China’s economic rise is marked by aggressive and often unethical trade practices that undermine the U.S. economy. These practices create a lopsided playing field, harming American industries, workers, and consumers. Here are six key areas where China’s trade behavior is both unfair and detrimental.

Pollution

China’s lax environmental regulations enable industries to cut production costs while causing significant global pollution. Factories operate with minimal environmental oversight, allowing them to produce goods at a lower cost than American manufacturers who adhere to stricter regulations. This not only undercuts U.S. businesses but also contributes to global climate challenges. China’s disregard for pollution controls results in cheaper exports, making it difficult for American companies to compete on price while following environmental standards.

Currency Manipulation

China has a history of manipulating its currency, the yuan, to gain a trade advantage. By artificially devaluing the yuan, China makes its exports cheaper and U.S. imports more expensive. This manipulation distorts the global market and creates unfair competition, hurting American manufacturers and exporters. While the U.S. has repeatedly criticized China’s currency tactics, enforcement remains challenging due to the complexities of international finance and diplomacy.

Treatment of Workers

China’s labor practices are another area of concern. Workers in China often face unsafe conditions, long hours, and minimal pay, all of which lower production costs. The use of forced labor in some industries has been widely reported. This enables Chinese companies to produce goods more cheaply than their American counterparts, who must adhere to labor laws designed to protect workers’ rights and safety. The disparity not only harms American jobs but also perpetuates human rights abuses abroad.

Illegal Subsidies

Chinese industries often receive direct financial support from the government, violating World Trade Organization (WTO) rules. These illegal subsidies allow Chinese companies to produce goods at lower costs and flood the international market, including the U.S., with cheap products. Sectors like steel, solar panels, and agriculture have all been impacted, leading to significant job losses and factory closures in the U.S.

Dumping

Dumping refers to selling goods in foreign markets at a price below their cost of production, and China frequently engages in this tactic. For example, Chinese companies have dumped steel and aluminum in the U.S., driving American producers out of business and threatening national security sectors. While anti-dumping tariffs have been imposed, they often come too late to prevent substantial damage to American industries.

Intellectual Property Theft

One of the most critical issues in U.S.-China trade relations is intellectual property (IP) theft. China has been accused of stealing trade secrets, counterfeiting products, and coercing American companies to transfer technology as a condition for market access. This results in billions of dollars in losses for U.S. companies and stifles innovation. Despite efforts to address IP theft through trade agreements and sanctions, enforcement remains a challenge.

China’s trade practices clearly create an uneven playing field. It is essential for U.S. policymakers to address these issues to protect American industries and workers. Effective measures could include stricter enforcement of trade laws, enhanced tariffs, and more robust international negotiations to hold China accountable.