Obama again takes on China
President Barack Obama brought his re-election campaign to the Mahoning Valley Friday with a speech that hit on all the right notes for this predominantly Democratic region. In laying out the differences between him and his Republican opponent, Mitt Romney, the president talked about the reenergized auto industry, education and health care. These issues certainly resonate with residents of this region.
It is unfortunate, therefore, that Obama did not delve into the threat that China poses to the United States’ economic recovery. The Valley has experienced the effects of China’s predatory trade practices, and has long demanded action from the White House.
To his credit, the president has shown a willingness to go to bat for American producers — of steel, tires and even chicken products.
Now, the U.S. is targeting the unjustified duties on some American-made cars and sport utility vehicles. The administration has filed an unfair trade complaint with the World Trade Organization in Geneva, contending that duties on more than 80 percent of the American vehicles exported to China are illegal.
Government subsidy
The Chinese have argued that the federal bailout of General Motors Corp. and Chrysler Corp. were a government subsidy for the two companies and, thus, import duties are in order.
According to the Toledo Blade, the duties on about 92,000 vehicles range from 4.1 percent on an Acura TL sedan made by Honda of America Manufacturing Co. of Marysville, Ohio, to 15 percent on a Jeep Wrangler made in Toledo or Jeep Grand Cherokee, to 21.8 percent on a Buick Enclave and Cadillac CTS made in Lansing, Mich.
China’s currency manipulation also remains a major point of contention for the United States, with Ohio Sen. Sherrod Brown, a Democrat, leading the fight in Congress to force a change. U.S. Rep. Tim Ryan of Niles, D-17th, has also been aggressively pursuing the currency issue, arguing that it enables Chinese goods brought into the United States to be priced artificially low.
President Obama, whose stop in Poland was part of a two-day bus tour of the battleground states of Ohio and Pennsylvania, has set the stage for the debate with Romney in the nation’s manufacturing belt.
They are on different sides with regard to the auto bailout, America’s trade relations with China, and health care. The voters of Valley have a right to know how their positions will contribute to the recovery of the hard-hit manufacturing sector.