Home / Knowledge / News / China accounts for 61% of trade deficit in manufactured goods
China accounts for 61% of trade deficit in manufactured goods
14
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

ITC, ICS tie up to help Moroccan textile value chain

Textiles | On 21st Apr 2018

ITC, ICS tie up to help Moroccan textile value chain

The International Trade Centre (ITC) has partnered with ICS, which...

Bangladesh garment manufacturers call for fair pricing

Apparel/Garments | On 21st Apr 2018

Bangladesh garment manufacturers call for fair pricing

Bangladesh garment manufacturers want a ‘commensurate adjustment’ by...

CB&I bags ethylene technology contract from Lianyungang

Textiles | On 21st Apr 2018

CB&I bags ethylene technology contract from Lianyungang

CB&I, a leading provider of technology and infrastructure for the...

Interviews View All

Karan Toshniwal
Orange O Tec

Contemporary industry is paying more and more attention to the...

Asim Dalal
Indo Count Retail Ventures

Today, there is no other emerging market as India, "we make in India and...

Angelina Francesca Cheang
MY ANJE

'Consumers in the age-group 21 to 38 are driving the activewear trend'

Rikesh Mistry

Jupiter Comtex Pvt Ltd, established in 1973, started its textile machinery ...

Nitesh Mittal

Kusumgar Corporates is a leading manufacturer of technical textiles and...

Urmil Arya

Sushila International, a well established textile organisation established ...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Adriano Goldschmied
AG Jeans

The hype around 'designer jeans' was created by him. And the new wave of...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


April 2018

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

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.9%
No
12.6%
Skip
17.5%

Total Votes: 103

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.1%
No
29.1%
Skip
7.8%

Total Votes: 103

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.4%
No
8.7%
Skip
3.9%

Total Votes: 103

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
82.5%
No
7.8%
Skip
9.7%

Total Votes: 103


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