Physical Address

304 North Cardinal St.
Dorchester Center, MA 02124

GOP Senators Introduce Legislation to Strip China’s Favored Trade Status

Three Republican senators have introduced new legislation that would strip China of its trade privileges with the United States and increase tariffs by 100 percent on certain Chinese imports.
Sen. Tom Cotton (R-Ark.), who sits on the intelligence and armed services committee, said the legislation would remove China’s permanent normal trade relations (PNTR) status. The legislation, called the Neither Permanent Nor Normal Trade Relations Act (S.5264), was co-sponsored by Sens. Marco Rubio (R-Fla.) and Josh Hawley (R-Mo.).
“This comprehensive repeal of China’s PNTR status and reform of the U.S.–China trade relationship will protect American workers, enhance our national security, and end the Chinese Communists’ leverage over our economy.”
If the legislation is enacted, the tariffs on Chinese goods deemed important to U.S. national security would double over a five-year period. The president would be authorized to create further quotas and tariffs to phase out Chinese imports and to institute bans on specific Chinese goods.
The bill would end “de minimis” treatment for China, the trade provision that allows shipments with a value of less than $800 to enter the United States with minimal scrutiny.
The revenue generated from the tariffs would go toward farmers and manufacturers harmed by potential Chinese retaliation, the purchase of key munitions to potential conflicts in the Pacific, and paying down the debt.
“Giving Communist China the same trade benefits that we give to our greatest allies was one of the most catastrophic decisions that our country has ever made,” Rubio said in a statement. “Our country’s trade deficit with China more than quadrupled, and we exported millions of American jobs. Ending normal trade relations with China is a no-brainer.”
“For more than two decades, China’s PNTR status has fueled its skyrocketing overcapacity in its state-subsidized industries, allowing Beijing to exploit U.S. markets and erode America’s industrial base,” said Michael Stumo, CEO of the organization.
“We must learn from the past. There can be no second China Shock here in America. Ending PNTR is crucial to protect U.S. industries from a new wave of China Shock 2.0, which risks displacing even more American investment and jobs than the original China Shock.”
On Sept. 23, top White House economic adviser Lael Brainard discussed the need to protect the U.S. auto sector at the Detroit Economic Club.

en_USEnglish