[Congressional Record Volume 152, Number 42 (Wednesday, April 5, 2006)]
[House]
[Pages H1482-H1485]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
EXPRESSING SENSE OF CONGRESS THAT SAUDI ARABIA SHOULD FULLY LIVE UP TO
WORLD TRADE ORGANIZATION COMMITMENTS AND END BOYCOTT ON ISRAEL
Mr. SHAW. Mr. Speaker, I move to suspend the rules and agree to the
concurrent resolution (H. Con. Res. 370) expressing the sense of the
Congress that Saudi Arabia should fully live up to its World Trade
Organization commitments and end all aspects of any boycott on Israel.
The Clerk read as follows:
H. Con. Res. 370
Whereas the United States supported the accession of Saudi
Arabia to the World Trade Organization (WTO) in 2005;
Whereas, as part of the working party report for the
accession of Saudia Arabia to the WTO, Saudi Arabia
reiterated its commitment to terminate the secondary and
tertiary boycotts on Israel;
Whereas Saudi Arabia also committed not to discriminate
against any WTO members and specifically did not invoke the
non-application provisions of the WTO Agreement, and thus has
rights and obligations to all WTO members, including Israel;
Whereas, in spite of these commitments to WTO members and
United States officials, press reports indicate that an
official of the Government of Saudi Arabia has stated that
Saudi Arabia has not committed to ending the primary boycott
on Israel, which would violate Saudi Arabia's WTO obligations
toward Israel;
Whereas United States Trade Represenative Portman has
testified to the Committee on Ways and Means of the House of
Representatives that Saudi Arabia's application of the
boycott is a ``big concern'' of the United States; that Saudi
Arabia did not invoke non-application of WTO commitments to
Israel, so that Saudi Arabia is required to provide
nondiscriminatory treatment to Israel; and that the United
States Trade Representative has received assurances from
Saudi Arabia that it will abide by its WTO commitments; and
Whereas the Organization of the Islamic Conference (OIC)
scheduled its ``Ninth Meeting of the Liaison Officers of
Islamic Regional Officers for the Boycott of Israel'' for the
week of March 13, 2006, at the OIC's headquarters in Saudi
Arabia: Now, therefore, be it
Resolved by the House of Representatives (the Senate
concurring), That it is the sense of the Congress that--
(1) Saudi Arabia should maintain and fully live up to its
commitments under the World Trade Organization (WTO) and end
all aspects of any boycott on Israel; and
(2) the President, the United States Trade Representative,
and the Secretary of State--
(A) should continue their active involvement on this issue
by strongly urging the Government of Saudi Arabia to comply
with its WTO obligations; and
(B) should urge Saudi Arabia to end any boycott on Israel.
The SPEAKER pro tempore. Pursuant to the rule, the gentleman from
Florida (Mr. Shaw) and the gentleman from Maryland (Mr. Cardin) each
will control 20 minutes.
The Chair recognizes the gentleman from Florida.
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Mr. SHAW. Mr. Speaker, I yield myself such time as I may consume.
I am delighted to introduce this resolution and support it, which has
also the support of the gentleman from Maryland (Mr. Cardin) and I
believe probably is one of the best bipartisan resolutions to come
before this Congress in a while.
This resolution would express the sense of the Congress that Saudi
Arabia should fully live up to its World Trade Organization commitments
and end all aspects of any boycott on Israel.
In 2005, the United States supported the accession of Saudi Arabia to
the World Trade Organization. During this process, Saudi Arabia
reiterated its commitment to terminate the secondary and tertiary
boycotts on Israel.
Additionally, it committed not to discriminate against any World
Trade Organization members; and specifically, it did not invoke the
nonapplication provision of the World Trade Organization agreement.
Because of this, Saudi Arabia has rights and obligation to all the
World Trade Organization members, including Israel. Given this, we
should not have to be here today debating this resolution on the floor
of the House.
Instead, today Members should be able to praise Saudi Arabia for its
forward thinking and its upcoming expanded role in the global economy.
Unfortunately, though, many of my colleagues and I have read press
reports that an official of the government of Saudi Arabia has stated
that Saudi Arabia has not committed to ending the primary boycott on
Israel. This would be a clear violation of its World Trade Organization
commitments to Israel.
I am pleased that when United States Trade Representative Rob Portman
testified before the Ways and Means Committee he stated that Saudi
Arabia's application of the boycott is a big concern of the United
States. He also reiterated that Saudi Arabia is required to provide
nondiscriminatory treatment to Israel. I appreciate Ambassador
Portman's efforts in this area.
This resolution would provide further support for the stated position
of the USTR by establishing that it is the sense of the Congress that
Saudi Arabia should maintain and fully live up to its commitments under
the World Trade Organization and end all aspects of any boycott on
Israel. It also urges the President, the U.S. Trade Representative and
the Secretary of State to continue their efforts to ensure that this is
exactly what happens. I ask my colleagues to vote ``aye'' on this
resolution.
Mr. Speaker, I reserve the balance of my time.
Mr. CARDIN. Mr. Speaker, I yield myself such time as I may consume.
Mr. Speaker, I am pleased to join the gentleman from Florida (Mr.
Shaw) in introducing this resolution we are considering today. As Mr.
Shaw pointed out, last year the United States negotiated a bilateral
trade agreement with Saudi Arabia which paved its admission into the
WTO in December.
A key commitment as part of the United States' agreement with the
Saudis was that they would not have any further boycott with Israel,
either primary or secondary. It was also clear that they would not
invoke the nonapplication provision of the WTO agreement, meaning that
it agreed it would treat all WTO members, including Israel, equally.
Yes, the primary responsibility was to eliminate the secondary
boycott; but in not invoking the nonapplication provision, it agreed to
treat all WTO countries equally, including Israel. This was a key
commitment for the United States' approval of an agreement that paved
the way for the Saudis entering the WTO.
Unfortunately, the Saudis' action in recent months appears to fly in
the face of that commitment. In December, Saudi officials were quoted
in the press as insisting that Saudi Arabia would continue its
participation in the primary boycott against Israel which prohibits
imports of Israeli goods. Saudi Arabia's continued participation in the
boycott conflicts directly with the country's commitment as a WTO
member to treat all nations in a nondiscriminatory manner.
What is even more disturbing is that Saudi Arabia has not only
continued to participate in the boycott, but Saudi Arabia has helped to
promote it. In March, Saudi Arabia hosted a meeting of the Organization
of Islamic Conference, an international organization with 57 member
countries. The purpose of this meeting was to discuss strengthening the
Arab League boycott against Israel.
Mr. Speaker, I believe the United States must not stand silently
while the Saudis disregard the commitments that it made to us and the
WTO to treat all countries equally. We must insist that the Saudis live
up to their commitments.
I urge President Bush, the U.S. Trade Representative and all members
of the administration to call upon the Saudis to adhere to the
commitments that they made to us, that they made to the WTO. It is time
for them to end their boycott against Israel, not just the secondary
but the primary boycott. I urge my colleagues to support this
resolution.
Mr. Speaker, I reserve the balance of my time.
Mr. SHAW. Mr. Speaker, I reserve the balance of my time.
Mr. CARDIN. Mr. Speaker, I yield 5 minutes to the gentlewoman from
Nevada (Ms. Berkley).
Ms. BERKLEY. Mr. Speaker, I rise in strong support of this resolution
expressing the sense of Congress that Saudi Arabia should end its
economic boycott of Israel. I want to personally thank the gentleman
from Florida (Mr. Shaw) and my very good friend, the gentleman from
Maryland (Mr. Cardin), for introducing this resolution.
Mr. Speaker, no one is born knowing how to hate. Hate needs to be
taught. The Saudi Kingdom, our so-called partner in peace and ally in
the fight against terrorism, has turned teaching hatred into a
perverted science and a twisted art form.
Last year the Bush administration supported Saudi Arabia's accession
to the World Trade Organization. As a condition of joining the WTO, the
Saudis agreed to end all boycotts of Israel. Their Foreign Minister
repeated this pledge to our Secretary of State. Israel is our strongest
ally in the Middle East. This boycott has hurt Israel's economy since
its founding in 1948. The Israeli Chamber of Commerce estimates that
Israeli exports are 10 percent less than they would be without the
boycott; investment in Israel, 10 percent lower.
It is no surprise to me that the Saudis have not honored their
commitment to end the boycott. The reasons to me are painfully
apparent: anti-Semitism and a hatred for Israel. Saudi Arabia continues
to be one of the few nations to participate in the boycott when many of
its neighbors have given up. In 1990, Egypt was the first nation to
abandon the boycott. Jordan followed in 1995. The Palestinian Authority
dropped the boycott in 1995 as well. In 1994, several of the gulf
states abandoned their secondary and tertiary boycotts. In 2005, just
last year, Bahrain announced it was completely withdrawing from the
boycott.
The Saudi government has repeatedly said that Saudi Arabia is not
anti-Semitic. Oh, really, Mr. Speaker. These are the same Saudis that
support terrorism, export terrorism, finance terrorism, the same Saudis
that spew racist and anti-Semitic hatred, and the same Saudis that have
the worst record on the planet when it comes to religious intolerance
and discrimination.
The Saudis say they share our values. Exactly what values do they
think they share with the United States? They do not value a hate-free
education for their children. Saudi schoolbooks paint an ugly,
distorted portrait of a world in which Israel does not exist. The 9/11
attacks were perpetrated by so-called Zionist conspiracies, and the
anti-Semitic and fictitious ``Protocols of the Elders of Zion'' is
taught as actual history. These schoolbooks are the official
publications of the education ministry.
They do not value religious freedom and pluralism. Saudi Arabia bans
all religions except Islam. Saudi Arabia's religious beliefs have even
gone so far as banning the Barbie doll, calling them Jewish toys that
are offensive to Islam.
They couldn't value honesty because last year the Saudi Crown Prince
told Saudi television that ``Zionists'' were behind the attack at the
oil facility in Yanbu. The Crown Prince also is
[[Page H1484]]
quoted as saying, ``Our country is targeted. You know who is behind all
of this. It is Zionism.'' That is dishonest. That is a lie, Mr.
Speaker.
The United States Congress, by voting for this resolution, can take a
strong stand against this type of religious and racial intolerance.
Congress can take a strong stand on behalf of a fellow democracy and
our most reliable ally in the Middle East. And Congress can take a
strong stand to demand that the Saudis live up to their obligations and
promises, the ones they made in order to get into the WTO with American
support.
I urge the Saudis to fulfill their international obligations and
promises by ending the Israeli boycott. I urge immediate passage of
this resolution.
Mr. CARDIN. Mr. Speaker, I yield 2 minutes to the gentleman from
Illinois (Mr. Davis).
Mr. DAVIS of Illinois. Mr. Speaker, I thank the gentleman for
yielding me this time.
Mr. Speaker, I rise in strong support of H. Res. 370 expressing the
sense of Congress that Saudi Arabia should fully live up to its World
Trade Organization commitments and end all aspects of any boycott on
Israel.
I take this position because I believe that as we continue to move
towards resolution of problems and towards peaceful resolution of
difficulty, we have to begin someplace. I am often reminded of
something that John Kennedy supposedly said, and that is that peace is
not found only in treaties, covenants and charters, but in the hearts
of men, and I imagine if he was around today he would say men and
women.
I think that resolution of this boycott would move positively in the
direction of peace in the Middle East, and so I strongly support this
resolution.
Mr. CARDIN. Mr. Speaker, I yield myself the balance of my time.
Let me just say that this is an important resolution because I think
all of us believe that for peace in the Middle East it is important to
open up economic opportunity within the entire region. This
administration has put a priority on moving forward with free trade
agreements in the Middle East with the support of both Democrats and
Republicans. Because we do believe in commerce, there is an opportunity
for better understanding in that region of the world.
We have concluded free trade agreements with other countries and we
have made it clear that the boycott against Israel must be eliminated.
Not only eliminated, but the country must reach out so there is full
participation among all of the countries of the region so they all can
benefit economically from commerce within that region.
Saudi Arabia is a major country in the Middle East. They need to
exercise leadership in the Middle East. And in doing that, they must
join us in our fight against terror and our fight against terrorism.
They also must join us in making it clear that all countries in the
Middle East need to be included in economics and commerce. They need to
eliminate their boycott against Israel.
We thought we had an understanding when we entered into an agreement
that led to their accession into the WTO. Clearly the Saudis are not
living up to that commitment. I think it is extremely important that
this country make it clear that we cannot tolerate that type of conduct
by the Saudis. It is time for them to end their boycott against Israel
and exercise leadership in the Middle East so we can move forward with
peace in the Middle East. I urge my colleagues to support this
resolution.
Mr. Speaker, I yield back the balance of my time.
{time} 1245
Mr. SHAW. Mr. Speaker, this resolution is important beyond just the
pages of the resolution itself. It is important as to the future of
world trade. Are we as a member of the World Trade Organization, are we
going to support the values, the obligations that we have and that
other nations have to other nations within the World Trade
Organization?
We pride ourselves as being a government of laws. This means that we
have to adhere to our own laws. And also it goes beyond that. We have
to adhere to our obligations. And our trading partners should also be
required to do so.
But this particular one, pinpointing this boycott of Israel, is
particularly important because through free trade comes understanding.
It comes the free flow of goods. It also brings about the free flow of
ideas which brings about understanding, which brings about world peace.
This is the pathway to world peace, and there is no place it is needed
more than it is in the Middle East. And our good friend Israel needs
help with regard to getting along with its neighbors. And this is a
good step forward.
So I would ask all Members to support this resolution.
Mr. LANTOS. Mr. Speaker, I rise in strong support of this bill, and I
commend my good friends Mr. Shaw and Mr. Cardin for introducing this
timely and very important resolution.
Mr. Speaker, after a years-long quest, Saudi Arabia finally acceded
to membership in the World Trade Organization late last year.
Unfortunately, the Saudis acceded in letter only--and in a spirit
utterly contrary to the principles of free trade embodied by that
organization. Moreover, it now appears that Saudi Arabia, having gained
accession, has absolutely no intention of implementing even the letter
of WTO rules.
As Saudi Arabia has now made clear in the aftermath of its accession,
it has absolutely no intention of ending its boycott of trade with
Israel. This is a direct violation of Saudi Arabia's WTO obligations to
Israel.
Earlier this month, as if to underscore its disregard for the WTO
rules to which it is formally committed, Saudi Arabia hosted a
conference called ``Ninth Meeting of the Liaison Officers of Islamic
Regional Officers for the Boycott of Israel.''
Mr. Speaker, there is indeed a mechanism by which a WTO member-state
can invoke an exception regarding its commitments to another member-
state, but Saudi Arabia did not invoke that exception regarding Israel.
And it doesn't take a genius to figure out why: The ruling royals no
doubt thought that, if they invoked that exception, the U.S. Congress
would persuade the Administration to veto their accession to the WTO.
So they deceitfully and cynically deceived us into thinking that they
had taken a dramatic decision to open trade ties with Israel, all the
while planning to continue their boycott unabated.
Clearly, USTR thought they had an agreement for an end to the
boycott. After signing off on Saudi accession in September last year,
USTR boasted that Saudi membership in the WTO meant that--and I quote
from a USTR press release--``Saudi Arabia is legally obligated to
provide most-favored nation treatment to all WTO members, including
Israel. Any government sanctioned activity on the Boycott would be a
violation of Saudi Arabia's obligations and subject to dispute
settlement. This legal obligation cannot be changed.''
So the Saudis not only deceived the U.S. Congress; they have
embarrassed the U.S. Trade Representative and left themselves open to
dispute settlement mechanisms.
Mr. Speaker, the U.S. helped shepherd Saudi Arabia into the WTO. We
have a right to expect the Saudis to obey its rules. Most of all, we
have a right to expect them to honor their commitments to us.
Mr. Speaker, our Nation has many issues of concern regarding Saudi
Arabia--including lack of human rights, a benighted educational system,
and ongoing support for extremist madrasas around the world.
Nevertheless, this body has every right to expect that the
Administration will place an extremely high priority on persuading the
Saudis to fulfill their pledges as WTO members, particularly regarding
trade with Israel.
The Saudis, we now see, entered the WTO under false premises. They
must put this situation aright once and for all. They must end their
boycott of Israel without delay, and the Administration should not let
Saudi rulers have a moment's rest until they comply.
Mr. Speaker, I strongly support this resolution, and I urge all my
colleagues to do likewise.
Mr. ANDREWS. Mr. Speaker, after 12 years of difficult negotiation,
Saudi Arabia joined the World Trade Organization last November. This
was good news--the Saudi government has the potential to further join
the world community as a responsible actor on the world stage, and the
Saudi economy is a large one that will benefit from international
trade, as will the U.S. in turn from increased commerce with the Arab
nation. However, the Saudis are yet again missing a unique opportunity
to reform, blinded by an irrational hatred of their neighbor, Israel.
This is part of a larger fabric of unacceptable behavior on the part
of Saudi Arabia, which seeks greater ties with the West while
maintaining its autocratic and anti-democratic policies. State-
sponsored Saudi TV regularly broadcasts not just anti-Israeli
diatribes, but
[[Page H1485]]
anti-American propaganda as well, further encouraging the attitudes
that lead to terrorism. The fact that Saudi nationals continue to
significantly fund international terrorism, as reported this week by
the U.S. Treasury Department, means that Saudis have a long way to go
to match their anti-terror rhetoric with their actions. As I have in
the past, I once again call on Saudi leader Prince Faisal to take
responsibility for his government's actions which promote hatred and
the repercussions it has on Saudi Arabia's relations with other
countries.
As President Carter said in 1977, the Israeli boycott ``goes to the
heart of free trade among nations,'' and is clearly unacceptable from a
member of the World Trade Organization. This boycott, in place since
the founding of Israel in 1945, has no place in the modern, globalized
world. Recognizing this, several Gulf States are withdrawing from the
boycott, and gaining both political and economic benefits. In the face
of these events, Saudi Arabia's recalcitrance is all the more puzzling.
Mr. Speaker, Saudi Arabia has reportedly agreed to end the secondary
and tertiary aspects of the anti-Israeli boycott, but is stopping short
of allowing direct trade with its neighbor. Such half-measures are
clearly not acceptable. All World Trade Organization members must treat
all other members equally. According to diplomats, Saudi Arabia
affirmed this principle with respect to Israel before being admitted to
the WTO. Today's resolution expresses the sense of Congress that Saudi
Arabia must live up to its commitments as a member of the World Trade
Organization and end its boycott against Israel. I strongly urge my
colleagues to support this resolution.
Mrs. MALONEY. Mr. Speaker, I rise in strong support of H. Con. Res.
370, a resolution that calls on Saudi Arabia to end its boycott of
Israel.
In 2005, Saudi Arabia pledged to the United States that it would end
its boycott of Israel as part of its accession to the World Trade
Organization. Foreign Minister Saud al-Faisal assured Secretary of
State Condoleezza Rice that Saudi Arabia would follow all WTO rules,
including the anti-boycott provisions and specifically pledged to
dismantle the secondary and tertiary elements of the boycott against
Israel during negotiations for WTO accession. However, shortly after
joining the WTO in December, a Saudi official stated unequivocally that
the boycott would be maintained.
Mr. Speaker, this blatant disregard for the terms of agreement must
be addressed. We must force an end to the Saudi boycott on Israel which
has been going on far too long.
I have been fighting the Israel boycott since I came to Congress. In
1993, I introduced H.R. 1407, the Arab Boycott Arm Sales Prohibition
Act, a version of which was signed into law in September 1993. Thirteen
years ago we talked about the harm the Arab boycott was causing--that
it is a blatantly discriminatory practice which is contrary to free
trade. It is now 2006 and we are still trying to end the boycott.
Mr. Speaker, I urge this Administration to continue to take a strong
position against the Saudi boycott on Israel. It undermines our efforts
in the Middle East to bring peace, stability and prosperity and it runs
contrary to the obligations of membership in the WTO.
General Leave
Mr. SHAW. Mr. Speaker, I ask unanimous consent that all Members have
5 legislative days in which to revise and extend their remarks and
include extraneous material on the subject of the bill under
consideration.
The SPEAKER pro tempore. Is there objection to the request of the
gentleman from Florida?
There was no objection.
Mr. SHAW. Mr. Speaker, I yield back the balance of my time.
The SPEAKER pro tempore. The question is on the motion offered by the
gentleman from Florida (Mr. Shaw) that the House suspend the rules and
agree to the concurrent resolution, H. Con. Res. 370.
The question was taken; and (two-thirds having voted in favor
thereof) the rules were suspended and the concurrent resolution was
agreed to.
A motion to reconsider was laid on the table.
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