President Bush urged lawmakers to approve the outstanding free trade deals with Panama and Colombia earlier this week, following a successful accord with Peru signed in December.

The President took advantage of his final State of the Union address to push for the free trade agreements, which have met with opposition from Democrats over labor policies.

Under the Panama trade agreement, tariffs and other trade barriers would be phased out over the next ten years, with more than 88% of US consumer and industrial exports to Panama to become duty-free as the accord comes into effect.

The accord was expected to pass smoothly last year, but ran into controversy when Panama’s National Assembly named Pedro Miguel Gonzalez as its president, who is facing murder charges in the U.S.

However, US business leaders are calling for the treaty’s approval as a key to robust exports and global economic expansion.

"We are the largest exporting nation in the world," Tom Donahue, president of the US Chamber of Commerce told reporters earlier this month. "The suggestion that we back off trade agreements, trade expansion, is to suggest that we stop providing opportunities for American workers and American communities to participate in the global economy."

Susan Schwab, the US Trade Representative, also outlined the importance of the pending trade agreements to US exports during a speech on trade policy this month, countering allegations that further opening the country’s markets to free trade would hurt manufacturing and local employment.

"Clearly now is not the time to retreat or retrench when it comes to trade," said Ms Schwab. "Globalization will continue."

According to the United States Trade Representative, the US is Panama’s largest trading partner, accounting for nearly half of Panama’s total imports. U.S. goods exports to Panama increased 17 percent from 2004 to 2005, and US foreign investment in Panama totals about $25 billion. Total goods trade between the United States and Panama was $2.5 billion in 2005.