U.S. GOVERNMENT PRINTING OFFICE

70–545 WASHINGTON : 2011

112th Congress, 1st Session – – – – – – – – – – – – – House Document 112–59 

LEGISLATION AND SUPPORTING DOCUMENTS TO IMPLEMENT THE UNITED STATES-PANAMA TRADE 

PROMOTION AGREEMENT 

MESSAGE 

FROM

THE PRESIDENT OF THE UNITED STATES 

TRANSMITTING

CONSISTENT WITH THE TRADE ACT OF 2002, LEGISLATION AND 

SUPPORTING DOCUMENTS TO IMPLEMENT THE UNITED STATESPANAMA TRADE PROMOTION AGREEMENT 

OCTOBER 4, 2011.—Message and accompanying papers referred to the 

Committee on Ways and Means and ordered to be printed 

2:31 Oct 07 2011 Jkt 070545 PO 00000 Frm 00003 Fmt 4012 Sfmt 4012 E:\HR\OC\HD059P1 XXX HD059P1

(III)

To the Congress of the United States: 

I am pleased to transmit legislation and supporting documents to 

implement the United States-Panama Trade Promotion Agreement 

(Agreement). The Agreement is an important part of my Administration’s efforts to spur economic growth, increase exports, and create jobs in the United States, while promoting our core values. The 

Agreement will create significant new opportunities for American 

workers, farmers, ranchers, manufacturers, investors, and businesses by opening the Panama’s market and eliminating barriers 

to U.S. goods, services, and investment. 

The Agreement also represents an important development in our 

relations with Panama, and accords with the goal, as expressed by 

the Congress in the Caribbean Basin Trade Partnership Act, to 

conclude comprehensive, mutually advantageous trade agreements 

with beneficiary countries of the Caribbean Basin Initiative trade 

preference program. The Agreement further reflects a commitment 

on the part of the United States to sustained engagement in support of democracy, economic growth, and opportunity in Panama 

and the region. 

Panama is one of the fastest growing economies in Latin America. Upon entry into force of the Agreement, Panama will immediately eliminate its tariffs on over 87 percent of U.S. exports of 

consumer and industrial goods and on more than half of U.S. exports of agricultural goods. Panama will eliminate most other duties on U.S. exports within a 15-year transition period. Eighty-five 

percent of U.S. businesses exporting to Panama are small and medium-sized enterprises. The elimination of duties provided for in 

the Agreement will help to level the playing field for them and for 

all U.S. exporters, based on 2010 trade flows, as approximately 98 

percent of our imports from Panama already enjoy duty-free access 

to the U.S. market. In addition, the Agreement will give American 

service providers greater access to Panama’s $20.6 billion services 

market. 

The Agreement contains state of the art provisions to help protect and enforce intellectual property rights, reduce regulatory red 

tape, and eliminate regulatory barriers to U.S. exports. The Agreement also contains the highest standards for protecting labor 

rights, carrying out covered environmental agreements, and ensuring that key domestic labor and environmental laws are enforced, 

combined with strong remedies for noncompliance. Panama has already made significant reforms related to the obligations it will 

have under the labor chapter. 

As a part of an ambitious trade agenda, it is important that the 

Congress renew a strong and robust Trade Adjustment Assistance 

Program consistent with reforms enacted in 2009. Renewal of the 

program is necessary to support Americans who need training and 

other services when their jobs are adversely affected by trade. As 
IV

we expand access to other markets abroad, we need to ensure that 

American workers are provided the tools needed to take advantage 

of these opportunities and are not left behind in the global economy. 

Approval of the Agreement is in our national interest. The Agreement will strengthen our economic and political ties with Panama, 

support democracy, and contribute to further economic integration 

in our hemisphere and economic growth in the United States. I 

urge the Congress to enact this legislation promptly. 

BARACK OBAMA. 

THE WHITE HOUSE, October 3, 2011. 
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