Members of the House Ways and Means Committee gave U.S. Trade Representative Jamieson Greer a piece of their mind on Wednesday during a four-and-a-half-hour hearing—double the time he spent with the Senate Finance Committee the day before. The reception was similar: Republicans broadly supported Trump’s “America First” trade agenda, while Democrats united in opposition, echoing talking points from their Senate colleagues.
During the hearing, Trump posted on Truth Social that he would pause the proposed reciprocal tariffs for 90 days. Rep. Steve Horsford (D-NV-4) reacted angrily, asking Greer, “WTF is happening?”
“My understanding is that because so many countries have decided not to retaliate, we decided to talk this out for the next 90 days,” Greer replied at the hearing. “Trump said he wanted to negotiate with those countries that have asked for meetings.”
The tone of the hearing mirrored that of the Senate, covered here.
Across the aisle, there was a consensus on the need to expand markets for U.S. agricultural exports—something that hasn’t always been guaranteed, even under free trade agreements. Ironically, Democrats now find themselves defending the interests of Wall Street and global corporations, which are the primary drivers of U.S. imports. According to Census data, large corporations account for 85% of all manufacturing imports.
Here’s a look at what key committee members had to say:
Chairman Jason Smith (R-MO-8): “An America First trade policy is needed now more than ever. America ran trillion-dollar goods trade deficits for four years under Biden. We ran a $32 billion agricultural trade deficit last year. Trump has made good on his promises to tackle China’s abuse of our trade laws and ended its access to the de minimis privilege. And President Trump has now set in motion a process to end that privilege globally to improve trade enforcement.”
According to the Bureau of Economic Analysis, the U.S. exported $175.97 billion in agricultural commodities last year and imported $214.14 billion—for a trade deficit of $38.16 billion. This included $12 billion in fruits, $11 billion in beef and seafood, and $4.8 billion in vegetables. CPA published a report on this in January.
As the debate continues about tariffs, some in the Republican Party argue that China and other nations will respond by halting purchases of U.S. agriculture. They mostly call for opening new markets opposed to signing new free trade deals.
Free trade policies have hollowed out U.S. food production. Over the last 25 years, imports have increased their share of the domestic market, making it harder for farms to stay in business, let alone convince future farmers, such as the children of farmers, to remain in agriculture.
As for de minimis, the duty free shipment treatment is over for China. Under a new executive order, items shipped from China via international postal mail face either a 90% tariff or a flat $75 fee per item. The change effectively disrupts the Shein and Temu business model for direct-to-consumer shipping from China.
Meanwhile, the Committee’s Ranking Member admitted he was open to tariffs, despite saying Trump’s use of the International Emergency Economic Powers Act to impose them was “illegal”.
Ranking Member Richard Neal (D-MA-1): “We don’t reject all tariffs. But these are trumped-up emergencies, and the courts will likely find them illegal.”
While Democrats want more involvement in trade decisions, they’ve struggled to pass legislation, including valiant efforts to reform the de minimis provision.
Rep. Vern Buchanan (R-FL-16): “Congress is dysfunctional on trade. We’re not engaged. We talk about deals, but what does that even mean? My farmers in Sarasota are being flooded with imported vegetables and tomatoes (due to NAFTA). I don’t need perfect trade, but it has to be fair.”
In 1994, U.S. farms grew 80% of tomatoes sold domestically. Today, Mexico supplies about 70% of the market. In 2024, Mexico’s tomato exports hit a record $3 billion—almost all to the U.S.
Rep. Mike Kelly (R-PA-16): “We’ve ceded so much market share. We built a global economy no one could have built alone. But now, those same partners don’t want us in their markets. America First should unite Republicans and Democrats. I’ve got 10 grandchildren depending on me to stand up for their future.”
Rep. David Schweikert (R-AZ-1) said that in order to bring back pharmaceutical production to the U.S., we need the equipment that removes chemical wastes used in making active pharmaceutical ingredients, and we need better environmental permitting. He offered no ideas as to how to make that happen though there are bills in Congress that address it, led by Rep. Claudia Tenney’s (R-NY-24) PILLS Act.
Rep. Nicole Malliotakis (R-NY-11): “Even if we want to bring the supply chain home, like pharmaceuticals, we have done nothing to reduce our dependency on medicine imported from China. We are relying more today on China for our pharmaceuticals and that is a problem. But…if we do tariffs on pharmaceuticals and I am against that, but if that is the goal, it takes about seven years to build a factory.”
Trump calls our constant generic drug shortages a public health crisis and a national security crisis.
Greer said that the administration is looking at sectoral tariffs for pharmaceuticals, which will likely hit the generic drug market. Tariffs, in combination with the PILLS Act tax incentives to expand already existing labs here, or start new ones, is one solution to begin making essential medication like amoxicillin in the U.S.
Rep. David Schweikert: “To bring back pharma production, we need equipment to remove toxic byproducts from API manufacturing—and we need better permitting. We don’t have high-temperature incineration. Without infrastructure or streamlined EPA processes, domestic production isn’t realistic.”
Greer: “It’s not just about trade policy—it’s also tax policy, permitting, and environmental regulations. They all go together.”
Democrats are against Canada tariffs. Unlike Mexico, Canada is complaining the most, much like the EU and China. Despite facing the same 25% steel and aluminum tariffs as the rest of the world, Mexico has been quiet and not announced any retaliatory measures. The main market for the USMCA – automotive – remains duty free providing 75% of the goods that go into make the car or car parts are sourced in North America.
Before the new global auto tariffs, a Mexican or Canadian car made with parts imported from countries outside of the USMCA would be tariffed at the low rate of 3.4%. Now the tariff is 25%. This stops Asian and German auto companies in Mexico from importing engines and transmissions, for example, from their home countries and assembling those key parts onto the platform of the vehicle. They could do that and only face a 3.4% tariff. Now that is 25%. But if car makers stick to what they agreed upon for local content in the first place, the car or car part comes in duty free.
Washington long ago ceded its native auto industry and turned it into a North American auto industry when NAFTA was created. The North American automotive supply chain is nearly impossible to unwind. But to import into Canada or Mexico auto parts from Japan, South Korea, China, or Germany and sell the finished vehicle to the U.S. goes against the intent of the agreement. Greer said the same thing.
Greer: “I just want to reiterate that all goods that comply with the North American content agreement continue to enter the country duty free. (The USMCA) is a very important agreement. I met with my Mexican counterpart last night. I think with the USMCA it is important that Mexico and Canada understand they should not be used as an export platform for third countries. That’s not what we want.”
Some Republicans still seem to believe that if one country lowers trade barriers to zero, the U.S. will, too. That would be a de facto free trade deal, and in countries with low-cost labor, that would be like signing a free trade deal with dozens of little Chinas.
Rep. Greg Murphy (R- NC-3): “If you look at where we are with manufacturing goods and the manufacturing capacity in the United States, we have plummeted. This is critical. We have plummeted in our capacity to actually produce things. So yes, this is an emergency and (tariffs) are the right thing to do. If we do not reverse this trend, including us heading towards a debt crisis, then this nation does not exist. If we don’t intervene, nothing else matters.”
Rep. Jimmy Panetta (D-CA-19) exemplified the message coming from the Democratic Party. The point they make is that tariffs were poorly explained, which is a fair argument.
But they also say tariffs are unlikely to have any impact on investment in manufacturing, which is wrong as solar tariffs, AD/CVDs against kitchen cabinets, and of course the steel and aluminum tariffs have all led to investment and new jobs. A March 2023 International Trade Commission study on the impact of the Section 301 and Section 232 tariffs highlights all of this.
Rep. Jimmy Panetta: “I know Trump thinks all deficits are bad, but they are a product of a number of macroeconomic factors related to a lot of things you know well – savings and investments, culture, demographics and so on. But deficits are not subsidies paid by Americans to other countries. He refuses to grasp that tariffs are paid for by our importers. We have a deficit with Canada only because of oil. If you took oil out, we would have a trade surplus. Foreign trade barriers are a problem. But you can remedy these things, like through free trade agreements. The global baseline of 10% that we have FTAs with…that makes no sense. There is no clear messaging. Tariffs undermine our national security. I know the President wants to bring back the Rust Belt but that is political and nostalgia. It was our choice to invest in other countries. It was our choice to have deficits. This is because we chose to invest in countries where labor is cheaper and products are cheaper and as we know it is okay for working families to want to pay for low-cost products. In the long term, for our economy and our national security, tariffs make us weaker.”
The argument that Americans choose imports due to low prices is true for some finished goods, like apparel. But not all imports are cheaper and not all imported goods are something the consumer has a say in purchasing.
An imported Hyundai Santa Fe has the same sticker price as one made in the U.S. German-made engines shipped to BMW’s factory in South Carolina was not something a consumer chose, nor did the German imported engine lower the cost of the BMW. Large infrastructure imports like offshore wind turbines from Europe are not cheap nor are they consumer choices—they are sourcing decisions made by corporations and governments. Eli Lily’s U.S. made weight loss drug Mounjaro is priced similarly to Novo Nordisk’s EU-manufactured rival Ozempic. Novo Nordisk is building a lab in North Carolina. The U.S. has a multi-billion dollar deficit in pharmaceutical goods, of which European imports are a top source of that deficit.
Lastly, Tenney called out CPA member Revere Copper at the hearing.
Rep. Claudia Tenney: “We have been hollowed out by China and Asia and we want to build those jobs again in upstate New York. When it comes to aluminum, when it comes to copper, we have some of the best manufacturers and some of the oldest manufacturers in the nation and we are dependent on Canada for those things. I know there is going to be some tinkering with the tariffs over the next couple of months I just want to say something about the legacy businesses we have in our region. One is not in my district any more but our famous patriot Paul Revere actually started a copper company in my region — Revere Copper is still operating today after being founded in 1801. It’s really important to New York that we keep these legacy businesses.”
MADE IN AMERICA.
CPA is the leading national, bipartisan organization exclusively representing domestic producers and workers across many industries and sectors of the U.S. economy.
What Members of the House Ways and Means Committee Are Saying About Tariffs
Members of the House Ways and Means Committee gave U.S. Trade Representative Jamieson Greer a piece of their mind on Wednesday during a four-and-a-half-hour hearing—double the time he spent with the Senate Finance Committee the day before. The reception was similar: Republicans broadly supported Trump’s “America First” trade agenda, while Democrats united in opposition, echoing talking points from their Senate colleagues.
During the hearing, Trump posted on Truth Social that he would pause the proposed reciprocal tariffs for 90 days. Rep. Steve Horsford (D-NV-4) reacted angrily, asking Greer, “WTF is happening?”
“My understanding is that because so many countries have decided not to retaliate, we decided to talk this out for the next 90 days,” Greer replied at the hearing. “Trump said he wanted to negotiate with those countries that have asked for meetings.”
The tone of the hearing mirrored that of the Senate, covered here.
Across the aisle, there was a consensus on the need to expand markets for U.S. agricultural exports—something that hasn’t always been guaranteed, even under free trade agreements. Ironically, Democrats now find themselves defending the interests of Wall Street and global corporations, which are the primary drivers of U.S. imports. According to Census data, large corporations account for 85% of all manufacturing imports.
Here’s a look at what key committee members had to say:
Chairman Jason Smith (R-MO-8): “An America First trade policy is needed now more than ever. America ran trillion-dollar goods trade deficits for four years under Biden. We ran a $32 billion agricultural trade deficit last year. Trump has made good on his promises to tackle China’s abuse of our trade laws and ended its access to the de minimis privilege. And President Trump has now set in motion a process to end that privilege globally to improve trade enforcement.”
According to the Bureau of Economic Analysis, the U.S. exported $175.97 billion in agricultural commodities last year and imported $214.14 billion—for a trade deficit of $38.16 billion. This included $12 billion in fruits, $11 billion in beef and seafood, and $4.8 billion in vegetables. CPA published a report on this in January.
As the debate continues about tariffs, some in the Republican Party argue that China and other nations will respond by halting purchases of U.S. agriculture. They mostly call for opening new markets opposed to signing new free trade deals.
Free trade policies have hollowed out U.S. food production. Over the last 25 years, imports have increased their share of the domestic market, making it harder for farms to stay in business, let alone convince future farmers, such as the children of farmers, to remain in agriculture.
As for de minimis, the duty free shipment treatment is over for China. Under a new executive order, items shipped from China via international postal mail face either a 90% tariff or a flat $75 fee per item. The change effectively disrupts the Shein and Temu business model for direct-to-consumer shipping from China.
Meanwhile, the Committee’s Ranking Member admitted he was open to tariffs, despite saying Trump’s use of the International Emergency Economic Powers Act to impose them was “illegal”.
Ranking Member Richard Neal (D-MA-1): “We don’t reject all tariffs. But these are trumped-up emergencies, and the courts will likely find them illegal.”
While Democrats want more involvement in trade decisions, they’ve struggled to pass legislation, including valiant efforts to reform the de minimis provision.
Rep. Vern Buchanan (R-FL-16): “Congress is dysfunctional on trade. We’re not engaged. We talk about deals, but what does that even mean? My farmers in Sarasota are being flooded with imported vegetables and tomatoes (due to NAFTA). I don’t need perfect trade, but it has to be fair.”
In 1994, U.S. farms grew 80% of tomatoes sold domestically. Today, Mexico supplies about 70% of the market. In 2024, Mexico’s tomato exports hit a record $3 billion—almost all to the U.S.
Rep. Mike Kelly (R-PA-16): “We’ve ceded so much market share. We built a global economy no one could have built alone. But now, those same partners don’t want us in their markets. America First should unite Republicans and Democrats. I’ve got 10 grandchildren depending on me to stand up for their future.”
Rep. David Schweikert (R-AZ-1) said that in order to bring back pharmaceutical production to the U.S., we need the equipment that removes chemical wastes used in making active pharmaceutical ingredients, and we need better environmental permitting. He offered no ideas as to how to make that happen though there are bills in Congress that address it, led by Rep. Claudia Tenney’s (R-NY-24) PILLS Act.
Rep. Nicole Malliotakis (R-NY-11): “Even if we want to bring the supply chain home, like pharmaceuticals, we have done nothing to reduce our dependency on medicine imported from China. We are relying more today on China for our pharmaceuticals and that is a problem. But…if we do tariffs on pharmaceuticals and I am against that, but if that is the goal, it takes about seven years to build a factory.”
Trump calls our constant generic drug shortages a public health crisis and a national security crisis.
Greer said that the administration is looking at sectoral tariffs for pharmaceuticals, which will likely hit the generic drug market. Tariffs, in combination with the PILLS Act tax incentives to expand already existing labs here, or start new ones, is one solution to begin making essential medication like amoxicillin in the U.S.
America’s Generic Drug Crisis Demands Investment, Not Dependence
Read More »Rep. David Schweikert: “To bring back pharma production, we need equipment to remove toxic byproducts from API manufacturing—and we need better permitting. We don’t have high-temperature incineration. Without infrastructure or streamlined EPA processes, domestic production isn’t realistic.”
Greer: “It’s not just about trade policy—it’s also tax policy, permitting, and environmental regulations. They all go together.”
Democrats are against Canada tariffs. Unlike Mexico, Canada is complaining the most, much like the EU and China. Despite facing the same 25% steel and aluminum tariffs as the rest of the world, Mexico has been quiet and not announced any retaliatory measures. The main market for the USMCA – automotive – remains duty free providing 75% of the goods that go into make the car or car parts are sourced in North America.
Before the new global auto tariffs, a Mexican or Canadian car made with parts imported from countries outside of the USMCA would be tariffed at the low rate of 3.4%. Now the tariff is 25%. This stops Asian and German auto companies in Mexico from importing engines and transmissions, for example, from their home countries and assembling those key parts onto the platform of the vehicle. They could do that and only face a 3.4% tariff. Now that is 25%. But if car makers stick to what they agreed upon for local content in the first place, the car or car part comes in duty free.
Washington long ago ceded its native auto industry and turned it into a North American auto industry when NAFTA was created. The North American automotive supply chain is nearly impossible to unwind. But to import into Canada or Mexico auto parts from Japan, South Korea, China, or Germany and sell the finished vehicle to the U.S. goes against the intent of the agreement. Greer said the same thing.
Greer: “I just want to reiterate that all goods that comply with the North American content agreement continue to enter the country duty free. (The USMCA) is a very important agreement. I met with my Mexican counterpart last night. I think with the USMCA it is important that Mexico and Canada understand they should not be used as an export platform for third countries. That’s not what we want.”
Some Republicans still seem to believe that if one country lowers trade barriers to zero, the U.S. will, too. That would be a de facto free trade deal, and in countries with low-cost labor, that would be like signing a free trade deal with dozens of little Chinas.
Rep. Greg Murphy (R- NC-3): “If you look at where we are with manufacturing goods and the manufacturing capacity in the United States, we have plummeted. This is critical. We have plummeted in our capacity to actually produce things. So yes, this is an emergency and (tariffs) are the right thing to do. If we do not reverse this trend, including us heading towards a debt crisis, then this nation does not exist. If we don’t intervene, nothing else matters.”
Rep. Jimmy Panetta (D-CA-19) exemplified the message coming from the Democratic Party. The point they make is that tariffs were poorly explained, which is a fair argument.
But they also say tariffs are unlikely to have any impact on investment in manufacturing, which is wrong as solar tariffs, AD/CVDs against kitchen cabinets, and of course the steel and aluminum tariffs have all led to investment and new jobs. A March 2023 International Trade Commission study on the impact of the Section 301 and Section 232 tariffs highlights all of this.
Rep. Jimmy Panetta: “I know Trump thinks all deficits are bad, but they are a product of a number of macroeconomic factors related to a lot of things you know well – savings and investments, culture, demographics and so on. But deficits are not subsidies paid by Americans to other countries. He refuses to grasp that tariffs are paid for by our importers. We have a deficit with Canada only because of oil. If you took oil out, we would have a trade surplus. Foreign trade barriers are a problem. But you can remedy these things, like through free trade agreements. The global baseline of 10% that we have FTAs with…that makes no sense. There is no clear messaging. Tariffs undermine our national security. I know the President wants to bring back the Rust Belt but that is political and nostalgia. It was our choice to invest in other countries. It was our choice to have deficits. This is because we chose to invest in countries where labor is cheaper and products are cheaper and as we know it is okay for working families to want to pay for low-cost products. In the long term, for our economy and our national security, tariffs make us weaker.”
The argument that Americans choose imports due to low prices is true for some finished goods, like apparel. But not all imports are cheaper and not all imported goods are something the consumer has a say in purchasing.
An imported Hyundai Santa Fe has the same sticker price as one made in the U.S. German-made engines shipped to BMW’s factory in South Carolina was not something a consumer chose, nor did the German imported engine lower the cost of the BMW. Large infrastructure imports like offshore wind turbines from Europe are not cheap nor are they consumer choices—they are sourcing decisions made by corporations and governments. Eli Lily’s U.S. made weight loss drug Mounjaro is priced similarly to Novo Nordisk’s EU-manufactured rival Ozempic. Novo Nordisk is building a lab in North Carolina. The U.S. has a multi-billion dollar deficit in pharmaceutical goods, of which European imports are a top source of that deficit.
Lastly, Tenney called out CPA member Revere Copper at the hearing.
Rep. Claudia Tenney: “We have been hollowed out by China and Asia and we want to build those jobs again in upstate New York. When it comes to aluminum, when it comes to copper, we have some of the best manufacturers and some of the oldest manufacturers in the nation and we are dependent on Canada for those things. I know there is going to be some tinkering with the tariffs over the next couple of months I just want to say something about the legacy businesses we have in our region. One is not in my district any more but our famous patriot Paul Revere actually started a copper company in my region — Revere Copper is still operating today after being founded in 1801. It’s really important to New York that we keep these legacy businesses.”
MADE IN AMERICA.
CPA is the leading national, bipartisan organization exclusively representing domestic producers and workers across many industries and sectors of the U.S. economy.
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