China has begun a concerted effort to keep its export economy humming, even as demand for its goods has plummeted with the global downturn.
Risking the ire of the United States and other trading partners, the Chinese government has quietly started adopting policies aimed at encouraging exports while curbing imports, even though China, as one of the world’s largest exporters, has aggressively criticized protectionism in other countries.
The government has sharply expanded three programs to help exporters, giving them larger tax rebates, more generous loans from state-owned banks to finance trade, and more government-paid travel to promote themselves at trade shows around the world.
At the same time, Beijing has banned all local, provincial and national government agencies from buying imported goods except in cases where no local substitute exists.
Working for the Census Bureau in 2000, a friend was surprised that the pencils and other office and field items issued to him were made in China. I’ve not believed that in that instance going with the low bidder really was good stewardship of public funds.
Sometimes I wonder why our leaders think U.S. stands for Us Suckers (no offence meant to Illinoisans out there).