Last month, seven US-based manufacturers of solar panels and solar cells, calling themselves the Coalition for American Solar Manufacturing, petitioned the US government to stop what it described as the dumping of heavily subsidized Chinese products in the US market.
Chinese government ministers and a handful of its solar companies immediately hit back, saying the charges were unfounded and that they would defends themselves vigorously against the allegations.
Asked about the dispute during an interview with KGW NewsChannel 8 of Portland, Ore., President Barack Obama said, “We have seen a lot of questionable competitive practices coming out of China when it comes to the clean energy space, and I have been more aggressive than previous administrations in enforcing our trade laws”.
“We have filed actions against them when we see these kinds of dumping activities, and we’re going to look very carefully at this stuff and potentially bring actions if we find that the basic rules of the road have been violated,” he said.
The comments were among the strongest Obama has made about Chinese trade practices since his campaign for election in 2008.
After a campaign appearance at Claflin University in Orangeburg, South Carolina that year, then-US Sen. Barack Obama told this reporter that he believed then that China needed to be a more equitable trading partner with the United States.
“China has no right to game the system,” he said after an appearance that drew more than 2,000 people to the small central South Carolina town. “We must do more to get China to play by the rules we play by. They must stop manipulating their currency, and they must adhere to basic labour and environmental practices. Expanding trade with China has the potential to open up vast new markets for American goods and create quality high-wage American jobs, but only if China is playing fair.”
He continued, “China must significantly revalue its currency upward. The Bush administration has failed to label China’s behavior as currency manipulation, which is what it is. This artificially raises the costs of American exports in Chinese markets, while lowering the costs of Chinese goods in other markets. I’ve supported increasing tariffs to offset China’s unfair advantage.
“But what we really need is to develop a more resolute and effective program to push the Chinese toward some voluntary reforms,” Obama said. “As world markets become more intertwined, let’s make sure the benefits of trade aren’t earned off the backs of exploited workers or by gutting the environment. I support trade agreements that enforce basic labour and environmental standards. Such global standards will also allow America to compete on a level playing field.”
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