U.S.
Senator Sherrod
Brown
Ensuring
Ohio Workers
Can Compete
More
than 200 days
ago, the Senate passed a bipartisan jobs bill that could create or save
two
million jobs at no cost to taxpayers. Yet, the House of Representatives
has refused
to consider this common-sense legislation. Now is the time for the
House of
Representatives to act.
The
bill addresses one of the biggest challenges facing Ohio manufacturers
–
unfair competition from Chinese products that are flooding our markets,
priced
artificially low. And these products are priced too low because China
cheats by
manipulating its currency.
We know American workers and American manufacturers can compete with
anyone. We
have skilled, productive workers and world class infrastructure. But
when a
country like China purposefully manipulates its currency to make its
exports
cheaper, that’s not competing—that’s cheating.
And China’s blatant currency manipulation – the act of undervaluing its
currency, the Yuan, to effectively
subsidize its exports – drives
American companies out-of-business, costs Ohio jobs, and undermines our
economy.
The numbers speak for themselves. Last year, the U.S. trade deficit
with China
reached a record $295 billion. In June alone, the deficit was $27.4
billion,
nearly one billion each day. Furthermore, a report released last year
estimates
that our trade deficit with China, exacerbated by Chinese currency
manipulation, has caused the loss of more than 2.8 million American
jobs since
2001 – including more than 1.9 million manufacturing jobs.
And Ohio alone has lost more than 100,000 of those manufacturing jobs
just as a
result of the Chinese trade deficit.
This is unconscionable. It is our responsibility to ensure that Ohio
businesses
and workers compete on a level playing field. We can do this with a
common-sense trade policy that rejects currency manipulation and puts
Ohio
workers first.
That’s why I introduced the bipartisan Currency
Exchange Rate Oversight
Reform Act of 2011. This bill, which cleared the
Senate by a 63-35
vote, seeks to stop Chinese currency manipulation, ensuring a fair and
level
playing field for American manufacturers.
The centerpiece of the bill treats currency manipulation as what it is
– an
unfair subsidy and an illegal trade practice – and provides our
government with
the tools to impose duties on these products flooding our
markets.
Ohio jobs can be created when trade laws are enforced. In fact, a
recent report
by the Economic Policy Institute showed that addressing currency
manipulation
could support the creation of 2.25 million American jobs. Americans
workers
don’t need to cheat; our domestic manufacturers just need a chance to
compete.
We know enforcing fair trade rules works, because we’ve already seen
some
positive results. For example, in 2010 the International Trade
Commission
(ITC), in response to a petition by Ohio steel tube producers, ruled
that China
was artificially supporting its steel manufacturers. Because of this
ruling,
V&M Star was able to compete with its Chinese competitors and
announced it
would build a new facility in Youngstown, Ohio – creating 700
construction jobs
and more than 400 good-paying, permanent jobs.
And while this is a good start, we can’t stop here. Allowing Chinese
currency
manipulation to also be treated as an export subsidy would allow more
industries – from autos to clean energy – to petition the Commerce
Department
and the ITC to stand up to unfair foreign imports. It could mean jobs
for a
number of industries – from paper to tires to wind energy components to
aluminum.
The best way to move America’s economy forward – and reduce our deficit
– is to
make sure that every American who wants to work has a job. The federal
government has a responsibility to ensure that Ohio’s domestic
manufacturers
and small businesses can compete with the rest of the world.
My bipartisan bill is a jobs bill. It would help level the playing
field for
Ohio businesses and manufacturers and help spur our economic recovery.
The
Senate realized this, set aside partisan politics, and passed a bill
that
stands up for Ohio manufacturers and workers who have endured years of
talking
and no action for far too long. Now it’s time for the House to do the
same.
That’s why I will continue to urge the House to confront China’s unfair
tactics, pass the Currency Exchange Rate Oversight
Reform Act of 2011,
and help join the fight for American manufacturing.
Sincerely,
Sherrod Brown
U.S. Senator
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