Sen. Tim Kaine Opposes the TPP Because IT’S NOT BAD ENOUGH

by Crista Huff (originally published 07-25-16; updated 07-27-16)

 

Senator Tim Kaine (D-VA), newly selected running mate to POTUS candidate Hillary Clinton, was apparently for the TPP before he was against it. Mere days before his decision to join Mrs. Clinton on the Democratic POTUS ticket, Sen. Kaine listed quite a few positives about the TPP in an interview with The Intercept. Yet the day after Kaine’s vice president candidacy was announced, Sen. Kaine agreed to officially oppose the TPP as part of his candidacy.

Kaine last Thursday offered some support for TPP by saying it is “an improvement of the status quo,” but reversed his position on Saturday, the day after Hillary Clinton announced him as her choice for vice president. — Inside U.S. Trade

A Clinton aide confirmed to CBS News that Kaine had made a private commitment to Clinton that he would now oppose TPP, falling in line with the former secretary of state’s declared view on the trade deal. CBS News, 07-23-16

 

There is, however, more to this story. The one negative Sen. Kaine mentioned about the TPP is that he’s concerned about its Investor-State Dispute Settlement (ISDS) mechanism, i.e. the ability for a corporation to sue a TPP partner country in a global court. Before you go cheering, “Hurray, he’s standing up for the U.S. justice system and U.S. sovereignty!”, pay closer attention. Sen. Kaine’s oft-quoted opposition to ISDS does not mention his specific objection. “So again, much of [the TPP] I see I think as a significant improvement over the status quo. The dispute resolution mechanism [ISDS] I still have some significant concerns about.”

What the article doesn’t tell you, because the author didn’t know to ask, is that Sen. Kaine doesn’t like the TPP’s version of ISDS because there’s a tobacco carveout. The carveout leaves the tobacco industry unable to participate in a global lawsuit frenzy that deals a blow to the national sovereignty of the TPP’s twelve partner countries. Can you say “European Union”? 

Sen. Kaine hails from Virginia, the third largest tobacco-producing state in the U.S. The tobacco lobby is irate at the carveout. They’ve certainly used ISDS as a bully pulpit in previous trade agreements, including an infamous case against Australian laws pertaining to plain packaging of tobacco products. Yet they weren’t invited to the party when trade negotiators signed the final version of the TPP in October, and that’s why they’re crying “foul!”

Sen. Kaine is not the only legislator from tobacco country who’s concerned about the carveout tying the hands of the tobacco industry. In a December 2015 interview with the Salisbury Post, Rep. Richard Hudson (R-NC-08), who voted “YES” on Fast Track trade promotion authority (TPA), expressed concerns about the TPP. The news reporter wrote, “Hudson said he’s noticed a provision that could harm the North Carolina tobacco industry.”

Again, the journalist failed to quiz the Congressman on his specific concerns. Yet it’s well-known in Congress that the ISDS tobacco carveout is a big sticking point among legislators from tobacco-producing states, potentially blocking TPP ratification.

In meetings with legislative assistants who handle trade, from two different Congressional offices in tobacco country, I heard Rep. Hudson’s concern echoed almost verbatim. They each discussed the pros and cons of the upcoming TPP vote with me. They freely acknowledged various industry concerns, including the tobacco industry’s displeasure at being barred from access to ISDS provisions in the TPP.

Each office additionally expressed concerns that the TPP lacks any realistic protections against foreign currency manipulation.

 

In summary, almost everybody who opposes ISDS in the TPP objects to corporations’ abilities to bring lawsuits against foreign countries in global courts. In contrast, the tobacco industry opposes the TPP because they’ve been excluded from the ability to bring lawsuits against foreign countries in global courts.

Sen. Kaine represents Virginia, which is a key tobacco state. His sole stated objection to the TPP is the ISDS tobacco carveout, barring tobacco companies from sueing foreign countries in global courts.

It is my personal conclusion that the Senator supports the TPP in general, but is hesitant to announce his support because a “YES” vote on TPP ratification will displease the tobacco industry. He has agreed to run for Veep in tandem with a woman who repeatedly and publicly supported the TPP, but is hesitant to reveal that support to her TPP-hating voter base during an election year.

 

Opponents to the TPP have a painful decision to make in November:

  • Do they vote for Gary Johnson (L), who supports the TPP?

  • Do they vote for Hillary Clinton and Sen. Kaine, who each supported the TPP until they decided to run for POTUS and Veep?

  • Do they vote for Donald Trump, who has always opposed the TPP, and has outlined his solutions to chronic cheating from America’s trade partners?

I can’t tell you how to vote. But I can encourage you to stare at the bald facts and make brave decisions. This is a difficult year for America. Thank you for your willingness to protect our country’s sovereignty and way of life.

 

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Crista Huff is a stock market expert and a conservative political activist. She works with End Global Governance and issues groups to defeat the Trans-Pacific Partnership trade agreement. Send questions and comments to research@goodfellowllc.com.

 

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