[Congressional Record Volume 169, Number 22 (Thursday, February 2, 2023)]
[Senate]
[Page S214]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
CHILE
Mr. SCHUMER. Now on Chile and the treaty, for more than a decade,
Congress has been working on an important tax treaty with Chile that
holds important and long-term consequences for American businesses and
American competitiveness on the world stage.
Right now, nations around the world are racing to source important
materials like lithium. Lithium is a key ingredient in everything from
iPhones to EV batteries. Chile is one of the most important sources of
these kinds of raw minerals, including lithium, and many U.S. companies
have spent years building business partnerships with Chile and have
grown their presence in that nation.
But these companies face a terrible problem. Because of current
policy, American companies face double taxation due in Chile and are at
a huge disadvantage compared to other nations like China. We don't want
China to get this lithium. We need it.
So we have a taxation treaty at the ready that would remove this
obstacle. It is very similar to the more than 60 other treaties we
already have with nations around the world. This is nothing new. It is
wildly supported by voices across the political spectrum--the Biden
administration, on one hand, but the pro-business Chamber of Commerce,
on the other.
Here is the amazing thing. The U.S.-Chile treaty was already reported
out of committee last year. It had, I believe--I am not certain of
this, but I think it was passed by voice vote, meaning unanimous
support. It had overwhelming support. Unfortunately, it has to go
through committee again because of the new Congress, but Democrats are
100 percent ready and eager to get this important treaty moving.
Republicans in the past always have long supported moving it forward
too, and I imagine most do. But, right now, this treaty has been
delayed yet again because some want to add last-minute changes to the
text that risk undermining it altogether.
Again, there are some who want to introduce last-minute changes to
the treaty, even though this was reported by voice vote out of
committee last year, was nearly added to our end-of-year
accomplishments alongside the omnibus, and has been around for close to
10 years.
Let me be clear. These last-minute changes could delay or even end
any chance of getting this treaty done. It at least could force us to
renegotiate with other governments, and you know what a long, time-
consuming, difficult, fraught-with-peril process that is.
We should move forward and ratify this treaty with the agreed-upon
text without last-minute changes. The effort has been more than a
decade in the works. It is time to finish the job.
Again, if we want to give China advantage to get Chilean lithium,
instead of giving it to the United States, where we so desperately need
it, that would be a disgrace and a shame. Moving this treaty quickly,
without any last-minute changes, is the way to solve that problem.
So, please, let's move forward. Both sides should come together to
move forward quickly and without any more delay. It is long enough.
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