House Approves Trade Bill to Ease African Imports

Legislation to extend a broad range of trade preferences to Africa, allowing many of its products to be imported duty-free, won House approval Friday.

The legislation, designed to spur economic growth and private investment in 48 sub-Saharan countries, was approved, 234 to 163.

The House passed nearly identical legislation last year, but it died in the Senate, partly due to concerns that it could hurt American textile workers.

This year, sponsors are more optimistic about Senate passage.

The region, with 700 million people, now accounts for only 2% of U.S. trade.

The measure would grant duty-free and quota-free treatment to many products, particularly textiles and apparel, and promote private investment in Africa.

To qualify for the trade preferences, the countries would have to act to establish market-driven economies and not engage in human rights violations.

The bill will not only open new markets to the United States but also “help Africa join the global trading environment,” said Rep. Ed Royce (R-Fullerton), chairman of the International Relations subcommittee on Africa.

President Clinton strongly supports the measure.

U.S. Trade Representative Charlene Barshefsky called the House vote “a vital step toward promoting further economic growth and reform in Africa. It is the best opportunity in decades to create the right relationship with the Africa of the future.”

Opposition came from lawmakers from Southeastern textile states and from those who suggested it would benefit large multinational corporations at the expense of African sovereignty.

Some opponents said they were concerned that China and other low-wage Asian countries would send their products to Africa to be relabeled and shipped to the United States to avoid duties and tariffs.

“There will be a national holiday in China when this bill passes,” said Rep. Lindsey O. Graham (R-S.C.). “There’s going to be a stamp that says ‘made in Africa,’ but the slave labor will come from China.”

However, Royce said that any country found to be engaging in such so-called transshipment could be removed from the program of trade preferences.