Tuesday, March 25, 2008

China Cheats, Pa. Workers Lose 15,640 Jobs as Result

The following is a disturbing news release from The Alliance for American Manufacturing. NAFTA's failings are one thing, but illegal trade practices by China (dumping, subsidies, and currency manipulation) have had a deleterious impact on Pennsylvania manufacturers three times worse than anything caused by NAFTA.

WASHINGTON, DC, MARCH 25, 2008—A new analysis by the Alliance for American Manufacturing (AAM) found that the U.S. trade deficit with China has taken a surprising toll on Pennsylvania workers. Annual job losses in Pennsylvania due to trade with China average three times higher than losses discussed by some of the presidential candidates and attributed to NAFTA.

“In just a few short years, tens of thousands of Pennsylvania jobs have been shipped to China,” said AAM Director Scott Paul. “The presidential candidates are rightly concerned about the potentially damaging effects of unfair trade and they need to focus more attention on our record trade deficits with China, which have cost us more than 1.8 million jobs since 2001. Vigorous enforcement of our trade laws will ensure American workers and companies have the chance to compete in a fair global market. We call on the presidential candidates to make this commitment to the voters of Pennsylvania.”

AAM’s analysis of Economic Policy Institute data found that Pennsylvania lost 78,200 jobs from 2001-2006 (all sectors) as a result of the U.S. trade deficit with China [source: EPI, ‘Costly Trade with China’]. That works out to an average of 15,640 lost jobs per year. Using an identical analysis, AAM found that Pennsylvania lost 44,173 jobs from 1993-2004 (all sectors) as a result of NAFTA, for an average of 4,016 jobs lost per year [source: EPI, ‘Revisiting NAFTA’].


Due to CHINA 78,200 2001-2006

Due to NAFTA 44,173 1993-2004

“China cheats and Pennsylvania loses,” said Paul, noting that the U.S. racked up record annual trade deficits in 2007 with both China ($256 billion) and its NAFTA partners ($138 billion).
“If the presidential candidates want to save Pennsylvania jobs, they should commit to fighting China’s illegal trade practices such as dumping, subsidies, and currency manipulation.”

AAM advocates strong enforcement of existing U.S. trade law in order to address predatory foreign practices like China’s dumping, subsidies, and illegal currency manipulation. An AAM study in 2007 found that when U.S. trade laws are actually enforced, the net contribution to the U.S. economy is 50 times greater than any consumer benefits derived from dumped or subsidized imports [source: ‘Enforcing the Rules,’ www.americanmanufacturing.org].


Drake Minder Phone:610-797-5242 mind@rcn.com said...

We were warned by Ross Perot:

I voted for him. Did you?
Know your interest when you
vote or write in a candidate.

So many vote for the label
without ever learning anything
about the ingredients that go into

consigliere said...

haven't any of your readers every heard of joseph schumpeter's concept of "creative destruction"?

Anonymous said...

Perot? Did you vote for Ralph Nader?

What do the Republicans like Perot say? Let the free market work things out. Uh huh.

Anonymous said...

Hillary runs from the NAFTA discussion because her hubby championed it. Obama speaks out against it, but has been caught winking to Canada and telling them his anti-NAFTA statements are a just a necessary part of securing the Democrat nomination. Neither party has enough members who care. Both parties largely support it. NAFTA, CAFTA and other similar trade agreements are here to stay.

Curious, though, is our consistently strong unemployment numbers over the NAFTA time frame to date. They've caused economists to revisit earlier thinking about 5% unemployment being considered "full employment." The argument that they've been replaced by lower paying jobs doesn't square with the last decade's improvement in household incomes.

The cited article is an advocacy piece intended to spur debate ahead of the PA primary. It will fall on deaf ears when it reaches the presidential candidates.

hayshaker said...

The argument that they've been replaced by lower paying jobs doesn't square with the last decade's improvement in household incomes.

Funny thing about averages, when the highest amounts go up, the average does too.

Anonymous said...

"A rising tide lifts all boats."

John F. Kennedy

Anonymous said...

Some tides swamp smaller boats, while yachts can ride them out.


Anonymous said...

"Err uh. Did somebody see my yacht? I think I left my pants on it."

Ted Kennedy

Anonymous said...

Cell phone use in public? Should the person you are talking to be told that he/she is on speaker phone? Do not forget that with a cell phone you can leave a populated are and go to a more private area for your talks. Thanks in advance for your consideration in this matter.

Bernie O'Hare said...

Anon 9:57,

If you want to make a complaint about my use of a cell phone, please send me an email. I usually do put my cell phone on speaker bc I cannot hear. If the call takes any time, I go into a hallway, away from others.

I'm guessing this is just another petty complaint by a petty person who lacks the basic decency to identify himself or herself.

Joe Hilliard said...

The loss of jobs in PA is not merely due to China. PA is one of the most business unfriendly states in the nation.

Only Iowa has a higher corporate tax rate (12%). PA has 9.99%. Our neighbors? NJ 9.36%, NY 7.5%, DE - 8.7%, MD 7.0%, OH 5.1%.

Anonymous said...

I've seen BO use his cell phone in public, too. How horrible! Get a life.

Drake Minder Phone:610-797-5242 mind@rcn.com said...

MSNBC Questions
Clinton's Truthiness, Says She Was Pro-NAFTA


Joe Hilliard said...

Did you ever notice that most of Drake Minder's 'conversation' is blue alphanumeric drivel that is underlined?

Does he ever say anything? Does he ever tell people what he thinks?

Anonymous said...

Joe Hilliard said... 9:30 PM

Does he ever say anything? Does he ever tell people what he thinks? yeah!

Anonymous said...

Well, look what Joe Hilliard has to say.

Drake Minder Phone:610-797-5242 mind@rcn.com said...

Let see Joe:

I think Senator Rick Santorum has it all wrong.
This is why he's no longer in office.

Trade is Not Free.
The infrastructure in which it is
based on has cost; in which we all pay. It's an investment in which we the people can assure a certain standard in safety and protection.
It gives the people a place to make corrections in the system when an injustice occurs.

He was wrong about the war.

He was wrong how it doesn't effect
every citizen in this country.

If you see the link above. I feel
for the most part is just wrong.

Like you, I do believe most of our legislators in all levels in government have done nothing in property taxes. Something, I've been fighting for since I'm a property owner myself.