Standing up against a Chinese government that has devastated American workers, Congressman Zack Space (OH-18) voted to crack down on China's illegal policies by taking aim at China's manipulation of its currency. By labeling it an illegal subsidy, the bill would allow the United States to retaliate against Chinese manufacturers.
"China's policies have killed jobs in Ohio, and it's past time for us to fight back," Space said. "American workers know why their jobs are disappearing. China is crushing our manufacturers by illegally subsidizing all of its products."
"Some politicians want us to sit back and watch. I won't allow it. I won't give international corporations a free pass to outsource more American jobs. We are going to bring the Chinese government to justice."
China's government-manipulated exchange rate makes it cheaper to buy yuan than the market would dictate. This undervaluation of the yuan makes Chinese goods cheaper for Americans while making American goods more expensive to Chinese consumers and consumers around the world.
H.R. 2378, the Currency Reform for Fair Trade Act, would direct the U.S. Department of Commerce to declare China's undervaluation as a prohibited subsidy, allowing the U.S. to respond with countervailing or antidumping duties. It passed the House on Wednesday evening by a vote of 348-79. As the letter notes, the Economic Policy Institute reported that 2.4 million American jobs were lost between 2001 and 2008 as a result of China's policies.