Exports from the United States create and protect thousands of American jobs and contribute billions of dollars annually to our national economy.

Expanding opportunities and lowering barriers for American companies to trade is critical to America's long-term economic well-being and international competitiveness.

A bill I have introduced, supported by the Clinton administration, repeals an obsolete provision of law that disadvantages U.S. companies trying to sell American products in international markets.

Current law requires foreign governments to pay a "recoupment" tax to the U.S. government when they purchase American products and technology developed partly or fully with federal dollars.

The tax, which affects primarily military products, was established in the early 1960s to recover part of the cost of developing the technology needed to fight and win the Cold War with our NATO allies.

But now those allies—the British, French, Italians and others—are our economic competitors. This tax threatens the future of American workers by making it more difficult for their employers to compete for business in the world marketplace.

Considering that employment in the aerospace-defense industry declined by more than 12 percent in 1993, the issue of preserving and creating jobs of American workers is vitally important. The recoupment tax actually raises the price of U.S. products that results in lost sales to US. industry. This ultimately threatens tens of thousands of American jobs. Studies from the Departments of Commerce and Defense estimate that every $1 billion in aerospace-defense sales represents 16,000 to 20,000 man-years in jobs.

Further, these jobs are critical in order to maintain American technological skins and capabilities; Preserving our industrial base and technologies that can be reconstituted in times of national emergency helps maintain U.S. national security.

This tax should be repealed because it doesn't make America more competitive; it makes America less competitive. Our nation is more dependent than ever on trade for a strong and vital economy. Since no other nation levies a similar tax, why should the United States continue to collect such a tax?

Those who oppose repealing this tax win argue that more weapons will be available as a result and the world will be a more dangerous place. Eliminating the recoupment tax will not in any way change the procedures by which the Clinton administration and Congress review the foreign sale of American products with national security implications. Also, the chairmen of the Committee on National Security and the Committee on International Relations in the House of Representatives are co-sponsors of this repeal legislation.

Furthermore, the recoupment tax was established to help spread the cost of fighting the Cold War, not discourage foreign military sales. The decision whether or not to see weapons to foreign nations is a completely separate question answered by high-level diplomats and national security experts at the Departments of State and Defense.

Repeal of the recoupment tax will not result in an overall increase of weaponry throughout the world. Rather, it win ensure that American manufacturers are competitive with other nations after buyers have decided to make a weapons purchase.

The world trade markets are open for business and our allies have an advantage while this tax is in effect. The recoupment tax hinders the sale of well-made, high-quality American products.

The American taxpayer actuary benefits from increased exports of defense items. The benefits include stable or increased employment and resulting taxes and decreased unit costs to the U.S. government. None of these benefits is realized if there is no sale. If U.S. products are not competitive, purchasers will turn to other countries for these products and our national economy will suffer.