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Tuesday, May 11, 2004 - Page updated at 12:00 A.M.
Guest columnist By Jennifer Dunn
The United States will sign a historic free-trade agreement with Australia on May 18, a defining moment between two friends and allies. Yet, at a time when the U.S. is achieving success in opening international markets, more and more Americans are voicing their concerns. It seems that trade has become a divisive issue with Americans anxious about jobs going overseas, trade sanctions and a growing trade deficit. In this environment, it is important to highlight that this trade agreement will increase jobs in the U.S. and augment our trade surplus with Australia. Two-way trade in goods and services between both countries totals $28 billion annually, supporting more than 270,000 American jobs, including approximately 12,500 jobs in Washington state. Instead of outsourcing jobs, we are "insourcing" jobs to the benefit of American workers. When this free-trade agreement is approved by both nations, almost all U.S.-manufactured products to Australia will become duty-free immediately, resulting in at least an additional $2 billion annual increase of U.S. manufactured goods to Australia. The Puget Sound region will have much more to gain because Australia is already our fifth-largest trading partner, and Washington leads the nation with more than $2.6 billion in exports to Australia. Furthermore, all Australian agricultural tariffs will be eliminated immediately, resulting in an additional $400 million to American farmers. The Australians will also work to resolve technical and regulatory barriers that hinder Northwest fruits from entering their market. In the high-tech sector, strengthening intellectual property standards will help reduce counterfeits and piracy while encouraging capital investments. In addition, improvements in process and transparency within Australia's health system will help our growing biotechnology community as it brings innovative products to the global market. Increasing the volume of trade in the Asia-Pacific region will create high-wage jobs for Northwest ports. They already handle approximately 9 percent of all U.S. container exports and 7 percent of all U.S. container imports. Due to our strategic proximity to the Asia-Pacific region, expanding trade opportunities with Australia will make our ports more valuable to our economy. The 25,000 Boeing workers that I represent will also benefit because Boeing aircraft make up nearly 95 percent of Qantas Airways' operating fleet, making it one of Boeing's key customers in the region. In the future, Boeing projects a $20 billion market for its commercial airplanes and parts in Australia. Beyond the products that we export, Australia is regionally significant for the Northwest. The U.S. and Australia are part of the Asia Pacific Economic Cooperation (APEC) group. Since almost 80 percent of our trade is with APEC countries, this agreement will help ensure that the Northwest remains strategically competitive among APEC countries and the Asia-Pacific region. Strengthening this economic tie will build upon our existing trade relationship in the region and help create more jobs for Washington. This agreement is not only about the relationship between our countries, but also our place in global trade negotiations. Australia has consistently joined us in our effort to further open markets by reducing tariffs and other barriers that hinder the greater flow of goods and services. Together, we can work to re-engage our global trading partners on matters that can be best resolved multilaterally. This trade agreement does not hinder that endeavor, but complements our efforts to create an environment that fosters trade opportunities, leading to greater economic prosperity for all countries. The partnership between our countries extends beyond trade. Australia has been a true friend and ally in the major conflicts we have faced, and in our efforts in the war on terrorism. It is clear that Sept. 11, 2001, changed both nations and demonstrated the need to further strengthen our friendship by reaching across the Pacific Ocean and working on our mutual security interests. We share a common heritage, a common language, common laws and common interests. With Australia, much more unites us than divides us. In the end, this agreement is about our willingness to look outward instead of inward whether to further trade liberalization or seek greater protectionism. We cannot let the cacophony of doubt and fear of trade liberalization dominate our economic future. In a state where approximately one in three jobs is related to trade, we simply cannot afford the temptation to turn our backs on trade. We must choose to look outward, not out of a sense of obligation or resignation toward globalism, but because of a steadfast confidence that Americans and Australians can only face the challenges ahead by walking side by side.
U.S. Rep. Jennifer Dunn, R-Bellevue, represents the 8th Congressional District and co-chairs the congressional Friends for Australia Caucus.
Copyright © 2004 The Seattle Times Company
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