USW: 2014 Trade Deficit Puts America on the Wrong Path; Fuels Income Inequality & Job Losses for American Workers

Contacts: Wayne Ranick (412) 562-2444; wranick@usw.org
                 Gary Hubbard (202) 256-8125; ghubbard@usw.org

Pittsburgh (Feb. 6) — International President Leo W. Gerard issued the following statement today following the release by the Obama Administration of trade deficit statistics for 2014 in a report by the U.S. Census Bureau.

“America’s trade deficit increased to $505 billion in 2014, despite the decline in imports of energy products.  Our nation’s trade deficit with China is racking up another record, soaring to more than $340 billion, and our goods deficit with Japan escalated to $67 billion.

“All of these statistics add up to only one thing: a failed trade policy that has contributed to stagnant wages and greater income inequality.

“Against the backdrop of these deficit numbers, the Administration’s call for fast track trade negotiating authority is reaching a fever pitch. Fast track is not the answer; it will only fuel further job loss.

“Right now, the Administration and Congress should focus on efforts to address the most important issue on the minds of average Americans – how to create good paying, family-supportive jobs. Fast track is diverting attention from what is really needed:  investment in infrastructure, increases in the minimum wage, and greater funding of education and skills training.

“If fast track passes, it will simply grease the skids for trade agreements that contribute to an increase in our nation’s trade deficit, while doing little to open markets for U.S. goods. The negotiations on new trade agreements will only serve to further empower corporations and Wall Street. 

Any trade talks for new deals should be shelved while we fix the current trade problems harming workers and their communities by getting others to abide by the promises already made.

“Just yesterday a major report was released indicating that the trade deficit with Japan cost America nearly 900,000 jobs in 2013. The bulk of those job losses were the result of currency manipulation. Yet, there has been no action to stop this as Japan follows China’s blueprint for prosperity at our expense.

“Other nations are following their lead as well, recognizing that America has unilaterally disarmed itself in the fight for jobs.

“The 2014 trade deficit makes clear that America is on the wrong path. and The USW will redouble its efforts to fight for trade and economic policies that advance the real interests of working Americans.”

The USW represents 850,000 workers in North America employed among industries that include metals, rubber, chemicals, paper, oil refining, plus the service and public sectors. For more information: http://www.usw.org/.

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