Top U.S. officials are setting travel plans now for the second annual Strategic and Commercial Dialogue (S&CD), set for the week of August 28 in New Delhi. This year’s S&CD will be a litmus test for these dialogues, demonstrating whether they can show real progress on concrete issues impacting manufacturers in the United States, or just produce more talk. Read More
It has been just over three weeks since Sen. Tim Kaine (D-VA) became Vice Presidential Candidate Kaine. And in that short amount of time, he has, to the disappointment of manufacturers, changed positions on two of our most important issues: energy and trade.
As a senator, manufacturers could often count on Sen. Kaine to be a reasonable voice on energy and environmental policy issues. On energy exports, he was in line with manufacturers, cosponsoring legislation in 2013 and 2015 to improve the permitting process for liquefied natural gas export terminals—projects that will drive billions of dollars in investments in manufacturing and other industrial sectors. On opening access to oil and gas resources off the Atlantic Coast, Sen. Kaine once again helped lead the charge, cosponsoring legislation in 2013 and again in 2015 directing the Department of Interior to include the Atlantic Coast in its energy lease sales.
Vice Presidential Candidate Kaine, on the other hand, is staking out a starkly different position on energy development. He opposes unlocking oil and gas resources off the Atlantic Coast. This abrupt shift on energy policy raises some red flags for manufacturers, consumers of one-third of the nation’s energy. An NAM study performed by IHS Economics forecasts that over the next decade, total demand for natural gas will increase by 40 percent, driven in large part by increased demand from manufacturers.
On the Trans-Pacific Partnership (TPP), we are also seeing a tale of two Kaines. While nothing about the text of the TPP has changed since the 12-country trade deal was signed in February, Sen. Kaine’s position has appeared to shift significantly. In July, he made several positive statements on the TPP, noting that there “was much in it to like,” including upgraded labor, environmental and intellectual property standards. Less than a week later, however, Vice Presidential Candidate Kaine completely disavowed the TPP. Sen. Kaine’s original statements on the TPP, not his newfound opposition, are in line with the type of trade agenda that will grow U.S. manufacturing. The United States is losing in the global competition to open markets, as other countries have negotiated hundreds of trade agreements that exclude and disadvantage manufacturers in the United States. Manufacturers need trade agreements like the TPP to eliminate foreign trade barriers and upgrade foreign standards to level the playing field and boost U.S. competitiveness globally. Standing on the global sidelines just means the United States will fall further and further behind competitors, such as China, Mexico, Germany and others.
If manufacturers are going to continue driving economic growth over the next four years and beyond, we need access to all forms of energy and access to more markets overseas. So we need leaders whose policy positions are more like Sen. Kaine’s than Vice Presidential Candidate Kaine’s.
National Association of Manufacturers President and CEO Jay Timmons issued the following statement on the Bureau of Labor Statistics’ July jobs numbers:
“While numbers continue to improve, the fact is that our economy remains nowhere near its full potential. To grow jobs in America, manufacturers need their products sold to more markets. Isolationist rhetoric will not help grow manufacturing jobs in the United States, but the right policies will. Manufacturers have outlined an agenda that will help put our sector—and ultimately the entire U.S. economy—on a path toward continued growth and good-paying jobs, which includes market-opening free trade agreements like the Trans-Pacific Partnership (TPP).
“Whether it’s because of misguided analysis or political expediency, both major party candidates in this presidential election continue to do manufacturing a disservice by perpetuating myths about free trade. It’s time to stop undermining the ability of manufacturers in the United States to compete and win through trade and embrace policies like TPP that are going to put our nation back in the driver’s seat and ensure success for our economy.”
More than 200 countries are sending their teams to Rio de Janeiro this week to compete in the Olympics, with hundreds of separate competitions, from cycling and swimming to archery and gymnastics. We all want and expect a level playing field where no athlete or nation has an unfair advantage and where neutral referees, not national biases, determine who wins the gold.
To achieve fair play in the Olympics, there is a substantial rules-based structure at the international, individual sport and national level. The Olympic Charter is more than 100 pages, and there are thousands more pages of rules and requirements set forth by international sports federations and national teams.
Like the Trans-Pacific Partnership (TPP), most Americans have not read these thousands of pages, but understand that the basic rules reflect our common values and sense of fair play. So too does the TPP that sets for a detailed rules-based system that seeks to give industries in the United States a fair shot to win in foreign markets without discrimination or unfair advantages to our foreign competitors. Consider the basic principles that the TPP would implement: Read More
To grow and thrive in today’s economy, manufacturers in Texas are increasingly looking overseas to boost sales opportunities to sustain and grow their U.S. activities. The Trans-Pacific Partnership (TPP) is important to that growth strategy because it will strengthen manufacturers in the United States and level the playing field with 11 Asia-Pacific countries that boast more than 490 million consumers. Read More
There’s lots of news from the first day of the convention, but manufacturers are more concerned with a major omission by the Republican Party: a statement supporting the Trans-Pacific Partnership (TPP). That’s one line worth repeating. Read More
The National Association of Manufacturers has been providing a lot of #TruthontheTrail this election season. It’s time for some more truth to weigh new government information.
The U.S. International Trade Commission (ITC) just released a congressionally mandated report on the impact of U.S. trade agreements on the U.S. economy. Contrary to statements by some presidential and other candidates, it finds that:
- Bilateral and regional trade agreements negotiated by the United States have increased GDP, employment, wages, trade and exports; and
- Such U.S. bilateral and regional trade agreements have “had a positive effect, on average, on U.S. bilateral merchandise trade balances with the partner countries, increasing trade surpluses.”
But like its past reports, the ITC misses the mark in many major ways, underreporting the impact of trade agreements on manufacturers in the United States:
- U.S. Manufacturing Has Doubled Since NAFTA. Most prominently, the ITC report ignores the massive growth in U.S. manufacturing output. Since NAFTA, both U.S. manufacturing output and U.S.-manufactured goods exports have doubled. Indeed, manufacturers in the United States are producing more than ever before. The recognition of the growth of manufacturing overall is important, particularly when a large portion of that output is exported to trade agreement partners. Indeed, U.S. free trade agreement partners purchase 13 times more from the United States than the rest of the world and have been an important source of U.S. manufacturing growth.
- Non-Tariff Benefits of Trade Agreements Have Broad Impacts. The ITC’s economic analysis simply cannot and does not capture the vast importance of trade agreements to the U.S. manufacturing economy. When discussing non-tariff issues, such as intellectual property (IP) protections in U.S. trade agreements, for example, the ITC notes the increase in IP receipts. It fails to include, however, any discussion of the importance of these provisions to supporting high-paying manufacturing jobs. There are similarly limited analyses of other provisions, such as investment rules that help many manufacturers reach foreign consumers while supporting good-paying American jobs.
- The World Is Moving Forward Without Us. The ITC’s analysis is also U.S. focused, ignoring the growth in world trade, hundreds of millions of new entrants into the global middle class and foreign trade agreements that exclude and disadvantage the United States. While the United States has 14 trade agreements with 20 countries in operation, the World Trade Organization reports that there are now more than 270 bilateral and regional agreements that provide improved access and better rules for those countries that are participating. The vast majority of these agreements exclude the United States and disadvantage manufacturers in the United States.
Manufacturers in the United States now produce more than ever before and support more than 18 million American jobs. As the most productive manufacturing sector globally, manufacturers in the United States need new foreign markets to sustain, let alone grow, current employment levels. Trade agreements, along with competitiveness and trade enforcement tools, are critical to improved U.S. access to foreign markets and the continued growth of manufacturing in the United States.
Yesterday’s vote by 52 percent of the United Kingdom to exit from the European Union—the so-called British exit (Brexit)—has sent shockwaves across global financial markets and plunged manufacturers on both sides of the Atlantic into a long period of uncertainty. While there are no direct immediate consequences for the day-to-day operations of businesses in the United Kingdom, European Union or the United States, all businesses engaged in the transatlantic market need to start preparing for the changes that will in fact come. Read More
National Association of Manufacturers President and CEO Jay Timmons issued the following statement on the disappointing Bureau of Labor Statistics’ jobs report, which showed the slowest monthly jobs gain since September 2010:
“The latest jobs report is pathetic. It is a vivid example of why we need the Trans-Pacific Partnership (TPP) now. The report is a wakeup call for anyone who thinks we are on solid economic ground. Policymakers in Washington can’t fix every problem, but they can certainly take action to give manufacturing—and the larger economy—a boost. The TPP will allow manufacturers to sell products we make here in the United States to millions of new customers overseas, and we will hire people to make those products. Congress and the Obama administration need to work together to get this deal done.
“Manufacturers, and almost all employers for that matter, are holding back on hiring because they lack confidence in the ability of Congress and the administration to put aside partisan differences to do what is in the best interest of America’s future. In May, we also saw too few Americans go back to work—and too many give up and leave the workforce altogether because they have given up on the American Dream.
“Pro-growth trade policy, coupled with comprehensive tax reform, regulatory reform and other items on manufacturers’ agenda will empower our country to compete and win in the global economy—creating jobs and providing inspiration for those who clearly need it.
“The presidential candidates and all candidates for the House and Senate need to explain exactly what they will do to enact these commonsense economic measures outlined in ‘Competing to Win.’ Getting this agenda accomplished is the only way to reverse the malaise we are experiencing in our country and put us on the road to success again.”
Read the original press release here.
Manufacturers need their products sold to more markets, so we can grow more jobs in America. They need their inventions and innovations protected. The Trans-Pacific Partnership (TPP) will protect and sell American-made goods—and that’s why manufacturers support swift approval of this critical trade agreement. To send that message to Congress, today the NAM and U.S. Coalition for TPP issued the following letters to congressional delegations from 10 states, urging support for TPP. Letters will be distributed to the remaining 40 state delegations in the coming months. Click on the state below to view the letter:
- California (180 signatories)
- Florida (118)
- Georgia (119)
- Illinois (230)
- New York (107)
- Oregon (102)
- South Carolina (111)
- Texas (132)
- Virginia (105)
- Washington (106)
Learn more about the importance of TPP to manufacturers in the United States by clicking here.