[Congressional Record Volume 166, Number 164 (Tuesday, September 22, 2020)]
[House]
[Pages H4654-H4657]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
EXTENSION OF THE CARIBBEAN BASIN ECONOMIC RECOVERY ACT
Mr. BLUMENAUER. Madam Speaker, I move to suspend the rules and pass
the bill (H.R. 991) to extend certain provisions of the Caribbean Basin
Economic Recovery Act until September 30, 2030, and for other purposes,
as amended.
The Clerk read the title of the bill.
The text of the bill is as follows:
H.R. 991
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Extension of the Caribbean
Basin Economic Recovery Act''.
SEC. 2. EXTENSION OF THE CARIBBEAN BASIN ECONOMIC RECOVERY
ACT.
Section 213 of the Caribbean Basin Economic Recovery Act
(19 U.S.C. 2703) is amended as follows:
(1) Extension for certain knit apparel articles.--In clause
(iii) of subsection (b)(2)(A)--
(A) in subclause (II)(cc), by striking ``September 30,
2020'' and inserting ``September 30, 2030''; and
(B) in subclause (IV)(dd), by striking ``September 30,
2020'' and inserting ``September 30, 2030''.
(2) Extension of limitation with respect to certain other
apparel articles.--In clause (iv)(II) of such subsection, by
striking ``18'' and inserting ``28''.
(3) Extension of transition period.--In subsection
(b)(5)(D)(i), by striking ``September 30, 2020'' and
inserting ``September 30, 2030''.
SEC. 3. CUSTOMS USER FEES.
(a) In General.--Section 13031(j)(3) of the Consolidated
Omnibus Budget Reconciliation Act of 1985 (19 U.S.C.
58c(j)(3)) is amended--
(1) in subparagraph (A), by striking ``September 30, 2029''
and inserting ``October 21, 2029''; and
(2) in subparagraph (B)(i), by striking ``September 30,
2029'' and inserting ``October 21, 2029''.
(b) Rate for Merchandise Processing Fees.--Section 503 of
the United States-Korea Free Trade Agreement Implementation
Act (Public Law 112-41; 19 U.S.C. 3805 note) is amended by
striking ``September 30, 2029'' and inserting ``October 21,
2029''.
SEC. 4. DETERMINATION OF BUDGETARY EFFECTS.
The budgetary effects of this Act, for the purpose of
complying with the Statutory Pay-As-You-Go Act of 2010, shall
be determined by reference to the latest statement titled
``Budgetary Effects of PAYGO Legislation'' for this Act,
submitted for printing in the Congressional Record by the
Chairman of the House Budget Committee, provided that such
statement has been submitted prior to the vote on passage.
The SPEAKER pro tempore. Pursuant to the rule, the gentleman from
Oregon (Mr. Blumenauer) and the gentleman from Ohio (Mr. Wenstrup) each
will control 20 minutes.
The Chair recognizes the gentleman from Oregon.
General Leave
Mr. BLUMENAUER. Madam Speaker, I ask unanimous consent that all
Members have 5 legislative days to revise and extend their remarks and
include extraneous material on the bill under consideration.
The SPEAKER pro tempore. Is there objection to the request of the
gentleman from Oregon?
There was no objection.
[[Page H4655]]
Mr. BLUMENAUER. Madam Speaker, I yield myself such time as I may
consume.
Madam Speaker, let me begin by commending Representatives Sewell and
Wenstrup for taking a leadership role on this program. Last year, they
introduced this bill to reauthorize the Caribbean Basin Trade
Partnership Act, which expires at the end of the month. They helped
organize a terrific hearing before the Ways and Means Trade
Subcommittee to be able to focus on this.
It is imperative that the Senate act quickly on this bill and that we
get it done before September 30.
In today's political climate, it is important to highlight those few
areas of bipartisan consensus. The CBTPA has historically enjoyed that
bipartisan and bicameral support, in part because of the shared history
and close ties to the United States with the Caribbean Basin region.
There are about 13 million Americans who have Caribbean ancestors.
They represent 4 percent of the American population.
The Caribbean, in particular Haiti, played a critical role in the
American Revolutionary War, where hundreds of Haitians fought for
America's independence.
Years later, Haiti would defend the French and become the first Black
republic, influencing the rise of abolitionist and anti-colonial
movements all over the world, especially here in the United States.
Haiti's sacrifices and unyielding resolve continue to inspire millions.
Sadly, the United States, under the influence of slave-holding
interests, actively worked against this fledgling new republic. They
were threatened by the specter of a slave uprising and Black
independent government.
The United States was hostile to Haiti for years, and worked to
undermine its success. Rather than be a constructive partner to help
this fledgling republic, the United States interfered, and more
importantly, failed to embrace the emergence of the first Black
republic.
Now, there are some admitted problems of governance, poverty, and
corruption in Haiti and in the region. I personally strongly believe
that some of those difficulties that Haiti experiences to this day are
the result of failures of American policy.
That is why this Caribbean Basin Initiative is so important. It is an
opportunity to continue to strengthen Haiti's economy and our working
relationship.
In 2001, after that devastating earthquake in Haiti, I joined a
bipartisan, bicameral delegation to Port-au-Prince to demonstrate the
ongoing support in Congress to the Haitian people, to understand the
challenges they face, and demonstrate our commitment to work with the
Haitian Government to assist with reconstruction efforts.
Haiti, by design, is the primary beneficiary of the textile and
apparel preferences under CBTPA, more important now than ever.
Recently, we heard firsthand at our hearing from witnesses and some
of our colleagues, including Congresswoman Sewell, about the
development challenges that persist in the region.
Like any good trading relationship, we will continue to work to
improve labor conditions, political stability, and expand economic
development to all countries in the region.
Passing this reauthorization is an important step toward those goals.
Madam Speaker, I urge my colleagues to support this important
legislation and I urge the Senate to act quickly to extend the
bipartisan program without delay. It is an opportunity for us to
demonstrate to the country and to ourselves that despite many of the
challenges, there are things we can do working together to improve the
conditions.
Madam Speaker, I reserve the balance of my time.
Mr. WENSTRUP. Madam Speaker, I yield myself such time as I may
consume.
Madam Speaker, I rise today in support of H.R. 991, which extends the
Caribbean Basin Trade Partnership Act through 2030. This legislation
enjoys wide bipartisan support, and I want to thank Congresswoman Terri
Sewell for partnering with me to get this done.
Madam Speaker, I also thank Ranking Member Brady and Chairman Neal
for their cooperation and support of this legislation as well.
As a Member of the House Ways and Means Committee, I am proud to
support our Nation's trade preference programs, which bolster further
economic expansion in truly developing nations and support jobs here in
America. It is a true win-win scenario.
In particular, the Caribbean Basin Trade Partnership Act, or CBTPA,
accomplishes that goal in the Caribbean, providing trade benefits to
eight Caribbean nations, most notably, Haiti.
Furthermore, the program also benefits American businesses and
workers, a number of whom have created strong, reliable partnerships
with suppliers in the Caribbean. This partnership helps to add value
for customers and supports American jobs.
Also of note, the program requires the use of U.S. yarn, which boosts
jobs in our cotton and textile industry.
In my district, Cintas Corporation, which is headquartered in
Cincinnati, utilizes a strong partnership with Haitian suppliers as
part of their North American supply chain.
Finally, as we step back and look at the bigger picture: The CBTPA
helps American stewardship of the Western Hemisphere, where we want to
support budding democracies on our doorstep and create mutually
beneficial economic stability with our neighbors. Our overall trade
agenda is well served by agreements like the recently passed USMCA, as
well as these important trade preference programs like the CBTPA.
Again, I want to thank Congresswoman Sewell for her partnership on
this issue, as well as Ranking Member Brady and Chairman Neal for their
support.
Madam Speaker, this is good, sound policy which stands to benefit
both Americans and our friendly neighbors in the Caribbean. I urge my
colleagues to support its passage, and I reserve the balance of my
time.
Mr. BLUMENAUER. Madam Speaker, I yield such time as she may consume
to the gentlewoman from Alabama (Ms. Sewell), who has played an
instrumental role in this legislation.
Ms. SEWELL of Alabama. Madam Speaker, I thank Chairman Blumenauer for
yielding me the time.
I rise today in support of H.R. 991, my legislation to reauthorize
the Caribbean Basin Trade Promotion Act.
Madam Speaker, I thank my Republican colleague, Brad Wenstrup, for
his leadership on this bill. I also want to thank Chairman Neal and
Ranking Member Brady for all of their help.
Madam Speaker, I especially want to acknowledge my chairman of the
Subcommittee on Trade, Mr. Blumenauer, for hosting a very meaningful
hearing on the Caribbean Basin Trade Promotion Agreement and its
importance of being reauthorized by September 30 of this year.
For two decades, the Caribbean Basin Trade Promotion Agreement has
been a critical tool to expand our diplomatic and economic relationship
with countries throughout the Caribbean Basin region. This agreement
has allowed for duty- and quota-free treatment of products made with
U.S. goods.
The liberalization of our trade relationship with these countries has
strengthened Western Hemisphere supply chains, while providing economic
development and job creation in the region.
In 2018, United States exports to CBI countries totalled $13.4
billion, while imports totaled $6 billion, creating a $7.4 billion
goods trade surplus for the United States.
One of those Caribbean Basin countries, Haiti, has had tremendous
economic benefits by the Caribbean Basin Trade Promotion Act. The
economic benefits of the CBTPA are essential, with over 90 percent of
their nearly $1 billion in exports entering the United States with the
CBTPA or HOPE duty-free treatment. Moreover, the Association of Haitian
Industries has estimated that the CBTPA, along with the HOPE and HELP
programs, has created over 50,000 jobs in Haiti, alone.
The reauthorization of this program ahead of the September 30
deadline will allow us to continue to strengthen the foundation for
long-term economic stability, while contributing to our diplomatic and
security interests.
Continued economic development in the region is a goal that we should
all share, and the passage of this legislation will reaffirm the
commitment of the United States to this objective.
[[Page H4656]]
The importance of our diplomatic and economic ties with the Caribbean
Basin countries is highlighted by the strong support for this
legislation that we receive from the Congressional Black Caucus.
In a letter of support for H.R. 991 to congressional leadership, the
CBC aptly pointed out: Millions of Americans have Caribbean ancestry
and make up important segments of the United States population. Haiti
is the first Black republic, influencing the rise of abolitionist and
anticolonial movements all across the world, especially in the United
States.
The history and the future for millions of Americans is directly tied
to the economic prosperity of Caribbean Basin countries, and our
relationship must reflect this reality.
Within this context, we also must continue to push our trading
partners for compliance with key eligibility criteria under the
agreement, including upholding the rights of workers and combating
corruption. A lapse in this agreement would jeopardize the economic and
social well-being of workers in the region.
Today's step forward to reauthorize this very important trade
promotion program will allow for continued cooperation and enforcement
on these critical issues. I look forward to remaining engaged with all
of the stakeholders to support these goals, including expanding human
rights and economic prosperity for all.
Madam Speaker, I want to thank the Ambassador of Haiti, Ambassador
Denis, who testified before the subcommittee, for his eloquence on the
importance of the Caribbean Basin Trade Promotion Agreement for Haiti,
in particular.
Madam Speaker, I also want to thank all of the representatives from
the eight Caribbean Basin countries that have come to my office and
talked to us ad nauseam about how important it is that we extend the
Caribbean Basin reauthorization.
As well, Madam Speaker, I would like to also thank Charlie Rangel,
who was the member of the House Ways and Means Committee who really
championed this initially, two decades ago. When I took Charlie's
position on the Ways and Means Committee, he sat me down and told me
how important it was that we not only reauthorize, but we strengthen
the Caribbean Basin Trade Promotion Agreement.
So this is an important step in reauthorizing this very important
trade agreement before its September 30 deadline.
Madam Speaker, I again want to say how proud I am that this agreement
has huge bipartisan support. The reauthorization of this program would
not be possible if it had not been for the bipartisan support that my
colleague from Ohio, Congressman Wenstrup, has so ably provided, a
partnership in this agreement.
While debate over U.S. trade policy is often rigorous, the
reauthorization of the Caribbean Basin Trade Promotion Agreement should
be something that we can all support.
Madam Speaker, I am proud that this important issue is before us for
a vote, and I urge all of my colleagues to vote in favor of this very
important legislation.
Again, Madam Speaker, I want to thank Chairman Blumenauer for
allowing me to speak on this very important measure.
{time} 1145
Mr. WENSTRUP. Madam Speaker, I yield 4 minutes to the gentleman from
Arizona (Mr. Schweikert), a distinguished member of the Ways and Means
Committee.
Mr. SCHWEIKERT. Madam Speaker, I thank Ms. Sewell and Dr. Wenstrup
for taking this on.
My reason for being here behind the microphone is more than Arizona
grows an amazingly high-quality cotton and this is one of our markets.
I think, actually, it is part of a vision a number of us have, and I
thank Chairman Blumenauer for hopefully sharing this vision, and that
is thinking of the world post the change of NAFTA, USMCA.
How do we start to become more hemispheric-centric? Our neighbors,
particularly our neighbors who do truly still have overwhelming
poverty, how do we engage in pieces of legislation that make it so we
can trade with our neighbors, trade with those who are right around us?
That is what is so powerful about what is being done here.
Being someone who has spent, not a lot of time but a little time in
Haiti, you see things that are optimistic, hopeful, and heartbreaking
at the same time. But these are parts of the building blocks of how we
build an economic circle of virtue in our region.
So I am hopeful that we move this forward and the Senate takes it up
quickly, but I am also hopeful that we start to see this in a more
holistic vision of we now have a change in our trade agreement with
Mexico, Canada.
Now, if we can update our trade agreements with the Caribbean Basin,
what else can we do to make our region economically prosperous,
economically fair, economically something that the rest of the world
will look forward to and say: This is what trade, when it is done
properly, can bring to people who have actually had really rough times,
when you think of earthquakes and of hurricanes in the region.
These are some of the good things, as a country, we can do to our
brothers and sisters who are our neighbors.
Mr. BLUMENAUER. Madam Speaker, I am prepared to close so I will defer
to my colleague from Ohio. I reserve the balance of my time.
Mr. WENSTRUP. Madam Speaker, I yield myself the balance of my time.
Madam Speaker, I just want to make one final comment. It has been a
pleasure with this particular issue to work in a bipartisan fashion,
not only with my friend Congresswoman Sewell, but really with the
entire committee. I think that we really came together and saw the
benefits to America and to developing nations as we move forward.
Madam Speaker, I include in the Record a letter in support of this
legislation from the textile, apparel, and footwear industry as well as
the broader business community.
September 22, 2020.
Dear Members of the U.S. House of Representatives: On
behalf of the undersigned organizations--representing the
full spectrum of the textile, apparel, and footwear industry,
as well as the broader business community--we urge you to
vote YES on H.R. 991--Extension of the Caribbean Basin
Economic Recovery Act.
By extending the Caribbean Basin Economic Recovery Act to
September 30, 2030, the Caribbean Basin Trade Partnership Act
(CBTPA) will also be extended. Since its inception in 2000,
CBTPA has become an important element of the effort to
develop and facilitate trade within the Caribbean Basin
region, most notably with Haiti. Overall, CBTPA is structured
in a fashion that reasonably balances the interests of U.S.
textile manufacturers with those of textile and apparel
manufacturers in the region. The CBTPA requires the use of
U.S. or CBTPA-regional yarns and fabrics, which means Haiti,
as the main country still participating in the CBTPA, has
become an important export market for U.S. textiles.
Along with the Haitian Hemispheric Opportunity through
Partnership Encouragement (HOPE) Act, and the Haiti Economic
Lift Program (HELP) Act, the CBTPA now increases U.S. exports
to strategic allies in the Caribbean Basin. Not only have
these programs supported numerous U.S. textile, apparel, and
footwear jobs, but they have also supported economic
development in the region, advancing key U.S. foreign,
security, and immigration policy goals.
Specifically, the CBTPA continues to play a direct and
critical role in advancing the industry partnership that
currently exists between the United States and Haiti. In
2019, 100 percent (by volume) of apparel that was imported
into the United States under the CBTPA was imported from
Haiti. And U.S. apparel imports from Haiti continue to grow.
In fact, total U.S. garment imports from Haiti grew 13.4% in
2019. Because the rules of origin for these programs
generally require the use of U.S. fabrics and yarns, these
U.S. garment imports incorporate prior U.S. textile exports.
Those benefits are now threatened because of questions
surrounding the renewal of the CBTPA. These concerns come on
top of the considerable pain, costs, and uncertainty the
industry is already trying to manage as a result of COVID-19
and the accompanying economic crisis. Orders have already
been placed for goods that will arrive well after September
30. Companies must increasingly assume that these orders will
be fully dutiable--even if using U.S. inputs--putting our
Haitian customers and partners, and our U.S. textile
manufacturers and exporters at a disadvantage.
The CBTPA offers a great opportunity for companies looking
to diversify their supply chains close to home, but it is set
to expire on September 30, 2020. We urge you to vote YES on
H.R. 991--Extension of the Caribbean Basin Economic Recovery
Act and extend it another ten years.
Thank you for your consideration.
Sincerely,
Accessories Council; American Apparel & Footwear
Association (AAFA); Council of
[[Page H4657]]
Fashion Designers of America (CFDA); Footwear Distributors &
Retailers of America (FDRA); INDA, Association of the
Nonwoven Fabrics Industry; National Retail Federation (NRF);
North American Association of Uniform Manufacturers and
Distributors; Outdoor Industry Association (OIA); Retail
Industry Leaders Association (RILA); Sports & Fitness
Industry Association (SFIA); Travel Goods Association (TGA);
United States Fashion Industry Association (USFIA); U.S.
Chamber of Commerce.
Mr. WENSTRUP. Madam Speaker, I yield back the balance of my time.
Mr. BLUMENAUER. Madam Speaker, I yield myself the balance of my time.
Madam Speaker, I thank the good doctor, and Ms. Sewell for helping us
facilitate the movement of this legislation and make it possible for us
to actually maybe even get it enacted in this Congress before the
deadline expires at the end of the month.
As I referenced, this, I think, is very, very important. The region
is home to these eight countries that have provided some 13 million
Americans with a country of origin. It is in our neighborhood and it is
an area where the United States has been involved from the beginning.
As I mentioned in my opening comments, we have not always
distinguished ourselves with honor but this is an opportunity for us to
do the right thing: to build on this existing legislation; to not have
it expire; to demonstrate broad, bipartisan commitment and then get
back to the hard work of implementing it.
It provides a framework but it is not self-executing. It is something
that we need to do with policy, with our actions and words, being able
to build on this as a foundation for progress in this critical region.
I thank Madam Speaker for the opportunity to advance it, and I
strongly urge all of my colleagues to approve this legislation and be
able to keep it in force before it expires at the end of the month.
Madam Speaker, I yield back the balance of my time.
Mr. BRADY. Madam Speaker, I want to thank Dr. Brad Wenstrup for
yielding time to me, and I want to congratulate him and Ms. Sewell for
their strong, bipartisan leadership on this important bill.
I rise today in support of this legislation. The Caribbean Basin
Trade Partnership creates jobs, promotes American values abroad, and
incentivizes beneficiary countries to comply with the economic rule of
law, bolstering their development.
The CBTPA helps these nations grow and create opportunities for their
workers, farmers, and innovators. And in return, it creates a strong
market for us to sell our U.S.-produced yarn and fabrics to apparel
manufacturers in the Caribbean. The program strengthens our hemispheric
manufacturing integration and allows us to compete against China, whose
manufacturers certainly don't care about using U.S. inputs. As a
result, we can sell our goods to more customers, keep prices here
lower, and promote the spirit of free enterprise.
The Caribbean countries are our neighbors, and we should work
together to improve our region's competitiveness.
But we should be here today voting on two trade extensions: the
Caribbean Basin Trade Partnership and the Generalized System of
Preferences.
Both of these programs have bipartisan support. Both of them are set
to expire this year. And if we extend both of them today, our
manufacturers, producers, and consumers would have more certainty right
now.
In the midst of a pandemic, we should be doing everything we can to
offer our job creators certainty, yet Democrats are not including an
extension of GSP in today's vote.
The GSP program reduces tariffs on thousands of products from around
the world. This program saves American families money on everyday
products and boosts America's economy. And in my state of Texas, GSP
brought our consumers and small businesses over $76 million in cost
savings in 2018 alone.
The remainder of the Congressional schedule until GSP expires at the
end of the year is completely unpredictable. We should not leave GSP on
the cutting room floor. GSP deserves to be a bipartisan priority, and I
continue to urge House Democrats to act.
I strongly support today's bill, and I urge bipartisan passage. But
we must continue to work together to get GSP's extension across the
finish line without further delay. Our American businesses cannot
afford to wait.
The SPEAKER pro tempore. The question is on the motion offered by the
gentleman from Oregon (Mr. Blumenauer) that the House suspend the rules
and pass the bill, H.R. 991, as amended.
The question was taken; and (two-thirds being in the affirmative) the
rules were suspended and the bill, as amended, was passed.
A motion to reconsider was laid on the table.
____________________