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Home >> Business
UPDATED: 11:36, November 14, 2006
U.S. House rejects bill normalizing trade with Vietnam
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The U.S. House of Representatives on Monday failed to approve a bill establishing normal trade relations with Vietnam, legislative officials said.

The proposal gained 228 in favor, 32 short of a required two-thirds majority. Totally 161 representatives opposed the bill granting "permanent normal trade relations" (PNTR) status to Vietnam.

An official in the Bush administration told Xinhua in anonymity that the government would try again later this week through normal procedures. It needs only a majority for approval, according to the official.

The administration is hoping to gain approval of the measure before Bush meets later this week with Vietnamese leaders in Hanoi.

House passage would set the stage for an expected vote in the Senate later this week and create possibility that Bush could sign the bill when meeting with Vietnamese leaders in Hanoi at the weekend.

The Vietnam trade bill was supported by U.S. business executives who are anxious to get into Asia's best-performing economy after China. With a population of 84 million, it is also the second most populous country behind Russia still outside the World Trade Organization (WTO).

The WTO formally approved Vietnam as a fresh member last Tuesday, nearly 12 years after the Southeast Asian country began accession negotiations.

Immediately after the decision by the WTO, U.S. Trade Representative Susan Schwab called on lawmakers to quickly approve legislation normalizing trade relations with the Southeast Asian country.

"The United States is very pleased by today's action in Geneva and welcomes Vietnam into the international trade community. The world will benefit from the inclusion of this rapidly-growing, dynamic economy in the rules-based trading system," said Schwab in a statement.

She noted that the bill will permit U.S. businesses, workers and consumers to benefit fully from Vietnam's accession and to build deeper and stronger bilateral trade ties going forward.

Source: Xinhua


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