US Trade Representative Katherine Tai told lawmakers that some tariff-lowering agreements have made the US economy vulnerable, and the Biden administration wants to address the problem with a fresh approach to supply chains and commerce.
Tai, appearing before the House Ways and Means Committee on Friday, said tariff cuts and rules to meet free-trade agreement requirements have led to a de-industrialization and erosion of some US capabilities.
“We are not pursuing traditional fully-liberalizing trade agreements, because we see those as part of the problem that we are trying to correct for,” she said.
While Republicans historically were the party more supportive of free trade, that stance eroded during Trump’s presidency with his focus on protecting American industries with tariffs and questioning the merits of deals negotiated under prior administrations.
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