Summary – Power and Trade

Summary

List of abbreviations 9

Presentation 13

Introduction 19

1 Background to US Trade Policy 27

1.1 The international economic order in reconstruction and the nascent regime of GATT 34

1.2 Domestic criticism of State Department internationalism in GATT negotiations 43

2 The costs of the US solar position and the free trade option in the 1960s 47

2.1 The tariff domino effect, the deficit and the dollar 55

2.2 Political viability and ideas about the role of free trade and the strengthening of the old system in the early 1960s 61

3 The old system for formulating and enforcing US trade policy: the Trade Expansion Act of 1962, the Special Trade Representative, and the Kennedy Round 71

3.1 The new international economic relations of the United States, the TEA and the genesis of STR 76

3.2 Preparations for the Kennedy Round 86

3.3 The Kennedy Round: Deadlocks and Results 96

3.4 One step back to take two steps forward 104

4 The crisis of the 1970s and the collapse of the old system in US trade policy 107

4.1 The systemic crisis and attempts at macroeconomic coordination among developed countries 111

4.2 Impact of the crisis in the United States 124

4.3 New directions in trade policy: the fall of internationalism, the rise of national economic interest 127

5 Parochialism and increased nationalist-economic perception in the 1970s: the Trade Act of 1974

5.1 The Williams Commission and the launch of the Tokyo Round of GATT 139

5.2 The Trade Act of 1974: STR institutional strengthening and fast-track 148

5.3 Fragmentation of the trade policy system and increase the power of the STR 152

5.4 Reforms in the Congress, parochialism and an increase in the national-economic perception 158

5.5 The Ford administration: STR discrete performance and maturation of pragmatic nationalism in US trade policy 163

5.6 Intensification of commercial protection and defense and the emergence of Section 301 167

6 The USTR, the Tokyo Round, and the New Dimensions of US Trade Power 175

6.1 The Carter Administration: STR Strengthening and Engagement in the Tokyo Round 182

6.2 Progress in the Tokyo Round up to the Bonn Summit 189

6.3 The conclusion of the Tokyo Round and the use of the procedures created by the Trade Act 1974 198

6.4 The Trade Agreements Act of 1979 and the creation of USTR 212

7 The resumption of US hegemony and the institutionalization of fair trade 219

7.1 The maturing of the fair trade policy and the beginning of the activities of the USTR 230

7.2 The process of commercial policy formulation in the first administration Ronald Reagan (1981-1984) 235

7.3 Reagan’s trade policy and the institutionalization of fair trade 245

7.4. The Trade and Tariff Act of 1984

8 The Second Reagan Administration: Reorganization of Bureaucracy and Change in Trade Policy 265

8.1 Modification of US trade policy: aggressive unilateralism and fair trade 269

8.2 The debate on the Omnibus Trade and Competitiveness Act (Otca), 1988 280

8.3 The Omnibus Trade and Competitiveness Act of 1988 292

9 The New Phase of the United States Solar Position and Its Reflections on Trade Policy 299

9.1 Trade protection and protectionism 303

9.2 The transition to the post-Cold War world 308

9.3 Bush’s trade policy: continuity in the international structure in transition 313

9.4 Domestic Impulses and the Bush Fair Trade Policy 316

9.5 Renewal of the fast track, Round Uruguay and Nafta 321

10 Bill Clinton’s Trade Policy: Promoting Post-Cold War Liberation 327

10.1 Reorganization of the system of formulation and trade negotiations in the absence of bipolar constraint 329

10.2 Japan, China and East Asia 335

10.3 New actors and new dynamics: the exhausted trade policy system 342

10.4 Negotiations without fast track 350

10.5 Trade protection and defense 352

11 The United States, the Uruguay Round (1986-1994) and the creation of the WTO 355

11.1 The multi-frontier strategy in action: the preparatory paths to the start of the round 359

11.2 The Uruguay Round: From Montreal to the Blair House Agreement 368

11.3 Clinton’s Aggressive Multilateralism and the Conclusion of Round 379

11.4 Ratification of the WTO, single undertaking 386

Final considerations 395

Attachments 419

References 435