(1) to have primary responsibility for developing and coordinating the implementation of U.S. international trade policy; (2) to serve as the principal adviser to the President on international trade policy and advise the President on the impact of other U.S. Government policies on international trade;

(3) to have lead responsibility for the conduct of, and be chief U.S. representative for, international trade negotiations, including commodity and direct investment negotiations;

(4) to coordinate trade policy with other agencies;

(5) to act as the principal international trade spokesman of the President;

(6) to report to the President and the Congress on, and be responsible to the President and the Congress for, the administration of the trade agreements program, including advising on nontariff barriers, international commodity agreements, and other matters relating to the trade agreements program; and (7) to be chairman of the Trade Policy Committee.

In addition, the Omnibus Trade and Competitiveness Act also included the sense of Congress that the USTR be the senior representative on any body the President establishes to advise him on overall economic policies in which international trade matters predominate and that the USTR be included in all economic summits and other international meetings at which international trade is a major topic. The USTR was made responsible for identifying and coordinating agency resources on unfair trade practices cases that may be actionable under U.S. antidumping and countervailing duty statutes, section 337, or section 301. The Act established an unfair trade practices committee to advise the USTR.

Under the Omnibus Trade and Competitiveness Act of 1988, the Congress further sought to elevate the importance of the USTR in trade matters by shifting to the USTR from the President responsibility for implementing actions under section 301 of that Act, subject to the specific direction, if any, of the President.

DEPARTMENT OF AGRICULTURE

The U.S. Department of Agriculture (USDA) was created by Act of Congress on May 15, 1862, and was administered by a Commissioner of Agriculture until 1889,12 when the Department's responsibilities were expanded. At that time, the position of Commissioner was elevated to the rank of Secretary. Among the overall purposes of the Department are the improvement and maintenance of farm income and the expansion of foreign markets for U.S. agriculture products.

USDA is actively involved in U.S. trade policy formulation, to ensure that decisions in that area take into account their impact on U.S. agricultural interests. USDA also has direct responsibility for a variety of trade-related functions. Section 22 of the Agricultural Adjustment Act 13 charges the Secretary of Agriculture with advising the President on the effect of imports on USDA programs. Enforcement and administration of certain elements of cheese

12 12 Stat. 387, 5 U.S.C. 511, 514, 516.

137 U.S.C. 624 (see discussion of section 22 in chapter 3, supra).

quotas and meat imports fall to the Secretary. The Trade Agreements Act of 1979 gives the Department responsibility for coordinating negotiations with foreign governments on standards-related matters in agricultural trade and for monitoring activities in that area. 14 The Agricultural Trade Act of 1978 15 authorized USDA to establish up to 25 Agricultural Trade Offices to assist U.S. exporters, trade groups, and state export marketing officials in their trade promotion efforts.

Most of USDA's international trade functions are administered by the Foreign Agricultural Service. (FAS), which is supported by a network of agricultural attachés at many U.S. embassies, and analysts, marketing specialists, and negotiators based in the United States. FAS personnel supply and analyze data on foreign agricultural markets; operate a market development program, work to reduce foreign barriers to U.S. farm goods, and manage the Public Law 480 program and the Commodity Credit Corporation (CCC) Export Credit Sales Program.

The Department of Agriculture is a voting member of the Trade Policy Committee and of its subordinate committees.

DEPARTMENT OF COMMERCE

The Department of Commerce was established in 1903 as the Department of Commerce and Labor.16 A 1913 act of Congress split the Department of Commerce and Labor into two separate departments.17 The mandate of the Commerce Department originally was to promote the foreign and domestic commerce of the United States. In subsequent years, its authority was extended to other areas bearing on the economic and technological development of the country. The titles of the component units of the Department indicate the diversity of the agency's current programs and services: Bureau of the Census; Bureau of Economic Analysis; Economic Development Administration; Bureau of Export Administration; International Trade Administration; Minority Business Development Agency; National Institute of Standards and Technology; National Oceanic and Atmospheric Administration; National Technical Information Service; National Telecommunications and Information Administration; Patent and Trademark Office; and United States Travel and Tourism Administration.

While most of these agencies have some responsibilities that affect U.S. trade, the U.S. Department of Commerce's major trade responsibilities are centered in the International Trade Administration and the Bureau of Export Administration.

The International Trade Administration (ITA), which was established by the Secretary of Commerce on January 2, 1980,18 administers many of the Department's international trade responsibilities and activities as prescribed by Reorganization Plan No. 3 of 1979. The plan provides that the Commerce Department has "gen

14 19 U.S.C. 2542.

15 Public Law 95-501, title IV, section 401(1), approved October 21, 1978, 92 Stat. 1688, 7 U.S.C. 1765a.

16 32 Stat. 827, 5 U.S.C. 591.

17 37 Stat. 736, 15 U.S.C. 1501.

18 45 Fed. Reg. 11862, as amended by 46 Fed. Reg. 13537.

eral operational responsibility for major nonagricultural international trade functions," as well as for any other functions assigned by law. Those include export development, commercial representation abroad, the administration of the antidumping and countervailing duty laws, export controls, trade adjustment assistance to firms, research and analysis, and compliance with international trade agreements to which the United States is a party.

To foster U.S. exports, ITA maintains a wide range of informational and promotional programs. Some of the major informational programs are designed to match U.S. producers with overseas buyers and to provide them with accurate foreign market intelligence about export opportunities. In addition, ITA assists U.S. firms participating in international trade fairs. ITA also has responsibility for promoting the formation of export trading companies and, with the concurrence of the Justice Department, certifying that export trading company petitions meet the required antitrust standards.

The U.S. and Foreign Commercial Service (US&FCS), first established in 1980 but codified under the Omnibus Trade and Competitiveness Act of 1988,19 carries out the major trade promotion functions of the Department of Commerce in the International Trade Administration. Through 47 district offices and 21 branch offices located throughout the United States and Puerto Rico and through 132 foreign posts located in 68 countries, the US&FCS provides counseling and marketing assistance to U.S. exporters. In addition, US&FCS maintains a wide range of information and export promotion programs. Some of these programs are designed to match U.S. producers with overseas buyers and to provide exporters with information on overseas market opportunities.

The Bureau of Export Administration (BXA) controls exports of commodities and technology for reasons of national security, foreign policy, and short supply. BXA issues export licenses in accordance with the export control regulations. Export control regulations are developed in consultation with other agencies, and some export license applications require interagency review.

The Secretary of Commerce chairs the Trade Promotion Coordinating Committee (TPCC), which includes representatives of other federal agencies. The TPCC was created by the Bush Administration in May 1990 to unify U.S. Government export promotion efforts. In August 1990, the Secretary of Commerce created the National Trade Data Bank (NTDB) as required under the Omnibus Trade and Competitiveness Act of 1988.20 The NTDB was designed to provide in one place U.S. Government data on international trade and export promotion from 13 federal agencies.

DEPARTMENT OF LABOR

The Department of Labor was established as the Department of Commerce and Labor in 1903 21 and was split into a separate

19 Public Law 100-418, section 2301, approved August 23, 1988; 15 U.S.C. 4721.

20 Public Law 100-418, sections 5401-5413; 15 U.S.C. 4901.

21 32 Stat. 827, 5 U.S.C. 591.

agency in in 1913.22 The role of the Labor Department is to promote the overall welfare of U.S. wage earners.

The Deputy Under Secretary for International Labor Affairs, who heads the Bureau of International Labor Affairs, assists in the formulation of international economic and trade policies affecting U.S. workers. The Department is a voting member of the Trade Policy Committee and its subordinate committees. The Department conducts research on trade-related employment issues, helps represent the United States in international negotiations before the International Labor Organization and in other international organizations. The Bureau is assisted in its efforts by labor attachés posted at many U.S. embassies overseas.

The Labor Department, through the Employment and Training Administration, is responsible for administration of the Trade Adjustment Assistance (TAA) program for workers, under authority of the Trade Act of 1974. (See discussion of TAA program in chapter 2, supra.) Among the Department's TAA duties are certification of workers for eligibility to apply for benefits and issuance of guidelines for administration of benefits at the State level.

DEPARTMENT OF STATE

The Department of State, created by act of Congress in 1789, advises the President in the formulation and execution of foreign policy. The Department's primary objective is to promote the longrange security and well-being of the United States. In so doing, the Department plays a significant role in analyzing facts and making recommendations on policy and future actions on any issues that affect American interests overseas. In the formulation of U.S. trade policy, State's primary role is to provide a foreign policy perspective to interagency deliberations. State performs this task as a voting member of the Trade Policy Committee and its subordinate committees.

The Department attaches high priority to trade, investment, and commodity issues because of their importance in U.S. foreign relations. Within the Department, the Under Secretary for Economic and Agricultural Affairs is principal advisor to the Secretary and Deputy Secretary in the formulation and conduct of foreign economic policy. The Bureau of Economic and Business Affairs has overall responsibility within the Department for formulating and implementing policy regarding foreign economic matters, including policies on foreign investment, natural resources and food, international trade, and international finance and development. State plays a major role in the formulation of U.S. policy in these areas.

DEPARTMENT OF THE TREASURY

The Department of the Treasury was created by act of Congress in 1789.23 The Treasury Department's role and responsibilities have been broadened substantially by many subsequent acts and executive orders.

22 37 Stat. 736, 15 U.S.C. 1501.

231 Stat. 65, 31 U.S.C. 1001.

The Department of the Treasury has primary responsibility for formulation and administration of economic and financial policy; tax policy; public debt management; various law enforcement functions (through the U.S. Secret Service; Bureau of Alcohol, Tobacco and Firearms; and the U.S. Customs Service); and the manufacture of coins and currency.

The Secretary serves as the principal economic advisor to the President. The Secretary serves as U.S. Governor of the International Monetary Fund, the International Bank for Reconstruction and Development (World Bank), the Inter-American Development Bank, the Asian Development Bank, and the African Development Fund. The Secretary also is co-chairman of a number of bilateral economic commissions with other countries. As Chairman of the National Advisory Council on International Monetary and Financial Policies, the Secretary or his delegate plays a key role in formulating and overseeing U.S. policies toward international lending institutions and U.S. aid and trade finance policies.

The Treasury's international responsibilities are carried out by the Assistant Secretary for International Affairs, who advises and assists the Secretary and the Deputy Secretary. The Office of the Assistant Secretary is divided into groups responsible for international monetary affairs, developing nations, international trade and investment, and Arabian Peninsula Affairs. Supporting staff offices analyze economic and financial policies in industrial and developing countries and support Treasury's attachés abroad; coordinate U.S. policies toward the International Monetary Fund, the World Bank and other international financial institutions; monitor developments in foreign exchange markets and coordinate (with the Federal Reserve) U.S. intervention in exchange markets; collect and analyze U.S. balance of payments data and other economic and financial data affecting the U.S. and world economic outlook; coordinate policies toward financing of trade and toward foreign investment in the United States and U.S. overseas investment; and conduct other functions.

The Treasury Department maintains an active involvement in U.S. trade policy to ensure that decisions in that area include a consideration of their impact on the U.S. economy. Treasury is a voting member of the Trade Policy Committee chaired by the U.S. Trade Representative and of the TPC's subcabinet groups. Treasury also has responsibility for the U.S. Customs Service.

U.S. CUSTOMS SERVICE

The second act of Congress, dated July 4, 1789, authorized the collection of duties on imported goods, wares and merchandise. The fifth act of Congress, passed in July 31, 1789, established customs districts and authorized customs officers to collect import duties. On March 3, 1927, the Bureau of Customs was established as a separate agency under the Treasury Department.24 The Bureau was redesignated the United States Customs Service on August 1, 1973.25

24 44 Stat. 1381.

25 Treasury Department Order 165-23, of April 4, 1973.