Coalition for a Prosperous America
www.prosperousamerica.org
 
September 15, 2009
 
CPA Statement Supporting Administration Decision in Tire Case:  Rule of Law Essential in International Trade
 
The Coalition for a Prosperous America fully supports the decision by President Obama, issued  September 11, 2009, to impose temporary tariffs on low-priced Chinese tire imports that were found to cause market disruption in the U. S. This represents a first step toward ending years of lax enforcement of our trade laws and rebuilding confidence in our trade policy as an instrument to promote fair trade.
 
The President’s decision was taken after a full investigation of the facts by the U. S. International Trade Commission.  Chinese exporters participated freely in that investigation.  The entire procedure was conducted under Section 421 (b) of the Trade Act of 1974, a provision that implements part of the deal that China agreed to in acceding to the World Trade Organization.
 
China has no basis for complaining about a procedure that it agreed to and a process in which it was permitted full participation.  
 
Those who are shouting about the dangers of a “trade war” should be addressing themselves to Beijing.  China has no right to retaliate simply because it doesn’t like a lawful decision taken by the United States.
 
Lax enforcement of our trade laws and our rights under international agreements has been a major factor in the erosion of public support for our trade policy.  This decision is a long overdue first step in getting it right, and the CPA welcomes it.