I want to thank everyone for their adherence to the guidelines as we continue to do our work while protecting the health and safety of our staff, families and communities. Thank you for joining us today. In pursuant to notice, todays hearing is taking place in our ways and Means Committee hearing room, with members permitted to attend remotely in compliance with the regulations for Remote Committee proceedings, pursuant to House Resolution 965. We currently have 33 members logged in and participating via the webex platform. For those members who arent here in washington and plan to participate in person, we have a limited number of available seats to ensure that we adhere to social distancing guidelines. I encourage members to watch from their office and only come to the hearing room when it is your turn for questioning. Before we turn to todays topic, i want to remind members of a few procedures as we navigate this hybrid hearing setting. First, consistent with regulations, the committee will keep microphones of those webex muted, to limit background noise. Members in the hearing room or via webex are responsible for unmuting themselves, when they seek recognition or when recognized for their five minutes. For members physically present, please remember to keep your microphone muted, when you are not speaking. This will help avoid any feedback on the webex platform. Second, consistent with committee practice, we will adhere to the fiveminute rule today. Members participating remotely should have already pinned the clock so it appears in the bottom line of your screen. If for some reason, you are unable to hear the hearing room clock or unable to see it, i will give you a light tap of the gavel when your five minute s ae up. Finally members participating remotely must leave their cameras on at all times. If you need to step away from the proceeding, please leave your camera on rather than logging out. I thank you for your patience as we continue to navigate this new technology and challenge in order to continue serving our country in the great time of need. With that, i want to recognize and welcome the United States trade ambassador Robert Lighthizer to discuss important trade issues that impact the health and Economic Opportunity of all americans during these challenging times. Last year democrats worked tirelessly with the ambassador to improve the usmca and to create a successful model for good trade policy that strengthens our economy and meaningfully benefits our workers. A reminder that more than 190 democrats i believe voted for that agreement. We are very proud of the new High Water Mark we established in usmca, particularly closing the loopholes in the old nafta state to state enforcement mechanism, the new usmca has a system now that will allow all obligations in the usmca on agriculture, on ecommerce or customs rules and yes on labor and environment to be enforced. We, my democratic colleagues and i, are looking forward, acknowledging that you intend to offer rigorous enforcement. I was pleased to read your recent writings in which you promoted the core labor standards and labor specific enforcement mechanism that we fought so hard to include. We are eager to see evidence that you and the Current Administration will implement and enforce those and similar provisions for the fullest extent. As we approach usmcas entry into force, we face historic challenges. Some expected. Others unanticipated. The covid19 thrust to the forefront our health and National Economic systems that disproportionately affect the most vulnerable communities and workers inside the United States and across north america. How the United States addresses these issues will impact the lives of millions of people. The usmca provides important opportunities to reduce the pandemics negative effects, but only with effective and strategic enforcement and implementation. Similarly, we also face the historic challenge of reversing the continued deterioration of basic labor rights for workers south of our border and therefore our own workers. In the usmca we achieved the most robust labor enforcement mechanism seen in any u. S. Trade agreement ever to date. I hope you agree that the success of the whole agreement depends heavily on this badlyneeded tool to help raise labor standards and prevent systemic and egregious violations of workers and their human rights. Were aware serious deficiencies exist in the current implementation of these legislative reforms and threaten to undermine the successful model we have worked so hard to build. Specifically the failure of the current collective Bargaining Agreement legitimate process to deter undue influence and interference by employer protection unions jeopardizes mexicos ability to raise labor standards. This only serves to further chill the rights of millions of workers in mexico and also helps to undermine the rights of American Workers. Last week, the aflcio president Richard Trumka has echoed these concerns. The mexican legislative reforms are the foundation of building Effective Labor rights enforcements, and they require our urgent attention. Similarly, we need to hold our own Companies Accountable as well. Reports emerge daily of American Companies pressuring their factories in mexico to keep operating to reopen, without taking into account health and safety protections for their workers. Some of these companies are the same ones that shuttered their operations and laid off workers in communities here in the United States. We engaged over the last year in good faith relying on the facts and evidence to negotiate usmca. Ambassador, we know that you are a hardliner on these issues and will apply the same vigor to ensuring the enforcement of this trade deal as we did in negotiating it. With respect top to the larger with respect to the larger trade agenda, the administration has been very active over this year. The administration started section 301 enforcement investigations into Digital Service taxes by our european allies and friends and others. There is broad support on this committee for that initiative. The administration negotiated preliminary agreements with china and japan that both await more comprehensive and meaningful followup. The administration is negotiating or preparing to negotiate trade agreements with the u. K. And kenya, maybe the onagainoffagain with the eu will come back to life. At the moment, it looks doubtful. The administration is also reportedly engaging in limited negotiations with brazil and may consider limited digital trade negotiations with brazil and other trading partners. You should know that many of our colleagues were unhappy with the administrations lack of coordination and consultation with limited agreements as they relate to japan last year. With respect to the larger trade agreement, the administration has been very active over the past year. The administration as we know is very challenged on a series of fronts as it relates to our relationship with china. Yet it has not raised labor issues including the forced labor agreements in concentration camps or with china encouraging them to take action pending petitions under our ftas alleging labor violations in columbia, peru, honduras, or the dominican republic. The administration often leverages trade policies and trade tools in the name of americas workers. Yet we see little actual enforcement of the cases and several labor rights cases continue to languish without results. At the same time, we see tax policies, education policies, worker and Family Support policies and border policies that undercut the interest of americas workers and make life more difficult for middle class families. Our committee continues to stand ready to advance u. S. Trade policy for the benefit of all americans. Our work in usmca was an important first step, but we know much work remains to be done. With that, let me recognize the Ranking Member, mr. Brady, for the purposes of an opening statement. Thank you, chairman, neal. Thank you, ambassador lighthizer for joining us today in person. Its good to be finally back in this historic room where we write laws that shape our countrys economy and that of the entire world. One important key to a strong u. S. Economy is trade thats smart and fair and open and enforceable. Whats even more important in the midst of an Economic Hardship caused by the pandemic. Mr. Ambassador, you played the central role in advancing President Trumps aggressive trade agenda. The administrations aggressive trade policy agenda has opened more export markets for American Goods and services and create a far more level Playing Field for American Workers, farmers, ranchers and businesses which is vital for our economic recovery. Especially in the face of covid19, implementation enforcement of usmca will bring good jobs back to america and increase paychecks for our workers. Once this agreement is enforced in just two short weeks, enforcement will be essential. The agreement strong Enforcement Mechanisms absent from nafta will now ensure canada and mexico abide by their commitments so we reap the benefits we bargained for. As to china, the president s phase one agreement will create significant opportunities for americas growth and prosperity and will enhance fairness and accountability. I know you wont hesitate to use the powerful Enforcement Mechanisms, if china fails to live up to its obligations. Republicans agree with the president. We will insist that americans receive our expected benefits and that china does not backtrack. In addition to usmca in china, the administration has achieved a phase one agreement with japan that gives our farmers and ranchers new access to an important market, that australia, the eu and canada tried to seize from us. These three agreements plus your modernization of the agreement has created Significant Energy and momentum for future trade negotiations, momentum that will benefit our country as negotiations with u. K. Progress and start negotiations with kenya as well as phase two negotiations with japan and china. Another issue we should discuss today is world trade organization. I reiterate my strong support for wto as well as my frequent calls for real reform. While the wto is not perfect, it serves the interest of American Farmers, workers and businesses by tearing down barriers abroad, establishing rules based on our system, enforcing countries to comply, to rigorous settlement. The reforms are long overdue. This institution has gone astray. I thank you for your strong leadership in assisting real reform and not papering over the wtos wayward direction. We have to push our trading partners to address chinas consistent practice of subverting the rules. We have to establish new and more modern rules to tackle distortions, created by stateowned enterprises, technology, theft and subsidies. We cant allow countries like china to dodge their obligations to be transparent and claim they are entitled to special treatment as developing countries when they are in fact economic powerhouses. Bureaucrats within the wto have to stop imposing new obligations on us by fiat rather than negotiate outcomes. Mr. Chairman, lets move to the floor our bipartisan resolution we passed by voice vote in december to show the world the United States is unified in rallying for a strong wto that serves our interests. We must also be unified in denouncing actions by so many economies to seize revenues from our companies and our country to discriminatory Digital Services taxes. Thank you, ambassador for holding firm as others try to flagrantly steal revenue they didnt earn. Lets move to immediately renew the generalized system of preferences, the haiti preference programs, to reduce costs here at home, strengthen our relationships with developing countries and establish incentives for those countries to work with us. Pass miscellaneous tariff bill, manufacturers. One last issue as the chairman has said, covid19 has rocked our economy, highlighting the necessity of durable supply chain, speed our economic recovery, make us more competitive and secure. Lets Work Together to create marketdriven incentives that allow and encourage our companies to increase capacity, developing manufacturing in critical products, medicines and supplies and ingredients here at home while working with our allies to ensure diverse dependable supply chains. In the meantime, lets suspend duties for medical products, if theres no domestic opposition. Americans need to return to work. A progrowth trade policy agenda will create new opportunities, strengthen our economy, make us resilient, and allow us to compete and win, so lets use todays hearing as an opportunity to determine how we will build together on the progress that youve made over the last three years and best position america for a strong future. Thank you, mr. Ambassador. I yield back, chairman neal. Thank you, mr. Brady. Without objection, all members Opening Statements will be made part of the record. Ambassador, lighthizer, welcome back to the ways and Means Committee. Your full written statement will be made a part of the record in its entirety. I would ask that you summarize your testimony in five minutes or so to help you with that time, please keep an eye on the clock, if you do go over your time, i will notify you with a light tap of the gavel. Ambassador lighthizer . Thank you, mr. Chairman, Ranking Member brady. Let me say first of all that over these last few months, ive actually missed seeing the members of the ways and Means Committee. I know you have never heard a United States trade representative say that before in history, but in fact, it is true. Weve had calls, but i look forward to the time when we actually get back to traditional legislation in the historic way that we have done it for all these many years. Weve been going through two crises. These are indeed challenging times. I thought of many of you often during these crises. Im confident that if we Work Together in good faith, as we have in the past, we will get through these problems, heal, and move forward. Hoefully things will be even better than they were before. In some ways, these problems make talking International Trade seem less important, but in other ways, perhaps rebuilding our economy, helping to create good paying jobs for all americans, securing fairness for our businesses and bringing back manufacturing can be part of the solution to bring us all together as one great country again. I have been we have been isolated and quarantined so long that i fear we might forget the great achievement of the last few months. Together republicans and democrats, house and senate, worked closely with the administration to write, pass, and pass the biggest and i would say best trade agreement in american history, usmca. Mr. Chairman and Ranking Member both made reference to it. We should not forget how important that was for our country and for our workers and businesses and ranchers and farmers. I would like to again thank all of you for working with me on that. Together we had a historic accomplishment. I would also like to thank you for support and help as we worked our way through china phase one agreement. The congress had an Important Role in that, very important u. S. Japan agreement and numerous smaller trade achievements during the last year. Together i think weve helped our workers, farmers, ranchers and businesses. Going forward, theres much to achieve. As we all know, we have active negotiations ongoing with the u. K. We will very soon commence negotiations with kenya. Finally, we have active engagements on trade with numerous other countries and of course i look forward to working with members on the crucial issue of the wto. Thank you to all members for working so closely with me, for making time to talk to me and to meet with me, for having your staff work so closely with ustr and for making our end product consistently better than it would have been without your involvement. I look forward to hearing your questions. Thank you, mr. Ambassador. Without objection, each member will be recognized for five minutes. Having an opportunity to question ambassador lighthizer, we will not observe the rule and we will instead go in the order of seniority switching between majority and minority members. Members are reminded to unmute yourselves when youre recognized for your five minutes. If you have technical difficulties, when you turn comes up, i will come back to you when you are ready. Let me begin by recognizing myself. Mr. Ambassador, as i noted in my opening comments, we have received reports from mexico that there are serious challenges with the process for legit mating existing collective Bargaining Agreements many of which as you know in the past have been sham protection contracts that were really never voted on by workers. We always knew that mexicos implementation of labor reforms and usmca labor obligations would be a challenge. With covid19, things are likely to be more complicated than we had expected. You have repeatedly assured us that you are committed to the success of this agreement, as we are, making sure that it delivers on its promises to u. S. Workers and to mexicos workers. What options do we have and that you are currently entertaining to pr