ALI Webinar: Discussion with Congressman Ron Kind (D-WI): The Future of Trade in the Wake of COVID-19
/Click here to watch the recording of the webinar.
ALI and WITA co-hosted a webinar with Congressman Ron Kind (D-WI), a senior member of the House Ways and Means Trade Subcommittee. The conversation focused on the need to reform of trade and the WTO, the importance of pushing back on increasing protectionism, and an agenda for the next Administration.
There are several bills pending in Congress to reform Section 232, requiring that the President consult Congress before imposing national security restrictions on trade.
There is a bipartisan effort in Congress to ease the COVD-19 trade restrictions, particularly on medical supplies and PPE equipment.
The WTO is in crisis, with the dispute settlement appeals process shut down. During times of crisis it is easy to demonize outsiders and multilateral institutions. The Administration should have reached out to work with its allies on a reform initiative. Choosing a reformer for the next Director General will be extremely important.
Despite legislation introduced by Congressman Hawley to defund the WTO, there remains bipartisan support for the institution, but also an understanding that it needs to be reformed. There is also a serious lack of information among new members and companies should take the time to educate Freshman.
The Administration missed an important opportunity to form international coalition to stand up to China. TPP would have been a great way to constrain China’s trade influence and rousing popular anger towards China will not serve us well. The current negotiations between US/EU/Japan to develop new language which would address China’s government subsidies is encouraging.
Trade Adjustment Assistance is expiring in 2020. As we know, job loss and displacement are primarily the result of automation and technology, not trade. Democrats are working on replacing TAA with a broader assistance package, which will address the reskilling workers for our new economy.
Congressman Kind believes the next President will need to undo the harmful trade policies of this Administration and work on developing new priorities.
The new parts of USMCA are significant, especially the new language on labor reform in Mexico are important and will hopefully be expanded into new agreements, including a potential comprehensive Pacific Rim Free Trade Agreement.
The next Administration should rejoin the Paris Agreement. Hopefully, the EU will wait before imposing a carbon adjustment tax until we can have broader discussions.
The U.S. lost an important ally in the UK’s pull-out from the EU. The US-UK Free Trade negotiations will be difficult as it will be difficult for the UK to harmonize its regulations with both the US and EU. The next Administration will need restart broader trade negotiations with the EU.
