Cleveland, OH — The National Tooling and Machining Association (NTMA) and the Precision Metalforming Association (PMA) today saluted a White House initiative to launch a World Trade Organization (WTO) investigation into Chinese subsidies for automobile and auto-parts exports. Chinese government subsidies to the country’s auto and auto-parts industry are estimated at over $1 billion between 2009 and 2011 alone, giving Chinese producers an unfair advantage over U.S. auto-parts manufacturers who compete with the low-priced imports.
In a related action, the administration also announced that it will formally pursue a WTO enforcement case first initiated in July that challenges unfair duties imposed on automobile imports into China.
“Many of our members supply the U.S. auto-parts and automobile industry, and we have long felt the pinch from low-priced Chinese imports,” said NTMA President Dave Tilstone. “It is essential to the long-term prospects of our industry that U.S. companies compete against overseas producers who follow the same rules of the road. We have seen solid growth in manufacturing over the past few years, and we strongly believe that our companies can compete with anyone in any part of the world provided that they are not being given an advantage in the form of unfair subsidies or industry protection.”
“The issue of unfair competition from China has affected U.S. manufacturers that supply a wide variety of sectors, but nowhere has it been more evident than in the automotive arena,” said PMA President Bill Gaskin. “We salute the administration for deciding to take action on an issue that has a huge impact on small and medium manufacturers in this country. PMA and NTMA have worked for years to document and submit data to the government demonstrating that Chinese imports are coming in at unrealistically low prices. Addressing this issue at the WTO marks an important step in maintaining the vitality of U.S. manufacturing companies across the country, many of which are small, family-owned operations that provide needed jobs and economic activity to their communities.”
About One Voice: The National Tooling and Machining Association (NTMA)’s and the Precision Metalforming Association (PMA)’s combined “One Voice” federal government advocacy program represents nearly 3,000 metalworking companies and is designed to promote U.S. government policies that will ensure a strong manufacturing sector in the United States. For additional information, please visit www.metalformingadvocate.org.