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U.S. Trade With Chile

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Your Dec. 30 editorial asserts that the United States is losing business in Chile because of Congress’ failure to extend fast-track negotiating authority. In fact, U.S. exports to Chile are growing at a healthy pace, as is our trade surplus. In the first eight months of 1997, U.S. exports to Chile grew by 7%, and our trade surplus grew 14%.

You claim that American firms lost out to Northern Telecom, a Canadian company, in a Chilean telecommunications deal because of the Canada-Chile trade agreement. In fact, the Northern Telecom deal was reached before the Canada-Chile trade pact was even concluded.

You also cite an example involving Chrysler’s moving production of vans destined for Chile from St. Louis to Ontario in order to gain the benefits of lower tariffs. This minor production shift cost no jobs in St. Louis--an example of a global company shifting production around to take full advantage of its facilities.

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The real issue is whether the next generation of trade agreements will do as good a job protecting workers and the environment as it does protecting business interests. The AFL-CIO will continue to fight for a trading system that benefits workers here and abroad, and protects the safety of our food and our environment.

JOHN J. SWEENEY

President, AFL-CIO

Washington

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