CUBANET ... CUBANEWS

March 30, 2001



Bush Wants All-American Trade Zone

By Tom Raum, Associated Press Writer. Yahoo! March 30, 2001

WASHINGTON, 29 (AP) - President Bush urged quick approval Thursday of a hemisphere-wide free-trade zone, an arrangement that one official said could include a clause to withdraw a country's benefits in the event of a military coup.

The official, Canadian trade representative Marc Lortie, said such a "democracy clause'' will be put forward at the Summit of the Americas being staged April 20-22 in Quebec. Lortie is helping plan the gathering.

Under such a provision, Lortie told reporters, the tariff-free treatment for exports and imports that would be a feature of such an agreement could be suspended if a country ceased suddenly to be a democracy, such as through a military coup.

"If we're going to give each other (trade) preferences, we have to have fundamental common values,'' said Lortie, in Washington as an emissary of Canada's prime minister, Jean Chretien.

Every nation in the Americas except Cuba is a democracy, but some Latin American nations have had rocky experience under military dictators.

The summit will be Bush's first participation in an international gathering as president.

At a White House news conference Thursday, Bush said he would try to persuade Brazilian (news - web sites) President Fernando Henrique Cardoso and other Latin American leaders of the need to move quickly to establish an Americas-wide trade zone from Alaska to Argentina.

"The sooner we can get a free-trade agreement in the hemisphere the better,'' Bush said. He and Brazil's Cardoso meet Friday in Washington.

Brazil, member of a separate free-trade pact with several other South American nations, has expressed reluctance about moving forward too quickly with a hemisphere-wide agreement.

"As to whether or not it's 2003 or 2005, we'll just have to see if we can't convince our friends in South America of the wisdom of doing it as soon as possible,'' Bush said.

Brazil insists the treaty to establish a free-trade pact with the United States, Canada and all Latin American nations except Cuba should not kick in before its originally planned starting date of 2005.

"To the extent that (Brazil) is skeptical about our intention to have free and fair trade, you know, I might have a chance to undermine that skepticism. I'm going to look the man in the eye and say, 'We are free-traders,''' Bush said.

Bush said he would have U.S. Trade Representative Robert Zoellick work with Brazilian trade negotiator Roberto Teixeira de Costa "to assure him that trade with America will be done in a free and fair way. And I think we can make some progress.''

The United States currently has a free trade agreement with Canada and Mexico and is negotiating one with Chile.

Meanwhile, Canada's Lortie said security will be tight at the Quebec summit, to guard against protests and violence such as marred a World Trade Organization (news - web sites) meeting in Seattle in December 1999 and in Prague, Czech Republic, last year.

He said safeguards will include a large security buffer zone but conceded: "This will be a challenge.''

Besides the Summit of the Americas, a sanctioned countersummit is planned by labor unions and other organizations to protest some of the policies of the governments.

Some Caribbean leaders oppose exclusion of Cuba from any hemispheric free-trade zone, saying isolating the communist-run island is counterproductive.

At Thursday's briefing on the summit, Lortie reported no plans to include Cuba either at the meeting or in a free-trade zone. Canada is a trading partner of Cuba.

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