tv Secretary Kerry on Trade and U.S. Leadership CSPAN April 26, 2015 9:00pm-9:37pm EDT
take you live to the justice department where loretta lynch will be sworn in. she becomes the first african-american woman to have the justice department. the vice resident will reside. that is 11:00 a.m. eastern live on c-span. coming up next, secretary of state john kerry talks about u.s. trade policy. plus, the debate on cyber security legislation. and, future medicare payments to doctors. next, secretary of state john kerry talks about the need for a definitive trade strategy as congress works on a building would establish rules for international trade negotiations. the secretary spoke about the impact of trade on the global economy and other issues like nuclear proliferation and combating violent extremism.
from the atlanta council, this is 30 minutes. [applause] sec. kerry: general jones, thank you for a very generous introduction. more importantly thank you for your extraordinary years of service for our country. you have help -- held so many important positions, working your way from a lieutenant in vietnam all the way to the national security adviser and many places in between. i admire and think the world appreciates the extraordinary contribution to our country's security, i mean that. thank you very much. [applause] the only thing i worry about is the notion of a terrible toll on
my health. i feel great, folks. i haven't noticed it. i thought you were going to say a terrible toll on the family. but ambassadors, sirs, madams thank you for being here today. it is an important statement about the importance of this topic that summoning ambassadors -- so many ambassadors are here reflecting their interest in this issue of trade. i am delighted to be here with all of you. it's good to be here. i will surprise you a little bit . i will talk about both the atlantic and pacific today. i will talk about security and trade. it is a very timely topic, in almost a guaranteed -- and an almost guaranteed way to get into an argument, which -- in or outside the beltway. that is why we are here.
the atlantic council has never shied away from controversy. for more than half a century this product, the council of the greatest generation, has been in extraordinarily important bulwark of support for nato, or close economic ties to the united states, canada, and europe. in that time, the council has had a lot of superb leaders, beginning with christian herder. coincidentally aim -- a former u.s. secretary of state from massachusetts. fred kemp also belongs to that good tradition of visionaries and internationalists. i appreciate his invitation to be here and i up rishi eight his leadership what he is doing with the atlantic council. the introduction of the bipartisan congressional trade
priorities and accountability act is, in fact, very good news. why? because it reflects exactly what our nation needs and a bridge over three divides, executive, legislative, the senate and the house, and between the two major political parties. so i want to commend the senate finance chair orrin hatch and the panel's ranking member ron wyden and the house ways and means committee chair paul ryan. i commend them for providing a framework for moving forward on a pair of the most significant trade negotiations in our history. the transpacific and the trans-atlantic trade and investment partnerships. those of you fond of acronyms , k p p and tat ip.
if enacted, the new bipartisan bill if enacted will fully respect and preserve the rights of congress. but it will also give the president of the united states the flexibility that he has to have to negotiate on our nation's behalf and make no mistake the questions of whether , the president should have trade promotion authority in the end really does come down to whether the united states should even pursue significant free-trade agreements. that is what is at stake. during my 28 plus years of service in the united states senate, i had a lot of conversations on this subject with factory workers union , representatives, business people, and other professionals, and often these discussions were , very heated and emotional and challenging. because men and women are understandably upset if they see
a company closed down with jobs lost and they deemed the causation to be directly responsible for a trade undertaking. it's only natural that in their distress they are going to find someone or something to be able to blame and it's sometimes , easy. as a democrat, as somebody who won the nomination for my party for the presidency, i understand those tensions as well as anybody. but i voted for the trade agreements including nafta when they came into the senate. i have had a lot of other conversations, too, on the other side of the coin with , entrepreneurs and innovators. people that were eager to take advantage of new opportunities
and whose ingenuity helped to create jobs, move our country forward, change our economy, open up new opportunities, reinvent the mix of our economic base. cities like boston and philadelphia and los angeles new york and elsewhere. whether we like it or not, my friends, what is new , particularly in business, not in everything, but particularly in business, ultimately catches up with and ultimately overtakes the old practice. that is the reality. you can trace that from the beginning of the industrial revolution. it is what we have always called progress. and yes, with uneven -- unevenness in the social fabric, it has brought you that progress.
but the resulting gains, it is fair to say don't come often , without some element of loss at some point, and that is why put -- we put in place trade adjustment systems. it has always created a dilemma for policymakers. but should we try to stop change? as inevitable as it is? is that even realistic? should we fight as hard as we can to maximize the benefits, and minimize the dislocation? it sometimes accompanies change. my own convictions are twofold. in the modern world, we simply first, cannot expect our economy to grow and generate new jobs if all we do is buy and sell to ourselves. ain't going to work.
trade is a job creator period. and the record of the past five years, the past 100 years or more bears that out. as i speak, about 11.7 american jobs, exports. that number is only going to go up. why is that? it's pretty simple math. 95% of the world's consumers live beyond our borders and if for some reason we decide not to do business with them, our economy absolutely will gradually wither and shrink and we will see boarded up windows and going out of business signs from one side of america to another. embracing globalization is not easy, i understand that. in fact, it can be hard. but trying to pretend that it doesn't exist would be catastrophic.
my second conviction, is that way, and by that i mean the united states, should be deeply engaged in helping to write the rules for trade. once again, common sense. why would you said on the sideline, let other people do that? do you think they will go for our high standard automatically? you can measure what happens to companies all across the world in the application of the practices act. how many countries try to ask their companies to operate by that standard? failure to do this would be a felony against the future of our own economy. we have to be engaged because if we do not protect our interests, no one else is going to and because we have learned from past experience to insist upon tightly written and enforceable standards on the issues that we care about the most. and that is why it is important
that these lessons are the very center of the bipartisan bill that is now being considered by congress, and of the high standard trade negotiations that are currently underway. let me look at that for a minute. the proposal now on capitol hill goes well beyond any previous measure of its type. rather than settling for the status quo, it is designed to raise the bar on issue after issue. it says to our trading partners that if they want to take part in this global market, it is important for them to comply with the core international labor and environmental standards. they have to fight trade related bribery and corruption. they have two color within the lines on intellectual property rights. they have to enable legitimate
digital trade. and they have to accept dispute settlement mechanisms to ensure that promises made our promises kept. all of this, all of those things i just listed that have to happen in context of this agreement, they are the direct product of the lessons that we have learned, and of the listening we have been doing over the courts of these last few years. it adds up to a policy to pursues trade not just for the sake of trade, what to ensure that our workers, and our businesses, are in fact going to begin teed a fair chance to compete. now remember, when president obama took office, we were in a recession. we were sick -- facing the greatest financial country -- crisis in this country since the
great depression. the financial structure of the company -- of the country was ready to collapse. that is what a republican secretary of the treasury said to me and my colleagues in the senate on an afternoon when he came up to, literally, implore us to engage in a bailout of that system. unemployment was approaching 10%. the housing market was in shambles. today, nobody is claiming victory. but since 2010, u.s. businesses have added millions of jobs. we put more people back to work and all the advanced economies combined. the sink -- the single biggest cause of the success is that our exports have reached a record level. that is more than a statistic, folks. that's a policy. because when we increase the sale of u.s. goods and services
our payrolls get bigger and , american paychecks get fatter. on the average, exports supported jobs pay more than other jobs. all of this matters in or mislead, because as president obama is -- has often observed america's capacity to lead , globally begins with our economic vitality here at home. now if we are all satisfied with our progress, perhaps we could sit back, forget about trade agreements and about the chance to further pry open international markets where 19 out of 20 of the world's consumers live. but we are not satisfied, nor should we be. because we know if we attempt to stand still, we are going to get blown away economically. we've got to keep generating new jobs. we've got to insure american workers, famers, ranchers, and
businesses receive equitable treatment. you can't do that by sitting on the side of the road, folks while other countries write the , rules of the road for world trade, which is where the future is going to be defined. most americans understand that. a recent gallup poll shows that almost 60% of our citizens view foreign trade as an opportunity, not a threat. and here's the reason. the u.s. market is one of the most open markets in the world. and our environmental and labor standards are among the highest in the world. that's why we actually have so much to gain and nothing to lose by reaching deals that lower , barriers and raise the norms of business behavior so that our businesses can actually wind up selling more in other places. now, consider that small and medium-size businesses, which
are the backbone of the american economy by the way, they face a , unique set of challenges when they're trying to increase exports. for example, health enterprises in massachusetts ships consumer healthcare items to more than 60 countries, but it is hurt by bureaucratic issues such as costly reregistration process in the eu. the seattle-based cascade designs company exports outdoor equipment, recreational equipment, but it faces high tariffs in tpp countries. an agreement could change that enabling both exports and , payroll to grow. concorde supply in san antonio , texas is a seller of , industrial materials and it depends on patent enforcement to keep its innovative products
from being ripped off. more generally, the u.s. is the world leader in many service industries and therefore stands , to gain significantly from greater openness in that sector. the list goes on. it's a long list. our companies need agreements that will reduce both tariff and nontariff barriers to trade. thereby enabling them to participate more fully in the new global supply chains that are creating unprecedented opportunities to establish winning connections around the world. in fact, the economic case for tpp and t tip is overwhelming and i've argued a lot of cases , over the course of my career. however as secretary of state , i'd like to offer just a , little bit of additional food for thought, wearing the secretary of state hat, not the business or trade hat.
it is no secret that we have reached a very fluid stage and -- in global affairs, where people are wondering all around the world, frankly, how the world will look a couple of decades from now. this turbulence that we are witnessing comes from a combination of factors, but it comes significantly from technology, changing economic and political relationships. it comes from the fact that even as the world glows -- grows closer there are powerful forces , driving us apart. these include terrorism, but also extreme nationalism conflict over resources the , imbalance between the number of people coming-of-age in many regions and a dangerous shortfall in economic and social opportunity. we also know that everybody in the world is in touch with everybody in the world all the time, every day.
and believe me, that changes aspirations and it changes , politics. it changes possibilities. it makes it harder to build consensus, harder to govern. and when we add all of this up we are confronted by a couple very basic questions. are we going to look backward and decide the best way to , prepare for the future is to try and recapture the past? are we going to fear change and , give up even attempting to negotiate a a trade agreement that will spur sustained growth and address precisely the labor , and environmental concerns about which critics have previously complained? i sure hope not. because the fact is we could try , to build a wall around our economy as big as fenway park's green monster, maybe bigger, but it would be a lot more harmful
than it would be helpful, my friends. instead of walls what we ought , to be building our alliances -- our alliances and partnerships and understanding and rules of the work -- rules of the road by which we can all act with certainty, rather than hunkering down and just thinking somehow the storms going to pass over you and you're going to be ok. we should be and we are, believe me, using all the tools at our disposal to generate shared prosperity, so that we and our partners can move forward together. and we need to make certain that everybody up and down that foodchain, the economic food chain, shares in the benefits of this much more effectively than they have at some times in the past. now the good news is that our engagement has been welcomed
across every ocean not because , we always agree with all of our friends on every part of this or all of the impacts, but because we know all of our markets and our futures are linked. when the chips are really down , our partners will be able to count on us. and just as we know, that we can count on them. that is what will give the world greater strength, and frankly greater stability in this extraordinary moment of challenge on a global basis. the right kind of trade agreements are actually critical because they create habits of , cooperation that help us not only economically but in , everything else that we are not only determined to do but that we need to do in order to reduce the instability and address the challenges of the future. the united states and europe are bound together, as shakespeare
put it by hoops of iron. t tip will enable us to take further advantage of our combined economic muscle. a few years ago when it was first talked about i remember in the middle of the economic crisis, people said wow, this is going to be able to really help us get out of this crisis, lift up and create the jobs we need. that hasn't changed that need. there's still crisis in a number of countries in europe. as we look at greece struggling with the euro and other challenges, teach up has the -- t-10 has the opportunity to be able to provide the acca top -- the added kick and serve as a strategic pillar of the transatlantic community. it will underscore the democratic solidarity that has defined us and united us since the berlin wall was pulled down by the courage of both sides of that barrier.
and looking ahead, t tip will reinforce our common effort to counter violent extremism, support the sovereignty of ukraine build energy security , and independence for many nations in europe that have -- that currently have to relate rely on one source, russia. it will also help us address global problems such as nuclear proliferation and climate change. that's what comes out of this kind of cooperative effort and the growth that it will spur. of course the asia-pacific is also a major focus of our international economic policy and diplomacy. the markets there are huge and they are growing very rapidly. they are expanding right along with them is the range of the american economic, economic -- economic, political, security interest. seven asian countries are our
negotiating partners on the tpp. these include japan, whose prime minister will be in washington next week for a state dinner and to adjust a joint session of congress. the transformation of the united states and japan from enemies to allies over the past seven decades is truly one of the most magnificent achievements in all of history for both countries. an example of a remarkable turnaround and reconciliation. the tpp is one way to guarantee that our bilateral ties already strong grow even stronger while , serving to reassure the our -- reassure all of our allies that america's commitment to the region is deeply rooted and long-term. because the asia pacific matter so much, president obama announced early in his presidency a plan for a rebalance in foreign policy. but that rebalance is grounded
as well, in the need for regional partners to proceed a level -- perceive a level playing field within asia, so the geopolitical clout is not overly concentrated in any one country, including us. we are not seeking that. we want to see it spread and shared and understood and engaged in by all countries , rather than a great game as we have known it in too many places through all of the last few centuries. that equilibrium is crucial because the economic models and , trade standards that hold sway in the asia pacific will have a decisive impact on the norms elsewhere. it's in america's interests and in our allies interest that these standards be as high as we can make them, because when the competition is fair those , countries that practice by those standards are the most productive in the world, and i'm glad to say the united states is among them.
the bottom line is this, 2015 is simply not the time for us to decide that trade negotiations are too hard or to somehow vacate the field and let 70 years of lessons from the great depression and world war ii get tossed aside. it's not the time for us to sit back and allow the principles of free and open trade to be supplanted by the barren twins of protectionism and mercantilism. why on earth would we ever think that to do so would be in america's best interests or in the interest of the world? but that's what's being offered by others, opponents. why would you even consider that? if there is any message being sent to governments, by the young people in the world today which really was at the heart of
the arab spring, at the heart of the revolution that was attempted in syria, at the heart of that terrible incident of a fruit vendor burning himself to death in tunisia. igniting the rest of the aspirations of people to overflow into squares and hope for jobs, opportunity, and education in the future. if we don't meet the needs of those young people today and -- their demand for openness and freedom, the desire to give the environment the same protections that we pursue for commercial contracts and properties, these young people insist that we live by the role of loss of the corrupt are held accountable and it is possible to achieve prosperity without being either a giant corporation, or born rich. as americans, these are the kind -- these aren't the kind of
demands that should worry us. these aren't aspirations we should be scared of, we should welcome them because we've encouraged them all over the world for decades. they are on the contrary, the hopes and expectation that the united states should embrace. they reflect principles that can help us modernize and strengthen our partnerships across the oceans. they can elevate the way the whole world does business. the road to their realization begins with the approval of trade promotion authority for the president, followed by the completion of these two agreements each of which , represents an agreement with 40% individually of the gdp of the world. ultimately, my friends trade , issues cannot be separated from larger questions about america's global leadership or about the choices yet to be made by our generation. if we retreat on trade, our influence on the global economy will diminish.
and if our economic stature is in doubt, our ability to deliver on defense and political challenges will be increasingly questioned. in our era the economic and security realms are absolutely integrated. we simply can't pull back from one without diminishing our role on the other. we have to be fully engaged in each. more than 50 years ago when , christian herder led this council american exports were , worth only about 1/20 of their value today. in the decades since, our commercial relationships have been utterly transformed. our leading many fractures have changed. our trade and services have exploded. technology has made once what was barely imaginable, the new normal. we are living in a wholly
different world except for one thing, the need for american leadership. like the greatest generation, we face the tests that we cannot allow partisanship or any other source of internal division to prevent us from meeting. we have an opportunity before us to shape and elevate the global rules of trade for decades to come. on these rules will be written the economic history of this century. in congress, prominent leaders from both parties are poised to open that door. it is absolutely vital, my friends at the atlantic council that you and we together, do everything possible that we walk -- to make sure that we walk through the door together and get this job done. thank you very much. [applause].
>> secretary kerry, i think you hear from this crowd that we just heard a significant speech, and we thank you for that. we thank you particularly for making the speech for the atlantic council and reflecting on christian heritage because you just did call these historic in nature. i think if we go forward with the agreements we may see that they become as historic for our times as nato was for its time. we feel that way. we've launched our our our own trade and security initiative today, and we have launched a business initiative. we will do whatever we can to help keep the -- get the job done. thank you for being here. [applause]
>> ladies and gentlemen, please remain seated. thank you very much. sec. kerry: thank you very much. >> on the next washington journal, a look on the debate over the transpacific partnership and so-called fast-track trade authority with read wilson of the washington post. discussing government whistleblowers, we will be joined by a man who contributed to opposition of the vietnam war in 1971 by leaking secret documents to the new york times that became known as the pentagon papers. politico energy
reporter talks about oil and gas pipeline safety in the u.s. and how the government inspects them. we will take your calls on facebook and twitter. washington journal is live at 7:00 eastern on c-span. >> a few of the book festivals we will cover this spring on book tv, in the middle of may, we will visit maryland for the gaithersburg book festival with tom davis. as well as senior advisor david axelrod. we will close out may at book expo in new york city, where the publishing industry showcases upcoming books. in june, we are live for the chicago tribune printers fast. we will take your phone calls on that. that is this spring on book tv.
>> they passed a bill last week to protect companies from lawsuits if they share information on cyber threats with other companies or the federal government. the bill also creates the cyber threat intelligence integration office, tasked with analyzing reported threats. here is some of the debate from the house floor. >> of a last several years cyber attacks have become a pressing concern for the united states. home depot, target and other companies have been subject to major attacks, resulting in the compromise of personal information of employees and customers alike. dave's, whether hostile foreign agents or money seeking criminals, have accessed medical records and credit card numbers and published confidential e-mails affecting tens of millions of americans. this situation cannot continue. the house has passed cyber security administer --
legislation with -- in the past two congresses. we have worked closely to draft a bill that will increase the securities of our networks while protecting users's privacy. i see mr. ruppesberger is here he sponsored the legislation last time. we hope that we can get the bill across the floor this year. we have worked closely with leadership. chairman maccoll and the senate intelligence committee to ensure our bills complement each other. the protecting cyber networks act addresses a core problem in digital security. because of legal ambiguities companies are afraid to share information about the cyber threats. if a company sees a threat or attack, this company will allow the company -- this bill will allow the company to report it
without fear he lawsuit so other companies can protect themselves . the bill encourages three kinds of sharing. private-to-private government to private and private to government. companies are allowed to share cyber threat information with government agencies. if banks are comfortable sharing with the treasury department, they can do so. if they prefer sharing with the department of energy, they can do so. if companies want to share with the department of homeland security, the justice department, or congress, they can share with them. the only sharing that this bill does not encourage is direct sharing to deferment of defense or the national security agencies -- agency. companies can still share with nsa, but they will not receive new liability protections. this bill does not provide any new surveillance authorities. it