[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1870 Introduced in House (IH)]
103d CONGRESS
1st Session
H. R. 1870
To strengthen the competitiveness of the United States motor vehicle
sector by creating a Motor Vehicle Industry Competitiveness Commission.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
April 27, 1993
Mr. Levin introduced the following bill; which was referred jointly to
the Committees on Ways and Means, Energy and Commerce, Foreign Affairs,
and the Judiciary
_______________________________________________________________________
A BILL
To strengthen the competitiveness of the United States motor vehicle
sector by creating a Motor Vehicle Industry Competitiveness Commission.
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 ``Motor Vehicle Industry
Competitiveness Act''.
SEC. 2. CONGRESSIONAL FINDINGS.
The Congress finds the following:
(1) A strong United States motor vehicle sector is critical
to our international competitiveness and to the health of our
industrial base.
(2) The United States motor vehicle and motor vehicle parts
industries directly employ 1,200,000 workers in high-paying
jobs, and indirectly support another million jobs in supplier
industries.
(3) The United States motor vehicle industry accounts for
4.5 percent of the Gross National Product, 77 percent of the
total consumption of the natural rubber industry, 67 percent of
the lead industry, 40 percent of the machine tool industry, 25
percent of the glass industry, 20 percent of the semiconductor
industry, 18 percent of the aluminum industry, and 12 percent
of the steel industry. The United States motor vehicle industry
also accounts for 12.4 percent of all corporate research and
development.
(4) United States motor vehicle makers have experienced
serious financial difficulty over the past several years, with
the Big Three losing $8,000,000,000 in 1991 alone. Hundreds of
United States motor vehicle parts companies have gone out of
business in the last several years, and tens of thousands of
United States motor vehicle parts workers have lost their jobs.
(5) The problems facing the United States motor vehicle
sector are reflected in the trade deficit of that sector with
Japan, which exceeded $30,000,000,000 in 1991 and accounted for
almost half of the entire United States world trade deficit.
(6) Despite years of negotiations through the MOSS process,
United States motor vehicle parts companies have been excluded
from the Japanese market, where they account for less than 1
percent of all sales. This trade imbalance, which has been
caused in part by Japanese structural barriers such as
keiretsu, poses a threat to the health of the United States
motor vehicle parts industry, as well as to the many United
States industries that supply the motor vehicle parts industry.
(7) High health care costs have a significant impact of the
competitiveness of United States motor vehicle makers. The Big
Three must pass along to consumers as much as $700 more per car
in health care costs than Japanese companies.
(8) Worldwide excess capacity in the motor vehicle industry
of several million units has put further pressure on the United
States market and the United States motor vehicle industry.
(9) Clear, broad-based government economic, trade, health
and United States tax policies are needed to improve the
competitiveness of the United States motor vehicle sector and
to stem further job losses in these industries.
SEC. 3. MOTOR VEHICLE INDUSTRY COMPETITIVENESS COMMISSION.
(a) Establishment.--There is established the Motor Vehicle Industry
Competitiveness Commission (hereinafter in this section referred to as
the ``Commission'').
(b) Functions.--
(1) Investigation and study.--The Commission shall make a
complete investigation and study of the financial condition of
the domestic motor vehicle sector, including the laws,
regulations, and foreign trade barriers that pose impediments
to its competitiveness.
(2) Policy recommendations.--Based on the results of the
investigation and study required to be conducted under
paragraph (1), the Commission shall recommend to the President
and Congress those policies that need to be adopted to--
(A) achieve the national goal of a strong and
competitive motor vehicle sector;
(B) facilitate the sales of United States-made
motor vehicles and motor vehicle parts by improving
competitiveness at home and opening markets abroad;
(C) reduce the motor vehicle sector trade deficit
with foreign countries, particularly Japan;
(D) implement an industry-wide health care plan
that helps relieve the burden of excessive health care
costs on the motor vehicle and motor vehicle parts
industries; and
(E) promote job growth in the motor vehicle sector.
(3) Specific issues.--In carrying out paragraph (1), the
Commission shall specifically investigate and study the
following:
(A) The current financial condition of the motor
vehicle industry and how the industry's financial
condition is likely to change over the next 5 years,
including--
(i) the profits or losses likely to be
achieved by United States motor vehicle sector
manufacturers (which term, for purposes of this
Act, means motor vehicle manufacturers and
motor vehicle parts manufacturers) over the
next 5 years, and
(ii) the market share gains or losses
likely to be achieved by United States motor
vehicle manufacturers in the United States and
key markets abroad over the next 5 years.
(B) The foreign barriers to export or foreign
investment by United States motor vehicle sector
manufacturers, especially in Japan.
(C) The extent to which health care costs impede
the competitiveness of United States motor vehicle
sector manufacturers.
(D) The extent to which the United States tax laws
impede the competitiveness of United States motor
vehicle sector manufacturers.
(E) Whether the Federal Government should take any
action with respect to United States trade or antitrust
laws to open foreign markets to United States motor
vehicle products, to open ``transplant'' facilities in
the United States to United States motor vehicle parts,
or to make the United States motor vehicle sector more
competitive.
(F) Whether the policies and strategies of the
Federal Government have adequately addressed the
competitiveness needs of the United States motor
vehicle industry.
(G) The potential impact of trade agreements or
trade negotiations on employment in the United States
industry.
(H) The impact on the competitiveness of the United
States motor vehicle industry of the 1989 Department of
the Treasury ruling classifying multipurpose vehicles
as cars instead of light trucks.
(I) The impact of agreements involving other
countries, including the European Community-Japan motor
vehicle market-share arrangement, on the
competitiveness of the United States motor vehicle
industry.
(J) Whether the Federal Government should take any
legislative or administrative actions to improve the
financial conditions of the United States motor vehicle
industry.
(K) The extent to which the manufacturing programs
of the Federal Government, including those at the
National Institute of Technology, of the Department of
Commerce, can be better utilized to make the United
States motor vehicle industry more competitive.
(c) Membership.--
(1) Appointment.--The Commission shall be composed of 15
members as follows:
(A) 3 members appointed by the President.
(B) 3 members appointed by the Speaker of the House
of Representatives.
(C) 3 members appointed by the majority leader of
the Senate.
(D) 3 members appointed by the minority leader of
the House of Representatives.
(E) 3 members appointed by the Senate Republican
Leader of the Senate.
(2) Qualifications.--Appointments under paragraph (1) shall
be made from among individuals who are experts in motor vehicle
trade and economic policy, including individuals from
organizations representing United States motor vehicle sector
manufacturers and employees of those manufacturers and from the
Federal, State, and local governments.
(3) Terms.--Members shall be appointed for the life of the
Commission.
(4) Vacancies.--A vacancy in the Commission shall be filled
in the manner in which the original appointment was made.
(5) Pay.--Members shall serve without pay.
(6) Chairman.--The Chairman of the commission shall be
elected by the members.
SEC. 4. ADMINISTRATIVE PROVISIONS.
(a) Staff Assistance From Federal Agencies.--Upon request of the
Commission, the head of any department or agency of the Untied States
may detail any of the personnel of that department or agency to the
Commission to assist it in carrying out its functions under this Act.
(b) Administrative Support Services.--Upon the request of the
Commission, the Administrator of General Services may provide the
Commission with the administrative support services necessary for the
Commission to carry out its functions under this Act.
(c) Obtaining Official Data.--The Commission may secure directly
from any department or agency of the United States information (other
than information required by any statute of the United States to be
kept confidential by such department or agency) necessary for the
Commission to carry out its duties under this section. Upon request of
the Commission, the head of that department or agency shall furnish
such nonconfidential information to the Commission.
(d) Report.--Not later than six months after the date on which the
initial appointment of the members of the Commission is completed, the
Commission shall transmit to the President and Congress a report on the
activities of the Commission, including the recommendations required
under section 3(b)(2).
(e) Termination.--The Commission shall terminate on the one hundred
and eightieth day following the date of transmittal of the report under
subsection (d). All records and papers of the Commission shall
thereupon be delivered by the Administrator of General Services for
deposit in the National Archives.
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