A few months ago, I discussed how China’s dominance of the global rare earths market threatens the ability of the U.S. to become a green technology leader. Now it seems that American steelworker unions are petitioning the U.S. government to open talks with China on the matter, and they are requesting that the Obama Administration open a formal WTO complaint against the Chinese government.
United Steelworkers President Leo Gerard argued that the Obama Administration must challenge Chinese protectionism, stating that, “If we are not going to do solar panels and fluorescent bulbs and wind turbines here, the next generation of of R and D will not be here.” His argument has special resonance in a domestic political environment where the president is under tremendous pressure to create jobs in an election year.
This is going to be another thorny issue in the U.S.-Chinese trade relationship, and I will be curious to see how – and how quickly – the Obama Administration addresses it.
