Administration Challenges China On $1 Billion In Illegal Export Subsidies For Autos, Parts
WASHINGTON, Sept. 17, 2012 /PRNewswire-USNewswire/ -- The Teamsters Union applauded the Obama administration today for challenging China over illegally and unfairly protecting its auto and auto parts industries through export subsidies.
The illegal subsidies, prohibited by the World Trade Organization, distort trade conditions and flood the United States with low-priced auto parts, providing an unfair playing field to China.
"We are pleased the Obama administration is acting to stop China's illegal subsidies," said Teamsters General President Jim Hoffa. "President Obama is sending a strong message to China that its protectionist policies that hurt American workers must end."
The production of autos and auto parts in the United States is an important sector of the nation's manufacturing base. In 2001, manufacturers in the United States produced more than $350 billion worth of automobiles and parts and employed nearly 800,000 workers.
"We must fight back to keep good-paying American jobs here at home," Hoffa said. "I'm pleased President Obama is backing up his commitment to do so with action, insisting that China play by global trading rules."
China has risen to the world's fifth-largest auto and auto parts exporter since 2001, with the value of exports soaring to more than $69 billion from $7.4 billion. The United States is China's largest export market for auto parts. China's illegal export subsidies have been estimated at $1 billion between 2009 and 2011. The Economic Policy Institute estimates that China puts 1.6 million U.S. auto parts jobs at risk.
Founded in 1903, the International Brotherhood of Teamsters represents 1.4 million hardworking men and women throughout the United States, Canada and Puerto Rico, including more than 7,500 delivery drivers and merchandisers at Hostess. Visit www.teamster.org for more information. Follow us on Twitter @Teamsters and "like" us on Facebook at www.facebook.com/teamsters.
SOURCE International Brotherhood of Teamsters