House Withdraws Vietnam-WTO Bill – Here Come the Protectionists

Despite earlier reports that President Bush would be able to go to Hanoi this week with congressional approval of Vietnam’s permanent normal trading status in hand, House Republican leaders have reversed themselves and pulled the Vietnam bill completely today citing growing Democratic opposition. The bill, which is necessary for Vietnam’s full accession to the WTO, may or may not come back before the end of the year. If the Republican House can’t pass this uncontroversial trade bill, then every trade bill (Peru, Colombia, Russia) is in trouble. Given the protectionist noises coming out of the new Democratic Congress, folks in those countries shouldn’t make any firm plans.