News & Observer | newsobserver.com | House passes CAFTA

Published: Jul 28, 2005 12:30 AM
Modified: Oct 23, 2005 10:02 PM

House passes CAFTA

Close vote sends bill to president

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The House narrowly approved the Central American Free Trade Agreement early today, a personal triumph for President Bush, who campaigned aggressively for the accord he said would foster prosperity and democracy in the hemisphere.

The 217-215 vote just after midnight adds six Latin American countries to the growing lists of nations with free trade agreements with the United States and averts what could have been a major political embarrassment for the Bush administration.

It was an uphill effort to win a majority, with Bush traveling to Capitol Hill earlier Wednesday to appeal to wavering Republicans to support a deal he said was critical to U.S. national security.

The vote, supposed to take 15 minutes, dragged on for an hour as negotiations swirled around the floor among GOP leaders and rank-and-file members reluctant to vote for the agreement. In the end, 27 Republicans voted against CAFTA, while 15 Democrats supported it.

"CAFTA helps ensure that free trade is fair trade," he said in a statement issued by the White House. "By lowering trade barriers to American goods in Central American markets to a level now enjoyed by their goods in the U.S., this agreement will level the playing field and help American workers, farmers and small businesses."

The United States signed the accord a year ago with Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and the Dominican Republic, and the Senate approved it last month. It now goes to the president.

To capture a majority, supporters had to overcome a growing sentiment that free trade deals such as the North American Free Trade Agreement with Mexico and Canada have contributed to a loss of well-paying American jobs and the soaring trade deficit.

Democrats, who were overwhelmingly against CAFTA, also argued that its labor rights provisions were weak.

But supporters pointed out that CAFTA would over time eliminate tariffs and other trade barriers that impede U.S. sales to the region, correcting the current situation in which 80 percent of Central American goods enter the United States duty-free but Americans must pay heavy tariffs.

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