Today, EPI President Thea Lee testified before the House Committee on Ways and Means on the impact of the imbalanced U.S.–China economic relationship on U.S. jobs, wages, businesses, and long-term growth.

In her testimony, Lee discussed the history of U.S. trade policy toward China, problems with Trump’s “phase one” deal with China, and fundamental flaws in the U.S.–China economic relationship. According to new EPI research, the growing U.S.–China trade deficit was responsible for the loss of 3.7 million U.S. jobs between 2001 and 2018. These job losses are spread across all 50 states and the District of Columbia—and every congressional district in America.

“The decentralized, mostly market-driven U.S. system cannot thrive when put into direct competition with China’s state subsidies, interventions, lack of transparency, and systematic violations of workers’ rights,” said Lee. “Trump’s phase one deal fails to address these key structural issues in the U.S.–China economic relationship, and Congress must chart a new path that prioritizes the interests of American workers, communities, and domestic producers.”

Lee highlighted trade enforcement measures Congress should take to help U.S. workers, including prioritizing good jobs, workers’ rights, democracy, environmental compliance, and consumer safety over outsourcing and short-term profits. Congress should also address currency misalignment and implement policies to support good jobs, workforce development, responsible employers, and forward-looking environmental measures.