[Congressional Record Volume 157, Number 175 (Wednesday, November 16, 2011)]
[House]
[Page H7637]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
GENERAL ELECTRIC
The SPEAKER pro tempore. The Chair recognizes the gentleman from
Virginia (Mr. Wolf) for 5 minutes.
Mr. WOLF. ``General Electric, the Nation's largest corporation, had a
very good year in 2010.''
These were the opening words of a March 24 New York Times article.
The article continued to explain that GE paid zero taxes in the U.S. in
2010. Meanwhile, the Congressional Research Service found that the
October 2008 issue of China Taxation magazine published top corporate
taxpayers in the commercial services sector. The Beijing subsidiary of
GE was No. 32.
While we don't yet have the data regarding GE's tax payments in China
for 2010, it is noteworthy that GE, an American company, paid no
Federal taxes in its home country last year while being honored for
being a significant source of tax revenue to China--China with its
horrific human rights abuses, persecution of people of faith,
censorship of the press, cyberespionage, support of rogue regimes--like
President Bashir of Sudan, where there is genocide taking place--and
its increasingly aggressive military posture.
This should give the Congress pause.
It is particularly alarming in the midst of economic troubles at
home, but my concern does not end there.
U.S. companies like GE are increasingly sending American jobs to
China. General Electric's health care unit recently announced it was
moving the headquarters of its 115-year-old x-ray business from
Wisconsin to Beijing. Ironically, the head of President Obama's Council
on Jobs and Competitiveness is GE chairman Jeffrey Immelt. Meanwhile,
half of GE's workforce is overseas. He is creating jobs, but he is
creating jobs in China.
In addition to national security ramifications, GE's posture toward
China has economic implications here at home.
{time} 1110
This week I wrote Defense Secretary Leon Panetta, urging him to
conduct a national security review of the recently announced joint
venture between General Electric, GE, and the Chinese firm AVIC to
develop avionics systems for jets. This partnership is troubling for a
number of reasons, including the rapid advances in Chinese aeronautics
and space programs and the unprecedented Chinese threat from
cyberattacks and espionage. Yet according to an August Washington Post
article, GE has dismissed concerns about providing the People's
Liberation Army with advanced avionics technology. Lorraine Bolsinger,
chief executive of GE Aviation Systems, said, ``We are all in, and we
don't want it back.''
Wow. Is this true? They don't want it back? They want to give
technology to the People's Liberation Army? Statements like this fail
to acknowledge reality.
According to a November 4 article from The Washington Post, the
administration's Office of the National Counterintelligence Executive
has issued a warning that, ``Chinese actors are the world's most active
and persistent perpetrators of economic espionage.''
Prolific Chinese espionage is having a real and corrosive effect on
job creation. Given the breadth and scope of this espionage, which is
well documented by the U.S. intelligence community, GE's public
assertion that they will be able to fully protect sensitive technology
lacks credibility. Should the GE-AVIC joint venture proceed, there is
no question that the sensitive technology involved will be completely
compromised by the People's Liberation Army.
GE has a proud tradition as an American company, and it's past time
for companies like GE to bring the jobs back to America. To date, there
have been no plans from this administration to do just that; but when
the House takes up the mini-bus appropriations bill later this week,
that will change. I've worked to include provisions to help bring back
manufacturing jobs to the U.S. from China and other countries. This can
help State and local governments better compete for these jobs.
American workers are among the most skilled in the world. American
ingenuity is our greatest strength. We can and must compete. It is time
to bring the jobs home.
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