Trade Act of 1974
The Trade Act of 1974 (actually enacted January 3, 1975 as Pub.L. 93-618, 88 Stat. 1978, 19 U.S.C. ch.12) was passed to help industry in the United States become more competitive or phase workers into other industries or occupations.
Fast track authority
It created fast track authority for the President to negotiate trade agreements that Congress can approve or disapprove but cannot amend or filibuster. The fast track authority created under the Act extended to 1994 and was restored in 2002 by the Trade Act of 2002. The Act provided the President with tariff and non-tariff trade barrier negotiating authority for the Tokyo Round of multilateral trade negotiations. Gerald Ford was the President at the time.
Power to counteract unfair foreign trade practices
It also gave the President broad authority to counteract injurious and unfair foreign trade practices.
- Section 201 of the Act requires the International Trade Commission to investigate petitions filed by domestic industries or workers claiming injury or threat of injury due to expanding imports. Investigations must be completed within 6 months. If such injury is found, restrictive measures may be implemented. Action under Section 201 is allowed under the GATT escape clause, GATT Article XIX.
- Section 301 was designed to eliminate unfair foreign trade practices that adversely affect U.S. trade and investment in both goods and services. Under Section 301, the President must determine whether the alleged practices are unjustifiable, unreasonable, or discriminatory and burden or restrict U.S. commerce. If the President determines that action is necessary, the law directs that all appropriate and feasible action within the President’s power should be taken to secure the elimination of the practice.[1]
References
- ^ CRS Report for Congress: Agriculture: A Glossary of Terms, Programs, and Laws, 2005 Edition - Order Code 97-905