Obama Is Wrong, Wrong, Wrong About Free Trade

Obama Is Wrong, Wrong, Wrong About Free Trade

Obama Is Wrong, Wrong, Wrong About Free Trade

Signing new deals with South Korea, Panama and Colombia is bad economics and bad politics.

Copy Link
Facebook
X (Twitter)
Bluesky
Pocket
Email

President Obama is preparing to mangle his jobs message signing free-trade agreements that are opposed by unions, by Democrats and by the “99 Percenters” who recognize that the Bush-Clinton-Bush-Obama approach to trade policy has harmed the interests of working people in the United States and abroad.

Why? Because, according to Congressman Mike Michaud, D-Maine, the president “is going to give in to the Washington elites, once again” because “the big companies and the big banks want” the new trade deals with South Korea, Colombia and Panama.

The three agreements, all modeled on the failed North American Free Trade Agreement, passed the House and Senate Wednesday with overwhelming support from Republicans and minimal support from Democrats.

Only thirty-one House Democrats backed the agreement with Colombia, where unions note that labor organizers are regularly assassinated. Fifty-nine Democrats backed the agreement with South Korea. Sixty-six Democrats supported the Panama deal.

In the Senate, 30 Democrats opposed the Colombia deal, as did Vermont Senator Bernie Sanders, an independent who caucuses with the Democrats, and two Maine Republicans: Olympia Snowe and Susan Collins.

The Democrats who opposed the agreements did so because these deals are wrong, economically and politically.

Congresswoman Tammy Baldwin, D-Wisconsin, who is running for an open US Senate seat in 2012, made the economic case.

“Trade agreements should be in the best interests of our nation and its people, but sadly this has not been the case with the past free trade agreements,” Baldwin told the House. “Have some of our wealthiest corporations profited from them? Indeed. But the rest of America, especially the middle class, has struggled with job loss, closed factories, and economic and emotional anguish across the country.”

Citing a study issued by the Economic Policy Institute, which reveals that more than 680,000 US jobs have been lost or displaced due to the rise in the trade deficit with Mexico alone since the North American Free Trade Agreement (NAFTA) was enacted in 1994. Baldwin explained: “I hear from Wisconsin families every day that are struggling mightily—struggling to pay the mortgage, put food on the table, and send their kids to college, especially during these uncertain economic times. The solution is to put our people back to work and preserve American jobs. When done right, trade agreements can help bolster our manufacturing and high-skilled technology industries and create jobs as they increase exports and help our economy recover. Done wrong, trade agreements send these same jobs offshore, leaving Americans out of work. Unfortunately, I believe these trade agreements with South Korea, Panama, and Colombia will exacerbate the US trade deficit and further erode our manufacturing base.”

Lori Wallach, who directs Public Citizen’s Global Trade Watch, made the political case.

“It is bizarre that President Barack Obama has switched from his long-awaited focus on jobs to spending effort passing three George W. Bush–signed, NAFTA-style trade deals that official government studies show will increase our trade deficit even as polls show most Americans oppose NAFTA-style trade pacts and recognize that they kill American jobs,” said Wallach. “The only way these deals will pass is if congressional GOP lawmakers expose themselves to the foreseeable election attack ads and provide President Obama almost all of the votes; most congressional Democrats will oppose these deals, which are loved by the US Chamber of Commerce and despised by the Democratic base groups. Apparently, the Obama team has a way to win re-election that does not involve Ohio or other industrial swing states. We saw with NAFTA in 1993 the dire political consequences of a Democratic president blurring distinctions between the parties on this third-rail issue of trade and jobs. And unlike NAFTA, this time, even official government studies show that these pacts will increase our trade deficit.”

Baldwin’s right.

Wallach’s right.

Obama’s wrong—very, very, very wrong.

Signing these free-trade deals will harm the economy.

And it will make it a lot harder for voters in factory towns to support his re-election.

Support independent journalism that does not fall in line

Even before February 28, the reasons for Donald Trump’s imploding approval rating were abundantly clear: untrammeled corruption and personal enrichment to the tune of billions of dollars during an affordability crisis, a foreign policy guided only by his own derelict sense of morality, and the deployment of a murderous campaign of occupation, detention, and deportation on American streets. 

Now an undeclared, unauthorized, unpopular, and unconstitutional war of aggression against Iran has spread like wildfire through the region and into Europe. A new “forever war”—with an ever-increasing likelihood of American troops on the ground—may very well be upon us.  

As we’ve seen over and over, this administration uses lies, misdirection, and attempts to flood the zone to justify its abuses of power at home and abroad. Just as Trump, Marco Rubio, and Pete Hegseth offer erratic and contradictory rationales for the attacks on Iran, the administration is also spreading the lie that the upcoming midterm elections are under threat from noncitizens on voter rolls. When these lies go unchecked, they become the basis for further authoritarian encroachment and war. 

In these dark times, independent journalism is uniquely able to uncover the falsehoods that threaten our republic—and civilians around the world—and shine a bright light on the truth. 

The Nation’s experienced team of writers, editors, and fact-checkers understands the scale of what we’re up against and the urgency with which we have to act. That’s why we’re publishing critical reporting and analysis of the war on Iran, ICE violence at home, new forms of voter suppression emerging in the courts, and much more. 

But this journalism is possible only with your support.

This March, The Nation needs to raise $50,000 to ensure that we have the resources for reporting and analysis that sets the record straight and empowers people of conscience to organize. Will you donate today?

Ad Policy
x