President Obama wants to double U.S. exports within five years. This is a laudable goal, but one has to ask, where will all these new exports come from? To create lasting prosperity, we need to resist the temptation to retreat into economic isolationism at home, and we must work harder, much harder, to open markets overseas.
A report last summer from the International Chamber of Commerce reported “alarming” levels of trade protectionism in the G-20 countries. Russia, the United States, India, Argentina and Brazil were the five most protectionist countries, based on measures implemented in 2008 and 2009 and those in the pipeline.
Although designed to save jobs, such measures almost always are counterproductive. It’s estimated the 43,000 jobs the U.S. government claims to have been saved by our “Buy American” legislation will be offset by the loss of more than 200,000 jobs as the result of foreign emulation or retaliation.
The president is seeking to wrap up pending free trade agreements with Korea, Panama and Colombia. These would provide an immediate, pain-free stimulus to our economy. But important as these agreements are, they’re not nearly enough.
To help secure a lasting recovery, we need to complete the long-stalled Doha Round of global trade talks, something the president and his G-20 colleagues called for at their November summit in Seoul. We must move aggressively to negotiate new bilateral trade deals and regional accords such as the proposed Trans-Pacific Partnership. We need new bilateral investment treaties to ensure our companies are treated fairly in foreign markets.
Most importantly, we need strong political leadership from the president and Congress to move forward on this agenda.
There’s a lot to do if we want to double our exports within five years and secure a lasting economic recovery. U.S. business is ready. Let’s get moving.