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The Honorable William J. Clinton
President of the United States
The White House
1600 Pennsylvania Avenue, NW
Washington, DC 20500

Dear Mr. President:

Your Export Council's 1997 report on unilateral economic sanctions described a significant body of federal laws authorizing or mandating unilateral economic sanctions. We did not question the objectives of existing U.S. unilateral sanctions nor the right of Presidents to use such measures. However, we concluded that existing sanctions comprise a complex and growing web of restrictions and legal impediments in the international trading system that extends well beyond the intent of the individual measures. We recommended policies and processes to overcome what we believed was an absence of transparency and discipline in dealing with the countries against which unilateral economic sanctions are being imposed.

Our report did not undertake to review sub-federal foreign policy sanctions; however, we noted the increasing use of secondary boycotts by state and local governments to sanction those who trade in or with certain foreign countries. We urged you to direct an early assessment of whether federal initiatives might be appropriate in respect to such actions that may impinge upon federal responsibilities in the areas of foreign and trade policy.

Since our report, senior Administration officials have called these sub-federal sanctions "unhelpful", and the State Department has sought privately to dissuade some jurisdictions from actions in specific cases that were in conflict with U.S. foreign policy. These efforts have had limited success. Since such actions that are in conflict with U.S. foreign policy are counterproductive, we urge you now to communicate with the State Governors to ensure that a more transparent and disciplined process is employed.

Finally, in connection with our interest in promoting improved sanctions policy and processes, we note that the National Foreign Trade Council has introduced a Constitutional challenge to the Massachusetts Burma Law. This case will test the premise that such laws conflict with existing federal sanctions aimed at encouraging political change in Burma and violate the Constitution's Foreign Commerce Clause.

Sincerely,
C. Michael Armstrong
Chairman

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