Statement on Latest Monthly U.S. Trade Figures
Brief statement from Alliance for American Manufacturing (AAM) Executive Director Scott Paul on this morning's latest monthly U.S. trade figures:
"The trade deficit is headed in the wrong direction, and that's bad news for American workers. Our trade imbalance ballooned by nearly 19 percent in June, while exports actually declined. Our trade deficit with China alone widened to over $26 billion in June, our largest imbalance since October of 2008. This enormous imbalance is driven by a number of factors, but China's currency manipulation plays a key role.
"The White House strategy of giving China the benefit of the doubt on currency has fallen short. The House and Senate must now step in and pass strong legislation to penalize China's currency manipulation and bring down our trade deficit. Over the longer term, we're encouraged that the recent focus by Congress and the administration on 'Made in America' solutions to revitalize our manufacturing base and create jobs will bear fruit, but only if they are meaningful, and only if China is held to account. We strongly support the administration's efforts to enforce America's trade laws, and we encourage the administration to aggressively secure a level playing field for our workers and businesses.
"The drop in exports is also an enormous blow to the administration's efforts to double American exports. While month-to-month comparisons will vary widely, the trend is not a good one. China remains the biggest external obstacle to accomplish this ambitious goal. The biggest internal obstacle is the lack of an aggressive strategy to boost American manufacturing. We need a set of policies to boost credit to producers, increase domestic demand, finance clean energy manufacturing, encourage industrial energy efficiency, enhance skills and training, upgrade America's infrastructure and promote longstanding 'Buy America' policies. We look forward to working with Congress and the administration to reverse the trade deficit, bring down unemployment and secure America's economic future."