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The Office of the US Trade Representative recent statement that “measured progress” was made at July 11 meeting of the U.S - China Joint Commission on Commerce and Trade (JCCT) in Beijing denies reality.  Their limited focus on intellectual property rights and market access ignored the critical issues that underlie the massive deficit with China that will likely exceed $200 billion in 2005.

The absence of any discussion about democratic worker rights, human rights, currency manipulation and illegal subsidies speaks volumes.  The violation of workers’ rights and human rights are illegal under U.S. trade law.  The Chinese government’s currency and subsidy actions violate the World Trade Organization commitments they agreed to uphold. 

These flagrant violations, and the administration’s refusal to address them, led the AFL-CIO to participate in two cases brought against China under section 301 of U.S. trade law, one for workers’ rights violations and the other on currency manipulation.  In April 2004, four cabinet secretaries held a press conference to deny the workers’ rights petition and to threaten to do the same to any currency petition.  The administration admitted both sets of charges had merit but said they had a better way and refused the petitions.

Here’s the track record since both cases were filed: the administration has done nothing to address the workers’ rights concerns and endless dialogue with the Chinese government on currency manipulation has produced no real results.  At the same time the illegal subsidies continue unabated and Chinese citizens sit in jail for exercising the most basic human and democratic rights.  As a result Congress is now awash in bills designed to redress China’s unfair trade practices.

The Administration claims it “will continue to use the JCCT and other tools at its disposal to further open China’s market to U.S. goods and services, move China to faithfully implement its World Trade Organization commitments, and ensure that trade with China is being conducted on fair terms.”

By our measure this is just another broken trade promise.  Workers in both countries deserve better.  U.S. manufacturers expect it.