Supporters Cite Economic, Employment Gains in Pushing for Misc. Trade Bill

(World Trade Interactive)

The Tariff Action Coalition, a group of domestic chemical and other companies, released July 10 a report arguing that congressional approval of a miscellaneous trade bill this year would have a positive effect on domestic economic output and employment. The MTB would lower or suspend tariffs on imports of key manufacturing and production inputs that are not made in the U.S. or where there is no domestic opposition. Supporters are seeking to push lawmakers to enact an MTB before current duty breaks provided under the last MTB expire at the end of this year.

The report estimates that the tariff suspension bills now being considered by Congress as part of a potential MTB would result in $4.6 billion in additional domestic production, which would expand real gross domestic product by $3.5 billion and support nearly 90,000 U.S. jobs. The report notes that the economic benefits derived from the MTB are proportionately higher than those derived from other types of tariff reductions (e.g., under free trade agreements) because there is no domestic production of MTB products that would be displaced by rising imports. Read more here.