Russian PNTR Status, AGOA Third-Country Fabric Provisions Among Congressional Priorities, Says Reid Staffer

Congressional focus will be on giving Russia permanent normal trade relations (PNTR) status and repealing Jackson--Vanik, the 1974 law meant to restrict trade with Communist countries, said Ayesha Khanna, policy advisor for Senate Majority Leader Harry Reid (D-Nev.) Khanna spoke at the American Association of Exporters and Importers conference June 4. While the Jacskon-Vanik issue won't be without controversy, it is something Khanna expects Congressional attention on "at some point in the near term," she said.

(See ITT's Online Archives 12030814 for summary of the USTR's efforts to get rid of Jackson-Vanik.)

The miscellaneous tariff bill so far doesn't have momentum in the Senate, due in part to an ongoing question about whether the suspension of duties for certain products constitute an earmark, she said. While Khanna said she hopes to get the MTB done, it has historically been approved by consent, she said.

(See ITT's Online Archives 12040239 for a summary of lawmakers' announcements of the beginning of the miscellaneous tariff bill process.)

An extension to Third-Country Fabric (TCF) provision in the African Growth and Opportunity Act (AGOA) that allows African countries to use third-country fabric and then export that into the U.S is also "percolating," she said. The provision is set to expire in September 2012.

(See ITT’s Online Archives 11122007 for summary of December 2011 introduction in the U.S. Senate of a bill to, among other things, extend the Third Country Fabric provision of AGOA. See 12051406 for a summary of USTR's push for a TCF extension).

World Trade Organization Trade Facilitation is among the major focuses at the office of the U.S. Trade Representative, said Jason Bernstein, director of customs affairs at the USTR. The facilitation will help modernize customs processes among WTO members and is something many countries really want to get done, he said. A successful agreement would be especially beneficial to U.S. exports, he said.