China

Soaring Trade Gap with China Costs 3.4 Million U.S. Jobs

America’s job-killing deficit with China reached record heights during 2017—President Trump’s first year in office. The gap between Chinese imports to the U.S. and American exports to China soared by more than $28 billion, to its highest level ever—$375.2 billion.

The problem has been brewing for many years, costing 3.4 million American jobs between 2001 and 2015. As the Economic Policy Institute recently reported:

Manufacturing Hit Hardest. While every U.S. industry is suffering, manufacturing took the biggest hit, losing 2.6 million jobs in electronics, high-tech, appliances, textiles, apparel, and other sectors.

Fewer Jobs Created. Also hurting: industries where America has had a competitive edge. Computer and electronic parts, machinery, chemicals, and transport equipment—all were lost opportunities to add jobs.

Wages Stagnate. Multinationals Profit. Competing with low-wage economies like China also drives down American wages, as does the outsourcing of American jobs to these countries. While American workers are facing pink slips and pay freezes, U.S.-based multinationals are enjoying record profits on their foreign direct investments.

Action Needed Now! America needs tough action, not just tough talk, against China’s trade abuses: dumping, illegal industry subsidies, tariffs and other barriers to imports, suppressing workers’ wages and rights, and frequent currency manipulation. American jobs and incomes are at stake!

Categories: China, Jobs, Uncategorized