Summary: Testimony was given concerning proposed legislation that would reorganize the Government's trade functions by creating a new Department of Trade. GAO believes that establishing a Department of Trade would be a means of emphasizing the importance of trade in relation to the U.S. economy and the Government's role in international trade relations. However, establishing a Department of Trade will not change the need to balance economic, foreign policy, and national security interests of various Government agencies. The proposed legislation recognizes the need to preserve this kind of shared responsibility in the form of a Trade Policy Committee. However, it does not provide for participation by the Department of Defense (DOD) in this interagency group. GAO suggests that DOD should be included because of the need to consider national security interests and the DOD role in administering export controls and developing high technology sectors. Because GAO believes that substantial time and resources should be devoted to planning the mechanics of the reorganization's implementation, GAO has drafted a proposed amendment which would require the President to submit to Congress a written plan which considers and plans for leadership, staffing, funding, office space, and administrative support functions. GAO has also drafted a proposed amendment that would authorize GAO employees making an audit of the administration of countervailing or antidumping duty statutes to have access to confidential information to the extent necessary.
