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Originally Processed With FOIA(s): FOIA Number: S S FOIA MARKER This is not a textual record. This is used as an administrative marker by the George Bush Presidential Library Staff. Record Group/Collection: George H.W. Bush Presidential Records Collection/Office of Origin: Speechwriting, White House Office of Series: Speech File Draft Files Subseries: Chron File, 1989-1993 OA/ID Number: 13564 Folder ID Number: 13564-003 Folder Title: Byline Article on Fast Track Roll Call 4/22/91 [OA 6032] Stack: Row: Section: Shelf: Position: G 26 16 7 7 NAME OF SPEECH & DATE OF SPEECH Roll Call article 4/22/91 NAME OF WRITER : mcNeill NAME OF RESEARCHER: SPEECH SYNOPSIS: POTUS begins by asking Congress to extend the "fast track" trade authority to U.S. Hade negotiatics. Potus cemphaises that "fast HacR" enables regotations to go more smoothly i does not shut congress out. Potus thank now more than ever states the importance of "fast because of three critical hade negotations now Laking place: american Intitative POTUS GATT, NAFTA Enterpiese for the then speaks on The importance of NFTa the positive Changes for the us as a result of This. POTUS ends by cerpletting the the need for mo-protectronist solicies in this June of sweeping changes around the world. NAME OF SPEECH & DATE OF SPEECH NAME OF WRITER : NAME OF RESEARCHER: SPEECH SYNOPSIS: THE WHITE HOUSE WASHINGTON April 16, 1991 MEMORANDUM FOR THE PRESIDENT THROUGH: TONY SNOW TS FROM: PAUL MCNEILL Pm SUBJECT: BYLINE ARTICLE ON FAST TRACK FOR ROLL CALL NEWSPAPER This article is to appear in Roll Call's April 22 "Policy Briefing on International Trade." In it, you present the extension of fast-track as a "test of our (U.S.) reliability" to stick to an agreement and highlight the vital nature of international trade and that the Congress is not shut out of the process. You also talk about how important fast-track is to the success of the Uruguay Round of the GATT talks, the North American Free Trade Agreement, and the trade portion of the Enterprise for the Americas. You close authoritatively by highlighting the dangers of trade isolationism and how America must lead the way in the new challenge facing the world--economic prosperity. This article will appear with contributions from many others, including: Senator Lloyd Bentsen, Senator Ernest Hollings, Carla Hills, and Prime Minister Brian Mulroney. (McNeill) April 16,1990 Draft Two PRESIDENTIAL BYLINE ON FAST TRACK I have asked Congress to grant our nation's trade negotiators an extension of "fast track" trade authority. Fast track procedures are simple -- but widely misunderstood. "Fast track" really means "good faith." It ensures that we will not alter agreements that our negotiators and their colleagues have reached at the bargaining table. Congress will take those unchanged agreements and approve or reject them. You don't have to be in business to understand the importance of being able to reach across the table and shake hands on a deal. That's just what fast track does: It guarantees that we won't add last-minute amendments that could force negotiators to return to the table and start from scratch. It means that we will be good for our word when we negotiate with our allies. Critics contend that fast track authority shuts Congress out of the negotiating process. Not true: Congress can express its views while negotiations take place, and we expect it to do SO. Moreover, Congress will retain its Constitutional authority to reject agreements that it finds unacceptable. Presidents have enjoyed fast-track authority since 1974. It has helped the U.S. negotiate and implement three extraordinary trade agreements: the Tokyo Round of multilateral negotiations, the Free Trade Agreement with Israel and the Free Trade Agreement with Canada. Yet fast-track procedures may be more important now than ever before. America is the world's largest trader, and exports play a major role in our economy. Our export volume has grown 55 percent in the last four years -- twice the growth rate of our imports, and last year exports accounted for 88 percent of our total economic growth. We can't afford to jeopardize our economic future by refusing to seize the opportunity to open new markets, take advantage of new opportunities. Unfortunately, a Congressional decision not to extend fast- track would jeopardize three crucial trade negotiations -- the Uruguay Round of GATT talks, the North American Free Trade Agreement (NAFTA) and the Enterprise for the Americas Initiative. These three agreements could help open the world to American products, American ideas, American know-how. The world never has witnessed a more ambitious trade negotiation than the Uruguay Round. The 108 participating countries have been trying to reduce trade barriers, build stronger economies, protect intellectual property rights, and spread the blessings of economic prosperity to everyone. If the round succeeds, trade walls will crumble and the United States will gain access to new markets. A NAFTA would improve our trade ties with two of our largest trading partners, Canada and Mexico. Since 1980, U.S. exports to these countries have doubled from $55.3 billion to $111.4 billion. Since Mexican President Carlos Salinas slashed tariffs in 1986, the U.S. trade deficit with Mexico has tumbled dramatically, from $4.9 billion to $1.8 billion. Our non-oil trade with Mexico now shows a substantial surplus. Freer trade with Mexico has helped create 300,000 new American jobs, while improving wages and working conditions in Mexico. As the Mexican economy develops, Mexico will need more of the high-tech goods and services we produce: That will raise living standards in Mexico while opening up new job opportunities in the United States. Since development is always cleaner than poverty, NAFTA also can play a pivotal role in helping Mexicans protect and clean their own environment. In short, NAFTA helps everyone involved. We can extend the well-being to our South American neighbors as well. My Enterprise for the Americas initiative will try to expand trade relations with the struggling and developing democracies in South America. Free trade works for everyone involved. It gives smaller countries the means and ability to address important concerns within their borders -- higher wages, better working conditions, a cleaner environment, healthier food and water supplies, and improved public services. A new world of hope and opportunity beckons, and we would be foolish not to respond to its call. Our market successes in the 1980s helped inspire people to throw off the shackles of communism and pursue the cause of liberty. It would be ironic if we now turned our back on our greatest triumph, and as the Berlin Wall was crumbling, erected our own wall of protectionism. We don't need to re-learn the lessons of the Great Depression, where isolationism and defeatism sent the entire world into economic decline. We didn't win the Cold War just to start a trade war. An extension of fast track will let us help turn the post Cold War world into a world of freedom, growth and opportunity. As nations turn away from thoughts of war and set their sights on new prosperity, the United States should be out front, leading the way. # # # Document No. 229079 WHITE HOUSE STAFFING MEMORANDUM 04/17/91 DATE: ACTION/CONCURRENCE/COMMENT DUE BY: SUBJECT: PRESIDENTIAL BYLINE ON FAST TRACK ACTION FYI ACTION FYI VICE PRESIDENT MCCLURE SUNUNU NEWMAN SCOWCROFT , PORTER DARMAN ROGICH BRADY UNTERMEYER CARD ROGERS DEMAREST SNOW FITZWATER GRAY HOLIDAY REMARKS: The attached has been forwarded to the President. RESPONSE: PHILLIP D. BRADY Assistant to the President and Staff Secretary Ext. 2702 Potes 4/1- (McNeill) 91APR17 AM11:48 April 16, 1991 Draft Two PRESIDENTIAL BYLINE ON FAST TRACK I have asked Congress to grant our nation's trade negotiators an extension of "fast track" trade authority. Fast track procedures are simple -- but widely misunderstood. "Fast track" really means "good faith." It ensures that we will not alter agreements that our negotiators and their colleagues have reached at the bargaining table. Congress will take those unchanged agreements and approve or reject them. You don't have to be in business to understand the importance of being able to reach across the table and shake hands on a deal. That's just what fast track does: It guarantees that we won't add last-minute amendments that could force negotiators to return to the table and start from scratch. It means that we will be good for our word when we negotiate with our allies. Critics contend that fast track authority shuts Congress out of the negotiating process. Not true: Congress can express its views while negotiations take place, and we expect it to do SO. Moreover, Congress will retain its Constitutional authority to reject agreements that it finds acceptable. Presidents have enjoyed fast-track authority since 1974. It has helped the U.S. negotiate and implement three extraordinary trade agreements: the Tokyo Round of multilateral negotiations, the Free Trade Agreement with Israel and the Free Trade Agreement with Canada. Yet fast-track procedures may be more important now than ever before. America is the world's largest trader, and exports play a major role in our economy. Our exports volume has grown 55 percent in the last four years -- twice the growth rate of our imports, and last year exports accounted for 88 percent of our total economic growth. We can't afford to jeopardize our economic future by refusing to seize the opportunity to open new markets, take advantage of new opportunities. Unfortunately, a Congressional decision not to extend fast- track would jeopardize three crucial trade initiatives -- the Uruguay Round of GATT talks, the North American Free Trade Agreement (NAFTA) and the trade component of the Enterprise for the Americas Initiative. These three agreements could help open the world to American products, American ideas, American know- how. The world never has witnessed a more ambitious trade negotiation than the Uruguay Round. The 108 participating countries have been trying to reduce trade barriers, build stronger economies, protect intellectual property rights, and spread the blessings of economic prosperity to everyone. If the round succeeds, trade walls will crumble and the United States will gain access to new markets. A NAFTA would improve our trade ties with two of our largest trading partners, Canada and Mexico. Since 1980, U.S. exports to these countries have doubled from $55.3 billion to $111.4 billion. Since Mexican President Carlos Salinas slashed tariffs in 1986, the U.S. trade deficit with Mexico has tumbled dramatically, from $4.9 billion to $1.8 billion. Our non-oil trade with Mexico no shows a substantial surplus. Freer trade with Mexico has helped create 300,000 new American jobs, while improving wages and working conditions in Mexico. As the Mexican economy develops, Mexico will need more of the high-tech goods and services we produce: That will raise living standards in Mexico while opening up new job opportunities in the United States. Since development is always cleaner that poverty, NAFTA also can play a pivotal role in helping Mexicans protect and clean their own environment. In short, NAFTA helps everyone involved. We can extend the well-being to our neighbors elsewhwere in Latin America and the Caribbean as well. My Enterprise for the Americas Initiative will try to expand trade relations with the struggling and developing democracies in South America. Free trade work for everyone involved. It gives smaller countries the means and ability to address important concerns within their borders -- higher wages, better working conditions, a cleaner environment, healthier food and water supplies, and improved public services. A new world of hope and opportunity beckons, and we would be foolish not to respond to its call. Our market successes in the 1980s helped inspire people to throw off the shackles of communism and pursue the cause of liberty. It would be ironic if we now turned our back on our greatest triumph. and as the Berlin Wall was crumbling, erected our own wall of protectionism. We don't need to re-learn the lessons of the Great Depression, where isolationism and defeatism sent the entire world into economic decline. We didn't win the Cold War just to start a trade war. An extension of fast track will let us help turn the post Cold War world into a world of freedom, growth and opportunity. As nations turn away from thoughts of war and set their sights on new prosperity, the United States should be out front, leading the way. # # # (McNeill) April 16, 1991 Draft Two PRESIDENTIAL BYLINE ON FAST TRACK I have asked Congress to grant our nation's trade negotiators an extension of "fast track" trade authority. Fast track procedures are simple -- but widely misunderstood. "Fast track" really means "good faith." It ensures that we will not alter agreements that our negotiators and their colleagues have reached at the bargaining table. Congress will take those unchanged agreements and approve or reject them. You don't have to be in business to understand the importance of being able to reach across the table and shake hands on a deal. That's just what fast track does: It guarantees that we won't add last-minute amendments that could force negotiators to return to the table and start from scratch. It means that we will be good for our word when we negotiate with our allies. Critics contend that fast track authority shuts Congress out of the negotiating process. Not true: Congress can express its views while negotiations take place, and we expect it to do so. Moreover, Congress will retain its Constitutional authority to reject agreements that it finds acceptable. Presidents have enjoyed fast-track authority since 1974. It has helped the U.S. negotiate and implement three extraordinary trade agreements: the Tokyo Round of multilateral negotiations, the Free Trade Agreement with Israel and the Free Trade Agreement with Canada. Yet fast-track procedures may be more important now than ever before. America is the world's largest trader, and exports play a major role in our economy. Our exports volume has grown 55 percent in the last four years -- twice the growth rate of our imports, and last year exports accounted for 88 percent of our total economic growth. We can't afford to jeopardize our economic future by refusing to seize the opportunity to open new markets, take advantage of new opportunities. Unfortunately, a Congressional decision not to extend fast- track would jeopardize three crucial trade initiatives -- the Uruguay Round of GATT talks, the North American Free Trade Agreement (NAFTA) and the trade component of the Enterprise for the Americas Initiative. These three agreements could help open the world to American products, American ideas, American know- how. The world never has witnessed a more ambitious trade negotiation than the Uruguay Round. The 108 participating countries have been trying to reduce trade barriers, build stronger economies, protect intellectual property rights, and spread the blessings of economic prosperity to everyone. If the round succeeds, trade walls will crumble and the United States will gain access to new markets. A NAFTA would improve our trade ties with two of our largest trading partners, Canada and Mexico. Since 1980, U.S. exports to these countries have doubled from $55.3 billion to $111.4 billion. Since Mexican President Carlos Salinas slashed tariffs in 1986, the U.S. trade deficit with Mexico has tumbled dramatically, from $4.9 billion to $1.8 billion. Our non-oil trade with Mexico no shows a substantial surplus. Freer trade with Mexico has helped create 300,000 new American jobs, while improving wages and working conditions in Mexico. As the Mexican economy develops, Mexico will need more of the high-tech goods and services we produce: That will raise living standards in Mexico while opening up new job opportunities in the United States. Since development is always cleaner that poverty, NAFTA also can play a pivotal role in helping Mexicans protect and clean their own environment. In short, NAFTA helps everyone involved. We can extend the well-being to our neighbors elsewhwere in Latin America and the Caribbean as well. My Enterprise for the Americas Initiative will try to expand trade relations with the struggling and developing democracies in South America. Free trade work for everyone involved. It gives smaller countries the means and ability to address important concerns within their borders -- higher wages, better working conditions, a cleaner environment, healthier food and water supplies, and improved public services. A new world of hope and opportunity beckons, and we would be foolish not to respond to its call. Our market successes in the 1980s helped inspire people to throw off the shackles of communism and pursue the cause of liberty. It would be ironic if we now turned our back on our greatest triumph. and as the Berlin Wall was crumbling, erected our own wall of protectionism. We don't need to re-learn the lessons of the Great Depression, where isolationism and defeatism sent the entire world into economic decline. We didn't win the Cold War just to start a trade war. An extension of fast track will let us help turn the post Cold War world into a world of freedom, growth and opportunity. As nations turn away from thoughts of war and set their sights on new prosperity, the United States should be out front, leading the way. # # # THE WHITE HOUSE Office of the Press Secretary For Immediate Release March 19, 1991 EXTENSION OF FAST TRACK AUTHORITY FACT SHEET FAST TRACK PROCEDURES Historical Background to the Fast Track o For the better part of this century, the Congress and the Executive have recognized that the negotiation and implementation of trade agreements require special cooperation. In the aftermath of the record-high rates of the Smoot- Hawley Tariff Act of 1930 and the Depression they helped fuel, both the Congress and the Executive branch recognized that only by working closely together could the two branches effectively bring down barriers to our foreign trade and open international markets for U.S. products and services. o This new partnership was reflected in the Reciprocal Trade Agreements Act of 1934, which gave the President authority not only to conclude tariff-cutting agreements but also to implement them without the need for subsequent legislation. o As countries began to rely less on tariff protection and more on non-tariff trade barriers, the scope of trade negotiations broadened, and the "fast-track" procedures were created by the Congress as the necessary complement to this broader trade agenda. o Fast track procedures for approval of trade agreements were included by the Congress in trade legislation in 1974, 1979, and again in the 1988 Trade Act. Fast Track is Essential to Successful Trade Negotiations o While assuring the Congress meaningful participation throughout the negotiation process, fast track provides two guarantees essential to the successful negotiation of trade agreements: (1) a vote on implementing legislation within a fixed period of time, and (2) no amendments to that legislation. 2 These procedures reflect the understanding that trade agreements, in which results in one area are often linked to results in others, are particularly vulnerable to multiple amendments that, while possibly small in themselves, could unravel entire agreements. Whether the balance of benefits contained in any trade agreement is in the overall interest of the United States can only be determined by looking at the whole package. Through the fast track, the Congress gave the President the same bargaining power possessed by his counterparts: the ability to ensure that the agreement reached internationally would be the agreement voted on at home. Without fast track, the President cannot assure our negotiating partners that the deal they strike is the deal that will be voted on by the Congress. Without that assurance, foreign governments are reluctant to negotiate with the United States and will not make the tough concessions necessary to reach agreements the United States would be willing to sign. No trading partner will give its bottom line knowing that the bargain could be reopened. Using fast track, the United States has negotiated and implemented three remarkable agreements that were each approved by an overwhelming majority in both Houses of the Congress. These agreements -- the results of the Tokyo Round in 1979, the Free Trade Agreement with Israel in 1985, and the Free Trade Agreement with Canada in 1988 -- have reduced barriers to trade and contributed to growth in the United States and worldwide. The United States has much to gain from trade agreements that open markets and provide rules for free and fair trade. Maintaining the fast track will preserve our ability to continue our efforts to liberalize trade and open markets through the General Agreement on Tariffs and Trade, through other multilateral agreements and through bilateral agreements. The Congress is an Essential Part of the Fast Track Process Fast track procedures preserve the role of the Congress during the negotiation, approval, and implementation of trade agreements. To ensure congressional and private sector input, the fast track statute contains extensive notification and consultation requirements. At each step along the way, from 3 initiation through implementation, the Congress is an active partner. To use the fast track for any agreement, bilateral or multilateral, the President must notify the Congress 90 calendar days before signature. By the time the President gives his 90-day notification, our many private sector advisory committees must report their views on the agreement both to the Congress and to the President. For bilateral agreements, the Congress must be given advance notice of the negotiations; during the following 60 legislative working days, either the Senate Finance or House Ways and Means Committee can vote to deny fast track treatment. Once an agreement is reached, the Congress and the Administration work in close consultation to formulate implementing legislation. The process has involved the full participation of all committees of jurisdiction, not only those committees traditionally consulted in setting trade negotiating objectives. If the agreement and its implementing legislation are still not acceptable, they can be rejected by a majority vote of either House. We are today engaged in bilateral and multilateral trade initiatives that hold unprecedented promise for the advancement of U.S. economic objectives. With such initiatives in train, it is clearly in the national interest to continue a partnership that has proved its worth for almost 60 years. Use of Fast Track if Extended In incorporating the fast track in the 1988 Trade Act, the Congress expressly contemplated that an extension might be necessary and appropriate in order for the President to pursue effectively the trade policy goals set out in the law. If extended, the fast track would be available until June 1, 1993, and would be used to implement trade initiatives such as completing the Uruguay Round, negotiating a North America Free Trade Agreement (NAFTA) with Mexico and Canada, and pursuing the trade objectives of the Enterprise for the Americas Initiative. Supporting fast track will allow these I important initiatives to go forward without in any way detracting from the ability of the Congress to assess each agreement on its merits when presented for approval. 4 A Vote Against Fast Track Denies Fast Track for all Agreements Current fast track authority would have expired on June 1 if the President had not requested an extension by March 1. The requested extension is granted automatically unless either house passes a statutorily prescribed disapproval resolution before June 1. The language of the disapproval resolution, which is set out in the statute, makes clear that disapproval eliminates all fast track authority, multilateral and bilateral. The disapproval resolution cannot be amended to eliminate fast track for some agreements but not others because the resolution itself cannot be amended. It is not possible, for example, to vote against the fast track for the Uruguay Round agreements but preserve it for the NAFTA. If a disapproval resolution is passed by either House, the fast track is gone for all purposes, and the President's ability to successfully negotiate any trade agreement requiring congressional approval, bilateral or multilateral, is severely crippled if not eliminated entirely. Simply put, a vote against fast track is a vote against trade. Continuing Fast Track is Essential to Securing Economic Gains As the world's largest trader, the United States has an enormous stake in the future of the global trading system. Exports have become a vital source of strength to the U.S. economy. In 1990, the nearly 8.5 percent growth in U.S. exports accounted for 88 percent of U.S. economic growth. In order to sustain the expansion of exports and consequent growth, we must continue our efforts to open world markets. We must maintain our active leadership role. Without an extension of fast track, those efforts are futile. Maintaining fast track procedures -- and the partnership between the Congress and the executive branch that fast track represents -- will keep on course our joint efforts to liberalize trade and open markets through the GATT, through other multilateral agreements, and through bilateral agreements. No country stands more to gain from those efforts than the United States. As we approach the beginning of a new century, we should not hesitate to pursue the opportunities for expanded economic growth and prosperity presented by successful trade negotiations. 5 In order to turn those opportunities into realities, the Congress and the Executive must continue to work together in the manner envisioned by the fast track. THE IMPORTANCE AND BENEFITS OF THE URUGUAY ROUND Uruguay Round is the Most Ambitious of Trade Negotiations to Date The world trading system is now vastly more complex than it was when the GATT was written in 1947. Over one-third of world trade, more than $1 trillion, is inadequately covered by international trade rules. The Uruguay Round negotiations -- in which 108 countries participate -- are an ambitious effort to strengthen and expand the global trading system as well as to further lower trade barriers. Launched in 1986 in Punta del Este, Uruguay, these negotiations are the eighth round of multilateral trade negotiations conducted under the auspices of GATT. The United States led the call for the far-reaching agenda of issues in the Uruguay Round. The Congress established objectives for the Uruguay Round in the Omnibus Trade and Competitiveness Act, passed in August of 1988. The negotiating agenda runs the gamut of U.S. interests, both in opening world markets and in establishing internal rules of fair play in areas vital to U.S. competitiveness -- services, investment, agriculture, and intellectual property. The negotiations fall into four broad categories: -- market access (tariffs and non-tariff measures, natural resource-based products, tropical products, and textiles); -- the "new" areas of services, trade-related intellectual property rights (TRIPs), and trade-related investment measures (TRIMs); -- agriculture; and -- GATT rules (dispute settlement, safeguards, GATT Articles including balance of payments reform, and the non-tariff measure codes, including subsidies and antidumping). * Moreover, unlike previous GATT negotiating rounds, developing countries are active participants in every aspect of the negotiations. 6 The Administration is Committed to Ensuring that the Uruguay Round Results in Agreements that Truly Meet U.S. Objectives O This resolve was demonstrated at Brussels in December 1990. The U.S. delegation and other important delegations determined that it was preferable to end the ministerial meeting without result rather than to lower ambitions and accept minimal Uruguay Round agreements. The negotiations formally resumed in all areas on February 26, 1991, when a framework to negotiate agricultural reform was reached. The exact pace of negotiations will depend on how quickly we are able to reach an acceptable solution on agriculture. The Administration is not prepared to accept an inadequate agreement for the sake of an agreement; but we are prepared to continue to negotiate to obtain a good result. A Successful Uruguay Round Would Bring Substantial Benefits to the U.S. and World Economies O Exports have become a vital source of strength to the U.S. economy. Since the Round was launched in 1986, export expansion has been responsible for 40 percent of total growth in U.S. GNP. In 1990, export growth accounted for 88 percent of U.S. GNP growth. An open multilateral trading system is the best guarantee that U.S. export opportunities continue to expand into the next century. The Uruguay Round is the most important initiative to expand these opportunities. 0 Specifically, a successful Uruguay Round would provide substantial benefits to the U.S. economy, including: : Lower tariff and non-tariff barriers to manufactured products and other goods, which could increase world output by $5 trillion and U.S. output by over $1 trillion over the next 10 years, meaning an additional $16, 000 for every American family of four; -- Rules to protect the intellectual property of U.S. entrepreneurs, who lose $60 billion annually through theft and counterfeiting of their ideas; -- New markets for U.S. services firms, which export $115 billion annually and generate 90 percent of new U.S. jobs; 7 An agreement opening world markets to investment, which helps generate $240 billion, or two-thirds of total U.S. exports in goods; Fair competition and open markets in agriculture, creating new opportunities for American farmers, who lead the world with more than $40 billion in annual exports; -- The full participation of developing countries in the global trading system, which could increase U.S. exports by $200 billion over the next 10 years; and -- Strengthened rules on dispute settlement, antidumping, subsidies and trade remedy provisions, which should provide predictability and certainty in access to foreign markets and ensure fair trade at home. Conversely, failure to extend fast track authority will end the Uruguay Round negotiations, damaging prospects for world economic growth and cooperation. A collapse of the Round brought about by removal of U.S. fast track authority would increase worldwide pressures to raise trade and investment barriers. A sufficiently sharp movement away from open markets could contribute to a global recession, as it did in the 1930s. Although the ultimate success of the Uruguay Round cannot be guaranteed, the United States should continue negotiations because a successful Round is overwhelmingly in our long- term economic interests. IMPORTANCE OF A NORTH AMERICAN FREE TRADE AGREEMENT A NAFTA Would Create One of the World's Largest Free Trade Areas A NAFTA would create an enormous market, encompassing some 360 million consumers and total output of $6 trillion. The progressive elimination of barriers to the flow of goods, services, and investment and strengthened protection of intellectual property rights would benefit a broad spectrum of businesses, workers, farmers, and consumers. Creation of a NAFTA would be a catalyst for economic growth and development in the United States, Mexico and Canada through increased trade, investment, and jobs. 8 The Importance of North American Trade Canada and Mexico are America's first and third largest trading partners, respectively. In turn, the United States accounts for over two-thirds of their total trade. In 1990, three-way trade came to about $237 billion. Since 1980, U.S. exports to Mexico and Canada have doubled, rising from $55.3 billion to $111.4 billion. Our exports to our neighbors have grown substantially faster than those to the rest of the world. Removal of Barriers Would Create New Trade and Investment Opportunities o Since Mexico joined the GATT in 1986 and started its unilateral policy of lowering trade barriers, U.S. exports have more than doubled, growing from $12.4 billion to $28.4 billion. -- U.S. agricultural exports to Mexico totalled $2.5 billion in 1990, our third largest market. -- Consumer goods exports from the United States to Mexico have tripled since 1986, rising from $1 billion to $3 billion. -- U.S. exports of capital goods have grown from $5 billion in 1986 to about $9.5 billion last year. We can do better. Mexico has greater barriers to U.S. exports than we impose on Mexican shipments to the United States. For example: -- Mexican tariffs average 10 percent, compared to the average tariff of 4 percent we impose on Mexican exports to us. -- Mexico still maintains a restrictive import licensing regime, one that affects 40 percent of U.S. agricultural exports to Mexico. In addition, while Mexico has liberalized its investment regime, it is still closed to many U.S. investments, both in manufacturing and in services, and performance requirements distort export opportunities for U.S. products. Mexico has already pledged to improve its protection for intellectual property rights, and we expect action on those pledges in the near future. A NAFTA will make those reforms secure. 9 A NAFTA Offers Benefits to U.S. Producers, Workers and Consumers Economic analyses show that a NAFTA will have a positive impact on the U.S. economy and U.S. employment. U.S. producers and workers will benefit from a NAFTA through increased sales opportunities, improved operating efficiencies, and strengthened competitiveness vis-a-vis Asia and Europe. U.S. consumers will enjoy increased access to lower cost, higher quality products. A NAFTA Strengthens the Broader North American Relationship o A NAFTA would help cement the extensive historical, familial, cultural, and language links the United States has with both Mexico and Canada. More prosperous neighbors are better neighbors and better customers for U.S. goods and services. We have a broad agenda with both Mexico and Canada that goes well beyond trade, economic, and investment links. By boosting economic prosperity in all three nations, a NAFTA will help us make progress on issues such as the environment, drugs, and immigration. # # # Document No. 229079SS 2787 WHITE HOUSE STAFFING MEMORANDUM 91 APR 17 A7: 49 DATE: 4/12/91 ACTION/CONCURRENCE/COMMENT DUE BY: TUESDAY, 4/16/91 10:00 am SUBJECT: PRESIDENTIAL BYLINE ON FAST TRACK ACTION FYI ACTION FYI VICE PRESIDENT MCCLURE SUNUNU NEWMAN SCOWCROFT PORTER DARMAN ROGICH BRADY UNTERMEYER CARD ROGERS DEMAREST see comments SNOW FITZWATER GRAY HOLIDAY REMARKS: Please forward your comments directly to Tony Snow, Rm. 122, x2930, no later than 10:00 a.m., Tuesday, April 16, with a copy to this office. Thank you. RESPONSE: April 16, 1991 TO: TONY SNOW NSC concurs with the attached as revised. Brent Rates for Scowcroft PHILLIP D. BRADY Assistant to the President CC: Phillip Brady and Staff Secretary Ext. 2702 RECEIVED 91 APR 16 A10. 01 ЛЬК 11 (McNeill) April 12,1990 91 APR 12 PM 5: 28 Draft One PRESIDENTIAL BYLINE ON FAST TRACK I have asked the Members of Congress to grant our Nation's trade negotiators an extension of what we call "fast track" trade authority. Fast track procedures are simple -- but widely misunderstood. "Fast track" really means "good faith." You don't have to be in business to know how vital it is to have the simple authority to reach across the table and shake hands on a deal. That's just what fast track does: It guarantees that Congress will not change agreements that our negotiators and their colleagues have worked out. It won't add last-minute amendments that would force negotiators to return to the table and start from scratch. It means that we will be good for our word when we negotiate with our allies. Critics contend that fast track authority shuts Congress out of the negotiating process. That's just not true: Congress can express its views while negotiations take place, and it retains the power to reject treaties that it finds unacceptable. Presidents have enjoyed this authority since 1970. It has enter into helped the U.S. and its trading partners pass important and agreements fruitful trade legislation in 1974, 1979, and in 1988 with the Free Trade Act with Canada. Yet fast-track authority may be more important now than ever before. America is the world's largest trader, and exports play a major role in our economy. Our export volume has grown 55 percent in the last four years -- twice the growth rate of our imports, and last year exports accounted for 88 percent of our total economic growth. We can't afford to jeopardize our economic future by refusing to seize the opportunity to open new markets, take advantage of new opportunities. However that's just what would happen if we lost our fast- track authority. If Congress refuses to extend fast-track, we will have real difficulty concluding three crucial trade negotiations -- the Uruguay Round of GATT talks, the North American Free Trade Agreement (NAFTA) and the Enterprise for the Americas Initiative. The world never has witnessed a more ambitious trade negotiation than the Uruguay Round. The 108 participating countries have agreed to work toward reducing trade barriers, building stronger economies, protecting intellectual property rights, and securing the blessings of economic prosperity to everyone. If the round succeeds, trade walls will crumble and the United States will gain access to new markets. A NAFTA would improve trade with two of our largest trading partners, Canada and Mexico. Since 1980, U.S. exports to these countries have doubled from $55.3 billion to $111.4 billion. Since Mexican President Carlos Salinas slashed tariffs in his country, the U.S. trade deficit with Mexico has tumbled dramatically, from $4.8 billion to $1.8 billion. Our non-oil trade with Mexico now shows a substantial surplus. Freer trade with Mexico has helped create 150,000 new American jobs, while improving wages and working conditions in Mexico. As the Mexican economy develops, Mexico will need more of the high-tech goods and services we produce: That will raise living standards in Mexico while opening up new job opportunities in the United States. NAFTA thus helps everyone involved. elsewhere in Latin America and the Caribbean We can extend the well-being to our South American neighbors nas well. My Enterprise for the Americas initiative will help the struggling democracies regain their footing, and give the good people of those countries a chance to show pride for a product well made and for a job well done. Free trade works for everyone involved. It gives smaller countries the means and ability to address important concerns within their borders -- higher wages, better working conditions, a cleaner environment, healthier food and water supplies, and improved public services. A new world of hope and opportunity beckons, and we would be foolish not to respond to its call. We have seen what isolationism can do. A trade war helped set off the great depression of the 1930s. Our example inspired people to throw off the shackles of communism and pursue the cause of liberty. It would be ironic if we now turned our back on our greatest triumph, and as the Borlin Wall was crumbling, erected our own wall of protectionis~ An extension of last track will let us help shape the post Cold War world. It will ensure our reliability as a trading partner. We did not win the Cold War just to engage in a trade war: We should accept success and move on. As nations turn away from thoughts of war and set their sights on new prosperity, the United States should be out front, leading the way. # # # Document No. 229079SS WHITE HOUSE STAFFING MEMORANDUM DATE: 4/12/91 ACTION/CONCURRENCE/COMMENT DUE BY: TUESDAY, 4/16/91 10:00 am SUBJECT: PRESIDENTIAL BYLINE ON FAST TRACK ACTION FYI ACTION FYI VICE PRESIDENT MCCLURE N/C SUNUNU NEWMAN Melby 4985 SCOWCROFT bootleg PORTER DARMAN ROGICH BRADY UNTERMEYER CARD ROGERS DEMAREST SNOW FITZWATER Admyear GRAY N/C Dorence Smith HOLIDAY REMARKS: Please forward your comments directly to Tony Snow, Rm. 122, x2930, no later than 10:00 a.m., Tuesday, April 16, with a copy to this office. Thank you. RESPONSE: PHILLIP D. BRADY Assistant to the President and Staff Secretary Ext. 2702 (McNeill) 91 APR I2 Pil 5: 28 April 12,1990 Draft One PRESIDENTIAL BYLINE ON FAST TRACK I have asked the Members of Congress to grant our Nation's trade negotiators an extension of what we call "fast track" trade authority. Fast track procedures are simple -- but widely misunderstood. "Fast track" really means "good faith." You don't have to be in business to know how vital it is to have the simple authority to reach across the table and shake hands on a deal. That's just what fast track does: It guarantees that Congress will not change agreements that our negotiators and their colleagues have worked out. It won't add last-minute amendments that would force negotiators to return to the table and start from scratch. It means that we will be good for our word when we negotiate with our allies. Critics contend that fast track authority shuts Congress out of the negotiating process. That's just not true: Congress can express its views while negotiations take place, and it retains the power to reject treaties that it finds unacceptable. Presidents have enjoyed this authority since 1970. It has helped the U.S. and its trading partners pass important and fruitful trade legislation in 1974, 1979, and in 1988 with the Free Trade Act with Canada. Yet fast-track authority may be more important now than ever before. America is the world's largest trader, and exports play a major role in our economy. Our export volume has grown 55 percent in the last four years -- twice the growth rate of our imports, and last year exports accounted for 88 percent of our total economic growth. We can't afford to jeopardize our economic future by refusing to seize the opportunity to open new markets, take advantage of new opportunities. However that's just what would happen if we lost our fast- track authority. If Congress refuses to extend fast-track, we will have real difficulty concluding three crucial trade negotiations -- the Uruguay Round of GATT talks, the North American Free Trade Agreement (NAFTA) and the Enterprise for the Americas Initiative. The world never has witnessed a more ambitious trade negotiation than the Uruguay Round. The 108 participating countries have agreed to work toward reducing trade barriers, building stronger economies, protecting intellectual property rights, and securing the blessings of economic prosperity to everyone. If the round succeeds, trade walls will crumble and the United States will gain access to new markets. A NAFTA would improve trade with two of our largest trading partners, Canada and Mexico. Since 1980, U.S. exports to these countries have doubled from $55.3 billion to $111.4 billion. Since Mexican President Carlos Salinas slashed tariffs in his country, the U.S. trade deficit with Mexico has tumbled dramatically, from $4.8 billion to $1.8 billion. Our non-oil trade with Mexico now shows a substantial surplus. Freer trade with Mexico has helped create 150,000 new American jobs, while improving wages and working conditions in Mexico. As the Mexican economy develops, Mexico will need more of the high-tech goods and services we produce: That will raise living standards in Mexico while opening up new job opportunities in the United States. NAFTA thus helps everyone involved. We can extend the well-being to our South American neighbors as well. My Enterprise for the Americas initiative will help the struggling democracies regain their footing, and give the good people of those countries a chance to show pride for a product well made and for a job well done. Free trade works for everyone involved. It gives smaller countries the means and ability to address important concerns within their borders -- higher wages, better working conditions, a cleaner environment, healthier food and water supplies, and improved public services. A new world of hope and opportunity beckons, and we would be foolish not to respond to its call. We have seen what isolationism can do. A trade war helped set off the great depression of the 1930s. Our example inspired people to throw off the shackles of communism and pursue the cause of liberty. It would be ironic if we now turned our back on our greatest triumph, and as the Berlin Wall was crumbling, erected our own wall of protectionis- An extension of last track will let us help shape the post Cold War world. It will ensure our reliability as a trading partner. We did not win the Cold War just to engage in a trade war: We should accept success and move on. As nations turn away from thoughts of war and set their sights on new prosperity, the United States should be out front, leading the way. # # # Document No. 229079SS WHITE HOUSE STAFFING MEMORANDUM 91 APR 15 P4: 28 DATE: 4/12/91 ACTION/CONCURRENCE/COMMENT DUE BY: TUESDAY, 4/16/91 10:00 am SUBJECT: PRESIDENTIAL BYLINE ON FAST TRACK ACTION FYI ACTION FYI VICE PRESIDENT MCCLURE SUNUNU NEWMAN SCOWCROFT PORTER DARMAN ROGICH BRADY UNTERMEYER CARD ROGERS DEMAREST SNOW FITZWATER GRAY HOLIDAY REMARKS: Please forward your comments directly to Tony Snow, Rm. 122, x2930, no later than 10:00 a.m., Tuesday, April 16, with a copy to this office. Thank you. RESPONSE: connects Roll call sported this therefically Tomy will it your 2 the too too consong corsough in day needs to for or POTUS PO to not 705 more w Assistant and PHILLIP remarks Staff and Ext. to D. the 2702 Secretary BRADY President ? (McNeill) April 12,1990 91 APR 12 Pil 5: 28 Draft One PRESIDENTIAL BYLINE ON FAST TRACK I have asked the Members of Congress to grant our Nation's trade negotiators an extension of what we call "fast track" trade authority. Fast track procedures are simple -- but widely misunderstood. "Fast track" really means "good faith." You don't have to be in business to know how vital it is to have the simple authority to reach across the table and shake hands on a deal. That's just what fast track does: It guarantees that Congress will not change agreements that our negotiators and their colleagues have worked out. It won't add last-minute amendments that would force negotiators to return to the table and start from scratch. It means that we will be good for our word when we negotiate with our allies. Critics contend that fast track authority shuts Congress out of the negotiating process. That's just not true: Congress can express its views while negotiations take place, and it retains the power to reject treaties that it finds unacceptable. Presidents have enjoyed this authority since 1970. It has helped the U.S. and its trading partners pass important and fruitful trade legislation in 1974, 1979, and in 1988 with the Free Trade Act with Canada. Yet fast-track authority may be more important now than ever before. America is the world's largest trader, and exports play a major role in our economy. Our export volume has grown 55 percent in the last four years -- twice the growth rate of our imports, and last year exports accounted for 88 percent of our total economic growth. We can't afford to jeopardize our economic future by refusing to seize the opportunity to open new markets, take advantage of new opportunities. However that's just what would happen if we lost our fast- track authority. If Congress refuses to extend fast-track, we will have real difficulty concluding three crucial trade negotiations -- the Uruguay Round of GATT talks, the North American Free Trade Agreement (NAFTA) and the Enterprise for the Americas Initiative. The world never has witnessed a more ambitious trade negotiation than the Uruguay Round. The 108 participating countries have agreed to work toward reducing trade barriers, building stronger economies, protecting intellectual property rights, and securing the blessings of economic prosperity to everyone. If the round succeeds, trade walls will crumble and the United States will gain access to new markets. A NAFTA would improve trade with two of our largest trading partners, Canada and Mexico. Since 1980, U.S. exports to these countries have doubled from $55.3 billion to $111.4 billion. Since Mexican President Carlos Salinas slashed tariffs in his country, the U.S. trade deficit with Mexico has tumbled dramatically, from $4.8 billion to $1.8 billion. Our non-oil trade with Mexico now shows a substantial surplus. Freer trade with Mexico has helped create 150,000 new American jobs, while improving wages and working conditions in Mexico. As the Mexican economy develops, Mexico will need more of the high-tech goods and services we produce: That will raise living standards in Mexico while opening up new job opportunities in the United States. NAFTA thus helps everyone involved. We can extend the well-being to our South American neighbors as well. My Enterprise for the Americas initiative will help the struggling democracies regain their footing, and give the good people of those countries a chance to show pride for a product well made and for a job well done. Free trade works for everyone involved. It gives smaller countries the means and ability to address important concerns within their borders -- higher wages, better working conditions, a cleaner environment, healthier food and water supplies, and improved public services. A new world of hope and opportunity beckons, and we would be foolish not to respond to its call. We have seen what isolationism can do. A trade war helped set off the great depression of the 1930s. Our example inspired people to throw off the shackles of communism and pursue the cause of liberty. It would be ironic if we now turned our back on our greatest triumph, and as the Berlin Wall was crumbling, erected our own wall of protectionis- An extension of Last track will let us help shape the post Cold War world. It will ensure our reliability as a trading partner. We did not win the Cold War just to engage in a trade war: We should accept success and move on. As nations turn away from thoughts of war and set their sights on new prosperity, the United States should be out front, leading the way. # # # May have more changes Document No. 229079SS from USTR. WHITE HOUSE STAFFING MEMORANDUM 91 APR 16 DATE: 4/12/91 ACTION/CONCURRENCE/COMMENT DUE BY: TUESDAY, 4/16/91 10:00 am SUBJECT: PRESIDENTIAL BYLINE ON FAST TRACK ACTION FYI ACTION FYI VICE PRESIDENT MCCLURE SUNUNU NEWMAN SCOWCROFT PORTER DARMAN ROGICH BRADY UNTERMEYER CARD ROGERS DEMAREST SNOW FITZWATER GRAY HOLIDAY REMARKS: Please forward your comments directly to Tony Snow, Rm. 122, x2930, no later than 10:00 a.m., Tuesday, April 16, with a copy to this office. Thank you. RESPONSE: Are comments. Thanks. Holly Williamson 4-16-91 PHILLIP D. BRADY Assistant to the President and Staff Secretary Ext. 2702 (McNeill) April 12,1990 91 APR 12 PM 5: 28 Draft One PRESIDENTIAL BYLINE ON FAST TRACK I have asked the Members of Congress to grant our Nation's trade negotiators an extension of what we call "fast track" trade authority. Fast track procedures are simple -- but widely misunderstood. "Fast track" really means "good faith." You don't have to be in business to know how vital it is to have the simple authority to reach across the table and shake hands on a deal. That's just what fast track does: It guarantees that Congress will not change agreements that our negotiators and their colleagues have worked out. It won't add last-minute amendments that would force negotiators to return to the table and start from scratch. It means that we will be good for our word when we negotiate with our allies. Critics contend that fast track authority shuts Congress out of the negotiating process. That's just not true: Congress can Drobacher) express its views while negotiations take place, and it retains (sec. most importantly, congress retains agreements JUSTR Needs to seperate be A the power to reject treaties that it finds unacceptable. 13 (they are not to 1974. treaties, emphasize aseragraph 37- Presidents have enjoyed this authority since 1940. It has but negotiate and implements three extramsinary trade rather helped the U.S. and its trading partners pass important and importance. agreement: Tokyo Round of multilature negotiations, Free Trade Agreement agree - fruitful trade legislation in 1974, 1979, and in 1988 with the ments) with Israel, Agreement and FTA with Canada. Free Trade/Act with-Canada. -TS USTR notes this is an important distinction because as written the otherway it isnot accurate. (USTR) Yet Procedure may be more important now than ever before. America is the world's largest trader, and exports play a major role in our economy. Our export volume has grown 55 Qustion percent in the last four years -- twice the growth rate of our or has Germans imports, and last year exports accounted for 88 percent of our svertaken total economic growth. We can't afford to jeopardize our us? No economic future by refusing to seize the opportunity to open new TS markets, take advantage of new opportunities. (LLSTR) However that's just what would happen if we lost our fast- procedure. track/authority. If Congress refuses to extend fast-track, three will have real difficulty concluding three crucial trade crucial trade initiatives would be peaced in jeopanes - USTR Care we have have ever negotiations the Uruguay Round of GATT talks, the North of + American Free Trade Agreement (NAFTA) and the Enterprise for the Americas Initiative. The world never has witnessed a more ambitious trade negotiation than the Uruguay Round. The 108 participating if about wonld not we began the the $ EAIT tin a EA fllp the tallver countries have agreed to work toward reducing trade barriers, building stronger economies, protecting intellectual property rights, and securing the blessings of economic prosperity to everyone. If the round succeeds, trade walls will crumble and the United States will gain access to new markets. A NAFTA would improve trade with two of our largest trading partners, Canada and Mexico. Since 1980, U.S. exports to these countries have doubled from $55.3 billion to $111.4 billion. Since Mexican President Carlos Salinas slashed tariffs in his 1986 country, the U.S. trade deficit with Mexico has tumbled dramatically, from $4.8 billion to $1.8 billion. Our non-oil 900,000 Kreams) trade with Mexico now shows a substantial surplus. Freer trade Question with Mexico has helped create 150,000 new American jobs, while Istis net improving wages and working conditions in Mexico. job losses? As the Mexican economy develops, Mexico will need more of the high-tech goods and services we produce: That will raise living standards in Mexico while opening up new job opportunities in the United States. NAFTA thus helps everyone involved. We can extend the well-being to our South American neighbors as well. My Enterprise for the Americas initiative will help the struggling democracies regain their footing, and give the good people of those countries a chance to show pride for a product well made and for a job well done. Free trade works for everyone involved. It gives smaller countries the means and ability to address important concerns within their borders -- higher wages, better working conditions, a cleaner environment, healthier food and water supplies, and improved public services. A new world of hope and opportunity beckons, and we would be foolish not to respond to its call. We have seen what isolationism can do. A trade war helped/set prolong off the great (Treases) depression of the 1930s. Our example inspired people to throw off the shackles of communism and pursue the cause of liberty. It would be ironic if we now turned our back on our greatest triumph, and as the Berlin Wall was crumbling, erected our own wall of protectionism. An extension of last track will let us help shape the post Cold War world. It will ensure our reliability as a trading sec. partner. We did not win the Cold War just to engage in a trade Mosbacher war: We should accept success and move on. As nations turn away suggestal using from thoughts of war and set their sights on new prosperity, the some lenguage United States should be out front, leading the way. like: # # # same in lead trade was we the should we the warg led storm. in pent No: the avdience is the readership of Roll Call. I don't think o Desret storm allusion would help. is Document No. 229079SS WHITE HOUSE STAFFING MEMORANDUM 91 APR 15 P4: 28 DATE: 4/12/91 ACTION/CONCURRENCE/COMMENT DUE BY: TUESDAY, 4/16/91 10:00 am SUBJECT: PRESIDENTIAL BYLINE ON FAST TRACK ACTION FYI ACTION FYI VICE PRESIDENT MCCLURE SUNUNU NEWMAN SCOWCROFT PORTER DARMAN ROGICH BRADY UNTERMEYER CARD ROGERS DEMAREST SNOW FITZWATER GRAY HOLIDAY REMARKS: Please forward your comments directly to Tony Snow, Rm. 122, x2930, no later than 10:00 a.m., Tuesday, April 16, with a copy to this office. Thank you. RESPONSE: OK S.R, PHILLIP D. BRADY Assistant to the President and Staff Secretary Ext. 2702 (McNeill) April 12,1990 91 APR I2 PM 5: 28 Draft One PRESIDENTIAL BYLINE ON FAST TRACK I have asked the Members of Congress to grant our Nation's trade negotiators an extension of what we call "fast track" trade authority. Fast track procedures are simple -- but widely misunderstood. "Fast track" really means "good faith." You don't have to be in business to know how vital it is to have the simple authority to reach across the table and shake hands on a deal. That's just what fast track does: It guarantees that Congress will not change agreements that our negotiators and their colleagues have worked out. It won't add last-minute amendments that would force negotiators to return to the table and start from scratch. It means that we will be good for our word when we negotiate with our allies. Critics contend that fast track authority shuts Congress out of the negotiating process. That's just not true: Congress can express its views while negotiations take place, and it retains the power to reject treaties that it finds unacceptable. Presidents have enjoyed this authority since 1970. It has helped the U.S. and its trading partners pass important and fruitful trade legislation in 1974, 1979, and in 1988 with the Free Trade Act with Canada. Yet fast-track authority may be more important now than ever before. America is the world's largest trader, and exports play a major role in our economy. Our export volume has grown 55 percent in the last four years -- twice the growth rate of our imports, and last year exports accounted for 88 percent of our total economic growth. We can't afford to jeopardize our economic future by refusing to seize the opportunity to open new markets, take advantage of new opportunities. However that's just what would happen if we lost our fast- track authority. If Congress refuses to extend fast-track, we will have real difficulty concluding three crucial trade negotiations -- the Uruguay Round of GATT talks, the North American Free Trade Agreement (NAFTA) and the Enterprise for the Americas Initiative. The world never has witnessed a more ambitious trade negotiation than the Uruguay Round. The 108 participating countries have agreed to work toward reducing trade barriers, building stronger economies, protecting intellectual property rights, and securing the blessings of economic prosperity to everyone. If the round succeeds, trade walls will crumble and the United States will gain access to new markets. A NAFTA would improve trade with two of our largest trading partners, Canada and Mexico. Since 1980, U.S. exports to these countries have doubled from $55.3 billion to $111.4 billion. Since Mexican President Carlos Salinas slashed tariffs in his country, the U.S. trade deficit with Mexico has tumbled dramatically, from $4.8 billion to $1.8 billion. Our non-oil trade with Mexico now shows a substantial surplus. Freer trade with Mexico has helped create 150,000 new American jobs, while improving wages and working conditions in Mexico. As the Mexican economy develops, Mexico will need more of the high-tech goods and services we produce: That will raise living standards in Mexico while opening up new job opportunities in the United States. NAFTA thus helps everyone involved. We can extend the well-being to our South American neighbors as well. My Enterprise for the Americas initiative will help the struggling democracies regain their footing, and give the good people of those countries a chance to show pride for a product well made and for a job well done. Free trade works for everyone involved. It gives smaller countries the means and ability to address important concerns within their borders -- higher wages, better working conditions, a cleaner environment, healthier food and water supplies, and improved public services. A new world of hope and opportunity beckons, and we would be foolish not to respond to its call. We have seen what isolationism can do. A trade war helped set off the great depression of the 1930s. Our example inspired people to throw off the shackles of communism and pursue the cause of liberty. It would be ironic if we now turned our back on our greatest triumph, and as the Borlin Wall was crumbling, erected our own wall of protectionism An extension of last track will let us help shape the post Cold War world. It will ensure our reliability as a trading partner. We did not win the Cold War just to engage in a trade war: We should accept success and move on. As nations turn away from thoughts of war and set their sights on new prosperity, the United States should be out front, leading the way. # # # Document No. 229079SS 2787 WHITE HOUSE STAFFING MEMORANDUM DATE: 4/12/91 ACTION/CONCURRENCE/COMMENT DUE BY: TUESDAY, 4/16/91 10:00 am SUBJECT: PRESIDENTIAL BYLINE ON FAST TRACK ACTION FYI ACTION FYI VICE PRESIDENT MCCLURE SUNUNU NEWMAN SCOWCROFT PORTER DARMAN ROGICH BRADY UNTERMEYER CARD ROGERS DEMAREST see comments SNOW FITZWATER GRAY HOLIDAY REMARKS: Please forward your comments directly to Tony Snow, Rm. 122, x2930, no later than 10:00 a.m., Tuesday, April 16, with a copy to this office. Thank you. RESPONSE: TO: TONY SNOW NSC concurs with the attached as revised. Brent Scowcroft PHILLIP D. BRADY Assistant to the President CC: Phillip Brady and Staff Secretary Ext. 2702 (McNeill) 91 APR 12 Pil 5: 28 April 12,1990 Draft One PRESIDENTIAL BYLINE ON FAST TRACK I have asked the Members of Congress to grant our Nation's trade negotiators an extension of what we call "fast track" trade authority. Fast track procedures are simple -- but widely misunderstood. "Fast track" really means "good faith." You don't have to be in business to know how vital it is to have the simple authority to reach across the table and shake hands on a deal. That's just what fast track does: It guarantees that Congress will not change agreements that our negotiators and their colleagues have worked out. It won't add last-minute amendments that would force negotiators to return to the table and start from scratch. It means that we will be good for our word when we negotiate with our allies. Critics contend that fast track authority shuts Congress out of the negotiating process. That's just not true: Congress can express its views while negotiations take place, and it retains the power to reject treaties that it finds unacceptable. Presidents have enjoyed this authority since 1970. It has enter into helped the U.S. and its trading partners pass important and agreements fruitful trade legislation in 1974, 1979, and in 1988 with the. Free Trade Act with Canada. Yet fast-track authority may be more important now than ever before. America is the world's largest trader, and exports play a major role in our economy. Our export volume has grown 55 percent in the last four years -- twice the growth rate of our imports, and last year exports accounted for 88 percent of our total economic growth. We can't afford to jeopardize our economic future by refusing to seize the opportunity to open new markets, take advantage of new opportunities. However that's just what would happen if we lost our fast- track authority. If Congress refuses to extend fast-track, we will have real difficulty concluding three crucial trade negotiations -- the Uruguay Round of GATT talks, the North American Free Trade Agreement (NAFTA) and the Enterprise for the Americas Initiative. The world never has witnessed a more ambitious trade negotiation than the Uruguay Round. The 108 participating countries have agreed to work toward reducing trade barriers, building stronger economies, protecting intellectual property rights, and securing the blessings of economic prosperity to everyone. If the round succeeds, trade walls will crumble and the United States will gain access to new markets. A NAFTA would improve trade with two of our largest trading partners, Canada and Mexico. Since 1980, U.S. exports to these countries have doubled from $55.3 billion to $111.4 billion. Since Mexican President Carlos Salinas slashed tariffs in his country, the U.S. trade deficit with Mexico has tumbled dramatically, from $4.8 billion to $1.8 billion. Our non-oil trade with Mexico now shows a substantial surplus. Freer trade with Mexico has helped create 150,000 new American jobs, while improving wages and working conditions in Mexico. As the Mexican economy develops, Mexico will need more of the high-tech goods and services we produce: That will raise living standards in Mexico while opening up new job opportunities in the United States. NAFTA thus helps everyone involved. We can extend the well-being to our South American neighbors elsewhere in Latin America and the Caribbean nas well. My Enterprise for the Americas initiative will help the struggling democracies regain their footing, and give the good people of those countries a chance to show pride for a product well made and for a job well done. Free trade works for everyone involved. It gives smaller countries the means and ability to address important concerns within their borders -- higher wages, better working conditions, a cleaner environment, healthier food and water supplies, and improved public services. A new world of hope and opportunity beckons, and we would be foolish not to respond to its call. We have seen what isolationism can do. A trade war helped set off the great depression of the 1930s. Our example inspired people to throw off the shackles of communism and pursue the cause of liberty. It would be ironic if we now turned our back on our greatest triumph, and as the Borlin Wall was crumbling, erected our own wall of protectionis- An extension of last track will let us help shape the post Cold War world. It will ensure our reliability as a trading partner. We did not win the Cold War just to engage in a trade war: We should accept success and move on. As nations turn away from thoughts of war and set their sights on new prosperity, the United States should be out front, leading the way. # # # Roger Porter's comments (McNeill) Perover Brad April 12,1990 Phone Draft One PRESIDENTIAL BYLINE ON FAST TRACK I have asked the Members of Congress to grant our Nation's trade negotiators an extension of what we call "fast track" trade authority. Fast track procedures are simple -- but widely misunderstood. "Fast track" really means "good faith." You don't have to be in business to know how vital it is to have the simple authority to reach across the table and shake hands on a deal. That's just what fast track does: It guarantees that Congress will not change agreements that our negotiators and their colleagues have worked out. It won't add last-minute amendments that would force negotiators to return to the table and start from scratch. It means that we will be good for our word when we negotiate with our allies. Critics contend that fast track authority shuts Congress out of the negotiating process. That's just not true: Congress can express its views while negotiations take place, and it retains agreements the power to reject treaties that it finds unacceptable. Presidents have enjoyed this authority since 1970. It has helped the U.S. and its trading partners pass important and fruitful trade legislation in 1974, 1979, and in 1988 with the Free Trade Act with Canada. Yet fast-track authority may be more important now than ever before. America is the world's largest trader, and exports play a major role in our economy. Our export volume has grown 55 percent in the last four years -- twice the growth rate of our imports, and last year exports accounted for 88 percent of our total economic growth. We can't afford to jeopardize our economic future by refusing to seize the opportunity to open new markets, take advantage of new opportunities. However that's just what would happen if we lost our fast- track authority. If Congress refuses to extend fast-track, we will have real difficulty concluding three crucial trade negotiations -- the Uruguay Round of GATT talks, the North American Free Trade Agreement (NAFTA) and the Enterprise for the Americas Initiative. The world never has witnessed a more ambitious trade negotiation than the Uruguay Round. The 108 participating countries have agreed to work toward reducing trade barriers, building stronger economies, protecting intellectual property rights, and securing the blessings of economic prosperity to everyone. If the round succeeds, trade walls will crumble and the United States will gain access to new markets. A NAFTA would improve trade with two of our largest trading partners, Canada and Mexico. Since 1980, U.S. exports to these countries have doubled from $55.3 billion to $111.4 billion. Since Mexican President Carlos Salinas slashed tariffs in his country, the U.S. trade deficit with Mexico has tumbled dramatically, from $4.8 billion to $1.8 billion. Our non-oil trade with Mexico now shows a substantial surplus. Freer trade with Mexico has helped create 150,000 new American jobs, while improving wages and working conditions in Mexico. As the Mexican economy develops, Mexico will need more of the high-tech goods and services we produce: That will raise living standards in Mexico while opening up new job opportunities in the United States. NAFTA thus helps everyone involved. We can extend the well-being to our South American neighbors as well. My Enterprise for the Americas initiative will help the struggling democracies regain their footing, and give the good people of those countries a chance to show pride for a product well made and for a job well done. Free trade works for everyone involved. It gives smaller countries the means and ability to address important concerns within their borders -- higher wages, better working conditions, a cleaner environment, healthier food and water supplies, and improved public services. A new world of hope and opportunity beckons, and we would be foolish not to respond to its call. We have seen what isolationism can do. A trade war helped set off the great depression of the 1930s. Our example inspired people to throw off the shackles of communism and pursue the cause of liberty. It would be ironic if we now turned our back on our greatest triumph, and as the Berlin Wall was crumbling, erected our own wall of protectionism. An extension of fast track will let us help shape the post Cold War world. It will ensure our reliability as a trading partner. We did not win the Cold War just to engage in a trade war: We should accept success and move on. As nations turn away from thoughts of war and set their sights on new prosperity, the United States should be out front, leading the way. # # # THE WHITE HOUSE WASHINGTON Date: 4/14/91 TO: DORRANCE SMITH FROM: OFFICE OF MEDIA RELATIONS Room 121 OEOB, x7150 x7152 PAUL MCNEILL an Attached is a copy of the byline that is being staffed. Please let me know if you have any comments or suggestions. thanks. also, nice to see you as aim thrimorning. (McNeill) April 12, 1990 Draft One PRESIDENTIAL BYLINE ON FAST TRACK I have asked the Members of Congress to grant our Nation's trade negotiators an extension of what we call "fast track" trade authority. Fast track procedures are simple -- but widely misunderstood. "Fast track" really means "good faith." You don't have to be in business to know how vital it is to have the simple authority to reach across the table and shake hands on a deal. That's just what fast track does: It guarantees that Congress will not change agreements that our negotiators and their colleagues have worked out. It won't add last-minute amendments that would force negotiators to return to the table and start from scratch. It means that we will be good for our word when we negotiate with our allies. Critics contend that fast track authority shuts Congress out of the negotiating process. That's just not true: Congress can IN REALITY IT Does THE OPPOSITE By Branging C. INTO THE NEGORATIONS express its views while negotiations take place and CONGRESS it retains MAINTAINS the power to reject treaties that it finds unacceptable. Presidents have enjoyed this authority since 1970. It has helped the U.S. and its trading partners pass important and fruitful trade legislation in 1974, 1979, and in 1988 with the Free Trade Act with Canada. Yet fast-track authority may be more important now than ever before. America is the world's largest trader, and exports play a major role in our economy. Our export volume has grown 55 percent in the last four years -- twice the growth rate of our imports, and last year exports accounted for 88 percent of our total economic growth. We can't afford to jeopardize our economic future by refusing to seize the opportunity to open new markets, take advantage of new opportunities. However that's just what would happen if we lost our fast- track authority. If Congress refuses to extend fast-track, we will have real difficulty concluding three crucial trade negotiations -- the Uruguay Round of GATT talks, the North American Free Trade Agreement (NAFTA) and the Enterprise for the Americas Initiative. The world never has witnessed a more ambitious trade negotiation than the Uruguay Round. The 108 participating countries have agreed to work toward reducing trade barriers, building stronger economies, protecting intellectual property rights, and securing the blessings of economic prosperity to everyone. If the round succeeds, trade walls will crumble and the United States will gain access to new markets. A NAFTA would improve trade with two of our largest trading partners, Canada and Mexico. Since 1980, U.S. exports to these countries have doubled from $55.3 billion to $111.4 billion. Since Mexican President Carlos Salinas slashed tariffs in his country, the U.S. trade deficit with Mexico has tumbled dramatically, from $4.8 billion to $1.8 billion. Our non-oil NEAD MAKE TO TH8 pent trade with Mexico now shows a substantial surplus. Freer trade STRONGER with Mexico has helped create 150,000 new American jobs, while improving wages and working conditions in Mexico. As the Mexican economy develops, Mexico will need more of the high-tech goods and services we produce: That will raise living standards in Mexico while opening up new job opportunities in the United States. NAFTA thus helps everyone involved. We can extend the well-being to our South American neighbors as well. My Enterprise for the Americas initiative will help the struggling democracies regain their footing, and give the good people of those countries a chance to show pride for a product well made and for a job well done. Free trade works for everyone involved. It gives smaller countries the means and ability to address important concerns within their borders -- higher wages, better working conditions, a cleaner environment, healthier food and water supplies, and improved public services. A new world of hope and opportunity beckons, and we would be foolish not to respond to its call. We have seen what isolationism can do. A trade war helped set off the great depression of the 1930s. Our example inspired people to throw off the shackles of communism and pursue the cause of liberty. It would be ironic if we now turned our back on our greatest triumph, and as the Berlin Wall was crumbling, erected our own wall of protectionism. An extension of fast track will let us help shape the post Cold War world. It will ensure our reliability as a trading partner. We did not win the Cold War just to engage in a trade war: We should accept success and move on. As nations turn away from thoughts of war and set their sights on new prosperity, the United States should be out front, leading the way. # # # Document No. 229079SS WHITE HOUSE STAFFING MEMORANDUM 91 APR 16 APR DATE: 4/12/91 ACTION/CONCURRENCE/COMMENT DUE BY: TUESDAY, 4/16/91 10:00 am SUBJECT: PRESIDENTIAL BYLINE ON FAST TRACK ACTION FYI ACTION FYI VICE PRESIDENT MCCLURE SUNUNU NEWMAN SCOWCROFT PORTER DARMAN ROGICH BRADY UNTERMEYER CARD ROGERS DEMAREST SNOW FITZWATER GRAY HOLIDAY REMARKS: Please forward your comments directly to Tony Snow, Rm. 122, x2930, no later than 10:00 a.m., Tuesday, April 16, with a copy to this office. Thank you. RESPONSE: See comments PHILLIP D. BRADY Assistant to the President and Staff Secretary Ext. 2702 (McNeill) April 12,1990 91 APR I2 PM 5: 28 Draft One PRESIDENTIAL BYLINE ON FAST TRACK I have asked the Members of Congress to grant our Nation's trade negotiators an extension of what we call "fast track" trade authority. Fast track procedures are simple -- but widely misunderstood. "Fast track" really means "good faith." You don't have to be in business to know how vital it is to have the simple authority to reach across the table and shake hands on a deal. That's just what fast track does: It guarantees that Congress will not change agreements that our negotiators and their colleagues have worked out. It won't add last-minute amendments that would force negotiators to return to the table and start from scratch. It means that we will be good for our word when we negotiate with our allies. Critics contend that fast track authority shuts Congress out of the negotiating process. That's just not true: Congress can express its views while negotiations take place, and it retains the power to reject treaties that it finds unacceptable. Presidents have enjoyed this authority since 1970. It has helped the U.S. and its trading partners pass important and fruitful trade legislation in 1974, 1979, and in 1988 with the Free Trade Act with Canada. Yet fast-track authority may be more important now than ever before. America is the world's largest trader, and exports play a major role in our economy. Our export volume has grown 55 percent in the last four years -- twice the growth rate of our imports, and last year exports accounted for 88 percent of our total economic growth. We can't afford to jeopardize our economic future by refusing to seize the opportunity to open new markets, take advantage of new opportunities. However that's just what would happen if we lost our fast- track authority. If Congress refuses to extend fast-track, we will have real difficulty concluding three crucial trade negotiations -- the Uruguay Round of GATT talks, the North Trade component of the American Free Trade Agreement (NAFTA) and the/Enterprise for the Americas Initiative. Howard X4657 The world never has witnessed a more ambitious trade negotiation than the Uruguay Round. The 108 participating countries have agreed to work toward reducing trade barriers, building stronger economies, protecting intellectual property rights, and securing the blessings of economic prosperity to everyone. If the round succeeds, trade walls will crumble and the United States will gain access to new markets. A NAFTA would improve trade with two of our largest trading partners, Canada and Mexico. Since 1980, U.S. exports to these countries have doubled from $55.3 billion to $111.4 billion. Since Mexican President Carlos Salinas slashed tariffs in his country, the U.S. trade deficit with Mexico has tumbled dramatically, from $4.8 billion to $1.8 billion. Our non-oil trade with Mexico now shows a substantial surplus. Freer trade with Mexico has helped create 150,000 new American jobs, while improving wages and working conditions in Mexico. As the Mexican economy develops, Mexico will need more of the high-tech goods and services we produce: That will raise living standards in Mexico while opening up new job opportunities in the United States. NAFTA thus helps everyone involved. We can extend the well-being to our South American neighbors as well. My Enterprise for the Americas initiative will help the an Trade struggling democracies regain their footing, and give the good Howard people of those countries a chance to show pride for a product X4657 well made and for a job well done. Free trade works for everyone involved. It gives smaller countries the means and ability to address important concerns within their borders -- higher wages, better working conditions, a cleaner environment, healthier food and water supplies, and improved public services. A new world of hope and opportunity beckons, and we would be foolish not to respond to its call. We have seen what isolationism can do. A trade war helped set off the great depression of the 1930s. Our example inspired people to throw off the shackles of communism and pursue the cause of liberty. It would be ironic if we now turned our back on our greatest triumph, and as the Berlin Wall was crumbling, erected our own wall of protectionis~ An extension of last track will let us help shape the post Cold War world. It will ensure our reliability as a trading partner. We did not win the Cold War just to engage in a trade war: We should accept success and move on. As nations turn away from thoughts of war and set their sights on new prosperity, the United States should be out front, leading the way. # # # THE WHITE HOUSE WASHINGTON 91 APR 16 P4: 10 April 14, 1991 MEMORANDUM FOR TONY SNOW FROM: ROGER B. PORTER RBP SUBJECT: Presidential Remarks: Presidential Byline on Fast Track We suggest replacing the word "treaties" with "agreements" in the penultimate paragraph of page one as noted. If you have any questions or we can help in any other way, please let me know. CC: Phillip D. Brady Document No. 229079SS WHITE HOUSE STAFFING MEMORANDUM DATE: 4/12/91 ACTION/CONCURRENCE/COMMENT DUE BY: TUESDAY, 4/16/91 10:00 am SUBJECT: PRESIDENTIAL BYLINE ON FAST TRACK ACTION FYI ACTION FYI VICE PRESIDENT MCCLURE SUNUNU NEWMAN SCOWCROFT PORTER DARMAN ROGICH BRADY UNTERMEYER CARD ROGERS DEMAREST SNOW FITZWATER GRAY HOLIDAY REMARKS: Please forward your comments directly to Tony Snow, Rm. 122, x2930, no later than 10:00 a.m., Tuesday, April 16, with a copy to this office. Thank you. RESPONSE: PHILLIP D. BRADY Assistant to the President and Staff Secretary Ext. 2702 (McNeill) 91 APR 12 PM 5: 28 April 12,1990 Draft One PRESIDENTIAL BYLINE ON FAST TRACK I have asked the Members of Congress to grant our Nation's trade negotiators an extension of what we call "fast track" trade authority. Fast track procedures are simple -- but widely misunderstood. "Fast track" really means "good faith." You don't have to be in business to know how vital it is to have the simple authority to reach across the table and shake hands on a deal. That's just what fast track does: It guarantees that Congress will not change agreements that our negotiators and their colleagues have worked out. It won't add last-minute amendments that would force negotiators to return to the table and start from scratch. It means that we will be good for our word when we negotiate with our allies. Critics contend that fast track authority shuts Congress out of the negotiating process. That's just not true: Congress can express its views while negotiations take place, and it retains AGREEMENTS the power to reject treaties that it finds unacceptable. Presidents have enjoyed this authority since 1970. It has helped the U.S. and its trading partners pass important and fruitful trade legislation in 1974, 1979, and in 1988 with the Free Trade Act with Canada. Yet fast-track authority may be more important now than ever before. America is the world's largest trader, and exports play a major role in our economy. Our export volume has grown 55 percent in the last four years -- twice the growth rate of our imports, and last year exports accounted for 88 percent of our total economic growth. We can't afford to jeopardize our economic future by refusing to seize the opportunity to open new markets, take advantage of new opportunities. However that's just what would happen if we lost our fast- track authority. If Congress refuses to extend fast-track, we will have real difficulty concluding three crucial trade negotiations -- the Uruguay Round of GATT talks, the North American Free Trade Agreement (NAFTA) and the Enterprise for the Americas Initiative. The world never has witnessed a more ambitious trade negotiation than the Uruguay Round. The 108 participating countries have agreed to work toward reducing trade barriers, building stronger economies, protecting intellectual property rights, and securing the blessings of economic prosperity to everyone. If the round succeeds, trade walls will crumble and the United States will gain access to new markets. A NAFTA would improve trade with two of our largest trading partners, Canada and Mexico. Since 1980, U.S. exports to these countries have doubled from $55.3 billion to $111.4 billion. Since Mexican President Carlos Salinas slashed tariffs in his country, the U.S. trade deficit with Mexico has tumbled dramatically, from $4.8 billion to $1.8 billion. Our non-oil trade with Mexico now shows a substantial surplus. Freer trade with Mexico has helped create 150,000 new American jobs, while improving wages and working conditions in Mexico. As the Mexican economy develops, Mexico will need more of the high-tech goods and services we produce: That will raise living standards in Mexico while opening up new job opportunities in the United States. NAFTA thus helps everyone involved. We can extend the well-being to our South American neighbors as well. My Enterprise for the Americas initiative will help the struggling democracies regain their footing, and give the good people of those countries a chance to show pride for a product well made and for a job well done. Free trade works for everyone involved. It gives smaller countries the means and ability to address important concerns within their borders -- higher wages, better working conditions, a cleaner environment, healthier food and water supplies, and improved public services. A new world of hope and opportunity beckons, and we would be foolish not to respond to its call. We have seen what isolationism can do. A trade war helped set off the great depression of the 1930s. Our example inspired people to throw off the shackles of communism and pursue the cause of liberty. It would be ironic if we now turned our back on our greatest triumph, and as the Berlin Wall was crumbling, erected our own wall of protectionis- An extension of Last track will let us help shape the post Cold War world. It will ensure our reliability as a trading partner. We did not win the Cold War just to engage in a trade war: We should accept success and move on. As nations turn away from thoughts of war and set their sights on new prosperity, the United States should be out front, leading the way. # # # THE WHITE HOUSE WASHINGTON 91 APR 17 P2: 58 April 17, 1991 MEMORANDUM FOR TONY SNOW FROM: STEPHEN G. RADEMAKER SR ASSOCIATE COUNSEL TO THE PRESIDENT SUBJECT: Presidential Byline on Fast Track Pursuant to Phil Brady's request, Counsel's Office has reviewed the above-referenced matter and has no objection, subject to the changes indicated on the attached text. Attachment CC: Phillip D. Brady (McNeill) 91 APR 12 Pil 5: 28 April 12,1990 Draft One PRESIDENTIAL BYLINE ON FAST TRACK I have asked the Members of Congress to grant our Nation's trade negotiators an extension of what we call "fast track" trade authority. Fast track procedures are simple -- but widely misunderstood. "Fast track" really means "good faith." You don't have to be in business to know how vital it is to have the simple authority to reach across the table and shake hands on a deal. That's just what fast track does: It guarantees that Congress will not change agreements that our negotiators and their colleagues have worked out. It won't add last-minute amendments that would force negotiators to return to the table and start from scratch. It means that we will be good for our word when we negotiate with our allies. Critics contend that fast track authority shuts Congress out of the negotiating process. That's just not true: Congress can express its views while negotiations take place, and it retains the power to reject treaties that it finds unacceptable. Presidents have enjoyed this authority since 1970. It has enter into helped the U.S. and its trading partners pass important and fruitful trade legislation agreements in 1974, 1979, and in 1988 with the Free Trade Act with Canada. Yet fast-track authority may be more important now than ever before. America is the world's largest trader, and exports play a major role in our economy. Our export volume has grown 55 percent in the last four years -- twice the growth rate of our imports, and last year exports accounted for 88 percent of our total economic growth. We can't afford to jeopardize our economic future by refusing to seize the opportunity to open new markets, take advantage of new opportunities. However that's just what would happen if we lost our fast- track authority. If Congress refuses to extend fast-track, we will have real difficulty concluding three crucial trade negotiations -- the Uruguay Round of GATT talks, the North American Free Trade Agreement (NAFTA) and the Enterprise for the Americas Initiative. The world never has witnessed a more ambitious trade negotiation than the Uruguay Round. The 108 participating countries have agreed to work toward reducing trade barriers, building stronger economies, protecting intellectual property rights, and securing the blessings of economic prosperity to everyone. If the round succeeds, trade walls will crumble and the United States will gain access to new markets. A NAFTA would improve trade with two of our largest trading partners, Canada and Mexico. Since 1980, U.S. exports to these countries have doubled from $55.3 billion to $111.4 billion. Since Mexican President Carlos Salinas slashed tariffs in his country, the U.S. trade deficit with Mexico has tumbled dramatically, from $4.8 billion to $1.8 billion. Our non-oil trade with Mexico now shows a substantial surplus. Freer trade with Mexico has helped create 150,000 new American jobs, while improving wages and working conditions in Mexico. As the Mexican economy develops, Mexico will need more of the high-tech goods and services we produce: That will raise living standards in Mexico while opening up new job opportunities in the United States. NAFTA thus helps everyone involved. :lsewhere in Latin America and the Caribbean We can extend the well-being to our South American neighbors nas N well. My Enterprise for the Americas initiative will help the struggling democracies regain their footing, and give the good people of those countries a chance to show pride for a product well made and for a job well done. Free trade works for everyone involved. It gives smaller countries the means and ability to address important concerns within their borders -- higher wages, better working conditions, a cleaner environment, healthier food and water supplies, and improved public services. A new world of hope and opportunity beckons, and we would be foolish not to respond to its call. We have seen what isolationism can do. A trade war helped set off the great depression of the 1930s. Our example inspired people to throw off the shackles of communism and pursue the cause of liberty. It would be ironic if we now turned our back on our greatest triumph, and as the Borlin Wall was crumbling, erected our own wall of protectionis- An extension of Last track will let us help shape the post Cold War world. It will ensure our reliability as a trading partner. We did not win the Cold War just to engage in a trade war: We should accept success and move on. As nations turn away from thoughts of war and set their sights on new prosperity, the United States should be out front, leading the way. # # #