The Commerce Department reported that the trade deficit in January was the second highest ever in the history of the U S. We have run record high trade deficits in each of the last three years. Last year it hit $617.1 Billion which is an increase of 24% in just one year. Last monthy a surge is textile shipments from China and high oil prices pushed the monthly deficit to $58.3 Billion.
Bush is not using the controls within the trade agreements to help stem the trade deficit. China, which Bush brought into the WTO in responsible for over 1/3 of our total trade deficit. China is dumping things like textiles and sets its currency exchange rates that results in higher prices for our goods in China and lower prices for goods made in China sold in the U S. Even though there are controlls wihtin our trade agreements, Bush IS NOT USING THEM to help reduce the trade deficit. The latest dumping of textiles is likely to cause the remaining textile industry to end production in the U S and cause the loss of another 345,000 American jobs.
What is even worse then Bush not using the control provisions with the trade agreements is that he wants Congress to approve the extention of the Free Trade policy to Central America that will impact our sugar industry like China did for texriles and many other goods. This is another example where the interest of Big business is put ahead of the American people. The reason Bush gives for supporting the so called "Free Trade" is that it results in lower prices. When no one in America has a job that pays a living wage, how will Americans be able to but anything even at the lower prices ? The Free Trade Policy which Bush is following has failed for over 12 years. The rate of failure has increased under Bush as he expanded the policy to China. Why would anyone propose to expand a policy that has failed to work for over 12 years?