Home / Knowledge / News / China accounts for 61% of trade deficit in manufactured goods
China accounts for 61% of trade deficit in manufactured goods
Mar '09
The U.S. government reported that the United States ran a trade deficit of $36 billion in January 2009, including a $39.8 billion trade deficit in manufactured goods. The United States also ran a $20.6 billion trade deficit in goods with China (no China-specific data is available for manufactured goods for January 2009).

Analysis of data posted on the U.S. Department of Commerce's TradeStats Express, also reports under the NAICS classification system for "all manufactured goods" that China accounted for $277,132,209,380 or 60.76 percent of the total U.S. trade deficit in manufactured goods for 2008. In comparison, China accounted for $264,152,752,495 or 49.95 percent of the 2007 deficit.

From the eight-year period of 2001 through 2008, the United States ran a cumulative $3.63 trillion trade deficit in manufactured goods, including a $1.46 trillion trade deficit with China. While running those trade deficits, the United States lost 4,469,000 manufacturing jobs. U.S. manufacturing output also fell by 3.5 percent from January 2001 to January 2009, the first eight-year decline U.S. manufacturing output drop since the winding down of production following the end of Word War II.

"Trade deficits cause job losses. It is just a fact of life,” said American Manufacturing Trade Action Coalition (AMTAC) Executive Director Auggie Tantillo.

“The United States will not be able to jumpstart its economy unless it stops trade cheats like China from decimating U.S. manufacturing,” Tantillo continued.

“The knowledge that China now accounts for more than 60 percent of the U.S. trade deficit in manufactured goods should be setting off alarm bells for President Obama and the Congress," Tantillo added.

"U.S. manufacturers need a level playing field to compete. No one should be surprised that United States is running such a huge, job-destroying trade deficit with China when that country gives substantial competitive advantages to its producers such as the imposition and rebating of value-added (VAT) taxes, illegal currency manipulation, and a host of illegal export subsidy programs,” Tantillo stressed.

“U.S. government must fix its flawed trade policy and counter unfair subsidies from other foreign trading partners too. For example, the imposition and rebating of foreign border-adjusted taxes, such as VAT taxes, by China and other countries disadvantaged U.S. producers and service providers by $474 billion in 2007 alone,” Tantillo said.

“Congress and the Obama Administration also must work together to enact legislation that makes prolonged currency misalignment actionable under U.S. trade law,” Tantillo continued.

“The U.S. economy did not collapse in a day and nor can it be fixed in a day. For the United States to achieve sustainable long-term economic growth, it must tear down its broken trade policy and replace it with a new structure that encourages domestic manufacturing instead of its offshoring,” Tantillo concluded.

American Manufacturing Trade Action Coalition (AMTAC)

Must ReadView All

Textiles | On 22nd May 2017

GST to be biggest achievement of Modi govt: ASSOCHAM

Goods and Services Tax (GST) which is near a roll-out would be the...

Textiles | On 22nd May 2017

Maintaining NAFTA benefits is crucial: Cotton council

The US must remain a participant in a vibrant North American Free...

Apparel/Garments | On 22nd May 2017

Retailers ask Congress not to go for consumption tax

The National Retail Federation has asked US Congress to focus on...

Interviews View All

Poojaa Kumar Deepak

Zeven's performance sports apparel is designed for the Indian body type,...

Viral Desai
Zenitex Mill Pvt Ltd

Full of green energy

DK Sharma
Velocity Apparelz

We constantly communicate with employees at all levels

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Igor Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


news category

Related Categories:
May 2017

May 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search