Mitt Romney photo

Press Release: Ohio Can't Afford Another Four Years Of Obama's China Policies

September 26, 2012

"President Obama's failed economic policies have left small businesses and middle-class Americans struggling in Ohio and around the nation. The President's decision to let China cheat has cost the nation hundreds of thousands of jobs and his misguided tire tariffs have cost thousands more. Americans simply can't afford four more years like the last four years. Mitt Romney will stand up to China to protect American workers and help create 12 million new jobs to jumpstart our economy." — Amanda Henneberg, Romney Campaign Spokesperson

President Obama's Tire Tariff Destroyed Thousands Of Jobs And Cost $1 Billion In Sales:

According To A Study By The Peterson Institute For International Economics, The Tire Tariff Cost Approximately $1 Billion And Destroyed Thousands Of Jobs. "The cost per job manufacturing saved (a maximum of 1,200 jobs by our calculations) was at least $900,000 in that year. Only a very small fraction of this bloated figure reached the pockets of tire workers. Instead, most of the money landed in the coffers of tire companies, mainly abroad but also at home. The additional money that US consumers spent on tires reduced their spending on other retail goods, indirectly lowering employment in the retail industry. On balance, it seems likely that tire protectionism cost the US economy around 2,531 jobs, when losses in the retail sector are of set against gains in tire manufacturing. Adding further to the loss column, China retaliated by imposing antidumping duties on US exports of chicken parts, costing that industry around $1 billion in sales." (Gary Clyde Hufbauer & Sean Lowry, "US Tire Tariffs: Saving Few Jobs At High Cost," Peterson Institute For International Economics, April 2012)

President Obama's Tire Tariff Increased Costs For Consumers And Failed To Deliver On Its Intended Goals. "The measure was meant to whack imports of passenger and light-truck tires and give a boost to manufacturers and job creation in the U.S. Yet, for a variety of reasons, it has apparently done little of either—and has surely raised prices for consumers." (John Bussey, "Get-Tough Policy On Chinese Tires Falls Flat," The Wall Street Journal, 1/20/12)

Chinese Tire Imports Were Replaced By Imports From Thailand, Indonesia, Mexico And Other Countries. "After the tariff was enacted in 2009—35% in the first year—imports from China did in fact drop sharply. But that business quickly shifted to Thailand, Indonesia, Mexico and elsewhere. Tire imports to the U.S. from these countries rocketed, proving once again that the world has become one big fungible production platform: If it doesn't get built in China and it's too expensive to make in the U.S., it will get made in a cheap locale somewhere else." (John Bussey, "Get-Tough Policy On Chinese Tires Falls Flat," The Wall Street Journal, 1/20/12)

Tire Industry Association's Roy Littlefield: "So Far As Saving American Jobs, It Just Isn't Working. ...  And It Really Hurt A Lot Of People In The Industry—Smaller Businesses..." "'So far as saving American jobs, it just isn't working,' says Roy Littlefield of the Tire Industry Association, which has 6,000 members. 'And it really hurt a lot of people in the industry—smaller businesses that geared up to bring these tires in from China.'" (John Bussey, "Get-Tough Policy On Chinese Tires Falls Flat," The Wall Street Journal, 1/20/12)

And President Obama's Failure To Stand Up To China Has Cost Jobs And Has Been Blasted By The President's Fellow Democrats:

Under President Obama, The United States Treasury Department Has Refused To Label China As A Currency Manipulator Seven Times. (Don Lee, "U.S. Declines To Label China A Currency Manipulator," Los Angeles Times, 5/25/12; Pedro Nicolaci da Costa, "U.S. Again Says China Not Currency Manipulator," Reuters, 12/28/11; Gregg Robb, "Treasury Says China Isn't A Currency Manipulator," Market Watch, 5/27/11; Sewell Chan, "China's Currency Avoids "Manipulated" Ruling Again," NYT, 2/04/11; Gregg Robb, "Treasury Does Not Cite China As Currency Manipulator," Market Watch, 7/8/10; Martin Crutsinger, "Administration Declines To Cite China On Currency Manipulation," USA Today, 10/15/09; Glenn Somerville and Doug Palmer, "U.S. Again Declines To Brand China Currency Manipulator," Reuters, 4/15/09)

  • The Washington Post: "China's Policy Has Probably Cost Americans Hundreds Of Thousands Of Jobs And Contributed To China's Destabilizing Pile Of Trillions Of Dollars In Reserves." "China's undervalued renminbi is a long-standing, bipartisan concern, and it is not a phony one: In pursuit of growth led by exports, China has held the renminbi down in relation to the dollar, rendering its goods artificially cheap in the U.S. market. The renminbi would gain about 20 percent against the dollar if it were allowed to float freely like other currencies, according to the Peterson Institute for International Economics. China's policy has probably cost Americans hundreds of thousands of jobs and contributed to China's destabilizing pile of trillions of dollars in reserves." (Editorial, "Breaking China?," The Washington Post, 8/31/11)

Senator Sherrod Brown: "The U.S. Treasury Department Has Given China A Free Pass When It Comes To Its Currency Manipulation." "'Once again, the U.S. Treasury Department has given China a free pass when it comes to its currency manipulation,' Brown said. 'While we're seeing American manufacturing rebound, China is stepping up its efforts in a number of critical sectors, including clean and solar energy, advanced manufacturing, and auto parts.'" (Senator Sherrod Brown, "Treasury Giving China A 'Free Pass' On Currency Manipulation," Press Release, 5/25/12)

Representative Tim Ryan (D-OH): "China Continues To Flout International Trade Laws By Manipulating Its Currency Value To Increase Its Trade Advantages. ... This Is Completely Unacceptable." "In March, U.S. Rep. Tim Ryan, D-Niles, and Congressman Mike Michaud, D-Maine, drafted a letter to U.S. Treasury Secretary Tim Geithner and U.S. Commerce Secretary Gary Locke to address China's continued currency manipulation. 'China continues to flout international trade laws by manipulating its currency value to increase its trade advantages,' Ryan said. 'This is completely unacceptable. All that our people are asking for is a level playing field.'" (Editorial, "Cheating Robs U.S., Area Of Jobs," Tribune Chronicle, 6/15/12)

Senator Charles Schumer: "The Administration Continues To Let China Get Away With Flouting Trade Rules Just For The Sake Of Diplomacy." "Sen. Charles Schumer (D-N.Y.), who has been sponsored legislation that would punish Chinese imports for the undervalued currency, also criticized the administration's report. 'The administration continues to let China get away with flouting trade rules just for the sake of diplomacy. Calling out China as a manipulator may be awkward, but it is time to take off the kid glove,' he said in a statement.'" (Julian Pecquet, "Treasury: China Not Manipulating Currency," The Hill', 5/25/12)

Senator Bob Casey: "When China Cheats On Currency, We Lose Lots Of Jobs. And Not Just Tens Of Thousands, We Lose Hundreds Of Thousands, If Not A Lot More." CASEY: "And one of the substantial factors in that has been the Chinese currency, their policies, because when China cheats on currency, we lose lots of jobs. And not just tens of thousands, we lose hundreds of thousands, if not a lot more. So when they -- when they don't play by the rules, our workers pay the price and our communities pay the price." (Senator Bob Casey, Press Conference, U.S. Senate, 9/22/11)

Mitt Romney, Press Release: Ohio Can't Afford Another Four Years Of Obama's China Policies Online by Gerhard Peters and John T. Woolley, The American Presidency Project https://www.presidency.ucsb.edu/node/302940

Filed Under

Categories

Attributes

Simple Search of Our Archives