The USA ought to be a ‘nation of producers,’ says Jamieson Greer.
Jamieson Greer, President Donald Trump’s decide to be the nation’s prime commerce negotiator, vowed to recalibrate the worldwide commerce system and advance the brand new administration’s sweeping agenda.
In November, the president selected Greer, 44, as the following U.S. commerce consultant. As commerce consultant Robert Lighthizer’s chief of employees throughout Trump’s first-term commerce conflict towards China, Greer was an integral presence all through negotiations with Beijing.
In his practically four-hour Feb. 6 affirmation listening to earlier than the Senate Finance Committee, Greer mentioned a variety of points with lawmakers, from tariffs to commerce agreements.
Tariffs
Democrats pounced on the newest skirmish surrounding Trump’s tariff threats towards Canada and Mexico, which they mentioned had created vital uncertainty that has damage U.S. companies and value households.
“America had its first style of Trump’s rancid commerce coverage this week,” mentioned Sen. Ron Wyden (D-Ore.), the highest Democrat on the Finance Committee, including that Trump has put the worldwide financial system on “a month-to-month lease.”
Greer defended tariffs as a possible instrument for gaining financial leverage in negotiations to foster truthful and balanced commerce. This may also help facilitate broad-based wage and revenue beneficial properties for American staff, he mentioned.
Moreover, Greer mentioned, levies may also help handle nationwide safety points, together with border safety and fentanyl trafficking.
This week, Trump paused the tariffs on Canada and Mexico for no less than 30 days after receiving commitments from Canadian Prime Minister Justin Trudeau to press forward on his $1.3 billion border safety plan and different measures, together with appointing a fentanyl czar.
Economists say tariffs between North American neighbors would take a large toll on financial development and job prospects.
For Greer, it’s a delicate balancing act.
“How can we steadiness the price of lives misplaced to fentanyl towards the potential value?” he said.
Nevertheless, whereas Democratic panelists expressed worries concerning the potential financial affect on america, Greer pointed to occasions from Trump’s first time period.
“What we’ve realized from the primary time period is that President Trump and his financial crew are excellent at managing the financial system, and we noticed actual median family revenue go up by $7,000 over three years earlier than the pandemic hit, and this was on the prime of tariffs,” he mentioned.
Greer anticipates related traits over the following 4 years.
USMCA
The USA-Mexico-Canada Settlement (USMCA) can be revisited subsequent yr as a part of the six-year overview provision.
When requested what particular modifications he would advocate for in the course of the overview course of, Greer alluded to guidelines of origin, which make sure that different nations don’t profit from the USMCA on the expense of america.
Nominee for the U.S. Commerce Consultant, Jamieson Greer, testifies earlier than the Senate Committee on Finance on Capitol Hill in Washington on Feb. 6, 2025. Madalina Vasiliu/The Epoch Occasions
The USMCA’s guidelines of origin provision identifies sure merchandise qualifying for preferential remedy. These embody merchandise fully grown, harvested, or manufactured in one of many USMCA nations.
“I feel we have to look carefully at issues like the principles of origin to make it possible for third nations or overseas nations of concern aren’t inadvertently or intentionally benefiting or free-riding on the settlement on the expense of America and our buying and selling companions,” Greer mentioned.
He would additionally take one other have a look at the USMCA’s rapid-response labor mechanism to make sure that Mexico, for instance, just isn’t illegally suppressing wages to forestall it from garnering an unfair commerce benefit.
“If a overseas nation is participating in unfair commerce practices, you’ll be able to examine that, and you might impose part 301 tariffs on merchandise like metal,” he mentioned.
He accepted that america has points with Canada’s dairy and Mexico’s power, requiring accountability on all sides.
“It’s essential for the political and financial sustainability of that settlement, our commerce relationship, commerce relationships with Canada and Mexico, that these points be addressed and be addressed in a well timed means,” Greer mentioned.
China’s Part One Commerce Deal
Previous to the coronavirus pandemic, america and China reached a landmark commerce settlement, successfully ending the two-year commerce strife.
Beijing dedicated to buying $200 billion of U.S. items, together with cotton and soybeans. Nevertheless, years later, China has did not dwell as much as the commitments of the primary section of the commerce pact.
Greer promised to look at the compliance overview and “rapidly go about implementing compliance.”
“I feel it’s of crucial significance that if China needs to commerce with america and have a wholesome financial relationship—if that’s attainable—that a variety of it’ll be predominantly truthful market entry for our exporters,” he mentioned.
General, in response to Greer, it’s about having a “balanced relationship” between the world’s two largest economies.
Sen. Tina Smith (D-Minn.) mentioned that whereas she thinks blanket tariffs would damage U.S. staff, she is keen to work collectively “to tackle China’s dishonest in relation to commerce.”
Commerce Deficit
The U.S. commerce deficit is one in all Greer’s most important issues heading into this position.
“I’ve issues concerning the commerce deficit. I feel it’s unsustainable. I feel it’s dangerous,” Greer advised lawmakers.
The leap was fueled by a 3.5 p.c acceleration in imports and a 2.6 p.c decline in exports.
Final yr, the hole surged 17 p.c from 2023 to $918 billion, the most important enhance since 2021. Imports climbed practically 7 p.c, and exports rose about 4 p.c.
Greer believes this development may be reversed by resolving unfair commerce practices surrounding imports and guaranteeing america can export extra items and providers to new and present markets.
“I count on the Trump administration could have a aggressive power coverage, tax coverage, regulatory coverage, allowing insurance policies that solely assist us be extra aggressive in these overseas markets,” he mentioned.
“I’ve to have the ability to go to those nations and clarify to them that in the event that they wish to get pleasure from continued market entry to america, we have to have higher reciprocity.”
As well as, Greer advocated strategically focused tariffs that may enhance home manufacturing and reviewing present commerce offers to make sure they profit U.S. staff.
Greer famous that america ought to be a “nation of producers.”
“We have to create incentives to supply in America and to achieve market entry abroad,” he mentioned.