Chuck Grassley: “I will respond to some of the speakers through the course of debate on this bill who pointed to a report of the…”

“I will respond to some of the speakers through the course of debate on this bill who pointed to a report of the International Trade Commission on CAFTA as evidence that this trade agreement is not meaningful to the United States. Let me explain that the International Trade Commission is an agency of the Federal Government, but it is an agency that is very independent, with 9-year terms for members to serve. They do a great deal of research in international trade and are very well respected for the reports they put out. This report that was referred to as evidence of this trade agreement not being helpful to the United States misrepresents the scope of the International Trade Commission estimates as well as the scale of the CAFTA agreement itself. Critics point to one part of the International Trade Commission report which estimates the tariff and quota liberalizations under the agreement will result in zero percent change in welfare for the United States. Now, those critics ignore the Commission's conclusion that if CAFTA is fully implemented, overall U.S. welfare will increase in a range of $135 million to $248 million, with minimal impact on U.S. employment and output. In fact, the Commission estimates that no sector of the U.S. economy is likely to experience a decline in output, revenue, or employment greater than 2.5 percent once CAFTA is fully implemented.…”