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Trade bill approval – a priority for Bush

12 Sep '06
2 min read

Winning approval of the Vietnam trade bill was a priority for the Bush administration, said a spokesperson for the US Trade Representative's Office.

Meanwhile, Senators Max Baucus, a Montana Democrat and Gordon Smith, an Oregon Republican have written to Bush "Granting Vietnam PNTR (permanent normal trade relations) would be a move of great historic and commercial value."

Besides, two members of Bush's Republican Party – Sen. Elizabeth Dole of North Carolina and Sen. Lindsey Graham of South Carolina – are blocking consideration of the agreement in the Senate because of textile concerns.

At this juncture, business groups are concerned that waiting until after the election to vote on the Vietnam bill could be fraught with risks, especially if a big Democratic victory makes it politically difficult for Republicans to get anything done.

The Bush administration reached an agreement in May making the way for Vietnam to join the World Trade Organization by the middle of October and normalize trade relations between the two former battlefield enemies.

The lop-sided deal requires Vietnam to open its markets to more US farm goods, manufactured products and services such as banking and telecommunications.

The deal only requires the United States to lift quotas it now imposes on clothing imports from Vietnam because such restrictions are a violation of WTO rules.

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