NEW YORK, 6 July 2004 - Senators and members of the House of Representatives are asking President Bush to block Saudi Arabia's admission to the World Trade Organization (WTO) until Saudi Arabia agrees to "renounce its support of the Arab boycott against Israel, crack down on terrorist financing and improve its human rights record."
In two separate letters sent to US Trade Representative Robert Zoellick last week, congressmen and senators argued that the Bush Administration's negotiating team did not adequately investigate Saudi Arabia.
Despite recent announcements by both the FBI and Department of Commerce that Saudi Arabia has made major changes to comply and assist the US on terrorism and the funding of terrorism, the Senators demand Saudi Arabia take more aggressive steps to crack down on terrorist financing and renounce its support of the Arab League boycott against Israel, which they say violates US trade law.
Twelve members of the US House of Representatives and five senators recently wrote to Zoellick to oppose Saudi Arabia's accession - until the Kingdom drops its support for the Arab boycott of Israel and takes meaningful action to stop terrorism.
The letter stated: "We urge the Administration to use its full weight during the ongoing negotiations to ensure Saudi Arabia's total cooperation in combating terrorism."
The legislators cite a 1994 law which states the US should "vigorously oppose" any country's admission to the WTO that "fosters, imposes, complies with, furthers, or supports" a boycott -such as the Arab League's boycott of Israel.
US Senators Blanche Lincoln, a Democrat from Arkansas, and Gordon Smith, a Republican from Oregon, co-sponsored the Senate letter that urged Zoellick to oppose Saudi Arabia's admission to the WTO.
Senators Bob Graham, a Democrat of Florida, Jon Kyl, a Republican from Arizona and Tom Daschle, a Democrat from South Dakota also signed Lincoln and Smith's letter.
The letters say Riyadh continues to participate in a boycott against Israel in direct conflict with stated US policy.
"US Policy is very clear regarding Saudi Arabia's continuing participation in the Arab League boycott against Israel. In the 1995 Uruguay Round Agreements Act (P.L. 103-465), Congress clearly states that the US Trade Representative should vigorously oppose countries ascending to the WTO that participate in boycotts."
Sen. Lincoln makes clear that she wants to change Washington's "inexcusable policy with the Kingdom of Saudi Arabia."
It seems that the letters have had some effect. Both the WTO's Working Party on the Accession of Saudi Arabia, as well as bilateral talks between Saudi negotiators and representatives of its future trading partners have said their June meetings "did not produce the expected breakthrough."
Aside from the concerns raised by the legislators, Washington said it would also like to see further liberalization of the Saudi insurance industry.
Negotiations on the Kingdom's accession will now continue after the summer break, a WTO official told the press.