Fair Trade Act of 1987

Fair Trade Act of 1987 - Directs the President to reduce the U.S. merchandise trade deficit in 1987 by $25,000,000,000 from the level of such deficit in 1986. Requires the President to submit to the Congress, within 30 days of enactment of this Act, a plan to achieve such reduction. Requires the President, if the targeted amount of reduction is not met in 1987, to take all actions necessary to reduce the total value of products and services exported to the United States in 1988 by a specified amount.

Directs the President to reduce the U.S. merchandise trade deficit in 1988 and each year after 1988 by an amount equal to the target amount (the cost to U.S. firms of unfair foreign trade practices in the previous year as estimated by the U.S. Trade Representative). Requires the President to submit to the Congress, by April 1 of that year, a plan to achieve such reduction. Requires the President, if the targeted amount of reduction is not met in any calendar year, to take all actions necessary to reduce the total value of products and services exported to the United States in the following year by an amount equal to the difference between: (1) the target amount for the preceding year; and (2) the amount of deficit reduction actually achieved.