Free Trade

Facts about Trade Promotion Authority (TPA)

Q: What is U.S. Trade Promotion Authority?

A: U.S. Trade Promotion Authority (TPA) is the trade negotiating authority the Congress has granted presidents to negotiate trade agreements.  It has been an integral part of U.S. trade policy since it was first granted in 1974.

Under this authority, the Executive branch is required to consult regularly with the Congress, and solicit advice from advisory committees and the public, as trade agreements are being negotiated. In return, the Congress agrees not to amend legislation implementing trade agreements, voting up or down on these agreements. The cooperative relationship at the heart of Trade Promotion Authority helps ensure that U.S. trade negotiators will strike agreements that have the support of the Congress and the American people.

Q: Why is U.S. Trade Promotion Authority important?

A: It helps maintain U.S. leadership in the area of trade policy.

To promote a global, regional, and bilateral trade agenda, and negotiate the best possible deals, the Executive branch needs as much negotiating leverage as possible. Trade Promotion Authority strengthens the U.S. position in trade negotiations, and help complete trade agreements, as it is a crystal-clear signal to our trading partners that the Executive branch and the Congress agree on the need to move forward on trade liberalization.

Q: Doesn’t TPA expire?

A: TPA is set to expire on June 30, 2007.  Congress needs to act to extend TPA to ensure further expansion of trade agreements that benefit the U.S. and our trading partners.   

Q: What is the status of extending TPA?

A: Congressman Jeb Hensarling (R-TX) has introduced H.R. 1042, the Trade Promotion Authority Extension and Enhancement Act of 2007, in the House of Representatives to extend TPA for another 2 years.