Made in America goods only, says US government

[astodome]

Washington: In another protectionist measure primarily aimed at China, the US House of Representatives passed two different bills that mandate the Congress and the Department of Homeland Security to purchase only US-made goods.

The Congressional Made in America Act, introduced by Congresswoman Marcy Kaptur, requires the Congress to buy goods and services made in America for the first time in nearly seven decades.

Similarly, the Berry Amendment Extension Act, introduced by Congressman Larry Kissell directs the Department of Homeland Security to buy clothing, tents, and other products made in America.

These two bills, unanimously passed by the House, will help in creating American jobs, and expand America's manufacturing sector, said Nancy Pelosi, Speaker of the US House of Representatives.



"In passing these bills, we reaffirm that when we make it in America, we create jobs, promote our competitiveness, and lead the world economy," Pelosi said.

"Democrats will continue to move our nation forward to prosperity for the middle class. Democrats are committed to 'Making it in America,' while Republicans are standing with corporations that that ship American jobs overseas," she alleged.

"We can protect our American economy while also protecting our national security and borders. The only way to ensure this is the case is to make these items right here at home," Kissell said. "For the last 60 years the Berry Amendment has served our nation well, and its expansion to the Department of Homeland Security will further benefit American manufacturing."

The Berry Amendment, originally enacted in 1941, requires the Department of Defence to procure a range of domestically produced or grown items with 100 per cent US content.

The legislation has been supported by many groups, including the American Manufacturing Trade Act Coalition, the National Textile Association, the National Council of Textile Organizations, the National Cotton Council and the United States Industrial Fabrics Association International.

It is estimated that for every $ 10 million spent annually, the US government will create or save 500 badly needed US manufacturing and other jobs, said Auggie Tantillo, Executive Director of the American Manufacturing Trade Action Coalition.

"Congressman Kissell's 'buy-US' legislation will provide a shot in the arm to America's economy that has suffered more than 5.6 million US manufacturing jobs losses in the last decade," Tantillo said.


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Made in America goods only, says US government

 

[Nahraf]

US preaches free-market economics while on the other hands put restrictions on free movement of goods and services. This will help many in Congress to get reelected in November 2010 but will also increase costs of goods and services. In order to pay higher costs US will sell Treasury Bonds and the buyer would probably be China.

 

[DesiGuy]

I think it's good to the extent that it will only benefit america.

 

[astodome]

wat would happen to chinese industries,if US starts to reduce import ????

 

[Nahraf]

I think it's good to the extent that it will only benefit america.

wat would happen to chinese industries,if US starts to reduce import ????

US is in recession/economic slowdown with high unemployment and the people are not ready to pay high prices for US made goods. There are people/consumers that buy only US made goods but they are small minority.

 

[DesiGuy]

wat would happen to chinese industries,if US starts to reduce import ????

less profit. And chines government will protest.

 

[somebozo]

less profit. And chines government will protest.

The chinese are not so dependent on US anymore..they do considerable trade with europe and middle east. But serious most of the world industry is just hyped up with banking loans. Food crisis is looming due to rapid industrialism. We need to pay attention on agriculture too.

 

[中国万岁-ProsperThroughCo-]

wat would happen to chinese industries,if US starts to reduce import ????

Our businesses will go bankrupt, the people will riot and the country will collapse.

Seriously though, if you read it carefully, that banned Chinese import on goverment procurement (more specifically, the Congress and Homeland Security). That means that the U.S. military uniform will not be made in China nor the the flashlights or other equipment.

The U.S. are shooting itself in the foot here, because now China can now deny American companies access to Chinese government procurement without losing face. (Or they can carefully choose what they want).

The whole thing stinks of hypocracy and double standards from the U.S., after all they have signed a deal within the WTO agreement that says foreign firms must be allowed for government procurement (a deal that China hasn't signed) If I recall correctly.

And India should not feel joy on China's "loss", because it will hurt India as well.

By the way, I could not find this news on cnn.com or ft.com.

 

[CardSharp]

less profit. And chines government will protest.

Don't be naive. The only way that America can fulfil its own light manufacturing needs is if they either accept a lower standard of living or low skilled workers in America are willing to accept similar wages to Chinese workers (which is way below subsistence in America)

Economists and people who understand trade universally reject protectionism, this is only a token political gesture (or are you forgetting that the Midterm elections are coming up and the democrats are set to lose some seats?)

And really. What are we talking about uniforms for the DHS? What's that worth on the large scale of trade?

 

[Capt.Popeye]

The Wise Men/Women in Congress seem to have spoken and maybe they will walk the talk.
If we extrapolate this move further, by extension they would like the American people to follow suit. That is where the fun starts. How many "American" things will be affordable to ordinary folks. After all not every American is a Congressman/woman.
So big changes are on the way like- all K-Marts and stuff like that will start closing down. Ships will bring less stuff from China for example. Longshoremen and truckers will probably start getting laid off. Way to go, Congress.
Talk about "cutting one's nose to spite one's face".
There are historical precedents:
" The United States Congress passed the Embargo Act of 1807 in protest against British and French interference in U.S.Shipping. The Act had the (side)effect of prohibiting nearly all U.S. exports and almost all imports, greatly disrupting the U.S. economy".

 

[CardSharp]

Again Midterm elections people! Isn't anyone suspicious by the timing of the policy ?

 

[huzihaidao12]

Trade war, do not forget there are a large number of U.S. exports to China, China's market for U.S. technology products is not lost, not the United States, Europe and Japan will fill into, the United States will face more competition, this is not low technology, but high-tech fields.

 

[Capt.Popeye]

Originally Posted by -ProsperThroughCo-op
"And India should not feel joy on China's "loss", because it will hurt India as well."

Quite right my friend, there is nothing in this for India to celebrate.
Just that India exports to USA are less than China.

 

[DesiGuy]

US is in recession/economic slowdown with high unemployment and the people are not ready to pay high prices for US made goods. There are people/consumers that buy only US made goods but they are small minority.

It's because high import of chines goods in US. once import is reduced, than encourage American compines to produce goods and sell here.

Card Shape pointed put good point that American companies should start paying less $ to Americans, not saying it will reduce their standered of living by a lot.

 

[pak-marine]

made in America wil only increase the cost of goods