On March 16, 2012, nearly 200 U.S. congressional delegations issued an appeal to President Obama, claiming that China’s auto parts and components have been subjected to “predatory†pricing behavior. The U.S. auto parts industry has been seriously threatened, and the letter proposes that the U.S. government take strict measures. Counter measures.
Nearly 200 lawmakers issue accusations against Chinese auto industry
The Detroit News reported that among 184 U.S. congressmen (Reuters 188), Democrat Senators Debbie Stabenow and Carl Levin of Michigan led the call for Obama. “Facing with China’s illegal behavior, the latter has already harmed American auto parts makers and damaged Michigan jobs.†Members also collectively wrote to Obama, and more than 30 of the above-mentioned parliamentarians signed the letter.
In the letter, the congressman pointed out that China has implemented a number of policies to create unfair trade advantages for auto parts manufacturers, including the Chinese market restricting the import of overseas auto parts and providing subsidies for auto parts produced locally; in addition, “China has also forced US companies to Delivery of technology to local joint venture partners."
A group of members said: “When the American automakers gradually recover, the auto parts industry is facing serious challenges. We cannot sit in and watch the situation worsen. 75% of jobs in the US auto industry depend on auto parts, and today’s auto parts and parts The industry is at stake... China’s tactics have seen its effects. China has closed its doors for auto parts exports, and since 2000, China’s auto parts exports have surged by about 900%.â€
Many of the members of the group are from the north-central states of the developed automotive manufacturing industry, and these states have an important influence on Obama’s reelection in November.
Members have repeatedly asked for sanctions on Chinese auto parts exports
The petitioners urged Obama to "adopt all existing powers" to maintain the US auto parts industry, but this time no detailed plan has been submitted. According to relevant sources, the government can appeal to the World Trade Organization’s WTO, or it can be based on the US Trade Remedy Laws, which will ultimately impose taxation on Chinese auto parts exported to the United States, or take restrictions.
On January 24 this year, U.S. President Barack Obama released to the National Assembly his third State of the Union address since he took office, blaming China for trade imbalances and emphasizing the establishment of a Trade Enforcement Unit to limit injustices in countries such as China. Trade behavior. At the end of January, the U.S. trade unions, manufacturing alliances, and trade associations held a press conference on Capitol Hill accusing China’s auto parts of vehicles of threatening the U.S. auto industry through unfair measures. Debbie Stobone then asked the White House to restrict imports of Chinese auto parts in response to Chinese government subsidies.
At the time, a U.S. trade official who declined to identify himself did not admit that the government would take action on the issue, but said that "If our competitors fail to abide by the rules, the government will not stand idly by. We will continue to screen and deal with unfair trade. To ensure that American workers and businesses can compete and achieve success in a fair environment."
Chinese parts become the second largest threat to the US auto industry?
According to data provided by the Alliance For American Manufacturing, a total of US$62 billion worth of Chinese auto parts and components has hit the US market since 2001, leading to an 850% increase in US trade deficit with China in this area. In 2011 alone, the deficit was close to 10 billion U.S. dollars, while the U.S. exports to China were only 7.6 billion U.S. dollars.
The Employment Policy Institute (EPI) estimates that since 2001, the Chinese government has subsidized a total of 27.5 billion U.S. dollars in the auto parts industry, which has greatly promoted China's auto parts exports.
EPI's report shows that although the U.S. government tried to stop the collapse of the auto industry in 2009 and allowed U.S. car companies to get a respite, the influx of Chinese auto parts forced U.S. workers because 75% of U.S. car manufacturing workers were engaged in Spare Parts manufacturing. A large number of people are unemployed; since 2000, the United States auto parts industry has only recruited 60,000 employees, but it has lost 400,000 people and threatened another 1.6 million jobs.
Bob Gold, chairman of the U.S. Automobile Workers Union UAW, claimed in a statement that the Chinese government’s subsidies are the second largest factor in U.S. auto industry joblessness, second only to competition from the Mexican car industry.
Terrence Stewart, who specializes in researching unfair import case studies, even pointed out: "If these (subsidy) policies are not stopped, by the end of this decade, China may occupy 50% of our Spare parts market and devour. Hundreds of thousands of American jobs."
Cap Embroidery Machine,Single Head Embroidery,Tubular Embroidery
Fuwei Embroidery Machine Factory , http://www.china-embroiderymachine.com