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Updated  December   3, 2020


U.S. Trade Policy Functions: Who Does What?


At the nexus of foreign and domestic policy, U.S. trade
policy comprises a distinct set of issues that shape U.S.
participation in the global economy and relations with
trading partners. It also affects the overall U.S. economy
and standard of living of Americans, as well as specific
sectors, firms, and workers. Controversial at times, U.S.
trade policy historically has focused on supporting
economic  growth  and jobs through more  open and rules-
based trade by negotiating and enforcing reciprocal trade
agreements  and other measures, while offering relief to
specific segments of the U.S. economy  affected by trade
liberalization and unfair foreign trade practices. It also
aims to promote  trade and investment, while regulating
these flows for national security, health, safety, and other
reasons. Other goals are to support economic development
in developing countries and expand  U.S. influence abroad.

The  Constitution gives Congress primacy over trade policy,
specifically the power to levy tariffs and regulate foreign
commerce.   By contrast, the President lacks specific
authority over trade, but has power over foreign affairs. The
executive branch's role in trade stems from the President's
power  to negotiate treaties with other nations, and
legislative grants of authority to adjust tariff rates and
implement  trade policy. The Office of the U.S. Trade
Representative (USTR)   and other agencies conduct trade
functions under various authorities. USTR-led interagency
and advisory systems  aim to seek input and balance diverse
interests to reach a coherent U.S. position on trade matters.
The  U.S. trade policy architecture has evolved to reflect
changes  in international trade, the U.S. economic position,
and other factors. Congress has a keen interest in examining
U.S. trade functions, agencies, and coordinating structure.

KEyV  Trade A$geniE~s

      Office  of the U.S. Trade   Representative   (USTR)

 The  U.S. Trade Representative, a Cabinet-level official in the
 Executive Office of the President, is the President's principal
 advisor on trade policy, chief U.S. trade negotiator, and head
 of the interagency trade policy coordinating process. USTR
 administers U.S. law to combat unfair foreign trade practices
 (e.g., Section 301), and trade preference programs for
 developing countries. In creating and elevating USTR,
 Congress  sought to balance competing interests between U.S.
 domestic and foreign policy, among the range of trade-related
 agencies, and the many domestic stakeholders. Congress also
 sought to address concerns that trade policy interests were
 being overlooked under the State Department's historical lead.
 Milestone statutes in the USTR's evolution include the:
 *  Trade Expansion Act of 1962. Created an ambassador-level
   Special Representative for Trade Negotiations (precursor to
   USTR)  to lead the new interagency system to coordinate
   trade policy, which the act also created.


 Trade Act of 1974. Designated the Special Representative as
  the chief U.S. trade negotiator, lead of the trade agreements
  program, and head of the new private sector advisory
  committee system, which the act also created. Elevated
  position to cabinet rank and placed it in the White House.
 Trade Agreements Act of 1979. Required the President to
  submit a trade reorganization plan, including to boost the
  Special Representative's coordination and functional roles.
 Omnibus Trade and Competitiveness Act of 1988. Elevated
  USTR  to coordinate trade policy, serve as the President's
  principal trade advisor and trade spokesperson, and lead
  U.S. international trade negotiations. Required USTR to
  report to both the President and Congress.

N     Department of Commerce

Commerce   conducts many non-agricultural trade functions.
 The International Trade Administration (ITA), supported by
  U.S. and foreign commercial service officers, provides
  market research, business connections, and other services
  to promote U.S. exports and attract foreign investment. It
  also conducts antidumping and countervailing duty (AD/
  CVD)  investigations to address potential adverse effects on
  U.S. industry of unfair foreign trade practices, and
  monitors foreign compliance with U.S. trade agreements.
 The Bureau of Industry and Security (BIS) administers
  licensing and civil enforcement functions for dual-use
  exports. It also investigates whether certain imports harm,
  or threaten to harm, national security (Section 232).
 The Economic  Development Administration (EDA) manages
  Trade Adjustment Assistance (TAA) for firms, (targets
  adjustment to import competition and trade liberalization).
 The Bureau of Economic Analysis (BEA) and Census Bureau
  collect, analyze, and disseminate trade data.

        The  U.S. Department of Agriculture

USDA   aims to promote and regulate U.S. agricultural trade,
weighing in on agriculture issues in U.S. trade negotiations.
 The Animal and Plant Health Inspection Service (APHIS)
  works to prevent plant and animal pests and diseases from
  entering U.S. borders.
 The Food  Safety and Inspection Service (FSIS) regulates U.S.
  meat, poultry, and egg products, including imports.
 The Foreign Agricultural Service (FAS) administers U.S.
  agricultural export financing and assistance, U.S. quotas
  against agricultural imports, and TAA for farmers.

     U.S. Department of Health and Human Services

HHS  weighs in on trade policy issues that can affect public
health, such as food products (not regulated by USDA),
cosmetics, drugs, and medical devices. HHS's Food and Drug
Administration (FDA) regulates products produced
domestically and abroad for safety, security, and efficacy.


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