Key Vote Alert – “NO” on Co-Sponsoring the Currency Reform for Fair Trade Act (HR 1276)



“NO” on Co-Sponsoring the Currency Reform for Fair Trade Act (HR 1276)

The Club for Growth is urging all House members to not co-sponsor the protectionist Currency Reform for Fair Trade Act (HR 1276). Members who co-sponsor this bill will receive negative points on the Club’s 2013 Congressional Scorecard. Negative points will not be assessed to anyone who is currently a co-sponsor who subsequently removes his name in a reasonable amount time after this alert is officially released.

This proposal would make it easier for the federal government to slap countervailing duties or antidumping duties on any exporting country whose currency is considered misaligned against the U.S. dollar. This is a disastrous proposal that would increase taxes on American businesses and consumers, stall the economic recovery, and spark an ugly trade war.

Supporters of this bill believe that cheap imports are harming our nation’s manufacturers, but they fail to realize that imports are often intermediary goods and raw materials, not just final consumer products. These goods are used by our nation’s businesses to produce final products that can be sold at competitive prices. And even if supporters of this bill had a valid argument, the better course of action to spur our nation’s economy is not to punish another country through higher taxes on ourselves, but by lowering taxes on corporate income, capital gains, and dividends. We strongly urge all members to not only vote against this bill, but to decline co-sponsorship of it.

Our Congressional Scorecard for the 113th Congress provides a comprehensive rating of how well or how poorly each member of Congress supports pro-growth, free-market policies and will be distributed to our members and to the public.