Press Release: Trump Takes Important Action to Target Trade Cheaters

March 31, 2017

Washington~ President Donald Trump is moving to fulfill his campaign promises by signing two executive orders related to trade today. The first will launch an investigation of the U.S. trade deficit by examining U.S. trade relationship country-by-country to look for issues like trade cheating, lax enforcement or currency manipulation.

"This is a very smart move to target countries with large bilateral imbalances," said Michael Stumo, CEO of CPA. "The administration should not only consider the export/import ratio but also unnatural and excessive savings and investment rates by mercantilist surplus countries.

Trade deficits have been a substantial drag on economic growth. Our 41 years of trade deficits have played a major role in the hollowing out of our manufacturing industry. Since the year 2000, the U.S. has lost 28% of its manufacturing employment, around 5 million jobs.  According to CPA estimates, eliminating the trade deficit would lead to the creation of over 2.5 million new jobs.

The second executive order will improve duty collection by directing the Secretary of Homeland Security and the Secretaries of Commerce and Treasury to impose requirements and strengthen enforcement.

"Fraudulent duty evasion by trade cheaters has long been a problem," said Stumo. "Importers falsify documents, trans-ship products, misclassify products and set up sham importing companies to evade the law. CPA applauds President Trump's action to carry out his pro-trade enforcement campaign promises."

The Coalition for a Prosperous America is a nonprofit organization representing the interests of 2.7 million households through our agricultural, manufacturing and labor members.

Contact: Paola Masman, Media Director 
202-688-5145 ext 2, paola@prosperousamerica.org

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  • Dr. Thomas
    Yes, I’ve had real contact with such problems, just between Canada and the US years ago…just for a trade show in Toronto, where the “agent” presented an ever increasing “blizzard pile” of papers and the price of documenting my wares for “show only” (no sales) kept climbing, until I hit on a big one, telling them that one set was to be donated to the trade fair host…the price immediately froze (about $400) and the freebie went tax free with just one document….never again; he was way too “practiced at the art” for my taste and often, if not abusive, then quite too “thorough” in his deliberations as to the sometimes seemingly improper/impertinent suggestions/questions he came up with IMO……THIS, which YOU address must be even much more so troubling and complicated of course and I’m glad somebody is doing something to help save the country at a minimum ! I also wonder about the so-called “Ex-Im” bank and the fact that, of course provides jobs for American workers, as with Boeing aircraft, etal., but the American public is on the hook for the unpaid loans for these items if the foreign “partner” fails to pay off the debt ! …I’m not sure what the remedy might entail, but reclamation/forclosure with forfeiture would be my suggestion…at a minimum, besides such being put on lists for future reference as to being unable to repeat such abuses of American tax payers… then there’s FOREX…but that’s a biggy and the fed and MIC and big pharma and unfair taxes as always… tnx for being there !