Beto O'Rourke on Trade Policy
In a new post, he has a lot to say! Here are some snippets:
President Trump’s disastrous trade war, which he claims was designed to save American jobs, has done just the opposite. “If I’m elected,” President Trump told workers and businesses, “you won’t lose one plant.” Yet, across our country, factory after factory has shuttered its doors. Manufacturing just shrank for the first time in nearly a decade. Trump’s tariffs have amounted to one of the largest middle-class tax hikes in decades. And many farmers — already underwater from climate change — have nowhere to export their crops because President Trump’s tantrums and tweets destroyed their markets overnight.
Off to a good start! Now let's see what he wants to do instead:
Beto has a better way. ...
On day one, Beto will end Trump’s trade wars, which have not only failed to curtail China’s economic aggression, but hurt American workers. And recognizing that trade can unlock opportunity for growth for all communities and enhance small businesses across the country, Beto will aggressively pursue smart trade agreements that defend American values and interests. This will ensure American workers are not only protected, but are the most competitive in the world.
Still good. Now more details:
As President, Beto will:
- End Trump’s trade war
- Defend American values and interests against competitors like China
- Pursue trade agreements that support working families
- Work to enhance the competitiveness of U.S. workers and small businesses
Let's take these one by one:
I. End Trump’s trade war
Donald Trump has enacted tariffs on over $500 billion worth of goods from China, which amount to a $100 billion tax increase on American consumers and businesses, hitting low-income Americans especially hard.
Trump’s tariffs are an attack on U.S. exporters. They have driven up the price of imported intermediate parts, made the dollar less competitive, and caused other countries to retaliate against us with their own tariffs. And they have been a disaster for American farmers and ranchers, destroying their long-standing relationships with customers abroad and forcing many family farms into bankruptcy.
Beto recognizes that targeted tariffs are a tool that may sometimes be necessary, but they must not be used as a threat to drive anti-immigrant agendas or in a way that causes further pain to American businesses and workers. Trump started his trade war with China to reduce the U.S. trade deficit, but the deficit is rising, not shrinking. Auto plants have been closing, not opening. Manufacturing activity has declined. And as the U.S. may now be headed for a recession, it has become increasingly clear that tariffs are not part of a larger strategy, but rather part of a pattern of conducting foreign policy by tweet.
As President, Beto will:
This is all very good. There are better ways to address trade issues with China, and ending the Section 301 tariffs makes sense.
Now on to his proactive agenda:
II. Defend American values and interests against competitors like China
The failure of President Trump’s strategy is no reason to ignore China’s anti-competitive actions. China made several commitments to open up its markets in exchange for joining the WTO, but it has failed to honor them. Instead, China has used currency manipulation, subsidies, restrictions on market access, corporate espionage and other strategies to frustrate U.S. companies’ attempts to compete in China. And it is deploying these powerful tactics as part of a “Made in China 2025” initiative to dominate industries of the future like green vehicles, telecommunications, and artificial intelligence. This is not just a question of ensuring that the United States is competitive in the 21st century — American dependence on China for our robotics, aeronautics, and information technology also constitutes a threat to our national security.
As President, Beto will:
As President, Beto will launch an aggressive WTO case with other countries against China, arguing that it has failed to live up to the specific commitments it made when it joined the WTO. If the case does not bring swift changes in China’s behavior, he will also be prepared to act unilaterally to enact a series of progressive actions that will increase pressure on China. Unlike Trump, Beto will work with our allies while bringing that pressure. Actions Beto will consider taking against China if it does not change its behavior include:
Beto will take real action to address currency manipulation when it arises including:
Whew. There's a lot going on there. Someone put a good deal of thought into this. There are things I agree with (WTO cases against China, solving the DS crisis) and things I disagree with (labor standards at the WTO), but on balance it's a big improvement on what's happening right now.
Next up, what kind of trade agreements would he support:
III. Pursue trade agreements that support working families
Beto not only believes that trade can unlock economic growth across the country, but that trade agreements can provide opportunities to address income inequality as well as global problems that require international coordination. As president, Beto will aggressively seek trade agreements that center on the needs of working families and will prioritize labor rights and environmental standards during trade agreement negotiations. Trade agreements will not include provisions that restrict governments’ ability to regulate in the public interest, such as locking in pharmaceutical patent lengths. Beto will not sign any agreement unless its benefits for working families and the environment are clear.
As President, Beto will:
This mostly seems like boilerplate language from pro-trade Democrats.
And finally there is this, "IV. Work to enhance the competitiveness of U.S. workers and small businesses," which is more about domestic policy issues, so I'm going to skip it.
Overall, sounds like a reasonable, moderate statement of Democratic trade policy. I'm not sure it's going to give him the surge in the polls he needs, but we'll see. It would be nice if it got some attention at the next primary debate.