Wyden Wants GSP, TAA Renewal


Senate Finance Committee Chairman Ron Wyden (D-Ore) is hoping to produce bipartisan legislation reauthorizing and improving the long-expired Generalized System of Preferences program.

But he and other Democrats on the committee said any renewal of GSP will have to include reauthorization of the Trade Adjustment Assistance program for workers who lose their jobs because on imports. TAA expired in 2021.

Sen. Wyden said he hopes to move in an expeditious way on legislation similar to that approved by the Senate with strong bipartisan support three years ago.

The lapse of GSP in 2020 has resulted in US companies shifting supply chains back to China, he said. “If the United States is serious about moving away from Chinese manufactured goods and creating good-paying red, white, and blue jobs, renewing GSP is a good place to start.”


Sen. Wyden also touched on renewal of the African Growth and Opportunity Act, which expires next year, saying Congress will need to look at how to encourage the use of the program and how to modernize it to address digital trade and innovation.

Both Sen. Wyden and ranking Republican Mike Crapo (Idaho) said the Administration should elevate the trade partnership negotiations with Kenya into a full free trade agreement.

GSP renewal should not be controversial, Sen. Crapo said, and it should be accompanied by AGOA renewal. However, he rejected the idea of linking TAA to renewal of preferences programs. TAA, he said, has always been a trade off from Trade Promotion Authority. President Biden is not seeking TPA.

Sens. Sherrod Brown (D-Ohio) and Elizabeth Warren (D-Mass) were emphatic that they will not support renewal of GSP without TAA. Sen. Warren suggested that GSP should not be renewed retroactively as it traditionally has, because the tariff refunds that would go to US importers could pay for TAA renewal.


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