A Trade Deal Compromise Between Rangel and Bush?

Well this is interesting.  On the day of a massive series of votes on Iraq and the day after a DoD Authorization mark-up in which habeas was struck, there's a huge press conference announcing a bipartisan free trade deal with increased labor and environmental standards.  Labor is flipping out, apparently unsure of what to do.  I've made three or four calls and the details are somewhat murky.  One person I spoke with was Peter Chandler of Congressman Mike Michaud's office.  Michaud signed a letter that someone else slipped to me from six Democrats (the others are Allen, Ryan, Kildee, Hare, Linda Sanchez) asking for an internal caucus discussion of an impending deal.  Forty minutes after they sent this letter came the press conference.  

Peter had a number of interesting things to say.  Now I've pointed out before that one key in these trade deals is the language on labor and environmental provisions.  In 1989, during the Fast Track discussion, corporate Democrats promised to uphold labor and environmental standards, and instead we got NAFTA.  So there's not a lot of credibility here, especially if this gets linked to the immigration issue and especially since it's George W. Bush who's cutting the deal.  Peter told me that no one except the people in the room had seen the language, so the caucus at large is not ok with it yet.  He's suspicious because a big announcement is made suddenly with the Republican leadership on Ways and Means, and Democratic caucus members have very little information about it.  Fair Trade Democrats wanted to be partners in the effort to make sure the new deal is a complete departure from the NAFTA trade deal, but they were apparently boxed out by leadership, including Rangel.  I heard from a someone less reliable source that Rangel promised labor they would have a chance to see the language in the agreement and discuss it before an announcement, but that didn't happen.  

There are a lot of murky details, and more is going to come out.  But let's just look at who was in the room for the announcement.

Speaker Nancy Pelosi
Treasury Secretary Henry M. Paulson, Jr.
U.S. Trade Representative Susan C. Schwab
Senate Finance Chairman Max Baucus
House Ways & Means Chairman Charles B. Rangel
House Ways & Means Ranking Member Jim McCrery
New Democrat Coalition Leadership:
Rep. Ellen Tauscher, Chair, New Democrat Coalition
Rep. Adam Smith. Vice-Chair, New Democrat Coalition
Rep. Ron Kind, Vice-Chair, New Democrat Coaltion
Rep. Artur Davis, Vice-Chair, New Democrat Coalition
Rep. Joe Crowley, Vice-Chair and Whip, New Democrat Coaltion

There are a number of reasons I'm deeply suspicious of leadership and Rangel on this deal.  First of all, that list is a clear indication of corporate Democrats in control of the policy.  There are a number of Republicans who will split from their party on the deal, people like Duncan Hunter who viciously opposed NAFTA years ago.  More problematic is the timing.  Why in the world, if there was caucus cohesion, would Speaker Pelosi and Chairman Rangel make a surprise announcement on the day of a huge Iraq vote, one that is sure to mop up all the headlines?

Next Tuesday at the caucus meeting, culturally conservative, midwestern, and most progressive Democrats are going to discuss this with corporate and coastal Democrats.  Lots of freshmen campaigned against the corporate trade deals, but the power of corporate America is immense.

The question right now is what the language says.  If it's not ironclad on labor and the environment, and if it doesn't allow workers the same rights as corporations to sue to harmonize labor laws in America, then it's a serious problem.  And frankly, I just can't see giving more power to Bush in a way that puts clear labor and environmental standards front and center.  This will in all likelihood put pressure on Presidential campaigns.  The only candidate clearly on the populist bandwagon on trade is Edwards.  Both Clinton and Obama have managed to skate around the issue, but this is going to put it front and center (check out one of Obama's key advisors on trade).

There's a lot that I don't know.  Speaker Pelosi is good at managing her caucus, so it's quite possible she has a firm grip on where her members actually are.  But then again, the Fair Trade tension is something the New Democrats aren't used to, and they might be assuming there's less opposition than there really is.  The same deal on Iraq works here - people hate Bush and everything he does, and if he's behind this deal then the public is going to be (rightly) suspicious.  And I don't think that the Democratic leadership has fully internalized how much the public hates Bush.

Regardless, this is something to pay attention to.  It's one of those deals where bloggers may actually have some leverage, since this is very murky and cooperating with Bush is something we should be extremely wary of.



Display:


Re: A Trade Deal Compromise (3.00 / 0)

I am sick of this "free-trade" religion being THE only issue that Democrats - to be credible nationally - have to swear allegiance to.  

You can be anti-choice, pro-war, anti-gay, for social security privatization, all okay.  But the minute you say you're for fair trade and pro-union, you are SAVAGED.

We have the corporate controlled media, the DLC, and worker sell-outs like the Clintons (and Rahm Emanuel) to thank for that.  


McCain is defining Obama, and Obama is neither defining himself, nor McCain. This is awful.
by jgarcia on Thu May 10, 2007 at 08:32:21 PM EST

Re: A Trade Deal Compromise (none / 0)

That is why I'm supporting Obama. Clinton has sold us out majorly and made the DLC the strongest branch of the party. The Clinton's have been fighting for "Free" Trade with the DLC for years. Edwards was part of the DLC. The DLC fought for "free" trade.

Obama hasn't fought against "free" trade as I would have liked him to but he's voted against the big trade deal he's gotten to vote on (CAFTA) And I bet he will oppose SKFTA because it's basically in the same model as CAFTA. I think we will oppose CFTA because of the right-wing government and there genocide.

Edwards may have done some bad things in the past but he does have a better trade platform, as a Obama supporter I'll even admit that.

Frontpagers keep on hammering Obama on his economic advisers. But does Edwards have any better ones? Has anyone found out who they are?


"Live your beliefs and you can turn the world around." --Thoreau
by Populista on Thu May 10, 2007 at 09:28:50 PM EST
[ Parent ]

Re: A Trade Deal Compromise (3.00 / 0)

Edwards' campaign manager is David Bonior, who was one of the friendliest congressmen to worker rights in the 20th century.  He's also the chair of American Rights at Work (currently on leave to work for Edwards), which is one of the nation's primary labor advocacy organization (and on whose board sits John Sweeney, President of the AFL-CIO, among others).


John McCain
by DanM on Thu May 10, 2007 at 09:47:22 PM EST
[ Parent ]

Re: A Trade Deal Compromise (none / 0)

I know. David Bonior is one of the greatest Democrat's there is. If he was running for president. I'd be supporting him.

But he's running his campaign. Not advising him on policy.  Who's advising him on policy?


"Live your beliefs and you can turn the world around." --Thoreau
by Populista on Fri May 11, 2007 at 11:21:32 PM EST
[ Parent ]

Re: A Trade Deal Compromise (none / 0)

I don't know if you have had a chance to read Obama's recent book, but in it he talks about his vote for CAFTA.  He said that one of the reasons why he voted against the bill was because after talking to the President, he realized that the only way that the President would take the losses of trade seriously was to vote against the bill.  Obama's vote didn't end up forcing the issue because CAFTA passed, but it was a very pragmatic approach in my view.  I supported CAFTA, but like Obama I don't think we can just throw American workers to the wolves.  We have to do more to help our economy and American workers absorb some of the costs of free trade and help them experience some of the benefits.  


by KDJ on Thu May 10, 2007 at 09:58:23 PM EST
[ Parent ]

Re: A Trade Deal Compromise Between (none / 0)

I read Michaud's letter. What's the subtext?


by BingoL on Thu May 10, 2007 at 08:37:36 PM EST

Re: A Trade Deal Compromise Between Rangel and Bus (none / 0)

After reading the AP article, I don't see why this agreement is bad.  It requires our trade partners to uphold the labor standards from the International Labor Organization that many in this forum and others have been rallying behind.  It includes provisions regarding environmental concerns, and it discusses the impacts that these trade deals could have on our work force which could lead to further progress on reducing the negative effect of these trade agreements.

I don't know what else anyone could have asked for on our side.  Maybe I'm missing something, but I don't see how we could have asked for more in our trade agreements.  Many in the fair trade community have been crying for labor and environmental standards, and it seems that the minute they got them, they are not satisfied.


by KDJ on Thu May 10, 2007 at 08:50:51 PM EST

Re: A Trade Deal (3.00 / 1)

Sorry, but I don't trust George Bush and Uribe enough to let this one go.  Why should we trade with a country like Colombia where union organizers are being murdered?


"And so in the place of the palace of privilege, we seek to build a temple out of faith and hope and charity."-FDR
by jallen on Fri May 11, 2007 at 12:06:14 AM EST
[ Parent ]

NO MORE TRADE DEALS (3.00 / 0)

No deal, no how, no way.  Seven years with a 7% unemployment rate, and Michigan got nothing from Washington - not a dime.  Spinach growers let cows poop on their crop, and they get bailed out.  Enough of this NAFTA SHAFTA shit!  I don't want any more Chinese crap.  First Clinton screws us - now Pelosi.  I am as sick of neoliberals as I am neocons!    Charlie Rangel is an ass. A deal with Bush the biggest liar and crook in the country.


by dkmich on Thu May 10, 2007 at 08:57:27 PM EST

Re: NO MORE TRADE DEALS (none / 0)

Michigan is in a bad spot because of bad corporate management, not because of trade.  The Big Three did not adapt to a changing market, are still unwilling to adapt to a changing market at a time when oil is high and foreign cars get much better MPG, and therefore they will continue to lose market share.  They are not losing market share because of trade, they are losing market share because they are making an outdated product and they don't have the money anymore to pay for employee benefits.  


by KDJ on Thu May 10, 2007 at 09:06:18 PM EST
[ Parent ]

Re: NO MORE TRADE DEALS (3.00 / 0)

You have no clue what you are talking about. GM China is very profitable.  Toyota has a presence here.  They have no union, and they have no retiree legacies to pay for.  Toyota is in the process of breaking into the 15 MPG "monster" truck market.  I won't tell you something stupid like management had absolutely nothing to do with their problems, if you don't tell me something stupid like trade had nothing to do with it.


by dkmich on Fri May 11, 2007 at 05:15:51 AM EST
[ Parent ]

Re: NO MORE TRADE DEALS (none / 0)

Toyota does have a presence here, and you are right, they do not have the legacy costs.  I don't blame that on unions, I say that's good management.  The Big Three could have planned ahead for their legacy costs, could have adapted to a changing market in the United States.  But they didn't, and that's why those jobs are gone and their market share is gone.

GM China is profitable, but is profitable by selling cars that meet China's fuel economy standards which are larger than ours.  GM makes great cars for the European market, but they don't sell those cars here and until they do, they will continue lose market share.

Toyota may be getting into the bigger truck market at 15 MPG, but they also have cars that are hybrids and can get well above 40+ MPG.  American companies don't.  In a world of high and tight oil markets and high gasoline prices, the American consumer is starting to demand better fuel economy.  Unfortunately, only foreign companies are addressing this.  For our job market, this is terrible.  However, for our environment and for our wallets, this is a great.  


by KDJ on Fri May 11, 2007 at 07:54:17 AM EST
[ Parent ]

Re: A Trade Deal Compromise Between Rangel and Bus (none / 0)

Why should Nancy Pelosi ask for approval from labor on legislative business?  It would be nice to have labor on her side of course, but she doesn't need to send her work through labor organizations.  For years, labor unions have said that labor and environmental standards were needed in trade bills.  Maybe they didn't everything they wanted, but it wouldn't be the first time that an interest group didn't everything they wanted.  From what I have read, they should be happy with this agreement and I have yet to see why, as Matt Stoller and David Sirota have claimed, they disapprove.  


by KDJ on Thu May 10, 2007 at 09:01:49 PM EST

Re: A Trade Deal Compromise Between Rangel and Bus (none / 0)

so labor approval is bad?  i have news for you:  nothing trade related EVER EVER gets even drafted as a bill until business lobbyists have looked at it.


McCain is defining Obama, and Obama is neither defining himself, nor McCain. This is awful.
by jgarcia on Thu May 10, 2007 at 09:05:44 PM EST
[ Parent ]

Re: A Trade Deal Compromise Between Rangel and Bus (none / 0)

I so hope karma is real.  When people who support Iraq and don't enlist, it pisses me off.  When people who support trade have a job, it pisses me off.  I so hope karma is real and that you get everything you asked for.


by dkmich on Fri May 11, 2007 at 05:17:35 AM EST
[ Parent ]

Re: A Trade Deal Compromise Between Rangel and Bus (none / 0)

I would say that most people who understand trade and its benefits do have jobs, probably good ones.  Not all do, but most do.  Since there is no way we can go back to the future in our economy, those who adapt to free trade and get into fields where they can take advantage of it will continue to prosper.  The old manufacturing jobs are gone and have been leaving for three decades now.  If those manufacturing workers haven't adapted yet, I hope they wake up soon and that our next President will put real money into re-training and vocational education programs.  


by KDJ on Fri May 11, 2007 at 07:59:57 AM EST
[ Parent ]

Re: A Trade Deal Compromise Between (3.00 / 1)

that's a smug and nasty, callous statement.  I'm sure you are/were a pampered white boy from a rich neighborhood with rich parents.


McCain is defining Obama, and Obama is neither defining himself, nor McCain. This is awful.
by jgarcia on Fri May 11, 2007 at 07:18:36 PM EST
[ Parent ]

Re: A Trade Deal Compromise Between Rangel and Bus (none / 0)

Your comment is smug and ignorant which makes you ripe for dislocation in say, 5 years.  First IT and technology is not working in a factory.  Second, manufacturing employs lots more than unskilled labor.  You would probably blame a rape victim for being raped, too.


by dkmich on Sat May 12, 2007 at 08:07:03 AM EST
[ Parent ]

Re: A Trade Deal Compromise Between Rangel and Bus (none / 0)

Labor approval is not bad, but it is not necessary for everything the Democratic Party does.  The Democratic Party has a lot of constituencies, a lot in fact that are much larger than the labor movement is today.  Everyone, therefore, is going to get something they want, but is not going to get everything they want.  

And though business lobbyists have become a real enemy of many the last couple of years, I think there is a need for our representatives to be concerned about the health of American businesses.  That does not mean that they should roll over for business interests, but they should be taken into consideration.  


by KDJ on Thu May 10, 2007 at 09:09:28 PM EST

Re:Compromise Between Rangel and Bush? (none / 0)

I guess we'll have to see what it is before we can make judgements, but the cast of characters here is not promising.  Hopefully this is an indication they are turning around.


Dameocrat Blog also Stray Roots Messageboard
by Dameocrat on Thu May 10, 2007 at 09:15:13 PM EST

Re:Compromise Between Rangel and Bush? (none / 0)

How many bridges can you buy?  Look what Clinton did to us.  Now, imagine a deal with Bush.  So, the Dems couldn't even get him to sign a minimum wage deal, but a compromise on something as huge as fast track and more f&*king trade - no problem?  Bull shit.  Count on getting screwed and having the Dems say, "who could have thought" while they are on the stump promising you change.  


by dkmich on Sat May 12, 2007 at 08:09:59 AM EST
[ Parent ]


You are not logged in.

In order to post a comment, you must be logged in. If you have a member account, please log in to comment.

If not, you can make an account right here. It's quick and free.