Transcripts For CSPAN Elected 20240704

Thank you. Im going to give you the last word. Thank you all for joining, and thank you for having us. Thank you all very much. Next, a discussion about congressional efforts on trade policy, enforcement, and access to global markets. Republican representative Adrian Smith Nebraska and the Vice President of gap inc. Took part in the discussion. Smith criticizes the Biden Administration for not doing enough on trade. Thank you, everybody, for your patience with us. I would like to welcome to the stage congressman adrian smith with Stephanie Lester gap think of gap inc. Thank you for sticking with us for the closing session of the 2024 Washington International trade conference. We are delighted to welcome our final speaker on stage. Hes a good friend of the trade community, the chairman of the house ways and Means Committee and subcommittee, adrian smith of nebraskas third congressional district, which im told is 65,000 square miles, one of the largest nonatlarge districts in the country, bigger than 26 states if my math is correct. Thank you so much for joining us, and stephanie, who is the Vice President of the board of directors, thank you for joining us as well. Thank. Thrilled to be with you. Little bit more about you, some fun facts, it is not only large geographically, but your district is the number one agriculture producing district by market value, right . You have a lot in agriculture. You are a big nebraska volleyball fan. I hear. Folks may remember last year the nebraska womens Volleyball Team set a new world record, pulling 92,000 fans to a game, which that would make taylor swift proud. In a football stadium. Quite something. You are cochair of the agriculture trade caucus. We all know trade is very important to farmers. Lets dig right in. I want to start with the constitution and the constitutional underpinnings of trade with the constitution, article one, section eight, giving congress the authority to regulate tariffs and foreign commerce. Where is Congress Going to go . What is the role of congress . Tpa was last renewed in 2015. Generations ago. Feels like generations ago. What do you think the role of congress should be in policymaking . Trade obviously requires the vote of congress, but it also necessitates the leadership of the administration. This is, i think, a great example of tag teaming that can take place to achieve a common goal. Obviously, the legislative branch, there can be gridlock and various things, and yet, now would be such a great opportunity for the administration to stand up and be heard, for example, on biotech corn in mexico, for example. Yeah, i guess they are going through the process for enforcement, but i would like to see a stronger position from the administration because congress did our work. Please remember that usmca was a trump priority under a pelosi speakership. It got done. A great example, and i think it can give us some opportunity moving forward. I think we have seen both trump and Biden Administrations have claimed authority to negotiate agreements without apa. We had with trump the japan phase one agreement. We have biden pursuing Critical Minerals. They have also imposed and maintained some significant tariffs under authority is delegated by congress. These delegations date back to the 1960s and 1970s. Do you think they have gone too far . How do we get that back and forth that you were talking about, cocreation . The critical agreement the Biden Administration established recently, democrats raise concerns the administration went too far on that. I think we should always expect an administration to go as far as they possibly can, that perhaps they can get away with, but to ignore congress is to also ignore opportunities to expand trade and to find trade that has enforcement along with it. Ipep, of course has been scaled back. Is it such a lighttouch approach. I dont think you will find too many folks saying the administration went too far because theres just not a lot there. But enforcement, and i think this is a bipartisan dynamic here enforcement for any trade agreement is vital. If there are discussions that take place around trade, thats fine, but unless it contains enforcement, it just will not be as strong. At the same time, for my colleagues and there are many concerned about labor and the environment on both sides of the aisle, that level Playing Field that we seek, the best way to achieve that is through trade agreements and having these discussions, ironing out the differences, and the best way to get other countries to elevate their labor and environment policies to be closer to us is to say, heres how we can go about that after a good, thorough conversation and then ultimately, winding its way through a process such as a trade agreement. You mentioned there is not much of their there there is not much there there. Is there an effort to change the dynamics to get some more there there . There is an effort. Workforce shortages across our economy have recently impacted ustr as well. The fact is we just dont see the priority from the administration, which is unfortunate because i did hope they would be a stronger posture of really leaning into various trade policies that we know these problems exist, and its not just mexico and biotech corn, for example. That one happens to be important to my district, and i would say that if we push that aside or do not aggressively defend ourselves on that, i think we should expect other countries on many fronts to really undermine what has previously been agreed upon. When you look at agriculture and usmca, the main difference between nafta and usmca is about technology, and here we are. I think it could have and should have been resolved long before now, but lets not sit back and just watch to see what happens. We need to be aggressive, and hopefully, the president will step up and say himself that what is happening is not right. Yeah. I mentioned the tariffs that were imposed under President Trump and then maintained with biden, and now we are in an Election Year and have heard suggestions of maybe 60 tariffs on china in addition and 10 acrosstheboard tariff increase. Do you think congress should rethink the authority they have delegated to the administration . Is there any appetite to revisit some of those . I think it would be hard to revisit those for right now and its no secret that im not a huge fan of tariffs. I will also say that with any good negotiation, you want all your tools available, to have every tool on the table, and that should they be used, it should be done in a nimble fashion to send a message that we are serious about leveling the Playing Field. Theyre the ones that make up our economy, and i heard someone say one time that its not government that creates jobs. Its not even employers who create jobs. Its customers who create jobs. Here we are. Working for a brand, i can really see that sentiment. Trade policy feels very polarized. How are members of Congress Looking at trade policy as trade subcommittee chairs how are members of Congress Looking at trade policy . As trade subcommittee chair, are they coming to you . I imagine farmers, this is top of mind for them. What are some of the behind the scenes conversations . Colleagues generally come to me with a concern about supply chain. I hear a lot about that. Back home in the district, i will say that in terms of agriculture, President Trump enjoyed a lot of support even amidst some of the retaliation that had taken place because i think they sensed that there was a strong position coming from washington and the white house at the time on leveling the Playing Field, and so leaning into those issues, trade writ large pin power folks to ultimately come together and provide a framework usmca, to the best of my knowledge, is the most bipartisan trade agreement in modern history. That i think was an opportunity to kick off and a precursor to other opportunities around the world that has not been seen of late. That raises a good question. While they poke while they both impose tariffs, you had trump really take on the usmca and the freetrade agreement. How would you compare the two administrations and their trade record . We are still awaiting the analysis on the tariffs, which we should have heard before now, i would argue, but not even looking at the outcomes of, say, the four years of the Trump Administration and so far the three years of biden, but it is hard to say that trade in the last three years is even close to a priority. As much hope as i had when our trade ambassador was introduced on a bipartisan basis before the senate panel and had a confirmation process, i dont know what all has led to such inactivity coming from the administration as relates to trade, but it is glaring, and its all amidst supply chain crisis, inflation. If ever there is a time we need to lean in to trade, it is right now and has been this way for some time. Is, they clearly dont have the votes for a trade agreement. I dont know of any trade agreement that started out with enough votes. It required a great amount of diligence, conversation, interaction. Both branches, executive and legislative, of the government. That is the way it is supposed to be. Trade is not easy. Its very difficult, very complex. It gets in the weeds very quickly, but to just ignore it will not cause the problems to go away. Engagement is what is necessary. Domestic manufacturers are begging for stronger supply chains and various other dynamics we need to Pay Attention to. And were not seeing it, and its unfortunate. I hear you on the inaction. I am an optimist. Im excited at the prospect of ways and means digging in on trade. Hopefully in the near term. This is what everybody wants to hear about, the ways and means trade agenda, so lets go there. There is pending legislation that is the role of congress to renew things like the generalized system of preferences, which i personally think is a dereliction of duty that it has been expired as long as it has. Also, the miscellaneous tariffs bill, agoa, haiti, all these things are coming up for renewal in our legislative program. What do you expect to come up in committee in the coming weeks and months . You can look for legislation coming up on tsp and mtb. I have been interacting with colleagues and some good dialogue there that i think can help us arrive at some text to move some things forward. Overall, we just had a hearing last week on the trade subcommittee about the wto heading into their next ministerial. Very bipartisan in our concerns. Whether it is the trips waiver and what that means going forward. But three years more than three years now with jfp and mtb lapsed. That obviously has folks concerned when they are thinking about agoa coming up next year for renewal. That sends signals, that threeyear lapse sends signals in other directions that we should be concerned about. We are making Good Progress and able to bring folks together on this. Its unfortunate that it has taken so long. Do you expect that work to be bipartisan . I do believe the work will be bipartisan. Domestic manufacturing, for example, thats begging for these provisions, its bipartisan. These Companies Across america arent just in republican districts, for example, or just democrat districts. Its all very bipartisan. The fact that usmca was so bipartisan has elevated the interests of both sides of the aisle. Lets use that moving forward to move the ball down the field. There is also a lot of attention on china among policymakers. The select committee on the Chinese Communist party has been vocal and active. Including making recommendations on china trade issues. Raising questions about pntr, policies like de minimis, these are squarely within the jurisdiction of the ways and Means Committee. How do you think the committee will deal with things that the China Committee has raised, and the recommendations . With any select committee creation, that can sometimes concern Standing Committees and the jurisdiction associated. But overall, there has been good conversation between the select committee on china, the ways and Means Committee, other committees as well. I appreciate their diligence. The bipartisan nature and priority of being bipartisan has been especially helpful. I will also say looking back to last spring, when the president of taiwan came to california to the Ronald Reagan president ial library, that was a bipartisan presence for us to welcome the president of taiwan. That helped us get some other things done moving forward from there. Now when it comes to supply chains and what china happens to be doing right now, that concerns me a lot. Perhaps there were unintended consequences. But on response, we need to be careful of unintended consequences, that we might take some action and not even come close to achieving what was intended. In fact, up to the side, there might be even worse consequences, so we have to be careful of that. The economy, the way it moves, we have to be diligent in how we fashion our policy. Again, keeping consumers in mind, but also relies that our supply chain resiliency can take form in different ways. And gsb mtb, for example, is not just about china. It is about other countries who share our values. Perhaps not 100 aligned. We need to be mindful of that. But develop fantastic opportunities along the way, whether it is central america, south america. Others, i dont want to get too geographically specific, but the fact of the matter is i think there are options that exist in a very vibrant way that again, leaning into trade policy , could deliver better results than what we have seen. At the beginning, a while back, i would have characterized the posture on trade from the white house has just treading water. I dont think it is that good these days. That inactivity from the administration that Many Democrats tell me off to the side that they are concerned about as well, that we are losing opportunities. With our own interests in mind. As well as the broader geopolitical interests. Losing opportunities takes me back to farmers. They are so in touch with trade and so reliant on trade. Are they asking you to find new ways to open Market Access . How do we get there in a bipartisan way. It just feels very stuck. Calling it stock, that is stuck, that is correct. U. S. Agriculture are very engaged on trade. Whether it is promotion of our products abroad, i wish more of the American People could understand the Foreign Ag Service and what exists on our behalf in embassies around the world. Its very impressive. So we want to keep them on task. And keep advocating for our products around the world. There are good examples of this, and we dont want to forget about that. In fact, i was in japan a few years back, and heard our Foreign Ag Service officer talk about usbs, and i am little partial, but an expert on the ground in a country like japan where it is absolutely vital. These are things that take place where we should celebrate. Agriculture is very engaged on this. But we cant take anything for granted. Other countries would love to take the market share we might take for granted from time to time. I happen to think that our beef tastes better than perhaps some other be from other countries. Beef from other countries. Unfortunately, consumers around the world share this view. But if our products are so much, ultimately are in charge and they will be pricesensitive as well. I imagine you have a strong opinion. Corn fed or grass fed . [laughs] you know the answer. Corn fed. They are healthy competitors i will say. When it comes to beef, they have their products, we have our products. Both valuable in different ways. That backandforth has been very healthy. And has given more opportunity for their products, and our products, and elevates the entire situation. I dont hear it from beef producers in my district saying well, shut out the japanese kobe or wagyu beef. There is room in the world for both of our products. That is just one example of how healthy competition ultimately helps consumers. I mentioned at the beginning, you are cochair of the congressional agriculture trade caucus. You have a strong cast of cochairs, Jimmy Panetta and jim costa. What do you hope to achieve with that caucus . We Just Launched a couple of weeks ago. I appreciate, it is both ways and means and ag committee and others, there are such keen interests in this. Ag has a great story to tell on trade. Having this ag trade caucus helps elevate that exposure to what has happened previously. Lets always remember how we have gone to the place where we are. And how we can leverage our position now for greater opportunities moving forward. Thats what this is about. Just so i am bringing more information to colleagues, ultimately, folks across america and around the world, that agriculture does not happen by accident. We have record yields and drought. That research is not as valuable unless producers across ag america are willing to engage new ways of doing things. If were not careful, and we dont have expanding markets overseas, we just have our producers become victims of our own success in terms of efficient production. It is an Incredible Opportunity that we can help feed the world. I think we should take this very seriously. When you look at the developments, there is so much to celebrate and highlight. I dont want to monopolize all the questions. I imagine the audience has some burning questions. Doug, im looking right at you. Thanks. Congressman smith, i wonder if you could elaborate on the prospects for legislation. You sounded fairly optimistic of stuff moving. Use the a package of trade legislation getting through the house and senate all the way to the president s desk . Would it include gsp, miscellaneous tariffs bill, i dont know what else, taa or agoa renewal. I am hearing from colleagues that gsp has a lot of momentum. Mtb certainly is important as well. Hard to say exactly, even with legislation thats being introduced, but that final product looks like. But there is bipartisan interest here. Especially the signals we can send to gsp and mtb to teeing up hopefully agoa renewal before it expires so we can prevent any lapsed time that would otherwise take place. Thanks, i had a question on de minimis which stephanie mentioned. There are proposals where length around swirling around to eliminate de minimis entirely. Exclude certain countries for geopolitical reasons. Exclude certain products to deal with particular protected industries. To ensure cdp get sufficient information. What are your thoughts on that and what youre hearing from members, how you navigate that, while maintaining the underlying policy behind having a de minimis provision, a Common Thread with those who expressed concern to me, for good reason, is enforcement. Hypothetically, if de minimis were gotten rid of, and there were no enforcement, would anything change . The titer that might be the more and difficult enforcement can become. Just take canada. There is such a bearing difference between our and their de minimis because they are so protectionist in their approach. Alternately, that hurt their own consumers. But as we move forward looking at de minimis now, and there is a variety of opinions, my first message is how can we accomplish whatever someone is setting out to accomplish . We have to be very thoughtful in this approach. I think we have arrived at a samaria at a scenario, commercially just looking anecdotally, that some of these things were not intended with the increase in de minimis the way it has been. So, moving forward, lets have as much information on the table as possible, so that we can sort through what is it that folks really want to achieve . How and what is the best way to go about achieving that. So we have to be diligent and careful. Congressman, good to see you again. I have a question that you mentioned is a priority. For the mexican private sector, it is no exemption. As you know, the record of the usmca on enforcement putting aside labor, is not good. My question is if we can expect a window of opportunity to change this trend once the elections are over . You have your election, we have ours this year. We will soon get after the elections into the review clause. October 25, that process will start. Do you see a window of opportunity building on the bipartisanship of usmca to work on getting the review closed with a better record . Maybe the recently created caucus on ag good deliberate on that. The short answer is yes. There is a window of opportunity, obviously, with our president ial election coming up, that provides limited opportunity for policy this year. But i think, soon after the election, there is reasons you mentioned as well. I point to hey, lets get this worked out so that both sides can move forward in a way where it is understandable. And various stakeholders see on the horizon a more level Playing Field. Congressman, im with mclarty associates. Thank you for taking the time. I liked what you said about the consumer and customer really driving the way we think about trade. Perhaps one of the most direct ways for companies in america, particularly small and mediumsized to reach new customers, is through the internet. We havent spoken much about digital trade. Im interested in your perspective because you talked about ustr and the administration treading water, but in many ways in digital, we are seeing a backstroke. Of course, usmca had some really novel commitments when it came to digital trade and ecommerce. Regrettably, we see the administration moving away from longheld positions with free flow of data and competition for u. S. Companies overseas. Im interested in what the subcommittee or more broadly the ways and Means Committee might do to make sure we are promoting high standards in the space. There are great examples of expressed concern among colleagues. That is just two of many who are digital a you are digital who are diligently working on the digital front. On the bipartisan path, were all nervous what might be said in the next ministerial with wto. We just dont sense priority from the administration that here we are on the digital front, that we dont want to give that away. In our national interest, but summer interests around the world. Realizing that on the digital front, its not even an entity replacing in the economy something else, but it is the multiplier effect. It can actually be daunting at times. But what a great opportunity. I would say for the administration to step up and say, here is what we need. Perhaps because of congress and the bipartisan concerns in the legislative branch, im concerned that the administration, even with having no enforcement to it, that they backed off of anything digital along that route. Thank you for the time. I was wondering what the status is in regards to that Critical Minerals agreement between the u. S. And eu, and what role congress and the ways and Means Committee is playing there, what to expect in the next few months. I dont think it is clear enough yet for us to formulate a way forward. Critical minerals, the broader issue is getting a lot of conversation among colleagues. Perhaps with the environmental point of view from some, economically speaking, my own district has a play for Critical Minerals. Thats a great opportunity for us in middle america. Also, there is lacking clarity moving forward in terms of manufacturing. Whether its evs totally, or the hybrid approach, thats more the manufacturing side, but the intensity of need for Critical Minerals will be there. But working out those details remains. Again, its a great example that we need to have the conversations moving forward that are not yet being had. At least that we have been informed of. Whether its europe, elsewhere, we need to engage. Hi, International Trade today. I want to come back to de minimis. You are talking about whether we changed and enforcement doesnt. I wanted to ask whether cpb is the one that has to enforce. What are they or their staff telling you about what could be administerable . Are some of these ideas about cutting out textiles or china specifically, are they saying we dont think that would be effective, and this is what we think would be more effective . Overall, there is concern about resources and how impactful, what they need moving forward. I couldnt give you exact specifics of what they actually want. But we want them to be able to do their job. Theyve got a task, is not easy. That agility moving forward is important, so that they feel they have the opportunity and the ability to enforce without some distractions or rigidity that they may not be as effective at accomplishing the objective. Mr. Chairman, thank you for your time. You spoke rightly on the importance of enforcement for the valleys of the agreement. Values of the agreement. For the wto, the administrations killed the enforcement mechanism with this process. Although the country quoteunquote won 85 of the panels. I would like your thoughts about that. Your thoughts about enforcement . The fact that the u. S. Essentially got rid of the enforcement mechanism in the wto. There is concern about wto and the overall framework of how they operate. That basically one country can effectively have veto power over anything. I hear from my colleagues a lot, in terms of how the wto is funded and how they operate. That heading into various big decisions, i grow concerned that the way its structured, that other countries might have that veto authority. Are we utilizing our role the way we can and should as well . Trips and so forth have given me concerned that were not even as ambiguous as some of these challenges are. That when we have the opportunity, because of the way they are structured, that were not taking advantage of those opportunities. That concerns me. It especially concerns my colleagues who raised various concerns. Part of those are raised in the hearing last week as well. One more question over there and then we will wrap up. Thank you for taking my question. China morning post. We were talking about china and trade, and that we have this technology of competition going on. I wanted to get your thought on where the Biden Administration is looking for areas to cooperate with china. Is agriculture one area that can become the foundation of rebuilding the relationship . Or is there a National Security concern in that area as well. Recently, we had a senator saying importing garlic is a National Security concern. I wanted to get your thoughts on that. There will be a number of different characterizations with various interests in mind. By default, the fact that our ag sector is so productive and efficient. The fact that Everyone Needs to eat around the world. And 96 of the worlds population lives outside our country. Its a natural fit that were viewed as a leader, and how important agriculture is to like i said, feeding the world. Over time, numbers point to the fact that we have given other countries more access to our market than they have given us to theres. Thats a problem. That doesnt get swept aside when there are to engagements and conversations that need to take place. So agriculture is front and center. Make no mistake. Thats why other countries retaliate on agriculture because they know how important it is to our country. That is even better reason that President Biden should consider the mexican corn issue just head on. It can be done in a diplomatic fashion. 435 members of the house, another 100 senators, all free agents so to speak, as it relates to representing their constituency. And the various perfectives they share. That is the beauty of our system, too, it is broadbased. Lets utilize that. But thats what makes trade more difficult. That doesnt mean we should walk away from doing what we need to do to really lean in. And like i said, is an Incredible Opportunity to have the resources to help feed the world. Without even mentioning the benefits of what a fed world can deliver. That might be for more conferences moving forward. But i appreciate the opportunity. Glad you are engaged and leaning into such important issues. One last question. We will give everybody a little homework. This is the trade a microcosm of trade policy in d. C. We talk about trade being stuck. We are the policymakers, lobbyists, what would you like all of us to do to get to a more constructive place on trade . Trade as an issue might be stuck right now, but it wont stay stuck by itself. Consumers, domestically and beyond, they will have some things to say about various things. Whether it is what they have to pay at the Grocery Store or elsewhere. Im probably preaching to the choir here. To share information about where were we x amount of time ago compared to where we are now, and where we can go moving forward. Like i said, its a complex issue. And over time, it has evolved. It can tilt the field against us domestically, but i also see that as an opportunity to elevate the discussion. Even in a district like mine before usmca, its an early trump term, trade was getting a bad name. I would say inaccurately that way. But the Trump Administration leaning into the trade issue writ large elevated the discussion in coffee shops across my district and i think across america. Whether it was democrats opposed to tariffs at the time because they were trumps tariffs, or what have you, but the discussion was elevated in terms of whats happening, where have we been and where are we going with this . I think thats healthy and we should utilize that moving forward to channel the discussion and be productive about it. And ultimately, getting trade unstuck but also in a productive fashion. Thank you, congressman. Veryful to you. Thank you, stephanie. The house voted to impeach Homeland Security secta Alejandra Mayorkas along a near partyline vote o 214213. Is accused under two articles laws and breaching public the representatives ke, Mike Gallagher and Tom Mcclintock were the only republicans to vote again t charges which are now subject to trial in the senate. Thcase against mayorkas will be prosecuted by these are public and members of the house who have been appointed as impeachment managers. They include security commite chair mark green, foreign committees cirike mccall, and george was Marjorie Taylor greene initially introduced peachment resolution against secretary mayorkas. In a written statement, the senateity leader Chuck Schumer claimed there was no evidence of a crimng in part this sham impeachment another embarrassment. The one and only as is for speaker johnson toer appease donald trump. This statement from President Biden,tory will not look their blatant activeblicans for unconstitutional partisanship that has targeted an honorable polica servant to play ineaof staging stunts, republicans with genuine coerns about the border, should Want Congress to deliver more resources and stronger border security. When a trial occurs in the senate, you will be able to watch it live on cspan2. For cspans voices 2024, were asking voters across the country, what issues most important in this election . And why. The most important issue is immigration. Economics. Homelessness is an issue that needs to be addressed. Share your voice by going to our website cspan. Org campaign2024, select the record your voice to have entered toward a 30 second video telling is your issue and why. Voices 2024. Be a part of the conversation. Senate majority leader Chuck Schumer spoke to reporters after the passage of a 95 billion foreign aid package for ukraine, israel and taiwan. He urged House Speaker mike johnson to pass it through the lower chamber