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Joe Courtney

04/15/2024 | Press release | Distributed by Public on 04/15/2024 09:13

Rep. Joe Courtney Leads Colleagues in Urging Biden Administration to Investigate China’s Unfair Shipbuilding Practices

WASHINGTON, D.C. - Rep. Joe Courtney (D-CT), Ranking Member of the House Seapower Subcommittee, and 37 of his colleagues in the House of Representatives sent a letter last week to the United States Trade Representative, Ambassador Tai, urging the agency to heed the calls of several unions to investigate China's (PRC) unfair trade practices in the maritime, logistics, and shipbuilding sector.

"Several PRC policies, including anticompetitive practices, preferential loans from China's state banks, the provision of subsidized steel, and additional financing from PRC have fueled China's current capacity and increased the global market dependencies on PRC industry for shipbuilding and maritime transport of goods at the expense of the United States and our allies," the Members wrote.

The Members stated that these policies have resulted in a major boom for China and a major loss for America's shipbuilding capacity. "The PRC's unfair state-sponsored policies and programscontributed to a loss of America's domestic commercial shipbuilding capacity. In the last 22 years, the PRC has led a campaign of subsidization, strategic targeted investment, and other related policies with the aim of dominating global shipping and advancing the goals of the Chinese Communist Party (CCP). This effort to dominate global shipping has resulted in the PRC's shipbuilding industry increasing from less than 10 percent of global shipbuilding capacity to nearly 50 percent in the year 2024," the Members continued.

On the consequences of the losing U.S. domestic shipbuilding infrastructure, the Members wrote, "Due to the loss of our domestic shipbuilding infrastructure, U.S. shipyards and suppliers do not have the capacity to replace ships lost in combat or the ability to supply our own needs, much less those needs of our friends and allies. A vibrant domestic commercial shipbuilding industry will allow our country to ensure that a resilient supply chain remains available in times of need."

"We strongly support the petition filed by the United Steelworkers (USW) for USTR to investigate China's unreasonable and discriminatory policies in these sectors under the Section 301 process. We urge USTR to conduct a full review of the allegations in the petition and initiate a full investigation in a timely manner," the Members wrote.

"The USW appreciates the work that Rep. Courtney and others have done to support the USW-led Section 301 petition on commercial shipbuilding. Our maritime strength is critical to our national and economic security, and rebuilding American capacity begins with this petition and those members of Congress who have signed on to back it," said Unite Steelworkers President McCall in response to the letter.

The letter was signed by Reps. Joe Courtney, Donald Norcross, John Garamendi, Debbie Dingell, Ro Khanna, Jared Golden, André Carson, Val Hoyle, Eric Swalwell, Donald Davis, Chris Deluzio, Melanie Stansbury, Frank J. Mrvan, Susan Wild, Paul D. Tonko, Niki Budzinski, Josh Gottheimer, Katie Porter, Eleanor Holmes Norton, Barbara Lee, Julia Brownley, Mary Sattler Peltola, Brendan F. Boyle, David J. Trone, Marcy Kaptur, Haley M. Stevens, Elissa Slotkin, Robert C. "Bobby" Scott, Raja Krishnamoorthi, Rosa L. DeLauro, Chrissy Houlahan, Jan Schakowsky, Andrea Salinas, Mary Gay Scanlon, Mark Pocan, Lloyd Doggett, Terri A. Sewell, and James P. McGovern.

Click here to read the letter.

Click hereto read a statement by the USTR.

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