Locke Urges Avoidance of Protectionism, Discusses Latin American Trade Issues

(World Trade Interactive)

Commerce Secretary Gary Locke urged attendees of the Americas Competitiveness Forum in Chile September 28 to avoid “the protectionist temptation” in developing policies to restore economic growth. Locke also discussed a number of regional trade issues in separate meetings with his counterparts from various countries.

In his remarks at the opening of the ACF, Locke said that “some inevitably succumb to the allure of turning inward and closing off markets” in challenging economic times but that “we cannot let this happen again.” The history of the past century, he said, teaches that economic crises can and will happen and that during these times some will advocate limiting trade, closing off borders and protecting domestic industries. But “protectionism does not work,” Locke emphasized, and “protectionist policies invite trade wars and reduce living standards for us all.” He acknowledged that some U.S.-backed market reforms “have failed to deliver as promised” but said “the solution to these problems is not to abandon markets altogether” but to “make them work better, even as we build stronger social safety nets to catch those who fall through the cracks.” Read more here.