House Speaker Hastert Tuesday told a group of trade association officials that he expects to stage a vote this year on a free trade agreement between the United States and Australia, according to a Hastert spokesman, setting the stage for a summer congressional trade battle.

Trade Representative Zoellick and Australian Trade Minister Mark Vaile signed the agreement Tuesday in Washington, and business supporters have been chomping at the bit to get going.

But senior GOP leadership aides said they did not expect a vote to occur until July, pushing the matter perilously close to the expected July 23 start of the congressional summer recess.

Business officials have been hoping for a vote as early as possible in order to avoid the possibility of a delay until September, when the election season will be in full bloom.

Many business leaders are eager to get the deal passed, but most agricultural officials have not been supportive. Hastert spoke about Australia during a morning meeting with members of the American International Automobile Dealers Association, the spokesman said.

Hastert had indicated he did not intend to move any trade agreements until the Office of the U.S. Trade Representative made progress addressing what he believes are unfair trade policies by Canada with respect to pharmaceuticals.

Hastert now thinks USTR is making "good progress" on the issue, even though he is not "completely satisfied," the spokesman said. But Hastert appears satisfied enough to move forward with the Australia deal. Other agreements waiting in the wings include free trade agreements with Central American countries and Morocco.

Following the signing, Zoellick said he wants a summer vote. "We're looking to try to get this agreement done this summer, even though it's a crowded calendar in an election year," Zoellick said. "I think we're counting on very strong support."

In a sign that backing might be forthcoming on both sides of the aisle, Ways and Means ranking member Charles Rangel, D-N.Y., and Ways and Means Trade Subcommittee ranking member Sander Levin, D-Mich., said they would support the Australia agreement.

But they laid down an important marker, saying while provisions requiring nations to enforce their own labor laws might work with Australia, they oppose using this model generally, as the administration has done. Business lobbyists present at the signing of the Australia deal say they continue to be concerned that moving the

Morocco agreement along with the Australia deal, as Senate Finance Chairman Grassley has suggested, could harm prospects for passing the Australia agreement this year. Grassley issued a statement Tuesday that will do little to assuage their fears.

In his terse remarks, Grassley pointedly used the plural case, saying he was pleased the administration was moving ahead with "agreements" and expressing his commitment to passing "new agreements" in the months ahead. -- With Martin Vaughan contributing

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