[background noises] the ways and Means Committee will now come to order. Good morning, today we will consider the historic u. S. Mca transforming agreement that creates a new High Water Mark u. S. Trade deals moving forward. The implementing bill before us is the result of many months of negotiations and indeed more than a year between House Democrats and the ambassador robert who worked with us honorably every time we met. And im very proud of the outcome of that we have reached. When we assume the majority this year, we were asked to consider a renegotiated nafta that had structural flaws in a number of areas including enforcements, labor rights, the environment, and access to medicines. Let me start with enforcement. Which was the crux of this agreement. As ive noted many times over the past year, i did not vote for the original nafta, the chief reason was a lack of enforceability. In the past 25 years, weve seen the shortcoming of the original agreements, much of which comes down to a lack of enforcement, in my view. House democrats working with the trade ambassador, fix this issue. The improvements to the usmca that we negotiated finally make the agreement enforceable. Does this by preventing a country unable to block a dispute settlement panel. On labor, some of our trade agreements over the years have failed American Workers. Nafta has been symbolic of many of the broken promises that were offered to our workers. Over 25 years of nafta, theyre been 39 petitions filed, documenting the exploitation of workers and zero Enforcement Actions to remedy those violations. In Close Partnership with organized labor, and with the robust support of ways and Means Committee democrats, we negotiated improvements to the rules into our monitoring regime and we established new Enforcement Mechanisms. On the rules we have put in certain provisions and obstacles for enforcement or other. We are monitoring for the first time we have created a proactive regime in a trade agreement. The implementing bill establishes an Interagency Labor Committee that will actively monitor mexicos compliance and report to this congress. On enforcement we negotiate a historic mechanism never included in a trade agreement before. It is a result of House Democrats in their efforts, we will now have a facility specific Rapid Response mechanism to address violations of key labeler obligations. Weve also made great improvements to the environmental provisions. Usmca will now include the highest Environmental Standards of any trade agreement in history and will include new customs verification agreements to enhance enforcement. The implement in bill also secures more than 600 million in funding for environmental problems in the nafta region and we reauthorize us north American Development bank. With the dedication of the working Group Members appointed by the speaker, we also secured important changes to the usmca that purpose serves congress ability to change u. S. Law to address the crisis we face with respect to high Prescription Drug prices. These changes set a new standard for u. S. Trade agreements and demonstrate the trade agreements can receive broad bipartisan support if they empower workers, protect Patient Access to healthcare, and improve our shared environment. I am proud to support this agreement, and the implementing bill before us. But before we consider this historic implementing legislation today, we will first take up House Resolution 746 a bipartisan measure that re informs the United States commitment to the wto. I commend our colleague wrong kind for his work on this important bipartisan resolution as well. And let me recognize Ranking Member brady for his remarks. Thank you chairman neil. It goes without question the new usmexico Canada Agreement is sorely needed modernization of nafta. Spent over 25 years since we updated our trading relationship with mexico and canada, a lot has changed since texan and george bush. Who initialed the original agreement in San Antonio Texas paired we didnt have google in 1994, we didnt receive news on her smartphone. Netflix did not exist. Usmca brings us to the 21st centrale be a force multiplier by americas already strong economy. President trump and m nasser light heiser have fought hard and delivered on their promise for progrowth and modern train packs. And because of their leadership we now have a trade deal that would deliver historic wins for our economy. And thats because this is a trade agreement that is all about growth. Usmca will set the stage for billions more, and Economic Activity. It creates for the first time rules for competing in the Digital Economy with the branded digital chapter american innovators will be empowered to sell goods and Services Globally allowing for a more stronger american economy. To open canada markers for u. S. Farmers to sell eggs wheat derry to canada. Our Service Providers will be able to lock and access to mexico and canadian customers. The agreement is enforceable, allowing us to challenge violations and stopping countries from blocking those challenges. Holding mexico and canada accountable for these new rules. For america, this means more jobs. It means more customers and it gives americas animators tools they need to succeed here in america. We can compete with countries like china. Independent experts predict this agreement will spur over 68 billion in new Economic Activity, more than a hundred and 76000 american jobs are set to be created including 76000 new auto sector jobs. And best of all, for the American People, the usmca is truly a bipartisan agreement, not a trade deal fills with purely leftist ideas. Chairman neils credit, House Democrats worked in good faith with ambassador lies heiser on the packed, and i want to thank each chairman neil for your hard work in finding consensus on this agreement. We are glad to see so Many Republican priorities were retained, in the agreement before us today we have labor and environmental rules that are realistic. They are measurable, and they are enforceable. Whats not in this agreement are purposes and for which there is not consensus. The expensive budget lewis multiemployer pension act which more work needs to be done. American workers have a major victory in usmca able suffer the biggest loss if Congress Fails to support this agreement. We are a bit frustrated. Todays market should have taken place months ago. And over the years since President Trump on the north american neighbors signed the agreement and over half a year since mexico ratified the initial agreement and passed the groundbreaking labor reform. it is time for us to move i strongly urge all members of the committee the usmexico can the agreement is a win for the American People a stronger and more beneficial for our trading partners prick out the chairman said today we are doing a resolution i strongly support that to lead with the trade rules this is to modernize the organization increase transparency how it strayed from the mandate with respect to power of the body the us has been raising these issues through multiple administrations other wto members have been unwilling even while assisting they be addressed us appropriately is fully engaged in all aspects of the wto work moving negotiations and transparency i command the representatives to be in a bipartisan resolution to also outline that urgent need that congresses unified here. Thank you chairman. Our first order of business House Resolution 7462 support to reform the wto it reaffirms us commitment to the wto calls on the United States to call another members to pursue reforms and longstanding concerns with the appellate body with the use of special and deferential treatment to increase transparency and remediate the failure to satisfy credible critical notification obligations and create structures to promote peace prosperity open markets thank you for your leadership on this issue now im pleased to recognize for purposes of an opening statement. Thank you for scheduling this important resolution it is as important as it is timely thank you for your partnership as well it is important it reestablishes congresses support for the wto that we help created with the rules based trading system for member nations to come to together to resolve trade disputes peacefully that is important as we move forward to shape the global rules of trade so they can compete and enforce the rules if they choose not to comply. Last tuesday december 10th the appellate body of the wto ceased to function normally comprising Seven Members requiring three to have a quorum of those 32 of the terms just expired we as a nation have been blocking further appointments to that panel as we are working on crucial reforms to modernize it to bring into the 21st century the reforms the Previous Administration was working on including the current one. We had an opportunity to go over those delegations in geneva to meet with our ambassadors to impeach dash but those that have been falling up short to restrain the appellate body to operate within the parameters rather than expansive decisions that were not agreed to by the other participating members increase of transparency also a problem with self identity still hiding behind the status of trade preferences that china has been abusing that status for quite some time this has been a by partisan attack to move forward and we felt it was important for the house in congress to weigh in to give the current ambassador further tools to take the argument why this is important to get done especially in a timely manner. Now it ceases to function has a brave new world it we can only predict what the consequences would be now they see the lower panel to encourage trade wars through those member nations where its every country for themselves or as we hear now there are discussions occurring to create an alternative to the Resolution Panel to the exclusion of the United States we wouldnt even be a participating member of that that could be a very dangerous thing for the rest of the world to turn their backs on us but i think its important for us to provide to establish the rules in regards to the preeminent economic power in the 21st century what has it been considered ultimately germany will make this decision to spend one depending on which way they decide to go if they move toward china they will take the ewith them it will be the eu and china establishing the rules to our exclusion to help manage this relationship with other members of the wto in crucial allies we want to keep because they do share many of the same Democratic Values we have been promoting this is whats at stake it is important we move forward to affirm our support a crucial function also recognition of the reforms that we in Previous Administrations have been working on for some time i also want to thank representatives who went with me to the wto this fall and their involvement to draft this legislation i think we have struck a sweet spot with bipartisan support with conversations of the senate to see if they can do something comparable or similar strong passage sends a strong message to geneva right now that we are serious about helping that organization but also modernizing and implementing the reforms we feel are necessary to make sure it is functioning the way we intended i encourage support and i yield back. I like to recognize the good work for his purpose of an opening statement. Thank you on occasion we get these moments for something starts to move so for those of you who had to listen to my tirades on the wto i apologize from a very practical standpoint lets be honest if we have a rules based trade 98 percent of the world trade moves between wto countries but those dispute mechanisms are calcified if you want to be bored out of your mind read the opinions of the adjudicators they read like philosopher kings. That was meant to be funny. [laughter] but theres just a handful of things the fact we are living in a world where many disputes are technologybased but by the time the adjudication is done the very dispute the technology has moved on how do we change the timeline move the adjudicators to transform the actual question instead of philosophize the questions that were not asked or if representatives of other governments come visit us if we help them also this is important to you japan, eu , help us all because this will have to be done as a cooperative effort to reform the adjudication process and the timeline of scope and if one decisionmaking we are going the right direction but have a feeling we have a couple of years to be dogged on this but we have to push it. I yield back. [laughter] spirit the committee will now proceed to House Resolution 746 support to reform the wto it will be open for amendment at any point if i offer the nature of a substitute it was distributed in advance to explain it without objection the amendment shall be considered as read it any point for purpose of amendment now the staff director will summarize the components of the resolution please hold questions until after the presentation. The amendment makes three changes to the house resolutio resolution, first it strikes the preamble, second it removes the cereal, from the last line in the wear as clause and it removes the cereal, in Section Three eof the resolve section. House resolution 746 to the house of representatives United States should affirm its commitment as a member of the wto and have other wto members to achieve reform that improves the speed and predictability to address longstanding concern concerns, increase transparency at the wto ensure wto members have differential treatment reserved for developing countries under appropriate circumstances to address the needs of the United States and other Free Movement economies in the 21st century that concludes my presentation. Are there any questions of the nature of the substitute . Does anybody wish to strike the last word . The gentleman from virginia. I would like to strike the last word and to introduce this resolution from our trip to geneva we did add deep dive with differential treatment by understand republican and democratic administrations it was a terrible decision to essentially kill it in the short run the longstanding desires detail this resolution despite this the wto settlement has been a positive for the United States and the World Economy already we see other nations in the appellate body created without us we saw the tpp but the other 11 nations went ahead without us are other concerns is to lead an honest effort and good faith not pick up our toys and go home a strong bipartisan its important for support for the wto for which these disputes are central we went to make sure this is not a deathknell or a permanent condition in the us would renew its strong leadership and restore functionality and to be in partnership with allies Us Economy Health and welfare 7 billion people depend on trade and fair rules of enforcement thank you to the leaders for their leadership. The gentle man from kansas is recognized. I moved to strike the last word. As the bread basket of america ive been a long time strong advocate for free and fair trade to pull millions of people out of poverty all over the world for over two decades the wto has been an integral part of that achievement now its in desperate need of reform for to play a critical part to reinforce the trade policies around the world fortunately over the last decade member countries have refused to make necessary and overdue reforms to strengthen the wto including transparency the notification process regarding changes of member countries and the effectiveness and efficiency of the appellate body they are needed to make sure the wto can strengthen trade to the 21st century i traveled to geneva with a bipartisan delegation to discuss these reform ideas today im proud to support House Resolution 746 that these reforms are necessary to strengthen the leading role in the organization thank you to representative kind. The gentleman from oregon. I too deeply appreciate my friend to move this forward and his willingness to lead the delegation to make sure the world knows we are interested to be engaged. Its time to reestablish American Leadership at a critical juncture we are sending too many signals and with leadership to the chinese the world needs American Leadership and economic factors many send signals they want this leadership we can profoundly shape the outcome for the wto we need our leadership to make sure our interests sends a signal we are committed to both reform and leadership and i appreciate the congressmans willingness to assume a leadership role in the trade subcommittee to guide us moving into the new year and the followup work to make sure we will have engagement on both sides of the aisle to reassert that leadership may i yield to mister kind quex. I will you may. Thank you for the leadership you have shown the interest it is no secret that Trump Administration has a relationship with the wto a Multilateral Institution but to his trade ambassadors credit he has publicly stated if the wto did not already exist today one would have to be created to keep peace within the Trading Community and this is about the Important Role of the wto we are well served has been a frustrating tenure to negotiate those reforms that we are calling for in this resolution bad its work thats well worth the effort and i just want to remind my colleagues we have been extremely successful to bring complaints before the wto every time we file we win they are well research and evidencebased including 24 of the most recent filed against china for their violation of rules trying to get those implemented is another area of reform in the expedited fashion. And china abides by those rules to recognize decisions that are issued against them this is a better approach in our relationship with china with a tip for tat trade war and then china hits us retaliatory tariffs into drive up the cost of goods for consumers could be a more multilateral approach. In those negotiations to prohibit illegal substances and then we share when it comes to china. And then hard for china to ignore those structural changes in reforms. And all of us share with the administration a different strategy. And i yield back. I support the efforts in this resolution thank you for your leadership. And what the president is doing what we are trying to do here and then we havent seen a political leader take on china like we have been necessitated to get them to the table. And purchasing American Products 80 billion to 100 billion of ag i am most interested in central reforms. I think its both i applaud the president for having the political courage to withstand the lobbying and incoming from interest around the country and its real pain that is felt and i can attest to that and they cannot sustain this for too long. I hope we can hit reset in the near future and get on down the road so to speak. But with respect to wto , thats the next big thing to tackle a mechanism for rules based trading system to promote free and fair trade around the globe we have to have the adjudicating body and the current set up is wholly insufficient and is broken in the areas that you call out in the articulate way of the resolution we wont go through all the statements but i wholeheartedly agree with the ones that you make in the rules based system that the rules are fair in a fair and equitable way for free trade and relevant and current the resolution process that you mentioned is transparent and wellfunctioning thats not happening today. Then that may be the most sinister in my mind problems and needs to reform within the body of wto when you are one of the largest Fastest Growing sophisticated economies mainly speaking of china and it is absolutely unacceptable china has been aiming at us and others unfair advantage as a developing country here are some statistic statistics. But first the fact when china joined the wto, since in the United States have shipped three. 4 million jobs overseas and shuttered 70000 american factories. Maybe not all of that is a Counter China but a lot of it is. Now the most largest subsidize or of agriculture its hard for my farmers in west texas to compete with state owned enterprise farming. Beijing provided an estimated 200 million of farm subsidies and hunt billion of the United States and 33 billion they now make up significant portions of chinese farmers accounting 30 percent of their revenue core and 32 rice by comparison us subsidies constitute 8 percent of farmer earnings. It is an unfair Playing Field and it is distorting markets and suppressing prices and doing a number on the american farmer. So we need to tackle these issues in a serious and vigorous way and i commend you for your leadership. I am behind you 100 percent and im more than excited to join the effort. Mister chairman i would like to strike the last word. First i like to thank you to our colleagues to sponsoring the court the legislation and i believe Congress Needs to take urgent action to address the crisis at the wto program a strong advocate for rules based Global Trading system because i know alabamas farmers and manufacturers can thrive in the global marketplace as long as there is a level Playing Field. We all know there are systemic issues with the wto we have numerous cases where the appellate body overstepped its authority also it has not been effective in reducing transparency of the Member States and has not successfully dealt with the chinese subsidies with the state owned enterprises all these are in front of us i remain optimistic if america takes a leading role to propose reforms we can make the wto inequitable organization to protect American Workers and promote Economic Growth. However im growing increasingly worried americas current trade policy is less concerned about Constructive Solutions and more concerned to dismantle the International Trading system. What we need now is American Leadership i applaud this committee to step up to the plate to propose this resolution and as i have stated in this committee i believe the United States needs to work with its allies with the trade threat from china to take a unilateral approach for the past three years and has little to show for it and to join with our allies to take this opportunity with the Global Trading system and to address that global threat and other nonmarket economies i encourage all of my colleagues to support this resolution and i yield back the balance of my time. I moved to strike the last word. I support this resolution today thank you because this expresses our strong resolve to reform the work of the organization to ensure all countries play by the rules but i believe open markets and rules based trade for prosperity in International Security but when we see nonmarket economies like china game the system to take advantage of International Trade rules and puts americas interest at a disadvantage. I am particularly concerned while china seeks to expand the asiapacific region dominant industries in the future like ai and five g claim it is still a developing country to take advantage of special wto privileges initially the appellate body exceeded the mandate to interpret those agreements with members. The successive administrations of both parties have recognize these laws and consistently reiterated reform of the outdated rules that have not kept pace with the challenges of the 21st century and the Global Trading system the resolution before us today expresses strong concern with the longstanding problems to make it clear Congress Needs efforts to reform the wto so it works for the 21st century i stand in strong support of what enhances National Security and National Prosperity and values. I support hr 746 it advances these goals i look forward to continue this much needed conversation Going Forward. I yield back. The gentle lady from Washington State. Thank you mister chairman. I moved to strike the last word. You are recognize. Thank you im very pleased to support this resolution. These days the wto is associated with failed negotiations like dough ha but there have been success like the expansion of Information Technology agreement and the trade Facilitation Agreement to reduce trade costs and agricultural goods these achievements were only possible because the us was committed to institution work and work constructively with other wto members in addition to be a multilateral negotiation one of the wtos most Important Solutions is to dispute settlements functional settlements is clearly in our interest but there is ongoing concerns with those not completing mandates this involves the bush and Obama Administrations with the concerns of these systems i strongly urge this administration play a constructive role to reform the wto so we can have a functioning system and a functioning wto the challenges facing the multilateral system are great i strongly believe this offers the best chance to ensure that trade is achieved in a manner consistent with our values currently in the middle of important negotiations to improve the health as well as the ecommerce negotiations over digital trade if we retreat from negotiations at the center of Reform Efforts it will make it harder for us to drive the agenda on key issues that will define the coming decades i strongly support this resolution and i yield back. I recognize the gentleman from illinois. I moved to strike the last word. You are recognize. Also with comments and supportive of h resolution 746 thank you to the congressman for putting forth this resolution when i think of the wto if you go back and look in 2001 china was brought into the wto at the time the argument was made if you bring china in they will rise to the same standards of every other industrialized country and play by the same rules we have had 20 cases against china and we have one everyone. There is one pending now may be to the problem is it takes between three and five years to get a result. So when you think about how we change that that is what the resolution starts down the path to doing. So they have manipulated the system and taking advantage whether distorting market markets, stealing intellectual property, the forced technology transfers, when you finally get a result from the wto, its too hard to implement that in a quex fashion and businesses have adapted and moved on so the need for this reform is important and when i think about my farmers the eighth largest agate district in the country with corn and Soybean Production a look at the cases that have affected affected them and manufacturing this is a good start hopefully we can see those reforms to make the system better and work the way it was intended and to stop taking advantage of the system i yield back. I moved to strike the last word. Thank you mister chairman. I support the reform of the wto thank you to my colleagues for their leadership on this resolution. The wto is essential to enforce the agreement free trade is fair trade the wto while enforcing rules to resolve trade disputes. The appellate body lifting the mandate to diminish rights and obligations that they need to increase transparency making hearings open to the public and also to make sure it provides on a fair basis with that settlement process to update the rules. It is critical to the economy in the city such as iowa this is extremely incensed essential it must be fair i yield back the balance of my time. The gentleman from florida. The gentle lady is recognize. I am grateful for my colleagues on the committee who pass this leadership resolution on this leadership issue i agree with much of what has been said with the intent but feel is not reflected in the resolution as written paragraph it reflected the balanced nature of what is said in this committee today i couldve supported at. The george w. Bush administration had concerns with the appellate body nevertheless when it left office there were seven judges and it was fully functioning. The Obama Administration had concerns with the appellate body as well however when it left office there were seven judges and it was fully functional the Trump Administration has concerns also but it has been dramatically different between 2017 and 19 as the terms have expired or resigned the administration has blocked the appointment of any new judges. They are not blocking individuals from becoming individuals because they will engage in judicial overreach as agreed to by the wto members it is categorically blocking any individual from being considered as far as im aware no other country supports these tactics and as a result of americans actions theres only one judge that has not expired they can no longer make a quorum this is the beating heart of the wto through its brazen actions the Trump Administration is driving a stake through its heart it is a huge threat to American Economic prosperity that bipartisan American Leadership help to for a generation 85 percent of cases it brings to the wto the claims that the president never wins in geneva are inaccurate it is helpful to the ag sector we have used the dispute settlement process to prohibit barriers that other countries have adopted. Likewise the United States is use this process to bring better conformity with the wto according to the Peterson Institute 20 cases brought against china in 2019 the us 111 times china agreed to settle nine times the us has never lost thats a pretty good record without the appellate bar body they will cant compel other countries to come into compliance and now the case will sit there in perpetuity not able to be resolved or enforced every trade dispute could evolve into a mini trade war with tariffs and counter tariffs that is new and damaging tactics on American Consumers because tariffs are taxes you dont know what you got until its gone applies here the us we may not be happy about the wto and we may be right some Institutional Reforms are required but to destroy the appellate body cannot be the right answer. This resolution consists of a couple clauses expressing support for the wto which i generally appreciate but the core of the resolution is just a critique including the appellate body the resolution reinforces the administration complaints about the appellate body without acknowledging the many ways that advances us economic interest in normal times i could swallow my concerns to support the resolution even though the longstanding concerns are less valid but the point is we are not living in normal times the president of the United States has just cause he appellate body to stop functioning and has done so on our watch if this committee truly seeks to support and reform the wto it should have legitimate calls for reforms to take all reasonable steps to revise the appellate body we did not strike the appropriate balance otherwise i yield back. Are there any amendments to that nature quex. Does anybody wish to be heard if there are no amendments the questions on the adoption of the amendment and the substance to all those in favor . Those opposed . In the opinion of the chair it is agreed to let me recognize the gentleman from georgia. Mister chairman i move the committee favorably report House Resolution as amended to the house of representatives. House resolution 746 amended all those in favor . Those opposed . In the opinion of the chair the ayes has an House Resolution as amended will be reported to the house of representatives. Without objection staff are authorized to make technical changes two additional days to submit views with the agreement between the United States of america and canada is before us i start by acknowledging us trade representative for the us hemisphere a distinguished career and more than three decades of service and is now here to shepherd through we appreciate your service and thank you for joining us today. With that we will recognize this subcommittee chairman who played a Critical Role to get this across the finish line. I appreciate your leadership strongly identified with your comments and Opening Statements one modest exception is my good friend of the Ranking Member we were given legislation that was flawed despite wide recognition of the problems of nafta one. Zero the agreement presented to us that it doesnt have the votes to pass the house or this committee and frankly i dont think it was merited we embarked on a pretty Aggressive Program over the course of the year not because of other things but despite all the things we made remarkable progress. I am pleased what we have here reflects and what can happen if we are willing to come together and dig in and listen to a wide range of opinions, which we di did, i appreciate the personal investment of the speaker to create a working group that at times was a little frustrating but time will prove the approach he took help to accelerate progress with the ambassador who is remarkably cooperative and giving the focus as needed with everything the speaker had going on did not have to invest as much personally but she did. Not just in terms of engaging or encouraging but to weigh it right up until last weekend mister chairman when you and the speaker were putting down final details to make sure we have an agreement that could pass muster. Not just get the votes but worthy of support. I think thats very very important. The agreement we have before us now is pathbreaking because nafta was recognized as feeling to not have adequate protections for labor either in the United States or mexico. When we review what has actually happened over the course of a period of nafta and acted there has been virtually no increase of real wages for workers in mexico or the United States there are a number of hundreds of thousands of taking steps working with oregon i use labor with those protections for workers in mexico and work that has been done in terms of Environmental Issues one thing we have talked about at the outset is a failure of nafta one. Oh and to stand on the banks as we see the raw sewage continuing to flow into the Pacific Ocean and then moving north to san Diego San Diego to the waters where the navy seals train. This agreement provides real money, 600 million to deal with the serious environmental challenges. We have heard from the administration moving forward that made it hard to enforce environmental provisions but the presumption that it was not the area that i most excited about not with issues of ever greening in fact much longer with the tpp. For the working group or the subcommittee to strengthen access to medicine to make a big difference for American Consumers. I appreciate the work you have done and the involvement of the speaker and a giveandtake to advance their concerns it is worth the wait that is worthy of our support and having that enacted to receive the benefits of the hard work. Mister brady you are recognized for an opening statement. Thank you. And then to develop this is number 13 and it is a good one i truly believe its the greatest Economic Freedom we possess not only necessary but it is our right and duty to make an agreement to embrace and enhance two make it a reality. To think the republican leader on the trade subcommittee to make usmca for poor florida farmers i yield the balance of my time. Mister buchanan is recognized. Thank you the leader both of you for your energy and effort it has been a Long Time Coming but im so excited as the new improved version this consideration is long overdue with many benefits of this agreement to update the most vital trade relationships to work well for all americans a home state of florida supports 12 billion of goods and services to canada and mexico with 700,000 jobs usmca will boost employment by creating 176,000 new jobs for hardworking americans for 68 billion thats good news for meter can manufactures farmers and ranchers with the closest Rating Department in the seamless way and with the trade for the usmca to set the Gold Standard for trade agreements. With the groundbreaking labor standards to force mexico to improve working conditions that have allowed factories to outcompete american manufacturers the good news for those who can compete on a level Playing Field as a businessman that is why strong Enforcement Mechanisms to hold each other accountable are essential to our trading agreement to ensure all obligations are subject to meaningful dispute settlements working hard across the aisle to build the usmca im pleased we are finally here to move the bill forward i want to congratulate President Trump and ambassador light heiser that he has been incredible because on both sides of the aisle to respect his effort he has been a tremendous leader that can be supported by both republicans and democrats i look forward to a strong bipartisan vote on usmca this week and with that i yield back spirit testifying to the fact not a day has gone by we didnt seek out on the floor for an update as we proceed there was some time left for Mister Buchanan and there will be ample time Going Forward so let me welcome again assistant us trade representative daily and the deputy sitting at the chief trade council they will be available to answer questions should they arise hr 5430 without objection it will be considered as read we must be reminded trade agreements are formally submitted to the president to the congress and cannot be amended no amendments will be considered today after we hear the presentation i will recognize members for five minutes in order of seniority they are free to use or five minutes that is the most efficient way to proceed and now i will turn to the council and staff director who did a remarkable job on this proposal to summarize the components of the usmca ask members to hold their questions until after her presentation. To implement the usmexico Canada Agreement to replace the north American Free trade agreement also known as nafta. With the implementation act and in other instances hr 5430 will amend portions and then transfer them to the usa and also transferring to the implementation act unchanged into the usmca at the moment of the entry and finally to create new provisions that are not reflected in the nafta implementation act title i sets out the general provisions including section one oh one and section one oh 22 United States and state law. Wouldve those three actions in anticipation of that a proclamation authority. One oh four covers consultation and layover provisions for the Effective Date of proclaimed actions and one oh five to write out the trade representative the Effective Date and then customs provisions it with those special Agriculture Authority the rules of origin section 202 a on the merchandise processing fee with those falsifications of origin and preferential terror treatment but those actions regarding the verification of claims under usmca and with that drawback and that will be transferred with the appropriate amendments to the drawback provision to the implementation act section 501 of hr 5430. And with the secretary of treasury and labor to prescribe regulations to carry out the provisions entitled to. Title iii addresses the application of usmca to sectors and services subtitle a provides for relief from injury and also subtitle b for temporary entry of business persons through that usmc implementation act through the operation section 502 and 503 hr 5430. And adopt certain limitations and in certain circumstances a crossborder Trucking Services causing material hardly was industry in the process by which they may impose limitations on authority when address is anti tempting dumping and countervailing duties to prevent duty evasion but that dispute settlement on countervailing with that nafta implementation act through the usmca implementation act to the operation of section five oh four to the us trade statutes subtitle b addresses the effective determination and that dispute settlement proceedings with those transfer provisions and other amendments that amend and transfer portions of the nafta implementation act to the usmca implementation act those provisions relate to drawback relief from injury section 502 section 503 and section five oh four Government Procurement section 505 with those industries regulatory treatment of that uranium purposes and section five oh eight amendments to existing law. Title vi addresses the transition to the extension of usmca subtitle sets out to repeal the nafta implementation act and continue the suspension of Us Canada Free trade agreement. Subtitle b provides for joint reviews to set forth the process with a review of the agreement on the sixth anniversary and for annular reviews there after if they do not confirm it wishes to extend the term of the agreement subtitle c of usmca title vii sets out enforcement provisions of us law subtitle a establishes Interagency Labor Committee for enforcement and enforcement priorities for this committee until power the committee to make recommendations creates a petition process for stakeholders and others to raise concerns and with consultations with the labor response panelist subtitle c has labor attaches with consulates in mexico with the monitoring efforts with those implementation efforts. And to establish an independent trail of 12 members appointed the speaker and minority leader and the Senate Majority and minority leaders to produce an annual report and the Senate Finance committee that is the assessment of general labor Law Enforcement to end enforcement efforts to report on a regular basis to prohibit the importation with respect to the usmca it has a task force to build upon the monitoring efforts currently completed with child labor but the key elements of the facility specific Rapid ResponseRapid Response mechanism annex 31 a of usmca. The inter Agency Environment committee for monitoring and enforcement. It requires that committee to undertake an assessment of canada and mexicos environmental laws and policies to identify any gaps and Priority Areas for continued assessment and monitoring. Technical assistance and Capacity Building and enhanced cooperation. The subtitle b. Requires the epa to lead an interagency effort to address high priority treatment works to treat wastewater and other sources of pollution resulting from International Water flows originating in mexico. The environmental experts from the Government Agencies to be detailed to the office of the trade representative and as environment attaches at the embassy or consulate in mexico in order to assist the Agency Environment committee and its work. Subtitle c. Provides for a Capital Increase for the north American Development bank to finance Environmental Infrastructure projects related to the water pollution, water and Wastewater Treatment conservation municipal solid waste, storm water drainage, air quality and Renewable Energy along the usmexico border is appropriate if hundred 43 million to implement and enforce the labor and environment of the usmc a. I will not proceed by recognizing members in the order of seniority member members to e their five minutes to make statements as well as to require and i intend to move back and forth in regular order. Recognizing the gentleman from georgia to inquire. Thank you mr. Chairman i want to thank you and the other members who worked so hard and also to the staff to get us where we are today. For six years you and i voted against has it been that long against nafta deal . I believe we are the only members of the kennedy that took part in the debate. There are moments in history when you have a duty and obligation to speak with the power and i am pleased. Thank you and all the members of the committee that worked so hard and never gave up and kept your eyes on the prize. Also when you see something that is right, if we have an obligation to speak up and speak out. I feel in my heart of hearts that was wrong for our sisters and brothers in mexico and i remember speaking on the house floor on more than one occasion. In the original deal, congress turned a deaf ear to starvation wages. It wasnt right, it wasnt fair or just. From the blind eye to the human rights and labor rights they maintained a piece of real estate that we call earth. We knew the impact of the deal was to the bottom to restore communities around the country and around the world. We learn from our blunders and mistakes. The rich get richer and working people would be sucked dry and forgotten. The time and truth we were right. Years later and im so proud of the bill began to correct. The ship is not upright. I congratulate the group on their work. In particular to recognize the staff to fix the agreement. Mr. Chairman. You made a way out of no way i that i want to say thank you. This is a new beginning and a new day in trade. The agreement doesnt include every wish and bonds but it has to change lives of the American People and our beloved neighbo neighbors. Not just for us but for people around the world. I think all of us would agree that you get confirmation from john lewis is a good day. With that let me recognize the gentleman from california. I am very pleased to be here today after more than a year of deladelays we are finally barkip the trade deal for the 21st century. I want to congratulate the ambassador and his team for shepherding the agreement the finish line and commend the president for delivering it again for americas farmers and workers. Under the agreement with mexico and canada the products that have zero terrorists under nafta will continue to be free. Our farmers and ranchers will get additional access to the remaining protected sectors. For the sciencebased sanitary measures will be strengthened and transparency will be increased to ensure that all three countries use similar processes to create one standard for the food supply. And enforcement will be enhanced to ensure the agreement is implemented correctly. Updated dispute settlement mechanisms will ensure the United States has pumped access to dispute the settlements when needed to allow u. S. Businesses to compete on a level Playing Field. I hope that my colleagues will support disagreement wit this ae United States mexico and canada and on the floor this week so the American People can quickly begin the deals many outstanding benefits. With that i want to yield the balance of my time. A good deal to benefit every corner of the country and the entire business and all sizes across the industries to grow and create jobs. Muchneeded certainty and access and i want to take a minute to commend my friend the ambassador for his tireless work negotiating the agreement and truly delivers free, fair and reciprocal trade. Mr. Chairman, it turns out today is the 160th anniversary of the Wright Brothers making it the first flight in North Carolina and to this day creating the most innovative workforce. One prime example of this is the enormous amount of pharmaceutical research that continues to take place in my state, drugs that save lives are being made in my backyard into the world is better for it. The administration successfully got into the agreement provisions to raise protections for cutting biological drugs and this was a monumental achievement. This incredibly disappointing that democrats sought to weaken the standards and actually work against american innovators by stripping protections from the agreement. The protections from the agreement. Democrats have effectively decapitated working around the clock to save more lives. Ensuring americas innovators writes in the agreement would have had no impact on the drug pricing and to insinuate that there was a correlation between protecting the inventions in mexico and the entire drug crisis in the u. S. Is disingenuous. While i support the usmc and look forward to voting in the house later this week, the absence of the protections that were successfully negotiated by the administration is a missed opportunity in a disappointed and what i would yield back. With me recognize the gentleman from texas. Thank you mr. Chairman. Almost six months to the day the ambassador was in this room in an environment in which both inside and outside comments were being made but there was no way that this agreement could be reopened. When he presented the trade agenda, i urged him to adopt a self executing amendment that would be signed by all three countries to make important changes to the agreement. Finally, after much work, that has been done and that is what we consider along with the original agreement today. The ambassador certainly does deserve praise for his efforts he made in the initial proposal a number of important changes and trade policies. One of those i was most concerned with when we considered Transpacific Partnership agreement was the abuse of the investor state dispute settlement process. We have an agreement with australia that has done fine without such a provision that favors those who want to challenge in front of private tribunals thanks to the efforts of ambassador white house or that was eliminated and sharply reduced with mexico. But there were a number of problems with the agreement as originally proposed. I think we have now moved to the truttruth 21st century trade agreement that only encourages more trade that adds protection for the environment and workers. The first consideration in any trade agreement is does it promote trade. I am particularly sensitive to that because the original agreement was signed just around the corner from my office in San Antonio Texas. Nafta has been very important to the Economic Development of texas, mexico is our first trading partner, canada is our second and disagreement will encourage a continuation of the trade relationships that we have with both countries. But trade has to be concerned with more than just what moves across the border in commerce. It has to consider the effect the trade is having on all aspects of the workers, the environment and the economy. One of the many troubling provisions in what President Trump originally proposed as a big giveaway to big pharma. The harmful language that was inserted when President Trump was trying to protect the monopoly power and allowed it to continue the price gouging all of that has been removed. A second area that is really important in the changes that have been made that is directly into very different from what President Trump proposed concerns the environment. We have an outcome that is much stronger than what was in the Transpacific Partnership or the may 10 standard that was negotiated with the bush administration. For seven multilateral agreements come each country will take all the measures necessary to fulfill its obligations. These are seven important agreements. The changes were also made with regards to the whole issue of the ozone depleting chemicals. It may sound remote. Its a place far away but its a very important in our battle to address the climate crisis. And language in this bill will facilitate eventually when we have a president that believes in science and addressing Climate Change and not having it overwritten by trade agreements throughout north america. Theres also very important provisions that provide additional funding for the north American Development bank based in san antonio which will be helpful on both sides of the border. The provisions in this agreement are very important. Its not enough to have platitudes about protecting working standards and working conditions. Under this bill there are specific provisions that will allow meaningful enforcement of those provisions. They may be in perfect and it will take much effort to see that they are ineffective, but they give a fighting chance to workers that dont want to see competition simply send her on a lowering of standards instead of the raising of standards in all these countries. Finally, i want to salute not only the members of this committee that particularly ms. Tai who is here this warning. She worked with a group of members with different interests on the kennedy and her leadership has played a key role in the debate that weve achieved today and i would urge the adoption of the bill and yield back. Let me recognize the gentleman from nebraska esther smith. I certainly want to add my comments and associate myself with the comments that were already made. We know that this is such an important agreement with the north american countries canada and mexico. Our farmers and ranchers certainly in nebraska and all around the u. S. Are the most productive in the world and they depend on robust markets to export products to the neighbors as we help feed the world. We know canada and mexico are two of the best customers in the nebraska agriculture into this ensures the continuation of this relationship. Nafta has been an important arrangement but its time to modernize and update the agreement. I certainly want to thank President Trump for recognizing and acting to modernize nafta and also ambassador for his tireless work in making sure that weve been prepared for this day. I hoped that this day would arrive a little before now but here we are and certainly i think that its imperative that we take advantage of it. The administration worked from the beginning of the process to develop a product that would bring together our three countries and also offer significant support from both sides of the aisle and in both chambers of commerce. I dont think any of us thought or believed that this would be an easy process and its clear that the final product is the result of compromise however i strongly support the passage of the legislation and believe the degree of certainty and predictability that it provides in all aspects of the economy but especially to the Agricultural Producers is a major step forward. Continuing to cooperate on the trade agreements and moving forward i think is important for all of north america and i do think that moving forward, there is more opportunity for example for canada and the demand in this issue to benefit their own consumers allowing them more options along the border especially. Again thank you mr. Chairman for todays action and committee action. I look forward to completing the process and yield back. Let me recognize the gentleman from california for the outcome that we are witnessing today. The gentleman from california mr. Thompson. I just want to note that its in large part because of you and the speaker that we have reached an agreement on the trade deal that puts workers, the environment and access to affordable medicine at the forefront. As a member of the working group i know firsthand how hard democrats fought for the best possible deal. The agreement that was originally sent to congress was light years away from what we are considering today and it lacked true labor rights and did little for the environment and it included unnecessary provisions that would have made Prescription Drugs more expensive. Beyond those it was unenforceable. The deal was a nonstarter for me and for most of our democratic caucuses because of the efforts of the working group, your self and the speaker, we are able to strike the provisions like sustained and reoccurring when it comes to workplace violence. One act of violence and the trade union should be enough and now it will be. We love the trade attaches based in mexico with the goal of monitoring how mexico is implementing its labor laws and advising the best practices. If they find it isnt a thing of the benchmarks to become the princess rules on paper or meaningless if we cant fool the rule hold them accountable. As a result of the negotiations, we will now have sitespecific verifications and investigations and remedies this agreement sets the bar for all future trade agreements. Speaker pelosi should be commended for the negotiation on behalf of workers throughout the hemisphere. I urge my colleagues to support the usmc a and two separate implementing bill when its on the floor. Theyve done a great job working with us though i yield back the balance of my time. I would like to say personal thank you to the chairman and members of the committee mr. Blumenauer for this hard work on the treaty. The this trade area would have a great affect on my district. As americas number one exporter, texas is the prime beneficiary of the american trade agreements. Look no further than north texas to view the positive Economic Impact of americas trade relationships on our local businesses. The International Airport lies in the heart of the Congressional District i represent. The country into thcountry intoo transported to the dfw airport. International trade is a vital part of our economy and community and supports over 3 million jobs. U. S. Mca is a successful renegotiation of the north American Free trade agreement. It is superior to protecting american innovation, invigorating the markets from texas, farmers, ranchers and generates over 68 million in the Economic Activity here at home. Mr. Chairman, the u. S. Mca is good for texas, good for the American Workers, taxpayers, businesses and consumers and will keep the United States competitive for some time to come which contains necessary reforms that will ensure the trade with mexico and canada is both fair and modernized. Mr. Larson. Thank you mr. Chairman. I want to thank and commend you and mr. Blumenauer for their efforts and for all the hard work thats gone into this. I thank the gentleman. The gentleman from pennsylvania is recognized. Thank you for having this hearing today. This reminds me so much of when i was a child and i would sit down and write a letter to santa claus. Send a letter off to the north pole and just be so excited to think santa claus is going to bring me everything that i can come Christmas Morning and i never got everything i asked fod for but i was sure thankful for everything i got. This is certainly one of those times that it got answered and maybe we didnt get everything we asked for but we sure should be thankful for everything weve got. This is amazing when i look at this. Over 68 billion in new economic activities. 34 billion in the new plans and 76,000 automotive sector jobs when they send jobs, jobs and more jobs. I want to take a minute and say first of all we are going to look at this and get rid of it and come up with something better. They said really, that isnt a good deal for america. Its a bad deal. We are going to go to work on it. He was so available to each one of us any time we asked him anything, he was there. The pc but i can help with and what i can do. Back home in pennsylvania, this is incredible, the exports to canada and mexico almost 50,000 jobs depend on manufacturing exports to those countries along with the ta tax reform negotiatg and was a Central Campaign promise he kept his word to the American People an unusual thing for a politician and as a result, the many benefits of this upgraded to deal. It really is a red, white and blue deal. Everybody in america wins. One provision i want to highlight is one that i worked for the ambassador on to included the u. S. Mca that will help businesses expand its business into canada. Back in 2017 to permit the shopping program. Well be ablwe will be able to w markets. We could go on and on and on. We try to show how much we care about each other we have such tremendous relationships and righhadright here today in this. Im not sure what they understand that i dont get, but being here with you all today jobs, jobs and more jobs with the American Worker is good for america. Im hoping they take the night off and get some slee sleep bece they worked tirelessly. Thank you for holding the hearing and you know what, i am so happy for america right now, this is what we are supposed to do. Thank you so much and i will yield back. You should also note i work to another stage of the political thought as i let the negotiation on this. Mick jagger, you get what you need. Let me recognize an individual but again had an enormous influence on the outcome. Thank you mr. Chairman and in the spirit of my friends i have a. Under this agreement it could be. For the pharmaceutical companies that come but sadly one of the most bald areas of the agreement that we forgiven and where there was real skepticism about whether we get a majority vote of the pharmaceutical provisions that would have walked in at least ten years. It would have walked in the evergreen and where we see the pharmaceutical companies apparently spend more time trying to make a little tiny adjustment and extend the patent life walking in their process rather than promoting the competition. Thats gone we got rid of the additional years of exclusivity for the clinical information. We bolstered the generics. This is one of the reasons why we have been able to get the vote. I appreciate working with the ms at her in the spirit of cooperation and give and take and including two members that are not on this committee. Rosa delauro and Jan Schakowsky that dealt with these issues with us and gave us i think an agreement that moves us forward. I do want to continue some of the observations about the staff because we have some ideas. Some of this was hard to sort out and the staff was tireless in terms of working with this in and helping go back and forth. When we are out of town they are continuing on the. We had katie white, john is here someplace. Brandon who was hovering in the background and the speakers office. This was an extraordinary effort and they went back and forth with very hardworking people in the u. S. The art, which is an area of professionalism that goes beyond partisan changes. I have admired the people in office ive been privileged to work with during my tenure in congress, and they were part of the give and take an assertive hell we got to affirmative responses and things tha into te sense and things that could be enforced. I cant say enough for the work needed to help uthey did to hele point where sun can take a victory lap, but they were right there in the crew moving it forward, keeping us on track. As the members of the committee i appreciate the staff did and it makes me very optimistic about but we can do Going Forward next year building not just on this framework, but on that spirit of cooperation and hard work that we can make more progress in the area. Let me recognize the gentleman from missouri, mr. Smith. Mr. Chairman, i want to thank you for reading member brady and chair blumenauer and Ranking Member buchanan for the work to get where we are today. This is an agreement that is very important to the farmers in southeastern southcentral missouri but its important to all of Rural America in updating this agreement. I also want to thank President Trump. We wouldnt be having this hearing today and we wouldnt even be discussing the u. S. Mca if it wasnt for president of trump. You cant debate that. The president ial republican primary for president said he hated nafta and wanted to remove it. No one can deny that. And so, because of his words when he was running against other republican candidates we are now making things better for American Workers, american farmers. This trade agreement has a sean president of trump is willing to work with democrats and republicans for the betterment of all americans. No one in the room can disagree on that item. Early on when we were going through the negotiations, the democrats raised concerns about whether mexico could pass for labor reforms that was agreed to and mexico passed those of the past than early in april or may. We cant move forward on a trade agreement unless you eliminate the tariffs on steel and aluminum. Every step of the process, president donald trump. The american job creator. They stood up and said it was no good and we need to rip it up. No other candidate could have brought them to the table like president of trump. This is a victory for donald trump, republicans and democra democrats. Red white and blue like the representative just said. But i do havwhat i do have concs why is it this week that we are voting on this agreement. Is it because the same person that wrote this agreement to the table, speaker pelosi, is also trying to impeach him. Thats unfortunate. Any political pollster will tell you. The biggest concern among the independents is if there is chaos in government. Its to deliver on the biggest piece of legislation that could be delivered on the day of the Impeachment Vote which is u. S. Mca. Ive always lived by the motto people before politics. I just wish everyone else. In this chamber as well. Mr. Chairman, i want to thank you again because he worked tirelessly your self, and thank you for having the Committee Hearing and for moving the legislation. I wont yield back. Mr. Blumenauer i would like to recognize you for 15 seconds for the point of personal privilege. As im writing down the role i forgot laura whose representative of some of these amazing staff for individual members. I really appreciate her going above and beyond the call with her colleagues. We wouldnt be here without them. Let me recognize the gentleman from wisconsin. This is an important day. The new trade agreement with mexico and canada is worthy of our support, if nothing else, because the status quo was so unacceptable. We had to bring it into the 21st century and modernize it with key provisions that were excluded from the original agreement. I want to especially congratulate you and members of the working group that hasnt been an easy last few months of endless negotiations back and forth, phone calls from the ambassador that gave him and his team credit for being patient and sticking with it and resulting the difficulties. I want to especially commend the committee trade and the endless hours they put them in the late nights at the leader in the holidays they will be able to catch up on some sleep now because lord knows the last few months have been sleep deprived and i want to congratulate my colleagues on the committee for approaching this in a bipartisan fashion and realizing that there are ways that Still Holding a president accountable in the rule of law and the constitution while still getting things done on behalf of the American People. If theres one message coming out of this week, thats it. There are important positions, but lets not be too overly exuberant about this means as far as gdp growth. I may be the only nerd on the committee that time to review the International Trade commissions analysis of the agreement. And i would ask unanimous consent to have it included in the record at this time. I especially direct my colleagues attention to page 5657 of the report that shows what potential gdp growth lies in the new agreement, not much. Its very small. In fact the only reason we got the positive growth is because of this new certainty quotient that is being used right now because of the volatility and the unpredictability of president of trump and the fact that he put us on the course of 232 National Security against the border neighbors. Highly dubious reason for slapping tariffs on them. But in the larger extent, this report will reflect that it is important for us to have a positive trading relationship with our two border neighbors, the two biggest export markets. And if nothing else, that can lead to greater certainty and big investment in the Business Decisions more predictable, and thats why we got some positive growth ultimately at the end of the day. But i think reason why we are getting positive growth is because the work that the democrats did in the negotiation of the final agreement. We have a historic Worker Rights labor chapter. It should have been part of the original but wasnt and now thats been corrected. We give mexico a tremendous amount of credit for passing the historic labor reform earlier this year for the parliament and for those of us have an opportunity to meet with the president and his government, you cant help but be impressed walking away with their commitment to implementing the labor reforms. But they were also clear given what we are asking them to do, it isnt going to happen overnight. Overnight. Theres required Technical Assistance and resources to implement those reforms, and i am happy that that was negotiated as a part of the agreement. We have enhanced Environmental Standards. We have an important visual chapter and i congratulate my colleague from Washington State for the work that she has put in to make sure that we are modernizing the trade agreements given the crossborder data trade that is crucial in the 21st century Digital Economy. We have improvement with agriculture, not much because we are getting basically the same Market Access that they enjoyed under the original nafta that we have improvement with access to canada and tightening up the definition of the sanitary and vital sanitary standards, so now it has to be based on science and evidence and not some arbitrary Decision Just to block the Agricultural Products going into canada or mexico. I know my Dairy Farmers were pleased we made some progress with enhanced access to the canadian market, but not a lot, and its not going to solve all the problems but they are going through right now. Perhaps most importantly, they have a strong enforcement chapter and really for the first time in a trade agreement. Much of it lifted from the Transpacific Partnership agreement, the world that mexico and canada are currently living under, so it wasnt much to ask them to comply with what theyll be agreed to under the tpp but it gives an opportunity and follow up with meaningful sanctions if either canada or mexico chooses not to abide by the agreement. At the end of the day you have the perfect trade agreement in the world on paper but if it isnt enforceable, its meaningless. These will be noncompliance as we move forward on it, so for all those reasons, this is much better than the status quo and its reflected in the bipartisan support that is shown here today and hopefully in a couple of days on the house floor. And again i congratulate those that have been intimately involved in these negotiations with the patients that were shown and of this process you always look back and see why couldnt this have been been easier. These are historic change is coming us to reforms, which will i think level the Playing Field for the workers, businesses and farmers so they can fairly compete with the two border neighbors and with that, mr. Chairman, i will yield back. With th me recognize the gentleman from South Carolina mr. Rice. Thank you mr. Chairman and thank you so much for your effort in bringing this agreement to fruition into the Ranking Member rightparen mr. Brady. I want to especially thank the ambassador for his effort tireless effort coming before the Committee Time and time after time and to gnashing of teeth and pulling of hair from both sides of the aisle in terms of how and why this all come to fruition but until then, he held firm and it is an amazing feat and something that had to be done. Its long overdue. The reason i ran for congress is because i was concerned when my sons were graduating college and struggling to find jobs. I said my goodness, things have changed when i graduated. I started looking at it and i discovered that the middle class has been languishing really since the early 90s. We hadnt done tax reform, we have accepted trade agreements that were not in our interest and that our government regulatory policy was crushing business and the upshot of that was that america was not competitive. I did some research, came across a professor from harvard who is an economist and he had written a menu of things we needed to do to make our country competitive and ive got it right here in menu that he wrote in 2012. There were eight items on it. The first one is to revise our tax cut and an mac to create an International Tax system rather than one where we tax all of our companies on every activity around the world, check. Another is streamline regulation affecting business, check. Another is responsible development of our shale gas and oil reserves, check. And now we are moving onto trade, and the professors position was, you know, after world war ii we exit the trade agreements that were not necessarily in our favor. We are not any mor not anymore,e result of all of these oppressive things that our government have done, we sat on our hands here in washington while the rest of the world of economic systems to successfully compete with us and wa with our middle class was smaller and made less money. Three years ago than it did in 1990. A shocking statistic. And i have to dissociate my comments with my friend mr. Smith here who said we had a president , a businessman who recognized this extreme and equity and decided that enough of the globalism we were going to focus on America First for a little while. For the many things that have been accomplished from , tax re, regulatory reform, oil and Gas Development and trade. Each one of these things has boosted our economy an remains e envy of the world. 4 of unemployment, record numbers of americans working, record numbers of africanamericans working, record numbers of hispanic americans working. I represent one of the poorest counties in South Carolina when Donald Trump Took Office in january of 2017, the Unemployment Rate was 9. 6 . Today it is 4. 2 . Remarkable achievement. 3 wage growth hadnt been seen in way over a decade. So many things that he has to show for his effort and here we sit in the very same room with your bringing the impeachment hearings just last week. Fascinating, truly, truly fascinating. So, i just wanted to i dont know that donald trump has ever met the man that came up with this menu or if hes ever heard of it or have seen th has seen. Whether he is going in this or doing anything, he is bringing our country forward and we should absolutely applaud that. Donald trump is lifting and recreating the land of opportunity. He is putting opportunity back in the land of opportunity and we should support them in that effort. Mr. Klein said that this treaty wont add substantially to the gdp. I like gdp kind of like a campfire and we are throwing blood on it. Tax reform is a big flaw. Regulatory reform a big log and this is just the next one on the fire if you can pull something with china and the eu, you can expect that this fire of Economic Growth will continue for the foreseeable future. Thank you mr. Chairman and i will yield. With what they recognize the gentleman from new jersey mr. Pascrell. Mr. Chairman i want to thank you and the staff for their hard work. There is no question that these have been tough negotiations. Everyone here wants a good deal for the country. That being said, i want to register i indeed the uneasy with how the process is concluding. The expression getting the bums rush when you try to rush something out of the door, this bill, the whole debate is getting this rush in an effort to schedule the white house east room victory celebrations. I speak with my heart and my gut and hopefully my brain. So, no one in the leadership of the republican party, no one over the last two and a half years of the debate ever, ever discussed human rights. During this discussion, never once. We talked about businessman. Business at the period if many times in the discussions and it should. We never hear workingmen and working women. In the United States, mexico or canada. There is no higher trade priority for me in updating nafta. I desperately want a deal that makes the difference. Montreal, i went to mexico a couple of times, i testified at the u. S. International trade commission twice as well. Weve all worked our tails off to lay out the foundation for the negotiating principles when labor and the environment and especially on the enforcement, and yet here we are in the socalled 1 yard line and i regret that i am not satisfied with what we have. This progress here no one can question that there has been progress. Theres major positive movement, movement that weve achieved by pushing so hard on items like responding to the guatemala case and the creation of mechanisms for the threats and labor suppression and it is still going on in mexico to this day. To this morning. Or significant hard earned dollars for the funding of environmental programs, but the Big Questions remain will mexico be held accountable to fully enforce the labor law . We dont know. Will the protection unions in mexico controlled by the government be accountable, be held accountable to fully enforce the labor law . We dont know. Will protection unionwill the pf mexico be eliminated with the new enforcement mechanism, we just dont know. Is there a view, is there a new form of penalty walking in the enforcement mechanism flex we dont know that either. While disagreement do anything to raise the wages for American Workers . Doubtful by all accounts. Ive read the report. While this agreement raise wages on both sides we talk about those things a lot. Will these terms stop the offshore jobs, they will not. The uncertainty isnt limited to labor. We have no idea if the Environmental Standards will be enough to protect our planet and i am one that absolutely connects myself with those words that john lewis presented with the enemy of the good. I understand that. But we have an inkling. Several of the most trusted groups like the league of conservation on this issue, the voters have criticized the terms lamenting the lack of climate protections and saying that the revised deal would perpetuate the environmental damage. So, i like some of this deal. I think there have been improvements. There should be at work on both sides to get to that point. I missed the mark up tha markupe usually have that tells us a lot of thing. Could the new report help us answer a lot of these questions about what has been billed as major changes in the agreement and if i may i wanted to bring one example concerning what the deals specifically name but im out of time and i will yield back. With that of th we recognizee gentleman from arizona. To sort of walk through a couple things and i will try to do this briefly, obviously being from a border state im from one of the communities, one of the parts of the country most affected neighbors to the south. There were things where if i were writing i would have done something different. I was pleased we had some movement. When a product is sold to the United States and bible asked the panel it is what, 800 something dollars . A product coming in basically at 800 when they go the other direction it was in some places in todays world like in mexico its 50, 20 canadian. The thresholds are being lifted. Why is that important for states like mine iastate like mine ands if we ever wanted to have ecommerce warehousing where products are able to move south if you only had 50 as your threshold you are really limited on the type of products that you can move back and forth so will this help, yes, isnt as high a threshold as i would like, no but at least some will stop going back empty. There are just these sort of incremental improvements. For everyone here that is interested in the enforcement of labor and for a lot of my brothers and sisters on the democratic side that have had union relationships, ive been shocked at some unique things in the law was passed in mexico in many ways this is about to become the key enforcement mechanism, the ability to take pictures, to document and have email accounts its not the 1950s anymore where you send down a handful of labor experts to go visit 15 or 20,000 factories. They did some things in the mexican law that provides protection for those that use technology to document and im somewhat saddened that there hasnt been more discussion because for those folks interested in the enforcement providing some Technical Services and help to be able to make better robust provision of mexican law is in many ways much more elegant and broadbased way to document our brothers and sisters to the south are following the rules. The last one for all of us come in our discussion with the wto, we repeatedly talked about issues with sourcing out of china and are they cheating on certain rules. I need you to think more globally here if north america becomes much more of a stable trading hub for the sourcing the world starts to move to north america theres an economic benefit there so i need you to stop thinking we are going to sell something to canada and we are going to get something from mexico. I need you to think of it as a trading bloc but also the sourcing supply chains that has been selling to the rest of the world because we have far too much concentration in china and as things move on and manufacturing understands the concentration creates risks and we become much more of that for the world so those are a couple thoughts. Remember weve looked at this is really good for the desert deset southwest, this is important to us. Would the gentleman yield. Absolutely. Mr. Chairman. Is this up for colloquy . You just said. Okay, talk to me. Is only 25 seconds left. Are you aware of several, several flaws in talking about working people since you brought it up there is no requirement to request verification of any contract prior to may 1 of 2023. The decision is left up to the incumbent union, which about 75 of the cases. I think actually there that isnt understood as the robustness of the mexican law and the ability now to document, so a person that holds the phone can now document labor abuses in the factory and under the mexican law, not necessarily the trade agreement language [inaudible] the gentleman from illinois mr. Davis is recognized. Thank you mr. Chairman. I want to associate myself with many of the comments that have been made by my colleague relative to the improvements that we see in this deal and in this legislation. I come from an area that has a long history of industrial development. When i think of all the products that we use that emanated from the state of illinois. The human rights the working condition improvements, the hope and possibilities that people have had and ever since a beginning of nafta, as we saw hundreds of thousands of jobs flee from illinois, i would say at least 100,000 left the one district that i represent. So there has always been a level of suspiciousness, a level of concern, a level of what does this really mean for those of us here at home. I know there are many influences have gotten us to this point and i agree with all of those. But mr. Chairman let me commend you in the Ranking Member because the rubber hits the road right here. This is where the action is being processed and so i commend both of you for bringing this to this point, i dont know that ive heard as much agreement on an issue since ive been on this committee. I dont know if i have heard as much craze that we give to each other, it sort of reminds me of of watching sausage made. It is not the best look and process. But at the end whoever eats it pretty much likes it. So at the end of this wherever the credit is in wherever the credit lies, and it is not so much about who gets the credit because the impact will be felt by the American People. And so if there is credit, it belongs to everybody. It belongs to everybody who participated, there is a song i used to like it says you have to give a little, you have to take a little, you have to let your cold heart break a little. That is the story. But thats the glory of love. So as the season there could not be a better time than right now for us to be in agreement with the trade policy that many of us are going to vote for, trade agreement, i have not voted for many trade agreements since i have been a member of congress. I will probably get some slack from some of my friends in chicago but im going to vote for this agreement because i believe, no it is not perfect, nor is the union. But as we keep moving in the direction of perfection then we can feel good about ourselves and feel good about what we have done in mr. Chairman, Ranking Member i commend you and you back the balance of my time. Let me recognize the gentlelady from indiana and after her we will move to a twoforone recognition. She is recognized. Mr. Chairman thank you. I am thrilled to be here today to vote for usmca, this agreement will deliver new opportunities for new growth in my district and indiana and across the country. The hardworking hoosiers in indiana separatist trick to our builders and growers. We manufacture most of the rvs you see on the roads as well as a large portion of trailers. We manufacture auto parts and musical instruments. Our farmers put food on the tables including corn, soybeans, pork, duck and dairy products. Mexico and canada are key export markets for manufacturers, Farmers Ranchers and the thousands of workers they employ. Nash us slashed tariffs back in 1984. When the internet was nothing as trial cities for American Online inundated our mailboxes. A Company Called amazon was hiring its first employees cutting edge cell phones back then we now call brick phones. Politicians of log made promises to update nafta but theyve never followed through. In the meantime, technology, transportation and Consumer Habits have all evolved. Nafta stayed the same. President trump promised to modernize nafta for the 21st century bunny like predecessors he kept the promise in the form of usmca. Usmc dismantles barriers in american exports for farmers in my district, this means more dairy, poultry and eggs are headed to canada. For manufacturers this means fewer paperwork headaches that slow shipment or prevent them altogether, for businesses of all sizes and types, this means ecommerce standards that promote fair competition will be used as a standard in future agreements. For workers this means more job staying in the u. S. Robust enforcement ensures the potential of usmca does not evaporate and the promises made by all sides are kept by all sides. While i wouldve liked to see protection for market innovators remain in their agreement it does not touch u. S. Law and reaffirms only congress can change u. S. Law. Mr. Chairman, this day is long overdue but im so happy it is finally here. Our economy is booming thanks to the tax cuts and regulatory reforms and usmca will help keep the momentum going by generating over 60 billion in Economic Growth in creating 170,000 jobs. Itll put more money in workers pockets and help Small Business thrive. I want to give a special thanks to Robert Lighthizer whose ability to align the planet simply made this possible today. He and his staff at u. S. Er put this together. I am grateful mr. Chairman to have a seat at the table and this committee to voice my strong support for usmca, this is a big win President Trump. It is a big win for the American People, farmers, ranchers, workers and consumers. Let me recognize the gentlelady from california. Thank you, mr. Chairman. I want to start recommending those involved in getting to the point where we can consider this agreement for vote today. The work of the committee, my colleagues on the trade working group and the staff who have not seen a day off in months. Their hard work has gotten us to this historic moment today. Ive long better couldnt of the nafta agreement in the renegotiation of the agreement with cautious optimism. My support for any trade agreement hinges on whether it benefits working families and my district and across the country. The current nafta has been devastating to too many market workers and their families. While not perfect, the newly negotiated usmca contains enough significant improvement to gain my support today. The Trump Administration initial agreement fell way short of what i wanted to see at the House Democrats sit together and fought hard for greater accountability, are demands we thought were reasonable and we wanted an enforceable agreement to strengthen protection for workers in all three countries. An agreement that had real enforcement keys. We fought for environmental provisions helped restore our place as a global leader. This final version of the agreement will do just that. We are insuring our neighbors to the north and south live up to their commitment as trading partners, after all if they dont up to the commitment that they agree to of what use is the agreement itself. The new agreement will not only establish fair trade rules that benefit American Workers in the u. S. Economy but it also serves as a new standard for future trade negotiation one were working families have a seat at the negotiating table. We still have work ahead, i vow to remain vigilant on labor enforcement implementation, the devil is always in the detail and will remain focused on the details of this agreement. I also remain committed to fighting against inclusion of section 230 of the Communications Decency act and section 512 of the Digital Millennium Copyright Act in a future trade agreement. As i stated during Committee Hearings earlier this year, provision like these do not along in her trachea. I never thought i would say this, but i look forward to passage of this bill today. I think you again mr. Chairman and i yield back the balance of my time. I recognize the gentleman from new york. Thank you, mr. Chairman icy two thirds is good. But i see a third is troubling. The United States economy is a 21 and a half trillion dollar economy, 70 of which is consumption and 5 of the World Population and 23 the World Economy. In trade agreement United States is a good get. If you could do an agreement with an economy is strong as ours with consumption as high as it is in the United States, that is good. Canada is a much smaller country, 1. 8 trillion economy for what we share and in the United States are high wages, strong environmental protection, strong labor standards and labor rights. The troubling part of this is mexico. Mexico is a country with the highest, largest poorest population. There was language in the original north american trade agreement the cost about wage conversion. The objective of which was to bring mexico to a level of highly developed economies like the United States and canada including wages. The daily mexican minimum wage will be over 123 pesos or 6. 30 a day next year. That is not wage conversion. Its falling considerably short in that regard. The other issue is, the original north American Free trade agreement anticipated that america would lose manufacturing jobs to automation and to outsourcing in places that were to printer manufacturers. There were three words in the agreement called trade adjustment assistance. It was to buy a lot of money for education to mitigate a blow that manufacturing workers in the United States would experience. So the north American Freetrade agreement american has lost 6 Million Manufacturing jobs. 23 53 excuse me, manufacturing businesses have closed. The manufacturing economy is 26 smaller today than it was then. I think while theres a lot of good in this agreement, it also recognizes that there is much more to be done particularly with respect to mexico, the corridor is about 3000 businesses that employ 1 million people. They do not have duty, they dont have Environmental Standards, they dont have the things that we value in the trade agreements between the United States and canada and mexico considerably falls short. I think everybody for the work and i recognize it is a work in progress and there is good in this but theres also challenges as well and i yield back. Without the committee will recess and i would remind members we intend to return immediately after the third vote. [inaudible conversations] [inaudible conversations] it. [inaudible conversations] [inaudible conversations] cspan washington journal, live every day with news and policy issues that impact you. Coming up wednesday morning democratic congresswoman of florida and republican congressman of virginia joined us from capitol hill to discuss wednesday scheduled for houseboat on the impeachment of President Trump. Be sure to watch cspan washington journal live at seven eastern wednesday morning, joined the discussion. Government officials and Healthcare Professionals testified on efforts to address the Opioid Epidemic before the Senate Judiciary committee. The house will be in order. For 40 years cspan has provided america unfiltered coverage of congress, the white house, the Supreme Court and Public Policy event from washington, d. C. And around the country so you can make up your own mind. Rated by cable in 1979, cspan is brought to you by your local cable or satellite provider. Cspan, your unfiltered view of government. Government officials and Healthcare Professionals testified on efforts to address the Opioid Epidemic before the Senate Judiciary committee. Officials with the white house, justice department, Drug Enforcement and administration and health and Human Services all about what theyre doing along with state and local partners to tackle the crisis. Good morning, everyone. I would like to welcome you to todays judiciary. On encryption excuse me thats not the right one. Tackling the Opioid Crisis a whole government approach and ill go ahead and start with Opening Statements from the Ranking Member and myself and i believe senator durbin has opening remarks and will die then to eyewitness testimony as well. Since 1999 more than 700,000 people have died from a Drug Overdose in the United States. Increased opioid addiction and a production of deadly synthetic opioids have exasperated american staggering overdosed death rate. In 2017, more than 70000 people died from Drug Overdoses making it the leading cause of injury related death in the United States. Of those, 60 involve prescription opioids and illicit opioid such as fentanyl. Americans fared no better against Opioid Epidemic