[Congressional Record Volume 157, Number 38 (Monday, March 14, 2011)]
[Senate]
[Pages S1593-S1594]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
EXPORT POLICY
Mr. BROWN of Ohio. Earlier today in Columbus, OH, the State capital
of my great State, I was at the Ohio State University's Fisher College
of Business. We talked by phone with Under Secretary of Commerce
Francisco Sanchez, who is one of the leaders at the Department of
Commerce, on how to grow exports in this country.
The President has charged the Congress, our businesses, encouraged
all of us to find ways to double exports as a major path to economic
growth, especially to grow manufacturing in our country. We know that
for the last several months, we have seen manufacturing growth, albeit
too small, but manufacturing growth in this country.
That is especially important in Ohio. My State is the third leading
manufacturing State in the country, behind only California and Texas,
States which are two and three times our size in population. Yet Ohio
has kept pace with doing relatively well in manufacturing. But we know
what has happened to manufacturing in our country in the last 30 years.
Only 30 years ago, manufacturing was more than one-quarter of our
GDP, financial services was about 10 or 11 percent of GDP. In these 30
years that position has almost flipped. Financial services is over one-
quarter of our GDP, manufacturing is only 10, 11, or 12 percent. That
is why the President and his push on exporting is so important, not
that we only export manufacturing goods, of course, we export services,
as we should. But clearly manufacturing is a major component of that.
I sit on the President's Export Advisory Council with leaders of the
administration and the CEOs of some of America's largest companies and
many successful mid-sized and small companies in this country. We had a
meeting last Friday with Secretary Locke, Under Secretary Sanchez,
Secretary of State Clinton, Jim McNerney of Boeing, Ursula Burns of
Xerox, Alan Mullaly of Ford, as part of the President's export council.
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In Ohio, as a result, I have put together an export advisory council.
We met today in Columbus. That is what our meeting was about, to talk
about ideas. We heard from Albert Green of Kent Displays, William
Dawson of NexTech Materials, Philip Irwin of Ametek Solidstate
Controls, Randall Willaman of Command Ilkon, Inc., Mark Friedman of
National Biological Corporation, Arlinda Vaughan from Volk Optical, and
Ken Hagen from Fosbel.
All of them raised concerns directly to the Under Secretary of
Commerce and directly to me, concerns about corruption in Russia,
concerns about tariffs in Brazil, concerns we all face and all of our
companies face in breaking into the Chinese market, and many other
concerns about everything from medical devices to export of services
and all of that. So the meeting was important.
I will mention one other. Susan Helper, the head of the Economics
Department at Case Western, had particularly good thoughts about how we
grow manufacturing in this country. We know those jobs are created by
medium and small businesses. We also know that fewer than 1 percent of
American companies actually export. Even as close as we are to Canada
or to Mexico, only 1 percent of our businesses export. So we know we
have to do much more.
In Germany, for instance, 20 percent of their workforce is in
manufacturing. They have a trade surplus with the rest of the world,
while we have a huge almost insidious trade deficit. Germany has done
some pretty interesting things in encouraging manufacturing.
As many people point out, we have not had in our country a
manufacturing policy. I spoke with Pat Russo tonight, who is the former
CEO of Lucent Technologies and a couple of--she sits on the General
Motors board and a couple of other people from the GM board I spoke to,
and talked about the fact that we do not have a manufacturing policy in
this country. That is why we are seeing other countries begin to do
much better in manufacturing, while we have, by and large, drifted in
our policies and our strategies on manufacturing.
There are several things that came out of this meeting that we need
to do. We need to pay particular attention on economic development
assistance and creating economic development partnerships and business
incubators.
We need to pay special attention to help those companies get access
to capital. That has been a vital roadblock--as the Presiding Officer
from Oregon has been involved--a roadblock to our full economic
recovery. We need to look at our R&D tax credits.
Part of a national manufacturing policy should be increases in R&D
tax credits, including making 48(C) a part of the Code that encourages
conservation, encourages more efficiencies in energy production and in
energy use, making 48(C) permanent.
It means workforce training--our Sectors Act, which matches up what
local businesses and labor unions and community colleges and workforce
investment boards do to retrain workers so they find jobs after that
training. That is why we are doing at end of the month our fourth
annual Ohio College Presidents Conference, where I invite in some 55,
60 college presidents. We have done it for the last 3 years, since my
second year in the Senate, to talk about these issues: How do we
encourage people to become engineers? How do we help with access to
college, particularly in light of the fact that Republicans are trying
to cut Pell grants several hundred dollars per student, sometimes a
couple of thousand, $3,000 a family, whatever.
How do we fight back and make sure that students have access to
education and to our higher education system, those who choose to go to
college? We have a lot of work to do. All of this includes, as I said
at the White House the other day in the meeting of the President's
Export Council, while we work on exports, we need to fix our trade
agreements, we need to fix our tax policy, we need to make sure those
workers who lose their jobs because of trade--and this is so often
forgotten about by my Republican colleagues--workers who lose their
jobs because of trade have to be compensated. They need to be
retrained. They need to keep their health care. That is why the
Presiding Officer and I and many others have to fight for the
extension--Senator Casey especially from Pennsylvania--of trade
adjustment assistance and the health coverage tax credit, two long-time
Federal programs. The TAA, Trade Adjustment Assistance, was started
bipartisanly under President Kennedy in 1962.
Those are so important for workers who have lost jobs through no
doing of their own but because of trade agreements passed wrongfully,
wrongheadedly in this body and in the House. Because of trade
agreements they have lost their jobs. We need those workers to have the
opportunity to be retrained and to continue to keep their health
insurance after they have been laid off through no fault of their own.
Our efforts to double exports is extraordinarily important for
economic growth. At the same time it is important that we are sensitive
to those workers who have lost their jobs because of trade policy. We
can do this right. We can enforce our trade laws more aggressively as
President Obama has begun to do. We can work on trade agreements. We
can fix trade policy so it actually helps American workers and American
consumers. Instead of practicing trade policy adopted out of a textbook
that is 20 years out of print, we ought to be adopting a trade policy
that is in our Nation's national interest. As we move with President
Obama and this Congress toward a manufacturing strategy and, even
better, a manufacturing policy such as most of the rest of the
industrialized world has, we will all be in a better position to build
a middle class in Oregon and Ohio and across the country.
I yield the floor.
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