Chinese trade practices risk 200k Ohio jobs
Cogliano, Senior Reporter
January 31, 2012
A trio of
new reports release Tuesday claim that 1.6 million jobs in the U.S.
chain — including nearly 200,000 in Ohio — are at risk because of
trading practices by China.
from the Economic Policy Institute, which authored two of the reports,
U.S. automakers have enjoyed a strong turnaround since the government
restructuring of General Motors
Chrysler, with U.S.-based automakers’ sales up 29.1 percent since 2009.
Motor Co. recently
posted a $13.6
billion quarterly profit as well. However, employment in the autoparts
industry has rebounded at less than half that rate.
industry is helping turn our economy around by reviving manufacturing
facilities across the nation. But we’re at risk of this progress being
if we allow China to continue cheating trade laws,” said U.S. Sen.
Brown, D-Ohio. “Without an aggressive approach to addressing the
subsidies outlined in this new report, this unlevel playing field could
jeopardize hundreds of thousands of jobs. We must be aggressive on
enforcement — especially as China ramps up subsidies in strategic
like auto parts.”
Brown — who
has been a vocal critic of China’s trading practices — joined several
Senators as well as labor leaders and economists for the release of the
on Tuesday, which includes:
Threats to the U.S. Auto-Parts Industry from Heavily Subsidized Chinese
and Parts, by the Economic Policy Institute, shows 75 percent of jobs
U.S. auto industry are in the auto-parts sector, with direct and
parts jobs in virtually every state. It concludes that every is
at-risk from this unfair trade competition.
the Pedal to the Metal: Subsidies to China’s Auto-Parts Industry from
2011, by the Economic Policy Institute, cites $27.5 billion in
subsidies to the Chinese auto-parts industry and says that China’s
government has committed to an additional $10.9 billion in subsidies
industrial restructuring and technological development of the industry.
Support Program for Automobiles and Auto Parts Under the 12th Five Year
Stewart & Stewart, claims evidence that massive government
given to Chinese producers, in violation of China’s WTO commitments,
continue for years to come unless challenged. The Chinese government
invest $1.5 trillion in seven industries over the next five years to
them to grow at an annual rate of 35 percent over the period; specific
parts targeted in the plan include batteries, electric motors,
control systems, and fuel cells, according to the study.
Dayton-area economy still reaps large benefits from automakers because
large number of auto suppliers still here. GM has 400 employees in
its DMAX engine plant that is a joint venture with Isuzu Motors, while
region also is home to Honda Motor Co, which has several thousand
workers at an
engine plant in Shelby County and thousands more at assembly plants
chain jobs in the manufacturing sector locally also includes 500
workers at a
new Caterpiller facility in Clayton
and other articles at the Dayton Business Journal