The Hill News

The Wall Street Journal, in its January 11, 2011 editorial, “The $6.50 Trade War,” seems to suggest that concern over trade with China arose solely over the $6.50 cost of assembling each iPhone in China.  Not only is the Journal’s suggestion incredibly misguided , it fails to recognize the real damage that China’s trade policy has done and is doing to the United States: American businesses have closed their doors and American workers have lost their jobs due to China’s failure to live up to its promises.
 
Concern about trade with China is real, long-standing, and widespread: 

·         Numerous sources, including staff of the International Monetary Fund and the Peterson Institute of International Economics agree that the Chinese currency has been substantially undervalued for many years.  This undervaluation gives Chinese imports an unfair advantage over U.S.-made products.  American producers  of goods facing unfairly subsidized good! s from China and anywhere else are entitled to offsetting remedies under US trade laws and WTO rules.

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