The U.S. Congress passed free trade agreements with Colombia, South Korea, and Panama on Wednesday [Oct. 12th]. But this was not diplomacy as usual—this was pay-to-play diplomacy.
These three foreign governments spent at least $15 million on lobbying and public relations in their efforts to promote passage of their respective free trade agreements, as The Hill reported last week. Coupled with a sizeable effort by pro free-trade U.S. multinational businesses and the U.S. Chamber of Commerce, this resulted in lopsided House and Senate votes in favor of passing all three agreements.
With such a powerful and well-financed campaign, passage of the agreements may, in hindsight, seem like a foregone conclusion. However, just a year and a half ago, the deals were stagnating. For instance, some Members of Congress were concerned that if the agreement with South Korea wasn’t modified, the U.S. would risk unintentionally importing goods from North Korea.
To turn the tide in the fight, the South Korean government and the Korea International Trade Association (KITA) hired D.C.’s largest lobbying firm, Patton Boggs. According to Department of Justice (DOJ) records filed under the Foreign Agents Registration Act, Patton Boggs believed that through the firm’s connections and influence they could limit modifications to the agreement:
“Our ties with the Democratic Congressional Leadership and with senior officials in the Office of the U.S. Trade Representative, U.S. labor organizations, and U.S. automobile companies will enable us to garner information and help determine exactly which provisions must change or be supplemented….Our Firm has used such backchannel communications and negotiations to help broker needed revisions to advance several other floundering Free Trade Agreements.”
Patton Boggs wasn’t bluffing about their ability to use “backchannel communications.” The firm has since contacted policymakers, including House Majority Leader John Boehner (R-OH) and the President’s Deputy National Security Advisor, Michael Freeman, about the South Korea free trade agreement more than 350 times, according to a Project On Government Oversight analysis of DOJ records. They also distributed informational materials to policymakers—materials that the DOJ once referred to as “propaganda”—and met with Super Committee co-chair Sen. Patty Murray (D-WA) to discuss the free trade agreement just two weeks ago. mas