From the American Prospect:
This week, the Commerce Department reported the trade balance for 2006 — a record deficit of $764 billion. Nearly one-third of that was with China.
The same Democrats willing to make a deal on negotiating authority are not backing down on China. Rangel and House Speaker Nancy Pelosi have proposed a measure to increase tariffs on countries that subsidize their exports, the prime offender being Beijing.
The U.S. China Economic and Security Review Commission has documented extensive subsidies by the Chinese government, which offers American manufacturers billions of dollars to underwrite costs of land, facilities, worker training, and tax holidays. Most products of these factories go right back to the United States and widen China’s trade surplus. [Full text]
