Friday, August 09, 2013

Currency Manipulation Just Isn't Fair

Hello SOAR members. We are still working on the issue of currency manipulation and I wanted to share with you an update. Congressman Levin from Michigan introduced The Currency
Reform for Fair Trade Act (HR 1276) in March and we’ve been building support for it ever since. Now 116 Members of Congress are cosponsors of this bill, and last month the Senate stepped into action with its version: The Currency Exchange Rate Oversight Reform Act (S 1114), now with 12 cosponsors.

Why is this important to us? When another country manipulates its currency, it acts as a subsidy for goods entering our market and as a tax on our goods in markets overseas. China is the leading currency manipulation culprit, so the value of goods coming in from China seems cheap to our consumers. At the same time our goods going to China seem expensive to their consumers. If China’s currency were not undervalued, trade with China would not be so one-sided. Now China sells us billions of dollars more in goods ($315 billion more in 2012 alone) than we sell to them. This unbalanced trade arrangement costs us jobs and has to stop!

So if 116 Members of Congress and 12 Senators pledged their support, that means 319 Member of Congress and 88 Senators have not yet. This month, most of them will be in their Districts. Visit their offices and ask them to support these bills. For more information, give me a call at 260-633-1060. Thank you for helping to “Keep it Made in America.”

Rachel Bennett Steury, AAM Field Coordinator

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