Illinois General Assembly - Full Text of HJR0003
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Full Text of HJR0003  100th General Assembly




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2    WHEREAS, According to the United States Census Bureau,
3Illinois is currently the fifth most populous state in the
4country, with approximately 12,800,000 residents; and
5    WHEREAS, Illinois is the largest exporting state in the
6Midwest, and the fifth largest exporting state in the United
7States; and
8    WHEREAS, Since 2009, Illinois exports have increased by
9$26.6 billion, or 64%, outperforming the national average of
1053.5%; and
11    WHEREAS, Direct Illinois exports accounted for nearly 10%
12of the Gross State Product (GSP); and
13    WHEREAS, The role of Illinois in the global marketplace is
14currently in flux as a new United States Trade Representative
15takes office and the new presidential administration has
16created a White House National Trade Council; and
17    WHEREAS, In recent years, the Illinois General Assembly has
18taken action on issues involving international trade which, if
19enacted, would almost certainly trigger claims by the World
20Trade Organization (WTO) against the United States, and



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1possibly the imposition of countervailing duties or
2retaliatory tariffs by U.S. global trading partners; and
3    WHEREAS, The United States Census Bureau generates
4international trade statistics relative to the importation and
5exportation of products and goods in and to all 50 states and
6some territories; and
7    WHEREAS, Comparative advantage is a concept in
8international trade law and economics which provides that
9countries should be encouraged to produce what they are best at
10producing and export such products and goods, and import those
11products and goods from a trading partner who is the best at
12producing that particular product or good; and
13    WHEREAS, The most recent trade statistics show that the
14trade preferences provided to some non-market economies
15affects the theory of comparative advantage and possibly
16weakens the role that Illinois plays in the global marketplace;
18    WHEREAS, According to the United Nations, the World Bank,
19and the International Monetary Fund, the United States is the
20world's largest economy and China is the second largest economy
21in the world based upon their respective GDPs; and



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1    WHEREAS, China's accession to the WTO was complete as of
2December 11, 2001; and
3    WHEREAS, China's accession to the WTO was unique in that
4China was one of the 23 original contracting parties to the
5General Agreement on Tariffs and Trade (GATT) in 1948, but
6withdrew after the Chinese Revolution in 1949, which pitted the
7ideologies of Mao Zedong and Chiang Kai- Shek; and
8    WHEREAS, Under WTO agreements, there are two types of
9non-discrimination of interest: the Most Favored Nation (MFN)
10principle, and the National Treatment (NT) principle; under the
11MFN principle, a WTO member may not discriminate between its
12trading partners - goods and services and service providers are
13to be accorded MFN, i.e. equal treatment; at the same time, a
14WTO member must provide NT - it may not discriminate on its
15internal market between its own and foreign products, services,
16and nationals; and
17    WHEREAS, China, like all other WTO members, has agreed to
18abide by all of the WTO agreements, including those provisions
19requiring application of MFN and National Treatment; and
20    WHEREAS, In its Protocol of Accession, China agreed to
21undertake additional actions in order to ensure the smooth
22phasing in of these non-discrimination principles; and



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1    WHEREAS, The WTO system also promotes undistorted trade
2through the establishment of disciplines on subsidies and
3dumping, allowing WTO members to respond to unfair trade
4through the imposition of countervailing or anti-dumping
5duties; in addition, WTO members are empowered to impose
6temporary safeguard measures, under strict rules, when faced
7with a sudden surge in imports causing serious injury to a
8domestic industry; and
9    WHEREAS, In other areas, China has committed to abide by
10all WTO disciplines relating to subsidies and countervailing
11measures, anti-dumping, and safeguards; and
12    WHEREAS, By joining the WTO, China has committed itself to
13abide by international treaty rules and the rule of law in the
14conduct of trade; and
15    WHEREAS, Illinois has eight foreign trades zones where
16foreign and domestic merchandise is considered international
17trade and not subject to United States customs duties: Chicago,
18Rockford, Quad Cities, Peoria, Decatur, Granite City,
19Lawrenceville, and Savanna; and
20    WHEREAS, Illinois maintains 10 foreign trade offices:
21Mexico City, Mexico; Toronto, Canada; Brussels, Belgium;



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1Pretoria, South Africa; Jerusalem, Israel; Sao Paulo, Brazil;
2Tokyo, Japan; New Delhi, India; and Hong Kong and Shanghai,
3China; and
4    WHEREAS, In 1974, Illinois became the first state to open a
5trade office in China when it opened an office in Hong Kong;
6Illinois added an office in Shanghai in 2000; both trade
7offices are dedicated to promoting Illinois-China business
8relations; and
9    WHEREAS, Illinois ranks fifth among the 50 states for
10exports to China; Illinois exports to China totaled over $4.71
11billion in 2014, a 90.8% increase since 2009; Illinois ranks
12third among the 50 states in imports from China, totaling $29.5
13billion in 2014; and
14    WHEREAS, Mexico is a WTO member subject to MFN and NT
15principles; Illinois exports to Mexico totaled over $7.9
16billion in 2014, a 123.0% increase since 2009; Illinois imports
17from Mexico totaled $13.3 billion in 2014, a 116.8% increase
18since 2009; Illinois ranks fourth among the 50 states in
19imports from Mexico and is Mexico's second largest export
20partner; and
21    WHEREAS, Russia is a WTO member subject to MFN and NT
22principles; Illinois ranks seventh among the 50 states for



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1exports to Russia; Illinois exports to Russia totaled over
2$448.1 million in 2014, a 79.5% increase since 2009; Illinois
3ranks seventh among the 50 states in imports from Russia,
4totaling $790.2 million in 2014; therefore, be it
7CONCURRING HEREIN, that the Trade Policy Task Force is created
8within the Illinois Department of Commerce and Economic
9Opportunity - Office of Trade and Investment; and be it further
10    RESOLVED, That the Trade Policy Task Force is charged with
11the following duties: (1) analyze important issues relative to
12the growth of international trade from and to Illinois; (2)
13make recommendations to Congress, the United States Trade
14Representative, and the White House National Trade Council
15regarding trade policies that best serve Illinois; and (3)
16promote the exportation of goods and services from Illinois and
17the importation of goods and services into Illinois; and be it
19    RESOLVED, That the Trade Policy Task Force shall consist of
20the following members:
21        (1) two appointed by the Speaker of the Illinois House
22    of Representatives - one of which is to be the Chair of the



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1    International Trade and Commerce Committee;
2        (2) two appointed by the President of the Illinois
3    Senate;
4        (3) two appointed by the Minority Leader of the
5    Illinois Senate;
6        (4) two appointed by the Minority Leader of the
7    Illinois House of Representatives - one of which is to be
8    the Minority Spokesman of the International Trade and
9    Commerce Committee;
10        (5) a representative of a statewide association
11    representing community businesses, appointed by the
12    Minority Leader of the Illinois House of Representatives;
13        (6) a representative of a statewide association
14    representing manufacturers, appointed by the Minority
15    Leader of the Illinois Senate;
16        (7) four representatives of a statewide association
17    representing unions, two appointed by the Speaker of the
18    Illinois House of Representatives and two appointed by the
19    President of the Illinois Senate;



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1        (8) a representative of a statewide association
2    representing agriculture, appointed by the Speaker of the
3    Illinois House of Representatives;
4        (9) a representative of a statewide association
5    representing the chemical industry, appointed by the
6    Minority Leader of the Illinois Senate;
7        (10) a representative of a statewide association
8    representing the coal industry, appointed by the Minority
9    Leader of the Illinois House of Representatives;
10        (11) a representative of a statewide association
11    representing international trade, appointed by the
12    President of the Illinois Senate;
13        (12) three appointed by the Governor of Illinois;
14        (13) one appointed by the Mayor of Chicago;
15        (14) one appointed by the Mayor of Rockford;
16        (15) one appointed by the Mayor of Peoria;
17        (16) one appointed by the Mayor of Granite City;



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1        (17) one appointed by the Mayor of Lawrenceville; and
2        (18) one appointed by the Mayor of Savanna; and be it
3    further
4    RESOLVED, That the Illinois Department of Commerce and
5Economic Opportunity - Office of Trade and Investment shall
6provide administrative support for the Trade Policy Task Force
7and shall reimburse for their reasonable and prudent expenses;
8and be it further
9    RESOLVED, That the Trade Policy Task Force shall provide a
10final report by December 31, 2018.