Statement of Administration Policy: S. 942 - Telecommunications Trade Act of 1985

(Senate)
(Sen. Danforth (R) Missouri and four others)

The Administration opposes enactment of S. 942 in its present form because the bill raises a number of serious concerns. In particular:

The mandatory sector-specific retaliation provisions would place unwise and unacceptable limits on Presidential discretion.

Certain provisions of the bill raise constitutional questions, notably the requirement that the President transmit to Congress draft bills that would implement measures to remove imbalances of competitive opportunity in cases where negotiations have been unsuccessful.

The language and intent of several provisions of the bill are unclear and need to be more thoroughly discussed.

The Administration fully recognizes the importance of the telecommunications sector and shares the objectives cited in the bill of liberalizing world trade in telecommunications and increasing market opportunities for U.S. exporters. The Administration is, in fact, aggressively pursuing increased market access with several countries; substantial progress has been made, particularly with Japan. The Administration will continue to press for improved access to foreign telecommunications markets, and will use its existing authorities under U.S. trade law to combat unfair foreign trade practices. While the Administration is opposed to S. 942, we would be willing to work with congress next year to develop acceptable legislation regarding the telecommunications sector.