The U.S. trade deficit with China hit a record $273 billion in 2010. No wonder – China does everything it can to keep American goods and services out even as it floods the US with job-killing imports. It hits American steel with an import tax, and a Chinese state-owned company that processes electronic payments for credit cards has a virtual monopoly, shutting out a US supplier. The Obama Administration is taking its case to the World Trade Organization after talks with Beijing went nowhere. Good luck there.
These are just the latest trade actions filed by the Administration, following complaints on the dumping of Chinese tires and illegal subsidies and supports for wind turbine and solar panel manufacturers which Beijing is using to get a global lock on renewable energy industries.
Meanwhile, the Administration still refuses to call a spade a spade. Testifying before Congress last week, Fed Chairman Ben Bernanke called China out for deliberately undervaluing its currency. But Treasury Secretary Tim Geithner again failed to say Beijing is engaging in currency manipulation, an illegal practice that hobbles American producers by making Chinese goods cheaper on world markets.