Letter supporting Permanent Normal Trade Relations (PNTR) with Russia

TO THE MEMBERS OF THE UNITED STATES CONGRESS:

On behalf of the undersigned chambers of commerce and business organizations, we urge you to approve legislation to extend Permanent Normal Trade Relations (PNTR) with Russia before the August district work period.

In a welcome development for American workers, farmers, and companies, Russia will join the World Trade Organization (WTO) in August. Russia is by far the largest economy in the world that has yet to join the WTO, and doing so will require Moscow to further open its market, safeguard intellectual property and investments, and strengthen the rule of law.

The result will be more U.S. exports and more American jobs. U.S. companies see huge potential in Russia, which boasts the ninth largest economy in the world and a growing middle class. Of the top 15 U.S. trading partners, Russia was the market where American companies enjoyed the fastest export growth last year at 38 percent.

However, the United States will not get the full benefit of these market-opening reforms unless Congress approves a short and simple bill granting PNTR and graduating Russia from the Jackson-Vanik amendment.

The Jackson-Vanik amendment to the Trade Act of 1974 was crafted to press the Soviet Union to allow emigration of Soviet Jews and prisoners of conscience. With regard to Russia, Jackson-Vanik has fully accomplished its objective. After the collapse of the Soviet Union, Russia established freedom of emigration for all citizens. Since 1992, U.S. presidents of both parties have issued annual certifications of Russia’s full compliance with the Jackson-Vanik amendment.

It’s a common mistake to think Jackson-Vanik gives the United States leverage over Russia. On the contrary, keeping Jackson-Vanik on the books allows Moscow to deny the benefits of those market-opening reforms to American workers, farmers, and companies — and do so with the WTO’s blessing.

Failure to approve PNTR and graduate Russia from Jackson-Vanik will put the United States at a unique disadvantage in the Russian market. Meanwhile, European and Asian companies will be able to build on their already significant head start in tapping the growing Russian market.

Approval of this legislation will translate directly into new export sales and jobs here at home. The President’s Export Council estimates that U.S. exports to Russia—which, according to estimates, topped $11 billion in 2011—could double or triple once Russia joins the WTO. Meanwhile, the United States gives up nothing, not a single tariff, in granting PNTR.

We urge you to act this summer to approve PNTR and graduate Russia from the Jackson-Vanik amendment.

Very respectfully,

Associated Industries of Massachusetts MA
Associated Industries of Missouri MO
Association of Washington Business WA
Blount Partnership TN
Bristol Chamber of Commerce TN
California Chamber of Commerce CA
The Chamber of Commerce serving Middletown, Monroe and Trenton OH
Charleston Metro Chamber of Commerce SC
Chicagoland Chamber of Commerce IL
Crawfordsville/Montgomery County Chamber of Commerce IN
Dallas Regional Chamber TX
Dayton Area Chamber of Commerce OH
District Export Council of Southern California CA
Downers Grove Area Chamber of Commerce & Industry IL
East Michigan District Export Council MI
Florida Chamber of Commerce FL
Fort Worth Chamber of Commerce TX
Georgia Chamber of Commerce GA
Greater Beaumont Chamber of Commerce TX
Greater Columbia Chamber of Commerce SC
Greater Des Moines Partnership IA
Greater Houston Partnership TX
Greater Jackson County Chamber of Commerce AL
Greater New Orleans, Inc. LA
Greater North Dakota Chamber of Commerce ND
Greater Raleigh Chamber of Commerce NC
Hastings Area Chamber of Commerce NE
Hawaii Pacific Export Council HI
Illinois Chamber of Commerce IL
Illinois District Export Council IL
Illinois Manufacturers' Association IL
International Trade Association of Greater Chicago IL
Johnson City Chamber TN
Kentucky Association of Manufacturers KY
Manhattan Chamber of Commerce NY
Maryland/Washington DC District Export Council MD
Mid-America District Export Council MO
Mid-Atlantic District Export Council PA
Midland Area Chamber of Commerce MI
Mobile Area Chamber of Commerce AL
Montana Chamber of Commerce MT
Montana District Export Council MT
National District Export Council TX
Nebraska Chamber of Commerce & Industry NE
Nevada Manufacturers Association NV
New Orleans Chamber of Commerce LA
New York District Export Council, Inc. NY
North Carolina Chamber NC
North Carolina District Export Council NC
North Texas District Export Council TX
Northern California District Export Council CA
Ohio Alliance for International Trade OH
Pennsylvania Chamber of Business and Industry PA
Rowan County Chamber Of Commerce NC
San Diego & Imperial District Export Council CA
Sioux Falls Area Chamber of Commerce SD
Southern Ohio District Export Council OH
Tacoma-Pierce Co. WA Chamber WA
Texas Camino Real District Export Council TX
U.S. Chamber of Commerce DC
Virginia/Washington DC District Export Council VA
Washington Council on International Trade WA
West Texas District Export Council TX
Western Pennsylvania District Export Council PA
Wisconsin Manufacturers & Commerce WI