TPP and Other Trade and Manufacturing Issues Front and Center After Election

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Donald Trump’s opposition to trade deals, including the pending Trans-Pacific Partnership (TPP), were key components of his stump speeches and talking points throughout the campaign. His position on trade and manufacturing issues was central to his appeal to disaffected working-class voters, who played a large role in his victory on Election Day. In the weeks since the election, statements made by President-Elect Trump seem to indicate that TPP and other trade issues will remain a top priority once he takes office in January.

In a video message released on November 21, President-Elect Trump outlined a list of priorities for his first 100 days in office, which included a pronouncement on TPP. The President-Elect said that he is going to issue a notification to withdraw from TPP, calling it “a potential disaster for our country.” Instead, Trump said his Administration will negotiate “fair, bilateral trade deals that bring jobs and industry back onto American shores.”

Although congressional leaders have confirmed that TPP will not be brought up during the Lame Duck session, Trump is receiving pushback to his position on TPP from some members of Congress, including from those in his own party. Senate Armed Services Committee Chairman John McCain (R-AZ) warned that withdrawing from TPP will have “serious consequences for American workers and American national security.” He called Trump’s plan to pull out of the trade pact a disappointment and urged the U.S. to resist isolationism. House Ways and Means Committee Chairman Kevin Brady (R-TX) has not ruled out pursuing TPP after Trump takes office, calling it an important agreement that is currently “on hold until President Trump decides the path forward.”

Another issue that Trump campaigned on is the offshoring of U.S. manufacturing jobs overseas. If elected, he pledged to prevent companies like United Technologies, which announced in February that it will close two Indiana plants – including one Carrier plant – and move the work to Mexico, from sending jobs overseas. President-Elect Trump specifically promised on the campaign trail to keep the Carrier jobs in the United States, and he appears to be trying to make good on that promise. On Thanksgiving, Trump announced that he was making progress in his discussions with Carrier. The company confirmed that the discussions were taking place but said that they had nothing to report. This week, however, President-Elect Trump and Vice President-Elect Mike Pence will appear at Carrier’s Indianapolis factory to announce a deal with the company to keep approximately 1,000 jobs in the state. Senator Bernie Sanders (I-VT) said in a statement that he will be introducing legislation, the Outsourcing Prevention Act, to make sure that President-Elect Trump “keeps his promise to prevent the outsourcing of American jobs. For the sake of American workers, this is a promise that cannot and must not be broken.”

 

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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