Page 46, line 3, add the words "and investment" after the word "trade" so that the title will read "relief from unfair trade and investment practices." Page 46, line 5, add the words "and Investment" after the word "Import" so that the line will read "Chapter I.-Foreign Import and Investment Restrictions." Page 46, line 6, add the words "and investment" after the word "import." Page 46, section 301 (a) (1), line 14, and section 301 (a) (2), line 17, add the words "or investments" after the word "commerce" in each instance. Page 82, line 2, section 601, under Title VI.-Generalized System of Preferences, after the word "countries", add a comma and the words "and by encour aging private investment in the developing countries." Page 85, Section 604 (a) (5), line 17, substitute a comma for the period, and add the words "or without referring the dispute to impartial international arbitration." Page 93, after line 8, Section 705, definitions, insert a new subsection (10) as follows: "(10) The term 'trade' includes commerce in commodities, services, tourism, technology, travel and transportation." TABLE 1.-IEPA BALANCE OF PAYMENTS SUMMARY, 1969-72, APR. 10, 1973 1 Government financed merchandise exports listed as "Government Exports.' 3 Prepayments of Government credits not included in IEPA basic balance, but are included in Government long-term capital outflow composed of grants and long-term credits including EximBank, but not including military grants. 5 IEPA liquidity balance may be reconciled to Commerce Department Net Liquidity Balance by Sources: Survey of Current Business," U.S. Department of Commerce, June 1972, March 1973; -5,558 -6, 295 -1, 121 -4,579 -1, 198 -4, 896 -4,856 -4,852 -1,302 -5, 395 -1,380 -4, 707 -11,786 -59, 462 -12, 111 -65, 314 -14,003 -75,980 -14,631 The CHAIRMAN. We thank you, Mr. Stanley. Any questions of Mr. Stanley? Mr. DUNCAN. No questions. Mr. CLANCY. No. The CHAIRMAN. Thank you very much for your very fine statement. Mr. STANLEY. Thank you. The CHAIRMAN. Mr. Robert L. Roper, executive director, International Executives Association. Mr. Roper, we are pleased to have you with us today, sir, and you are recognized. STATEMENT OF ROBERT L. ROPER, EXECUTIVE DIRECTOR, INTERNATIONAL EXECUTIVES ASSOCIATION, INC. Mr. ROPER. Thank you, Mr. Chairman. I am Robert L. Roper, executive director of the International Executives Association. Inc. Our association is headquartered in New York City and has nearly 400 members located in the New York area as well as in various major cities throughout the United States. Our members are international business executives, of whose companies approximately two-thirds are engaged in the manufacture of products for export, with the remaining one-third in shipping, banking or other export-related services. Our association was originally founded as the Export Managers Club of New York in 1917. SUPPORT IN PRINCIPLE FOR TRADE REFORM ACT Our purpose here today is to express our association's support in principle of the Trade Reform Act of 1973-H.R. 6767-as a realistic approach to international trade problems. We hold that the adoption of this legislation, by giving U.S. representatives the legislative authority they need in forthcoming world trade negotiations, would lay the necessary groundwork for a much needed expansion of U.S. trade abroad; would in turn lead to correction of the U.S. trade deficit; and, finally, would provide for the expansion of job opportunities for U.S. workers to meet the growing needs of these expanding markets. Although we support H.R. 6767 in principle as above stated, we are nonetheless concerned that the broad discretionary authority it would give the President for the liberalization of trade can, under these proposals—and the bill's statement of purposes notwithstanding-be just as easily adapted to the uses of protectionism and the erection of new trade restrictions which, we hold, would contravene the bill's avowed purposes and would redound to the detriment, rather than the encouragement, of international trade and a stronger U.S. economy. We applaud the authority the bill would give the President to lower tariffs and nontariff barriers in the course of trade negotiations with other countries, but we strongly object to the open-ended authority this bill would grant the President under section 101 to raise tariffs in the course of such negotiations. We urge, therefore, that the authority granted the President to raise tariffs be limited specifically to use only as a form of import relief where necessary, or as a means of retaliation against foreign restrictions where other remedies are not avail able. We also share the concern expressed by others with regard to the bill's "market disruption" provision in section 201 under which a "substantial" rise in imports at "substantially" lower prices would constitute prima facie evidence of injury. The provision jeopardizes the concept that the burden of proof should be on petitioner to show injury or threat of injury. Conceivably relief could be obtained unjustifiably under this section as now written without injury or threat thereof. In a recent survey of our members, 87 percent of the respondents indicated support in principle of the Trade Reform Act of 1973; 13 percent, although expressing opposition to protectionism, took no position on this bill pro or con. None of our members indicated opposition to H.R. 6767. Thank you very much, Mr. Chairman. The CHAIRMAN. We thank you very much, Mr. Roper, for your fine statement and the support of your membership for your statement. Any questions? Thank you, Mr. Roper. Mr. ROPER. Thank you. The CHAIRMAN. Mr. Clifford B. O'Hara. STATEMENT OF CLIFFORD B. O'HARA, CHAIRMAN, COMMITTEE XI (FOREIGN COMMERCE), AMERICAN ASSOCIATION OF PORT AUTHORITIES, AND CHAIRMAN, FEDERAL LEGISLATION AND GOVERNMENT TRAFFIC COMMITTEE, NORTH ATLANTIC PORTS ASSOCIATION Mr. O'HARA. Thank you, Mr. Chairman. Mr. Chairman, I am appearing here before you on behalf of the United States corporate members of the American Association of Port Authorities representing all the major public port agencies of the United States and also the North Atlantic Ports Association, which numbers among its members both private and public port interest along the Atlantic Coast between Maine and Virginia. The CHAIRMAN. Mr. O'Hara, if you omit any parts of your statement, do so with the knowledge that it will appear in full as though you had delivered it in its entirety. Mr. O'HARA. Thank you, Mr. Chairman. I realize that the reception you may give me will be very closely related to the amount of time I can keep this down to. RECOMMENDATIONS The ports of the United States respectfully endorse the objectives of the Trade Reform Act of 1973 (H.R. 6767) to provide for meaningful U.S. participation in multilateral trade negotiations aimed at developing an open, nondiscriminatory and fair world economic system. and expanded world trade, while establishing legitimate safeguards and assistance for American industries and workers faced with injurious foreign competition. Conversely, the American ports vigorously urge you to reject proposals advocating the imposition of comprehensive import quotas and other severe restrictions on international commerce. Such proposals, as the pending Burke-Hartke bill-H.R. 62, the Foreign Trade and |