Lighthizer Says Trade Amendment to Senate China Package 'Troubling'

The immediate past U.S. trade representative criticized an amendment attached to a China package which would renew the Miscellaneous Tariff Bill, and restart the exclusions for Section 301 tariffs on Chinese imports. The amendment, which got more than 90 votes in the Senate, also renews the Generalized System of Preferences benefits program, but Robert Lighthizer was silent on that aspect of the bill.

Fox Business host Larry Kudlow, who also served in the Trump White House, opened his questions about the amendment by asking why Senate Majority Leader Chuck Schumer, D-N.Y., wanted to soften America's position on China. Lighthizer responded, "first of all, I don't think this is necessarily Schumer's idea," and said that the underlying bill, which Schumer co-authored, is "a really strong bill." He added, "but this amendment on exclusions and the miscellaneous tariffs is clearly a step in the wrong direction. When we're trying to meet competition with China, the last thing we want to do is let them off the hook on a lot of things." Lighthizer said that CEOs that source from China had two years to move production elsewhere, so he finds it "troubling" they could regain the opportunity to avoid 25% or 7.5% tariffs.

On the MTB, Lighthizer said half of its benefit goes to China. "This is individual businesses lobbying to get a break," he said. Kudlow also asked Lighthizer about President Joe Biden's approach to China. "One of the things President Trump is proudest of is what he did on trade," Lighthizer said. "All the Biden administration has to do is keep doing what we did. Every indication is that they are."