Press Release: CPA Supports Executive Order to Expand Buy America Preferences

ArchiveBy Michael StumoJanuary 31, 2019

Focus on state-level infrastructure projects will close potential gaps in coverage Washington. The Coalition for a Prosperous America (CPA) today praised President Trump’s executive order to strengthen Buy America preferences for infrastructure projects. While Buy America typically covers federal projects, the executive order will now extend such requirements to state-level projects that receive federal funding. “President Trump and…

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Huawei’s Employee Bonus Program For Stealing Technology

ArchiveBy Michael StumoJanuary 30, 2019

By Jeff Ferry, CPA Chief Economist On January 16th, a grand jury in the US District Court in Seattle, Washington indicted Chinese telecom equipment maker Huawei for theft of trade secrets and attempting to corruptly obstruct a civil lawsuit.  The indictment contains an extraordinary amount of detail on Huawei’s industrial espionage practices and its theft…

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USTR releases list of legal changes needed for USMCA

ArchiveBy Michael StumoJanuary 30, 2019

Editor’s note. The release of this list is required under the Trade Promotion Authority/Fast Track law. It is a precursor to future implementing legislation that congress will consider as the vehicle to approve the USMCA. An International Trade Commission study will also be released in the near future, which the law requires.  U.S. Trade Representative…

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U.S. Can Destroy Huawei

ArchiveBy Michael StumoJanuary 30, 2019

Editors note: In China, “stealing is regarded as a national development strategy and a patriotic duty.” Catch-up is how economists explain the success of China and other fast-growing developing economies. Not having to invent the wheel, the microchip or the theory of continuous improvement is a distinct advantage over having to invent them. [Holman W. Jenkins,…

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CPA Op-ed: Fighting Countries Who Don’t Play By The Rules The Only Way for America to Win on Trade

ArchiveBy Michael StumoJanuary 29, 2019

President Trump often criticizes the way other countries keep taking advantage of the United States. And he’s right. There is an inherent unfairness in how other countries trade with America. For decades, the U.S. has generously imposed low tariffs on imports. But in response, other countries continue to levy hefty tariffs on U.S. goods. Op-ed…

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A Tiny Screw Shows Why iPhones Won’t Be ‘Assembled in U.S.A.’

ArchiveBy Michael StumoJanuary 28, 2019

Editors Note: The “tiny screw story” actually shows why we need the whole supply chain, not just a couple pieces that are sexy. The popularity of service-economy-only policies have many many consequences. SAN FRANCISCO — Despite a trade war between the United States and China and past admonishments from President Trump “to start building their…

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Rep. Duffy introduces the ‘Reciprocal Trade Act’

ArchiveBy Michael StumoJanuary 25, 2019

Editors note: this bill would be a significant challenge to the WTO most favored nation status system. While the bill does not have sufficient support to move, it may provide an education tool to move towards a new Way of managing international trade. [January 24, 2019 | Inside US Trade] Rep. Sean Duffy (R-WI) on Thursday…

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China Appears to Block Microsoft’s Bing as Censorship Intensifies

ArchiveBy Michael StumoJanuary 24, 2019

Editors note: China once again reveals that western hopes of openness and cooperation are futile. Time to consider systematic economic decoupling and protecting agriculture (which is subject to retaliation) through domestic programs. Trade talks are futile.  SHANGHAI — Under China’s president, Xi Jinping, the last vestiges of the global internet have slowly disappeared from an online…

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Press Release: CPA Pushes for Trade-Competitive Tax Policies

ArchiveBy Michael StumoJanuary 24, 2019

Urges Congress to consider pro-American tax reform  Washington. The Coalition for a Prosperous America (CPA) is asking Congress to improve the federal tax system to promote US trade competitiveness. In a letter to both the Senate Finance and House Ways & Means Committees, CPA pressed for consideration of both a destination-based Sales Factor Apportionment tax…

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Commerce Secretary Wilbur Ross: We are still ‘miles and miles’ from a trade deal with China

ArchiveBy Michael StumoJanuary 24, 2019

Editor’s note: Wilbur Ross says that talks with China will be very difficult to resolve by March 2, the deadline before tariffs raised rom 10% to 25% on $200B of imports from China.  He says the US is seeking structural reforms that take years to implement.