In New Letter To President Trump, Leader Schumer Says U.S. Must Secure Commitments From Chinese Gov’t To Curtail Practices of Massive Gov’t Subsidies, State-Sponsored Cyber-Theft, Inequitable Market Access, And Other Harmful Tactics, And Requests Answers Regarding China’s Harmful Trade Policies Reportedly Left Unaddressed In Initial Deal
Without Commitments From Chinese Gov’t To Make Long-Term Structural Reforms, Leader Schumer Emphasizes That U.S. Innovators Will Continue To Lose Billions, U.S. Companies Won’t Have Fair Access To Chinese Markets, And Millions Of American Jobs Will Be At Risk
Leader Schumer To President Trump: A Weak Deal Will Harm Americans, China Must Make Substantive And Enforceable Commitments On Structural Change
Washington, D.C.— Ahead of the expected signing of a “phase-one” trade agreement between the U.S. and China on January 15th, Senate Democratic Leader Chuck Schumer (D-NY) sent a letter to President Donald Trump, reiterating that a weak deal that fails to adequately address the structural inequalities in the U.S.-China trade relationship will harm American workers for years to come, and requesting answers regarding concerning policies and practices reportedly left unaddressed as part of this initial deal with China.
Leader Schumer writes that without concrete commitments from China to curtail its practices of massive government subsidies to its domestic industries, state-sponsored cyber theft against U.S. companies, forced technology transfer, inequitable access to markets, and other egregious tactics, U.S. innovators will continue to lose billions of dollars, U.S. companies will fail to gain fair access to the China markets, and millions of American jobs will be at risk. In an effort to assure the American people of the commitments they can expect to see as part of this “phase-one” deal, Leader Schumer requests that the president provide detailed answers to a series of key questions before the agreement is signed, emphasizing that the Chinese government must make substantive and enforceable commitments on structural change.
Leader Schumer’s letter to President Trump can be found here and below:
Dear Mr. President:
With the signing of the so-called “phase one” trade agreement between the U.S. and China expected on January 15, I write to express my serious concern that a weak agreement – one that fails to address the structural inequities in the U.S.-China trade relationship – will harm American workers and businesses for years to come. From what I understand from reading press reports, the terms of the agreement will result in very little progress in reforming China’s rapacious trade behaviors and seems like it could send a signal to Chinese negotiators that the U.S. can be steamrolled.
Without concrete commitments from China to curtail its practices of massive government subsidies to its domestic industries, state-sponsored cyber theft against U.S. companies, forced technology transfer, inequitable market access, and other egregious tactics, U.S. innovators will continue to lose billions of dollars, U.S. companies will fail to gain fair access to the China market, and millions of American jobs will be at risk. By giving away leverage with a temporary deal of some reduced tariffs in exchange for American goods and vague promises of reform, as China has made time and time again, these structural issues will only become more challenging to address in future negotiations.
Mr. President, I have long commended your tough instincts on China and for initiating more aggressive action against China’s unfair trade policies than past administrations. This will all be for naught, however, if the Chinese government fails to make substantive and enforceable commitments on structural change. To be clear, China pledging to make short-term purchases of American goods will not address the fundamental problems that undermine long-term U.S. economic opportunity, prosperity, and security.
There are a number of concerning policies and practices reportedly left unaddressed as part of this initial deal with China. To assure the American people of the commitments they can expect to see as part of this “phase one” deal, I respectfully request that you provide answers to the following questions before the agreement is signed:
If these issues go unresolved as part of this “phase one” agreement, I urge you to ensure that specific and enforceable concessions are made going forward. Anything less would be a severe and irreparable loss for the American people.
Thank you for your prompt consideration of, and response to, these critical questions.