Speech #1010066798

Speaker. H.R. 1594 would supercede the provisions of the JacksonVanik amendment of the Trade Act of 1974 to extend mostfavorednation status to the Peoples Republic of Hungary for 5 years. The JacksonVanik amendment restricts the grant of most favored nation tariff status to Communist nations unless the President has determined that the country does not restrict emigration. in which case the President may extend mostfavorednation status for a period of 3 years. Since adoption of the JacksonVanik amendment. no Communist nation has been granted mostfavorednation status for a 3year period. but Hungary has been granted mostfavorednation status on an annual basis each year since 1978 by virtue of a provision of the JacksonVanik amendment which allows the President. subject to congressional disapproval. to extend mostfavorednation status if he determines such action would promote freedom of emigration. However. Mr. Speaker. in recognition of the dramatic political changes underway in Hungary. and in recognition of that nations emigrations policies in recent years. H.R. 1594 proposes to grant mostfavorednation status to Hungary for 5 years. Mr.