Froman, Pritzker Nominated for USTR and Commerce Positions

President Obama nominated his law school classmate and current Deputy National Security Advisor Mike Froman to be the next U.S. Trade Representative, and longtime fundraiser Penny Pritzker, billionaire and Hyatt Hotels family descendant, to be Commerce Secretary May 2.

Froman has a deep history in the international trade field. He has served in his current administration position, Deputy National Security Advisor for International Economies, since 2009. Froman is also the U.S. “Sherpa” for the G20 and G8 summits, and participates in numerous other international economic groups: the Asia-Pacific Economic Cooperation, the major Economies Forum on Energy and Climate, and the Transatlantic Economic Council.

Froman has often been the driving force behind such international summits, President Obama said in his rose garden nomination announcement May 2. “He has won the respect of our trading partners around the world. He has also won a reputation as being an extraordinarily tough negotiator while doing it.”

Froman played a critical role in the final stages of the U.S.-Korea Free Trade Agreement, said National Foreign Trade Council President Bill Reinsch in a statement. He is a “proven closer of agreements,” a key factor because the Trans-Pacific Partnership and EU-U.S. agreement loom large on this year’s trade agenda, Reinsch said. “… It is essential that we have a trade ambassador with experience negotiating and finalizing trade agreements,” he said. In a separate interview, Reinsch also stressed the importance of having a Presidentially nominated, Congressionally confirmed USTR. Other countries expect to meet an official -- not acting -- representative at the negotiating table, Reinsch said. "The reality is, ministers want to deal with [another] minister."

From 1997-1999, Froman worked as Chief of Staff in the Treasury Department. From 1993-1995 he served as the Director of International Economic Affairs on both the National Economic Council and the National Security Council. Between his stints in government, Froman spent a decade at Citigroup. He spent time in Citigroup’s international insurance business, the Office of the Chairman and in Citi Alternative Investments.

“USTR is an effective, nimble agency, and by choosing Mr. Froman to lead it, the administration is sending a clear signal that trade is a top priority,” said Senate Finance Committee Chairman Max Baucus, D-Mont., in a statement. “He has been an instrumental player in trade negotiations over the last four years and will hit the ground running.”

House Ways and Means leaders also threw their support behind Froman. Trade Subcommittee Chairman Devin Nunes, R-Calif., said in a statement Froman’s nomination “bolsters the administration’s commitment to finalizing trade agreements that open up new markets and create strong enforcement mechanisms.”

Commerce nominee Pritzker has “more than 25 years of management experience in industries including real estate, finance, and hospitality,” Obama said. Like Froman, she has a history with the administration. In 2008, Pritzker served as Obama’s national finance campaign chair; in 2012, she was the national campaign co-chair. The Chicago native is also on the President’s Council for Jobs and Competitiveness and a member of the Hyatt Hotels Corporation board. Obama also called her an “extraordinary civic leader,” citing her leadership in the Skills for America’s Future program, which works to partner companies and community colleges on education and job training.

“Penny Pritzker will bring a successful background in the private sector to the Commerce Department,” Baucus said. “Her leadership will help spur greater innovation across our economy and make us more competitive around the world.” If confirmed, Froman would replace USTR Ron Kirk, former Dallas mayor who had served since the beginning of Obama's term. Kirk stepped down in February and is now senior of counsel at law firm Gibson, Dunn & Crutcher. Pritzker would replace outgoing Acting Commerce Secretary Rebecca Blank, who is leaving to become chancellor of the University of Wisconsin-Madison.