[Congressional Record Volume 151, Number 42 (Tuesday, April 12, 2005)]
[House]
[Page H1871]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
CAFTA
The SPEAKER pro tempore. Under a previous order of the House, the
gentleman from Ohio (Mr. Brown) is recognized for 5 minutes.
Mr. BROWN of Ohio. Mr. Speaker, a bowling ball weighs about 170 times
the weight of a slice of sandwich bread. It does not take a physicist
to see the mismatch between a bowling ball and a slice of bread. And it
does not take a trade expert to see the economic mismatch between the
United States and the nations that make up the Central American Free
Trade Agreement: Honduras, Costa Rica, Nicaragua, Guatemala, and El
Salvador.
The way that CAFTA, the Central American Free Trade Agreement,
proponents talk, you would think Central America was one of the biggest
economies in the Western Hemisphere. CAFTA nations are not only among
the world's poorest countries, they are among its smallest economies.
Think about this: this big trade agreement that President Bush wants,
CAFTA, the combined purchasing power of the CAFTA nations is almost
identical to the purchasing power of Columbus, Ohio.
Tomorrow, the Senate will hold the first congressional hearing on
CAFTA. Congress typically has voted within 55 days of President Bush
signing a trade agreement. May 28 will mark the 1-year anniversary of
when the President signed CAFTA.
The other trade agreements were all done within only about 2 months.
Because CAFTA is so unpopular and trade policy in this country is so
wrong-headed, the President still has not sent CAFTA here for a vote.
Clearly, there is dissension in the ranks, and for good reason.
CAFTA is the dysfunctional cousin of NAFTA, the North American Free
Trade Agreement, continuing a legacy of failed trade policies.
Look at NAFTA's record: one million United States manufacturing jobs
lost to the North American Free Trade Agreement. One million. NAFTA did
nothing. NAFTA: Mexico, Canada, the U.S. NAFTA did nothing for Mexican
workers as promised. They continue to earn just about a dollar a day,
while living in abject poverty. Not exactly a great market for U.S.
products.
And yet the U.S. continues to push for more of the same, more of the
same job hemorrhaging, income-lowering trade agreements, more trade
agreements that ship U.S. jobs overseas, more trade agreements that
neglect essential environmental standards, more trade agreements that
keep foreign workers in poverty.
The only difference between CAFTA and NAFTA is the first letter.
Madness is repeating the same action over and over and over and
expecting a different result. We hear the same promises on every trade
agreement. This Congress, somehow barely, in the middle of the night,
passes them. We see the same bad results.
But do not just take my word for it. Look at the numbers. Numbers do
not lie. The U.S. economy, with a $10 trillion GDP in 2002, is 170
times bigger than the economies of the CAFTA nations, at about $62
billion combined. It is like pairing a bowling ball with a slice of
bread.
CAFTA is not about robust markets for the export of American goods.
It is about outsourcing. It is about access to cheap labor. We send our
jobs overseas. The workers overseas get paid almost nothing, not able
to raise their living standard. U.S. corporations make more money,
American workers lose their jobs. It is the same old story.
Again, the combined purchasing power of the CAFTA nations is about
that of Orlando, Florida. Trade pacts like NAFTA and CAFTA enable
companies to exploit cheap labor in other countries, then import their
products back to the U.S. under favorable terms.
American companies outsource their jobs to Guatemala, outsource their
jobs to China, outsource their jobs to Mexico. It costs American
workers their jobs. It does almost nothing for the workers in those
countries, yet profits at Wal-Mart and GM and those companies continue
to rise.
CAFTA will do nothing to stop the bleeding of manufacturing jobs,
except make it worse, will do nothing to stop the bleeding of
manufacturing jobs in the U.S., and will do even less to create a
strong Central American consumer market for American goods.
Throughout the developing world, workers do not share in the wealth
they create. If you work at GM in the United States, if you work at a
hardware store in the United States, you create wealth for your
employer and you share some of that wealth. That is how you get a
middle-class existence.
But in the developing world, workers do not share in the wealth they
create. Nike workers in Vietnam cannot afford to buy the shoes they
make. Disney workers in Costa Rica cannot afford to buy the toys for
their children. Ford workers in Mexico cannot afford to buy the cars
that they make. Motorola workers in Malaysia cannot afford to buy the
cell phones they make.
The United States, with its unrivaled purchasing power and its
enormous economic clout, we, in our country, are in a unique position
to empower workers in the developing world while promoting prosperity
at home.
When the world's poorest people can buy American products, rather
than just make them, then we will know our trade policies finally are
working. Vote ``no'' on the Central American Free Trade Agreement.
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