January 15, 2020 - Issue: Vol. 166, No. 9 — Daily Edition116th Congress (2019 - 2020) - 2nd Session
All in Senate sectionPrev27 of 72Next
CHINA TRADE DEAL; Congressional Record Vol. 166, No. 9
(Senate - January 15, 2020)
Text available as:
Formatting necessary for an accurate reading of this text may be shown by tags (e.g., <DELETED> or <BOLD>) or may be missing from this TXT display. For complete and accurate display of this text, see the PDF.
[Pages S219-S220] From the Congressional Record Online through the Government Publishing Office [www.gpo.gov] CHINA TRADE DEAL Mrs. BLACKBURN. Mr. President, over the past few months, we have spent a great deal of time in this Chamber discussing our adversarial relationships with other countries, but [[Page S220]] today I want to draw attention to a truly great economic and foreign policy victory negotiated with one of our adversaries. In fact, it was signed just a few hours ago. When it comes to trade, we have devoted most of our energy to drafting and promoting the benefits of the USMCA, but we have also gotten a great start on two other trade deals--those that were negotiated with Japan that went into effect January 1 and also with China, signed today. We are looking forward to this Chamber passing the USMCA this week and sending it to the President's desk. Back home in Tennessee, what I hear from our agriculture community is, we want trade--consistent, dependable, respectful, and fair trade. Entrepreneurs depend on consistent, productive trade relations to keep their businesses up and running and to put food on their employees' tables. These Tennesseans play a special role in the U.S. relationship with China. In 2017, we exported $2.7 billion worth of goods to China. That is from the State of Tennessee. Imports from China accounted for 7.3 percent of Tennessee's GDP in 2018. They are our third largest trading partner, after Canada and Mexico. Let me tell you, when things go south with the Chinese, Tennesseans feel the heat because of our ag trade. They are really paying attention to the ins and outs of our dealings with China, the good and the bad. They see the news stories about China's behavior in Hong Kong and Taiwan, about spying, about intellectual property theft, and about those shady apps that children have probably downloaded onto their phones and their tablets. Yes, indeed, they are rightfully concerned. They are concerned because they see all of this in the context of their day-to-day lives, and they know that diplomatic tensions have just as much potential to derail their operations as economic tensions. Make no mistake--today's signed deal with China is critical because it couples desperately needed relief with backstops that will help to keep our friends in Beijing in line. What does that look like? China agreed to increase purchases of American products and services by at least $200 billion over the next 2 years, which will reduce our trade deficit and take care of our farmers, our energy producers, and our manufacturers. They committed to reducing nontariff barriers to agriculture products and ease restrictions on the approval of new biotechnology. American producers are covered in terms of free-flowing goods and when it comes to the nuts and bolts of the business of innovation. The phase one deal includes stronger Chinese legal protections for patents, trademarks, and copyrights. We wrote in improved criminal and civil procedures to combat online infringement and the exchange of pirated and counterfeit goods. These are good signs for our creative community in Tennessee. It contains commitments by China to follow through on pledges to eliminate pressure on foreign companies to transfer technology to Chinese firms before they are given market access. I will tell you, we are going to be keeping an eagle eye on this one as we move to the phase two negotiations. It also includes new pledges by China to refrain from competitive currency devaluations and exchange rate manipulation. All of this is covered by enforcement measures U.S. officials can trigger if we discover Beijing is acting in bad faith. I will tell you, so many in our agriculture community have said of these enforcement mechanisms that this is what is going to make a difference in their ability to count on trade. Now, these protections are more than just an ace up our sleeve; it is peace of mind for every American who depends on trade to support their family. So phase one is in the books. What is next? More of the nuts and bolts that I just talked about. If you have been following the past few years of our relations with China, you know that businesses trying to deal with Beijing run the constant risk of losing control over their own inventions. Intellectual property theft and forced technology transfers have defined China's relationship with foreign businesses. This is what they complain about. They steal those inventions and sometimes actually beat them or match them moving into the marketplace. In phase two, we will be negotiating a deal that ensures participation in the Chinese market is not dependent on these unbalanced arrangements. Our efforts will be backed by previously passed legislation that enhanced our controls on the export of new technology--like advanced robotics and artificial intelligence--and strengthened reviews of foreign investment in the United States. We know it is an uphill battle. We certainly believe it can be done. I want to make it clear that no trade deal is ever going to be perfect. It is impossible. However, the first phase of this is a good, solid first step. We are taking care of our producers, taking care of our workers, and opening up the flow of goods and services. We are protecting our innovators in a way that will allow them to prospect in one of the globe's most competitive markets without risking the loss of their intellectual property. We are giving business owners and families peace of mind in the form of enforcement mechanisms that will kick in the moment officials determine our relationship with China is about to go off the rails. Today, our President signed this deal on behalf of the American people, and I encourage my colleagues to get involved now as we move forward with discussions for phase two. I yield the floor. I suggest the absence of a quorum. The PRESIDING OFFICER. The clerk will call the roll. The senior assistant legislative clerk proceeded to call the roll. Mr. McCONNELL. Mr. President, I ask unanimous consent that the order for the quorum call be rescinded. The PRESIDING OFFICER. Without objection, it is so ordered. ____________________
All in Senate sectionPrev27 of 72Next