Michael Stumo Power Point Presentation

Fast Track and
US Trade
Strategy
Michael Stumo, CEO
Coalition for a Prosperous America
CPA: A True Coalition
Mission:: Balance Trade and a Produce More
in America to Reclaim American Prosperity
Unique Coalition:: Manufacturing, Agriculture,
Labor. Republicans, Democrats,
Progressives, Conservatives
Members:: Trade Associations, Companies,
Farm Organizations, Individuals, Worker
Organizations
Non-Ag Industries:: Steel, tooling and
n O’Shaughnessy
Burl Finkelstein
Bill Bullard
ere Copper Products
Kason Industries
R-CALF USA
Wins
Stopped Fast Track trade authority in January
2014
Passed anti-currency manipulation bills in
2010
Stopped federal Factory-less
Factory
Goods
Production rule with 26,000 opposition
comments
Became a strong force in DC.
Unite disparate constituencies successfully,
National Strategy?
Strategy
America has no strategy to win... in terms of
being a successful producing and exporting
nation
“Grow exports”, “expand two way trade,” and
“global supply chains” makes us losers.
Unilateral trade disarmament makes us losers
We should want to win.
win And not be ashamed
of pursuing our national interest.
Why is the trade deficit a
core issue?
GDP = C + I + G + NE
Government
Procurement
Consumption
Investment
Net Expo
Total Exports
Total Imp
Proportio
too b
Subtrac
Grow
We need to produce more
Worst Trade Deficit in U.S. History...
Biggest transfer of wealth in world history!
We’re Moving to High
Tech, Right?
It’s not Labor Costs
ourly
ompensation
osts in
Manufacturing,
.S. Dollars,
009
Enabling Trade Cheating and
Mercantilism
We cut tariffs and opened our markets. They
didn’t. Instead, other countries played a new
game
Rampant global currency devaluation
Replaced tariffs with consumption taxes/VATs
Massive industrial subsidies/state-owned
subsidies/state
enterprises
Hundreds of other tactics to frustrate “free
China Started Modern
Currency Cheating
19 Other Countries, Plus China, Do It
Now
Trans-Pacific
Pacific Partnership:
Global Governance Agmt
12 Pacific Rim Countries: Three are currency manipulators,
have BAT’s. Some communist (Vietnam, some sharia law
(Brunei).
29 Chapters:
• 5 Chapters: Tariffs and Quotas
• 24 Chapters: Global Governance: food/product safety,
financial regulation, taxes, immigration, intellectual
property, domestic procurement
Overrule Congress’ prior acts or omissions
Fast Track:
Unique and
Dangerous
Congress has constitutional power over trade
U.S. Const. Art. 1, Section 8
Congress gives that power to President
Congress pre-commits
commits to suspend the “regula
order” while blinding itself to negotiations.
Unique and Dangerous
Fast Track: Suspending the
Regular Order?
Secret negotiations. Keeping Congress and the public in the
dark
President signs treaty before Congress sees it
President, not Congress, drafts implementing legislation
Congress barred from amending or changing
Only 45 days for committee debate
Only 15 days thereafter for floor vote
Future Strategy
National Priority of Balanced Trade
• Not increase 2 way trade or reduce
distortions
Stop new trade agreements. Force a re-think.
re
Develop and implement a strategy to grow
supply chain production across OUR econom
Counter foreign mercantilism
Michael Stumo, CEO
Coalition for a Prosperous America
tel: 413.717.0184
email: [email protected]
www.prosperousamerica.org