H.J.Res.93 - Withdrawing approval of the Agreement Establishing the World Trade Organization. (119th Congress)
Summary
H.J.Res.93 proposes withdrawing the United States' approval of the Agreement Establishing the World Trade Organization (WTO). This resolution, introduced in the House of Representatives, seeks to undo the approval granted under the Uruguay Round Agreements Act. The resolution aims to remove the US from the WTO agreement.
If enacted, this would signify a major shift in US trade policy, potentially leading to renegotiation of trade agreements and altered international trade relations. The resolution reflects concerns about the impact of the WTO on American jobs and sovereignty.
The resolution was submitted by Mr. Tiffany and referred to the Committee on Ways and Means.
Expected Effects
Withdrawing from the WTO would likely lead to significant changes in US trade relationships. This could include increased tariffs on goods entering the US and retaliatory tariffs on US exports.
American businesses would need to adjust to a new trade landscape, potentially facing higher costs and reduced access to foreign markets. Consumers might see price increases on imported goods.
The US would likely need to renegotiate trade agreements with many countries, leading to uncertainty and potential economic disruption.
Potential Benefits
- Could allow the US to implement trade policies more tailored to its specific needs without being bound by WTO rules.
- May protect domestic industries from foreign competition, potentially leading to increased domestic production.
- Could lead to the renegotiation of trade agreements that are more favorable to the US.
- Might reduce the perceived loss of sovereignty associated with international trade agreements.
- Could address concerns about the impact of WTO rulings on US laws and regulations.
Potential Disadvantages
- Could harm US exports due to retaliatory tariffs from other countries.
- May increase the cost of imported goods for American consumers.
- Could disrupt global supply chains and negatively impact businesses that rely on international trade.
- May damage the US's reputation as a reliable trading partner.
- Could lead to economic isolation and reduced international cooperation.
Constitutional Alignment
The Constitution grants Congress the power to regulate commerce with foreign nations (Article I, Section 8, Clause 3). Withdrawing from the WTO falls under this power, as it directly affects trade relationships.
However, the original approval of the WTO agreement was also an exercise of Congressional power. Withdrawing approval could raise questions about the stability and predictability of US treaty obligations.
The resolution itself does not appear to violate any specific constitutional provision, but its economic consequences could potentially impact the general welfare of the United States.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).