Business groups hail breakthough on Trade Promotion Authority renewal

American business groups were quick to hail the congressional deal on new legislation Thursday that renews President Obama’s authority to negotiate major new trade deals with Europe and Asia.

Senate Finance Committee Chairman Orrin Hatch, ranking Democrat Ron Wyden of Oregon, and House Ways and Means Chairman Paul Ryan on Thursday introduced the bipartisan bill to renew Mr. Obama’s lapsed “fast-track” Trade Promotion Authority, or TPA, to cut trade deals.

“In today’s tough international markets, we need our trade negotiators to tear down the foreign tariffs and other barriers that too often shut out U.S. products,” said U.S. Chamber of Commerce President Thomas J. Donohue. “To secure new growth-creating trade pacts such as the trans-Pacific and trans-Atlantic agreements now under negotiation, Congress much first approve TPA.”

“TPA is a vital tool to help Americans sell their goods and services to the 95 percent of the world’s customers living outside our borders,” He added.

Kurt Nagle, president and CEO of the American Association of Port Authorities, said that given the major trade deals currently being negotiated, the TPA legislation would clarify the relationship between the president and Congress.

“Under the U.S. Constitution, the president and Congress share authority on international trade. TPA helps define this relationship in a way that creates a strong partnership between the two,” Mr. Nagle said.

The AAPA was joined by business groups such as the Sweetener Users Association and the National Cattlemen’s Beef Association in pressing for quick congressional approval of the trade legislation.

But AFL-CIO head Richard Trumka, reflecting the labor umbrella group’s long opposition to free trade treaties, slammed the bill Thursday, saying it would push down U.S. workers’ wages and outsource jobs.

“Trade deals have wide-ranging impacts and shouldn’t be negotiated behind closed doors and then rubber-stamped,” said Mr. Trumka. “A deal this big should be debated in a full and open manner like every other piece of legislation. Working people are showing tremendous courage standing up to the low-wage, corporate agenda. It’s time for politicians to do the same.”