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Issues in Congeess Fight Against the Arab Boycott

January 18, 1978
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Congressional of forces fighting the Arab boycott of American companies trading with Israel face two major matter after the House and Senate reconvene Thursday for the second half of the current 95th session.

One matter deals with the implementation of the anti-boycott law enacted last spring after laborious conferences involving representatives of government, business and Jewish organizations. The other concerns inducing the European Economic Community (EEC) to adopt measures similar to the U. S. legislation to oppose the boycott.

Although President Carter signed into law last June the legislation to help protect American commerce, industry and finance against discrimination by Arab governments, the Administration has yet to provide the regulations for businesses to observe in carrying out the law.

Technically, the regulations must became effective tomorrow, the day before Congress reconvenes, but the Department of Commerce, which is to issue them, has yet to make them public. One cause for the delay is said to be the opposition by anti-boycott elements to the original drafts of the regulations. These elements held that the regulations were less effective than what they believe is the intent of the law Congress adopted.

Accordingly, at least some of these regulations were to be redrafted and their nature remains to be seen and tested. Besides barring discrimination against Americans by foreign traders on the basis of race, religion, national origin or sex, the U.S. law also specifies that no American company can refuse to do business with a boycotted country (Israel) nor refuse to do business with another company engaged in business with Israel if the refusal is designed to further or support the boycott.

WILL SEEK COOPERATION WITH EUROPE

With Rep. Benjamin Rosenthal (D. NY), a House deputy whip in the vanguard, the anti-boycott Congressmen will seek to encourage the State Department to work with the European countries in adopting anti-boycott legislation.

Although former Secretary of State Henry Kissinger, at the time of the Sinai accords between Israel and Egypt, pledged to Israel that the U.S. would try to expand the anti-boycott activity to Europe, his successor opposes that view. Secretary of State Cyrus Vance specifically told the House International Relations Committee early last year that it was inadvisable for the U.S. to encourage other countries to adopt laws similar to those the U.S. was then considering.

In a letter to former Israeli Foreign Minister Yigal Allen dated Oct. 23, 1975, just mode available to the Jewish Telegraphic Agency as evidence of the previous Administration’s view, Kissinger wrote: “The United States has in the past years taken a prominent stand in international organizations and with friendly foreign governments in opposition to restrictive and discriminatory practices in international trade. We shall continue to press for acceptance of our policy in international organizations and in our bilateral relations with other governments.”

In addition to this letter, a Congressional subcommittee also pledged efforts to urge Europeans to join the anti-boycott moves. At hearting in 1976 on the boycott, Rep. John Moss (D. Calif.), chairman of the Oversight and Investigation Subcommittee of the House Interstate and foreign Commerce Committee, recommended that the U.S. and Europe act in concert are anti-boycott activities.

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