"An Eye For An Eye" With China

Press Release

"An Eye For An Eye" With China

U.S. Congressman Sam Graves signed onto H.R. 321- The Currency Harmonization Initiative Through Neutralizing Action Act, (C.H.I.N.A. Act) today. The legislation would change trade policy to account for currency manipulation by the Chinese government. By undervaluing their currency by forty-percent, Chinese goods are forty percent less expensive when imported into the United States.

"China is not playing by the same rules," said Graves. "American workers are at a disadvantage because they are purposely undervaluing their currency. Our only option is to level the playing field by putting a tariff on Chinese imports."

China is also accused of violating international trade laws by counterfeiting goods developed and made in America. Counterfeits are estimated to make up between 15-20 percent of all products made in China and about eight percent of China's GDP. Some studies show the U.S. companies lose $25 billion annually to copyright violations.

"Its time we started taking an eye for an eye approach with China when it comes to trade," said Graves. "When American workers have a level playing field, they can compete with anyone in the world."

Graves has long had concerns over how China skirts international rules. As Chairman of the Small Business Subcommittee on Rural Enterprises, Agriculture and Technology, he held hearings on how currency manipulation hurts small manufacturers in Missouri. H.R. 321 has been referred to the Ways and Means Committee.

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