H-5109.1  _______________________________________________

                     HOUSE JOINT MEMORIAL 4042

          _______________________________________________

State of Washington      54th Legislature     1996 Regular Session

By Representatives Van Luven, Sheldon, Veloria, Hatfield, Basich, Sherstad, Radcliff, Ballasiotes, Brown, Hymes, Skinner, Benton, Hickel, Valle, Patterson, Dyer and L. Thomas

Read first time 02/21/96.  Referred to Committee on Trade & Economic Development.

Requesting Congress pass H.R. 2754 ratifying the Organization for Economic Cooperation and Development shipbuilding and repair treaty.

    TO THE HONORABLE WILLIAM J. CLINTON, PRESIDENT OF THE UNITED STATES, AND TO THE PRESIDENT OF THE SENATE AND THE SPEAKER OF THE HOUSE OF REPRESENTATIVES, AND TO THE SENATE AND HOUSE OF REPRESENTATIVES OF THE UNITED STATES, IN CONGRESS ASSEMBLED, AND TO THE PRESIDENT OF THE SENATE AND THE SPEAKER OF THE HOUSE OF REPRESENTATIVES OF EACH STATE'S LEGISLATURE OF THE UNITED STATES OF AMERICA:

    We, your Memorialists, the Senate and House of Representatives of the State of Washington, in legislative session assembled, respectfully represent and petition as follows:

    WHEREAS, The United States of America is an active participant in the global economy and wishes to continue to develop foreign markets and increase investment in United States products abroad; and

    WHEREAS, The ship building industry in the United States has historically been a strong industry providing quality vessels and thousands of family wage jobs; and

    WHEREAS, This industry has been largely supported by domestic and military contracts.  Unfortunately with military downsizing and foreign competition many of these shipbuilding companies are facing serious financial problems; and

    WHEREAS, The key element which prevents United States shipbuilders from successfully competing on the world market is that their foreign competitors in both Europe and Asia receive large government subsidies which allow them to drastically underbid United States companies; and

    WHEREAS, The decline of military contracts and increase in foreign competition have caused United States shipbuilders to become world leaders in efficiency and product quality; and

    WHEREAS, Efficiencies and product quality have not been enough to overcome the tremendous economic advantage which foreign government subsidies grant to United States competitors; and

    WHEREAS, We now have a chance to level the international shipbuilding field and allow United States shipbuilders to compete in the international market; and

    WHEREAS, Through the efforts of the Organization for Economic Cooperation and Development (OECD) a treaty has been negotiated which would eliminate shipbuilding subsidies for eighty percent of the world's shipbuilding capacity; and

    WHEREAS, This treaty has already been signed by a number of the European and Asian countries as well as the United States; and

    WHEREAS, To implement this treaty, Congressional ratification is required; and

    WHEREAS, Congress members Jennifer Dunn, Phillip Crane, and Sam Gibbons have introduced H.R. 2754 which would implement the OECD treaty;

    NOW, THEREFORE, Your Memorialists respectfully request Congress pass H.R. 2754, which would implement the OECD shipbuilding and repair treaty.

    BE IT RESOLVED, That copies of this Memorial be immediately transmitted to the Honorable William J. Clinton, President of the United States, the President of the United States Senate, the Speaker of the House of Representatives, the President of the Senate and Speaker of the House of Representatives of each State's legislature of the United States of America, and each member of Congress from the State of Washington.

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