CWA Comments on the Participation of Japan in the Trans-Pacific Partnership

WASHINGTON, DC – The Communications Workers of America filed comments with the Office of the U.S. Trade Representative (USTR) on the economic impact of Japan’s participation in the proposed Trans-Pacific Partnership (TPP). 

From 2009-2012, our trade deficit with Japan resulted in the net loss of 130,000 U.S. jobs. The inclusion of Japan in the TPP would cause the loss of tens of thousands of additional U.S. jobs, worsen an already bad U.S. trade deficit with Japan and further harm workers who already suffer from the failure of Japanese firms operating in the U.S. to honor international standards for labor rights. These impacts would include the following:

• The net loss of an additional 91,500 U.S. automobile jobs
• Even higher trade deficits and the loss of more U.S. jobs due to Japan’s currency manipulation. Just in the last eight months the yen has been devalued by 29% that results in a 29% discount for Japanese goods exported to the U.S. and a 29% penalty for U.S. goods exported to Japan.
• The erosion of incentives for Japanese firms to locate or even expand production in the U.S. due to reduction in U.S. tariffs on Japan and the devaluation of the yen.
• Further erosion of our trade deficit because of barriers that limit U.S. access to the Japanese market - especially automobiles.
• The continued failure of Japanese firms operating in the U.S. to honor international standards for labor rights adversely affects the wages, benefits and working conditions of workers and the economic health of their communities and countries.

In order to stimulate the U.S. economy, create jobs and improve the standard of living of U.S. workers, the CWA calls on the USTR to take the following actions before any agreement with Japan is concluded:

• Ensure that all Japanese firms – especially automakers and their suppliers - operating in the U.S. as well as other TPP countries fully honor and enforce international labor standards that allow a fair, democratic process for workers to decide on union representation.
• Ensure that the TPP includes binding, enforceable commitments against currency manipulation by all member TPP countries.
• Require a substantial reduction in our trade deficit with Japan including an actual and verifiable opening of the Japanese auto market before any phase out of U.S. tariffs.

CWA will support fair trade agreements that create good jobs and end off-shoring; include strong, enforceable and internationally recognized protections for labor rights and the environment; protect worker and consumer health and safety; reignite the American economy; improve our quality of life; and defend the sovereignty of the United States and other nations against attacks by multinational corporations.  As it stands now, the inclusion of Japan in the TPP negotiations will undermine, not enhance, these objectives.

Read the complete filing here http://cwafiles.org/national/issues/PolicyIssues/Trade/cwa-comments-on-impact-japan-tpp.pdf