Senators Introduce ‘Fast Track’ Trade Bill

WASHINGTON—Lawmakers introduced fast-track trade legislation into the House and Senate Thursday that could pave the way for President Barack Obama to conclude a major agreement with 11 nations around the Pacific.

The bill, the result of a compromise between Republicans and Democrats on the Senate Finance Committee, is expected to escalate an already-bitter fight with some Democrats and labor unions over what could become a key part of Mr. Obama’s legacy. The committee is expected to vote on the plan next week.

Along with Japanese and other officials from Canada to Vietnam, Mr. Obama is seeking to open up the barriers that businesses face at the borders around the Pacific to spur economic growth and blunt China’s influence in the region, part of a strategic rebalancing toward Asia.

“If we want to maintain our nation’s economic leadership and promote American values around the world, we must reach beyond our borders, and this bill is a strong first step,” Senate Finance Chairman Orrin Hatch (R., Utah) said.

Mr. Hatch introduced the legislation, commonly known as fast track, along with Sen. Ron Wyden (D., Ore.) and Rep. Paul Ryan (R., Wis.). The Senate committee was set to reconvene Thursday afternoon for a hearing on the bill.

Labor leaders and top Democrats protested the measure Wednesday on Capitol Hill, and its fate is unclear in Congress. Most Democrats oppose it while most Republicans back the legislation, along with Mr. Obama. Trade bills often clear Congress by a narrow margin with support from both political parties.

Sen. Chuck Schumer (D., N.Y.), likely the next Senate Democratic leader, on Thursday came out strongly against the Pacific trade deal, known as the Trans-Pacific Partnership, and the fast-track legislation.

If enacted, the legislation would allow a completed TPP deal and other trade agreements to pass Congress without amendments or procedural delays, a process said to lend more certainty to the U.S. following through on trade terms negotiated between countries.

Opponents ranging from union leaders to some conservative Republicans and most Democratic lawmakers have rejected renewing the legislation, saying it would cede congressional authority to Mr. Obama or pave the way for a trade agreement they oppose.

The bill comes after months of contentious negotiations among Mr. Hatch, Mr. Wyden and Rep. Paul Ryan (R, Wis.). The public clashes between Messrs. Hatch and Wyden delayed a bill that backers of free trade had hoped would clear the new Republican-led Congress earlier this year.

Mr. Wyden had sought changes in the bill that would appeal to more Democrats, and in the end Mr. Hatch agreed to let legislation known as trade adjustment assistance, popular among Democrats, move in parallel with the fast-track bill. The measure helps those whose jobs may have been displaced by international trade.

The bill contains other changes meant to appeal to Democrats and others cautious about opening up trade, without turning off broad Republican support.

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