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Executive Voices -- an Op-Ed Column

Why I Voted for TPA
President Bush wants to help North Carolina's textile manufacturers

By Cong. Cass Ballenger


As a Hickory manufacturer and eight-term member of Congress, I have noticed a pattern in the way various administrations have treated our textile industry over the past 16 years. Each president named a special trade negotiator to listen sympathetically to our concerns, and then tried to soothe our wounds with words rather than action. I don’t know how many times we heard previous administrations tell us about the need for a “level playing field,” though they never really helped.

Problems in the textile industry are not new. That giant sucking sound Ross Perot warned of was heard 30 years ago, long before NAFTA ever passed.

In the first half of the 20th century, the textile industry boomed. But as early as the 1960’s, sweater producers in Hickory began to close. Shortly thereafter, plants manufacturing shirts, pajamas and underwear followed. Plant closures were invariably attributed to “manufacturing costs.”

When I came to Congress in 1986, textiles were already facing serious difficulties. I quickly became an active member of the Textile Caucus, a group in Congress fighting to protect jobs in this manufacturing sector. As a Hickory manufacturer myself, I know the problems we face. Year after year, we battled to have the executive branch place textiles atop its priority list in trade negotiations. Until recently, both Republican and Democrat presidents gave words without action, rhetoric without policy. Until recently, we never even had a seat at the table.

Today all that has changed. With President George W. Bush in the White House, textile manufacturers are now receiving real help from a trustworthy and able administration. In the weeks leading up to the House vote on Trade Promotion Authority (TPA), our president sought the counsel of members of the Textile Caucus. I took every opportunity in every meeting to make sure President Bush understood the plight of thousands of unemployed textile workers in North Carolina as well as the needs of our struggling manufacturing plants.

In our meetings, President Bush pledged to help protect our textile industry from harmful illegal imports, a practice known as transshipment. President Bush also supports reforms that inject cash back into manufacturing businesses, allowing them to grow. Our productive meetings with the White House gave me confidence in President Bush’s desire to help North Carolina’s textile manufacturers.

President Bush responded by offering unprecedented protections, but alone they were not enough for me to vote in favor of TPA. Missing was a requirement that all printing, dyeing and finishing be done in the U.S. as part of any trade agreement. The president could not commit. Thus my position on TPA remained NO despite the president’s regular and personal pleas for support.

On the day of the vote, TPA’s passage remained uncertain. The vote was kept open 20 minutes after normal closure, when pressure brought by the Textile Caucus led to a landmark deal for the industry. Right there on the House floor, Speaker Dennis Hastert and other House leaders signed an agreement to protect our manufacturers who print, dye and finish in the United States. House leadership also committed to help improve the enforcement of existing U.S. trade laws to prevent transshipment, the illegal and fraudulent importation of goods. My YES vote on TPA was necessary to secure this unprecedented list of protections North Carolina’s textile manufacturers requested and continue to need.

President Bush is now fulfilling his commitment to keep our manufacturers at the forefront of his economic and trade agenda. Commerce Secretary Don Evans recently convened the interagency Textile Working Group, chaired by Undersecretary for International Trade Grant Aldonas. Secretary Aldonas recently visited my congressional district to talk with textile, hosiery and apparel manufacturers. He assured us of the concrete steps President Bush is taking to address manufacturers’ needs during this trying economic time.

Specifically, President Bush is aggressively pursuing reciprocal market access in trade negotiations. The administration is also working to minimize the effects of foreign relief packages on U.S. textile and apparel industries. As a result, Pakistan, a key ally in the war on terrorism, was recently provided only 10 percent of what they sought in a recent trade negotiation, and the agreement was structured in a way that protects our most sensitive commodities here at home. Believe me, no other president has or would have given textiles that level of consideration.

President Bush further stuck to his word when he signed the Job Creation and Worker Assistance Act of 2002. As promised, the package includes a five-year “carryback” of net operating losses that gives troubled companies operating capital that had been refused them by lenders. It also accelerates the depreciation of new equipment purchases, providing manufacturers tax incentives to buy new machinery.

I regret some people don’t recognize the aid these policies bring to our beleaguered workers and industries. Naysayers choose instead to bury their heads in the sand and complain. After being ignored by president after president, I understand it’s hard to believe textiles are a priority for President Bush. Believe it. Help is on the way from a president who truly keeps his word.

As the United States leads freedom’s charge around the globe, our own national and economic interests must be at the heart of the fight. I have always adamantly contended that those interests include North Carolina’s textile manufacturers. Now that manufacturers are finally receiving long-overdue consideration from the federal government, I remain confident they will innovate produce and return to viability.

Congressman Cass Ballenger is a Hickory business owner who has represented North Carolina's 10th District for eight terms.

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