About | HeinOnline Law Journal Library | HeinOnline Law Journal Library | HeinOnline

1 1 (December 6, 2022)

handle is hein.crs/govejqo0001 and id is 1 raw text is: Trade Promotion Authority (TPA)

The U.S. Constitution empowers Congress to impose tariffs
and regulate trade with foreign nations. Periodically,
Congress has legislated authorities and procedures to signal
to trading partners that trade agreements negotiated by the
President will be implemented or voted upon. Commonly
known as Trade Promotion Authority (TPA), these statutes
usually empower the President to negotiate agreements and
adjust tariff rates. Since the 1970s, they have also included
expedited congressional procedures to consider legislation
necessary to implement agreements that involve both tariff
and nontariff barriers, provided the President meets certain
negotiating objectives as well as notification and
consultation requirements. (Figure 1). Historically, it has
been common practice, though not formally required, to
have the President request that Congress reauthorize TPA.
Ongoing or prospective trade negotiations have often
prompted such requests.
The most recent TPA was enacted in 2015 (TPA-20 15, P.L.
114-26) and expired in July 2021. Congress has
implemented the majority of U.S. free trade agreements
(FTAs) under TPA statutes. Most recently, Congress used
TPA-2015 to approve and implement the U.S.-Mexico-
Canada Agreement (USMCA), which entered into force in
2020 and replaced the Nort American Free Trade
Agreement (NAFTA). The Biden Administration has not
asked Congress for a new TPA to date. Such a request
could spur renewed debate in Congress over whether past
trade negotiating objectives, consultation requirements, and
legislative processes reflect changing congressional
priorities and the evolving global trade environment.
Ratinaleand  ackgoun
Until the early twentieth century, tariffs were the primary
source of revenue for the federal government and Congress
spent a significant amount of time setting tariff rates. This
pattern changed wit the Reciprocal Trade Agreements Act
(RTAA) of 1934. To promote U.S. exports during the Great
Depression and to signal to potential trading partners that
the United States would implement agreements as
negotiated, Congress delegated authority to the President to
negotiate trade agreements addressing tariff barriers and
proclaim changes to U.S. tariffs within specified limits
without further congressional action.
By the 1960s, nontariff barriers (e.g., health standards,
custom procedures) increasingly became the central topic of
trade negotiations. Rather than authorize the President to
proclaim nontariff-related changes to U.S. law, Congress
enacted the first modern TPA in the Trade Act of 1974,
which established fast track procedures to implement any
necessary changes to U.S. law negotiated as part of a trade
agreement. In creating TPA, Congress sought to:
* define trade agreement policy priorities by specifying
U.S. negotiating objectives;

Updated December 6, 2022

 ensure that the executive branch advances these
objectives through various notification and consultation
requirements with Congress;
 define the terms, conditions, and procedures under
which the President may enter into trade agreements and
determine which implementing bills may be approved
under expedited authority; and
 reaffirm the constitutional authority of Congress over
trade policy by placing limitations on the use of TPA.
Key lemntsof TPA
Proclamation Authority on Tariffs. TPA has maintained
RTAA authority (e.g., Section 103(a) of TPA-2015) for the
President to negotiate agreements addressing tariff barriers
and proclaim changes to U.S. tariffs within specified limits
without further congressional action. For more information,
see CRS In Focus IFi 1400.
Trade Agreements Authority. TPA provides authority to
the President to negotiate agreements addressing both tariff
and nontariff barriers. However, an agreement that requires
changes to U.S. law would require congressional action to
implement the agreement.
Expedited Procedures. An implementing bill is subject to
mandatory introduction; automatic discharge from the
committees of jurisdiction; time-limited floor debate; and
an up or down simple majority vote with no amendments.
Negotiating Objectives. Expedited procedures are only
available for agreements that make progress in achieving
U.S. objectives as defined under TPA.
Notification, Consultation, and Reporting. Expedited
procedures are available only when the President fulfills
certain notification, reporting, and consultation
requirements before, during, and after negotiations.
Limitations to TPA. Congress adopted TPA on pragmatic
grounds to ensure that Congress votes in a timely way on
the specific text of the agreement negotiated by the
President. To guard its constitutional prerogatives,
Congress has included a number of limits on TPA,
including: time limits on use of TPA; the option for
Congress to disapprove an extension of those limits; and
two separate mechanisms to deny expedited consideration
of an implementing bill for inadequate consultation or
progress towards achieving negotiating objectives. Each
Chamber also retains the right to exercise its constitutional
rulemaking authority to change TPA rules.
Hearings and Mock Markups. Congress has reviewed
FTAs prior to the introduction of an implementing bill. The
committees of jurisdiction typically hold hearings on the
proposed agreement. They often hold informal mock
markups on a draft implementing bill. Mock markups
provide for public review of the deal and allow the
President to receive nonbinding feedback from Congress.

What Is HeinOnline?

HeinOnline is a subscription-based resource containing thousands of academic and legal journals from inception; complete coverage of government documents such as U.S. Statutes at Large, U.S. Code, Federal Register, Code of Federal Regulations, U.S. Reports, and much more. Documents are image-based, fully searchable PDFs with the authority of print combined with the accessibility of a user-friendly and powerful database. For more information, request a quote or trial for your organization below.



Short-term subscription options include 24 hours, 48 hours, or 1 week to HeinOnline.

Contact us for annual subscription options:

Already a HeinOnline Subscriber?

profiles profiles most