Jackson-Vanik amendment repealed; Magnitsky provisions draw Russian ire and termination of adoption and anticrime agreements.

• Author: Crook, John R.
• Position: Russian trial lawyer Sergei Magnitsky

In December 2012, the U.S. Congress overwhelmingly adopted, and President Obama approved, legislation (1) ending application of the Jackson-Vanik amendment to Russia and Moldova. The legislation allows the United States to extend "Permanent Normal Trade Relations" to Russia in compliance with U.S. obligations following Russia's entry into the World Trade Organization. (2) (The Jackson-Vanik amendment to the Trade Act of 1974 (3) was adopted to encourage the then Soviet Union to allow emigration of Soviet Jews. (4) It authorized the president to enter into trade agreements providing conditional most-favored-nation status requiring annual renewal to nonmarket-economy countries that gave "assurances" that they would allow freedom of emigration.)

The new legislation, however, includes provisions imposing bans on visas, asset freezes, and other sanctions on Russian officials implicated in the death of Sergei Magnitsky, a Russian lawyer who died in pretrial custody in 2009 after accusing Russian police and tax officials of a massive tax fraud. (5) Magnitsky's supporters contend that he was beaten and denied proper medical care prior to his death; (6) they also have alleged collusion between officials who committed the fraud and police who investigated it. (7) The sanctions provisions infuriated Russian officials and politicians, who attacked them as an unjust and unfounded interference in Russia's internal affairs. (8)

The U.S. Department of State applauded the repeal of the Jackson-Vanik amendment for Russia.

The United States welcomes the passage by the Senate today of H.R. 6156, which terminates the application of the Jackson-Vanik Amendment to Russia and Moldova and authorizes the President to extend Permanent Normal Trade Relations (PNTR) to both countries. The passage of this bill will allow American businesses to reap the same economic opportunities in Russia's markets that other World Trade Organization members receive, resulting in greater access for American workers, companies, farmers, ranchers, and service providers and the creation of more American jobs. We share Congress' goals of promoting respect for human rights in Russia, and consider democracy, human rights, and civil society to be important components of our relationship with the Russian government and the Russian people. We also support Moldova's ongoing reform efforts and its aspirations for further integration into European institutions. (9) Russia was less pleased...