Speech #930160925

This is a worthy objective. It is fully in the spirit of the Presidents wish. in connection with EastWest relations generally. to move away from confrontation and toward negotiation in resolving international differences. Title IV of the bill also contains provisions that condition the extension of MFN treatment upon compliance with stated standards of practice on emigration. These provisions reflect the problem faced in the Ways and Means Committee of balancing the very real importance of trade cooperation as a part of generally improved relations across the board with the desire to support free speech and free movement on a global basis. The provisions in title IV that condition the extension of MFN tariff treatment on a certification that citizens of the Communist countries can emigrate freely is intended to link these two concerns. The effect of the provisions. unless they are modified. is unquestionably to make it difficult if not impossible to initiate steps to extend MFN tariff treatment to any of the Communist countries. at least under present circumstances. The extension of mostfavorednation treatment is a matter of great interest to the Communist countries. They wish both for reasons of national pride and for reasons of economic interest to receive equal treatment in American markets. A pledge by the United States to extend MFN treatment to the U.S.S.R was the key point in making possible the trade agreement and lendlease settlement of October 1972. The United StatesSoviet trade agreement of 1972 is in conformity with the provisions of title IV of this bill. apart from the condition respecting free emigration. but neither it nor the lendlease settlement become definitely effective until authority to extend MFN tariff treatment is in the Presidents hands. The authority to extend MFN tariff treatment to the Soviet Union and other Communist countries is essential if we are to continue in our efforts to further normalize trade relations with these countries. Normalization of trade relations is part of our objective of developing a mutual vested interest in cooperation and restraint in our bilateral relations with the U.S.S.R.