treatment from other countries.

View the U.S. Trade Representative’s website on the WTO.

View the WTO website on the Doha Round of trade negotiations.

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Affordable Footwear Initiative

I have authored legislation, H.R. 3934, with my colleague Rep. Joe Crowley, that would eliminate unnecessary tariffs on imports of shoes no longer produced in the United States.   The U.S. maintains extraordinarily high tariffs on footwear.   And to add fuel to the fire, our tariff code taxes the cheapest the most, and the most expensive the least.  

These tariffs were first created in the early part of the last century, when lawmakers wanted to protect the U.S. footwear manufacturing business.   But today, there are very few footwear producers left in our country.   Ninety-nine percent of all the shoes we wear come from overseas.   There’s little U.S. industry to protect anymore. 

But those old tariffs – some as high as 67.5% – still remain today, costing consumers millions of dollars each year.   My bill would eliminate those tariffs – while maintaining those that do protect the few remaining U.S. producers.  

Read more about why I am proposing to untie this unfair tax.

The Heritage Foundation and the Progressive Policy Institute have also endorsed eliminating footwear tariffs. Please view their paper.

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Caucus on Congressional-World Bank Dialogue

In July 2008, I launched the new Caucus on Congressional-World Bank Dialogue with my colleague Rep. Betty McCollum and World Bank President Robert Zoellick.   We created this caucus to provide a forum for Members and the Bank to better communicate on critical issues with a global importance:  advancing economic growth in the U.S. and worldwide, sustaining development, reducing poverty, and enhancing capacity for trade.

The World Bank plays an important role in addressing many of the same challenges before Congress today:   How do we address the global financial crisis?   How do we increase energy resources to meet growing demand around the world?   How do we keep food prices from skyrocketing?   How do we address climate change?   How do we help alleviate poverty and stimulate growth around the world?

The more Congress – which is responsible for providing U.S. financial support to the World Bank each year – can work with the Bank, the better we can address these issues together, and others that of interest to us and our constituents. 

From my standpoint, I’ve long been a big believer in the principles of trade and open markets.  At its core, trade is about freedom.   But it also holds the potential, with the right policies and the right support, to help lift people out of poverty.   It’s about development and raising living standards – a key objective of the bank. 

Whether it’s financing a bridge to help move goods to market or offering assistance to governments on ways they can help grow their economies, the World Bank is a leader in building the capacity to trade, and I look forward to working with World Bank President Robert Zoellick on these and many other issues important to my colleagues in Congress.  

Members of the Caucus include:

Rep. Kevin Brady, Co-Chair
Rep. Betty McCollum, Co-Chair
Rep. Joe Crowley
Rep. Rick Larsen
Rep. Gwen Moore
Rep. Gregory Meeks
Rep. Spencer Bachus
Rep. Mike Pence

Rep. Ander Crenshaw
Rep. Henry Waxman
Rep. Phil English
Rep. Jerry Weller
Rep. Maxine Waters
Rep. Keith Ellison
Rep. Barbara Lee
Rep. Brad Sherman

Please review the World Bank’s website.

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Congressional Services Caucus

The Congressional Services Caucus works to highlight the role of services in the U.S. economy.  The service sector contributes 80% of GDP, $8.2 trillion, and employs 93 million Americans, according to a study by the U.S. Coalition of Service Industries.   And these are jobs that pay well too – an average of $50,000 – including accountants, doctors, computer specialists, engineers, teachers, real estate agents, bankers, lawyers or express package handlers.   These are jobs that help to enhance our economy’s competitiveness in manufacturing and agricultural production, too.
And the United States is very good at what it does.  So much so that in the area of services trade – sales of our products abroad – our country has a trade surplus of $97 billion.   
The Caucus recognizes the important role services plays in U.S. employment, trade and investment, and provides a forum for honest, open, and frank discussion with the Administration, business and political leaders and other experts to advance gains from the service sector.
The National Bureau of Asian Research has also produced a report on the role of services in our economy.  View the report.
The other Co-Chairs of the Congressional Services Caucus include Reps. Gregory Meeks, Phil English, Joseph Crowley, Deborah Pryce, and Ruben Hinojosa.   Please view a full list of Members.

The Doha Round of World Trade Organization Negotiations

As a Co-Chair of the Services Caucus, I support a new global trade agreement at the World Trade Organization that locks-in the current levels of market access U.S. companies already enjoy, and opens up markets even more in certain areas.    The level of ambition in the services negotiations should be on par with that in the agriculture and manufacturing.   Unfortunately, that has not always been clear, and I and other Caucus co-chairs have written to the World Trade Organization Director General Pascal Lamy reiterating our views.   To view our letters, please September 2007, January 2008, and February 2008.     
I have also written to the top U.S. negotiator for trade, Ambassador Susan Schwab, as well.   To view my letter, please click here.
While the Doha Round negotiations have certainly faltered this year, it is my hope that we can still have a successful outcome.

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Friends of New Zealand Caucus

I re-launched the Friends of New Zealand Caucus with my colleague Rep. Ellen Tauscher at the beginning of the 110th Congress, after former Rep. Jim Kolbe started the caucus in February 2005.   The purpose of this caucus is to strengthen the already close relationship between the United States and our ally New Zealand, on economic, political and social issues.  In particular, the Caucus supports efforts to launch trade agreement negotiations between the United States and New Zealand.   

Currently, the Friends of New Zealand Caucus has 66 members.  Please view a list of members.

The Caucus has offered a variety of events for its members.   Members have met with the New Zealand Speaker and her delegation, as well as visiting with an array of dignitaries, including New Zealand Trade and Foreign Affairs ministers.  In 2007, I and Rep. Tauscher had an opportunity to meet Prime Minister Helen Clark during her visit to Washington DC. Additionally, the Embassy has held policy briefings for staffers working for Caucus members, and regularly hosts Embassy tours for interns in those offices.   In May, 2007 and 2008, the Embassy also hosted a wine tasting on Capitol Hill to officially re-launch the caucus for the 110th Congress, featuring New Zealand wines.  The Caucus also hosted a breakfast for the Hon. Phil Goff, NZ’s Trade and Defence Minister, in June.

New Zealand’s Parliament has launched a counterpart to our caucus. So far, more than 54 Members of Parliament have joined the NZ-USA Parliamentary Friendship Group, which was officially launched November 15, 2006.  The membership represents a cross-section of parties in the NZ Parliament.  The chair is Gerry Brownlee MP, Deputy Leader of the National Party, and the Deputy Chair is Shane Jones from the Labour Party.

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Committee Assignments

Ways and Means Committee

Joint Economic Committee

 

Bills Sponsored By Rep. Kevin Brady

Bills Cosponsored by Rep. Kevin Brady

Voting Record for the 110th Congress

US House of Representatives- Votes 110th Congress, 1st Session

US House of Representatives- Votes 110th Congress, 2nd Session

Check On the Status of a Bill

Other Helpful Links

The Legislative Process

Laws: The U.S. Code