▶ 0:05:06Us to declare a recess at any time. Uh, I would like to welcome everyone to this morning's hearing and the committee's first budget hearing of the fiscal year 27 cycle. Uh, thank you to our subcommittee members and to ambassador greer for being here today. Ustr is fiscal 27.
▶ 0:05:32Budget request totals 95 million, an increase of 8% from fiscal 26. The budget request includes funding for increased personnel investments to enable us to protect national security, address unfair trade practices, and open foreign markets for U.S. goods.
▶ 0:05:57Your role as the president's principal trade advisor and negotiator on trade issues is vital to the success of president trump's trade agenda. The fiscal year 27 budget request for the office of the united states trade representative comes at an important time.
▶ 0:06:20The administration has announced trade deals with many of our key trading partners, and is actively working on, uh, renegotiating the us mexico-canada agreement with our neighbors.
▶ 0:06:37Just last month, ustr also launched various section 301 tariff investigations aimed at addressing unfair trade practices relating to forced labor and excess manufacturing capacity by over 60 nations.
▶ 0:07:01Ustr has taken on increased focus and responsibility, and congress has worked to meet your needs by providing targeted funding increases. Ustr must ensure that rival nations like the people's republic of china are not able to take advantage of americans by engaging in unfair trade practices.
▶ 0:07:27We must also not allow china to export deadly fentanyl precursor chemicals, flooding north america and poisoning our children. I look forward to hearing how the president's budget request for ustr furthers our shared goals of responsibly managing taxpayer dollars, while expanding market access for domestic producers.
▶ 0:07:56Protecting our national security, and combating unfair trade practices, particularly geopolitical foes like china. Let me now recognize the ranking member of the subcommittee. Miss ming. >> thank you, Mr. chairman, and I join you in welcoming ambassador greer for his first appearance before our subcommittee.
▶ 0:08:22This opportunity to discuss this administration's trade policies which have created chaos, uncertainty and high cost for american families and businesses is quite timely. I also look forward to hearing from you about your fiscal year 27 budget request. I support trade policies that protect american workers, consumers and businesses from unfair trade practices. Promote access to global markets.
▶ 0:08:52Strengthen trust and collaboration with our allies, and bolster our national security. When smartly targeted and applied. Tariffs can be a useful tool in our tool belt to address unfair trade practices, and congress has provided the president with limited tariff authorities.
▶ 0:09:11But what we have seen from this administration has been an unlawful tariff and trade policy that is chaotic nontransparent ripe for corruption, damaging to our closest allies and deeply harmful to the american people and businesses it claims to protect. Tariff rates changed countless times in a single year. Policies were announced on social media and reversed just days later.
▶ 0:09:41American businesses were unable to make basic decisions about what to buy because the rules could change overnight. In february, the supreme court ruled that the international emergency economic powers act does not authorize the president to impose tariffs that left the government owing over $166 billion, with interest growing by the millions per day to the american businesses that paid those illegal duties.
▶ 0:10:12Unfortunately, the damage of the illegal tariff regime has already been felt by american families who have paid more for clothes, groceries and other items. Businesses have faced higher material costs and retaliatory tariffs on their own exports. The administration did not come to congress and seek lawful tariff authority. Instead, it reached for the next untested statute.
▶ 0:10:35Within hours of the supreme court ruling, the president signed a proclamation invoking section 122 of the trade act of 1974 to impose a 10% global tariff. The next day, he announced on social media that the rate would increase to 15%. No formal policy has been issued. These tariffs expire this summer and are already facing legal challenges.
▶ 0:11:01At the same time, the administration has indicated it will pursue dozens of new investigations under section 301 and 232 to impose yet another set of tariffs. The result for americans has been chaos, uncertainty and a higher cost of living. According to one independent analysis, 90% of the economic burden of tariffs fell on us companies and consumers in 2025.
▶ 0:11:28This has resulted in an effective tax increase of nearly $1,700 on the average american household. This administration told us that the terrorists would boost american industry, but they have not. In 2025, the trade deficit in goods hit a record high and over 80,000 manufacturing jobs were lost.
▶ 0:11:54After getting a boost from historic investments under the biden administration, spending on U.S. factory construction has fallen every month since the beginning of president trump's second term in office in new york. Those costs have hit us even harder. According to an analysis by the manhattan chamber of commerce, new york households face an estimate estimated $4,200 in additional annual costs due to tariffs in the middle of a housing crisis.
▶ 0:12:24They have added around 11,000 to the cost of building each single new single family home. And in the second quarter of 2025, as tariffs ramped up, the city saw a net loss of approximately 4900 businesses. The weakest quarter for business formation in five years. The state comptroller reported just weeks ago that exports to canada are state's most significant trading partner declined by $3.8 billion.
▶ 0:12:53As the chair of the congressional asian pacific american caucus, I have been sounding the alarm on this issue since the beginning. There are more than 3 million asian american, native hawaiian and pacific islander owned small businesses across this country, and many of them rely on imports of goods that cannot be produced domestically yet are still subject to tariffs. I have seen the impacts of these tariffs firsthand in my own district in queens.
▶ 0:13:22Just last month, I led my colleagues and local and state government on a tour of flushing, queens, where we heard that costs for small businesses are through the roof. What makes all of this worse is the two tiered pay to play system this administration has created.
▶ 0:13:39The wealthy and well-connected are cutting deals for themselves, while main street businesses like those in flushing are left out and pay the price, tariff exemptions and favorable rate adjustments are granted behind closed doors with no formal criteria, no application process and no way for the public to weigh in. Meanwhile, small businesses across new york city are absorbing approximately $4.5 billion annually in added tariff costs.
▶ 0:14:10They don't have lobbyists in washington to help them make their case for relief, and they shouldn't be treated as collateral damage. While the president uses tariffs as leverage to reward friends and extract favors, the prices of groceries, gas, gas, clothing and homes are skyrocketing for american families. Small businesses have been forced to raise prices or close their doors. Construction costs are rising at a time when we desperately need much more housing construction.
▶ 0:14:40The chaos of an unpredictable, murky tariff regime continues. I look forward to your testimony and to what I hope is a candid discussion. Thank you, Mr. chairman. >> thank you. Mr. uh, I would like now to recognize our witness, ambassador greer, for an opening statement. Without objection, your written statement will be entered into the record.
▶ 0:15:05Uh, I would ask that you keep your statement, hopefully to five minutes, uh, so we can have additional time for questions. Gentleman's recognized. >> thank you, chairman rogers and ranking member meng for having me today.
▶ 0:15:19I'm glad we can gather for this us trade goods trade deficit has decreased by 24% between april 2025, when tariffs first went into place through february 2026, compared to the
▶ 0:15:49Same period a year earlier. So 24% decrease. It's gone down by over 30% with china in particular. So we're diversifying away from that, which is a positive. Uh, us exports reached 302 billion in january 2026 and nearly 315 billion in february 2026, the highest monthly export figures in us history. So when I hear people say that somehow our exports are affected, it's for the positive. We've never exported so much from the united states as we are now.
▶ 0:16:19Food and agricultural exports rose by double digits in 2025. Manufacturing labor productivity registered its highest annual increase in 15 years, and manufacturing workers wages are up by an average of $1,800. We produce. We produce more steel than japan. Last year, for the first time in a long time, and orders for capital equipment that go into factories are surging, all because of. President trump decided to take trade seriously.
▶ 0:16:43And as you know and has been discussed, last april, president trump imposed reciprocal tariffs in response to the national emergency caused by a large and persistent trade deficit of 1.2 trillion, which had increased by 40% over the previous four years. The result is that we had lost and continue to lose the manufacturing capacity that supports our workers, fuels us innovation and safeguards our economic and national security.
▶ 0:17:04And these tariffs have been instrumental in creating a level playing field for american workers and creating incentives to build, grow and produce more in the united states at a higher wage for our workers. Last week, during a swing through the heart of american manufacturing in michigan and ohio, I was encouraged to see the results of a $13 billion investment by the owners of the dodge and jeep brands, and the return of auto production lines to america from overseas.
▶ 0:17:27A $60 million expansion by whirlpool, creating an additional 150 jobs in ohio and highly automated facilities producing drones, tooling and dies and solar panels. I can't account for new york state policies and taxes that drive
▶ 2:11:16These military companies included some of these firms like alibaba. Does the administration view korea's discriminatory treatment as a national security concern, and if so, is that concern being incorporated into how you're approaching enforcement? >> so if if they were to follow through with this and apply these laws in a discriminatory way, we would take action. Up until now, they have they have been, uh, they have been. >> saying exactly. >> that to speak to us and negotiate with us.
▶ 2:11:42Um, because we are concerned about this, uh, and, you know, we are prepared to take action if we need to because it's not like there's some other, um, company waiting to step into the wings other than some of these chinese companies you're talking about. >> um, the eu is another area where we see discriminatory action being taken against us companies.
▶ 2:12:03Um, the digital markets act, digital networks act, cloud and ai development act, digital services taxes, eu space act, other policies, all of which disproportionately target us companies. Um, how does your budget prioritize comprehensive action against this entire suite of discriminatory measures? And what enforcement mechanisms will usd are deployed to protect american technology leadership against european regulatory overreach?
▶ 2:12:30>> so so we have an office dedicated to services investment. And this is an office where we have been going through and inventorying all of these, uh, unfair and discriminatory laws and practices that, that you're talking about. If I'm to take action on these, uh, again, here's a, I keep saying section 301. Every time I say section 301, you have to think that's a policy person. That's 1 or 2 lawyers, you know, that's a political person in the front office. Every time I say 301, that's more people. I'm happy to do it.
▶ 2:12:57But I do have to have the resources to hire those people. >> thank you. Yield back. >> Mrs. dean. >> uh, thank you, chairman rogers. Thank you, ranking member meng. And thank you, ambassador, for being here today in front of us. Uh, madeleine dean, I serve on both the appropriations and the foreign affairs committees, and I am co-founder of the fentanyl prevention caucus.
▶ 2:13:20Uh, and so I know that you play a very pivotal role in economic, uh, policies, including tariffs, which we are talking a lot about today. So first, let me say something that I agree with the president on, and I congratulate the president for doing, which is eliminating the de minimis loophole. I say that because eliminating the de minimis loophole is good for us businesses, it is good for individual consumers.
▶ 2:13:46And of course, it is good in the fight against the transport of fentanyl. So thank the president for that. I have said it openly before. Uh, ambassador greer, I read with interest in your testimony, quote, our most important trade agreement is our constitution. Yet a few paragraphs later, you state the president's trade program continues despite the supreme court's decision in february relating to ip tariffs. That's puzzling to me.
▶ 2:14:14That's ironic. It's a paradox. You ground your work, trade work in our constitution. You emphasize that that is what the administration relies upon. And yet the supreme court found the president's tariffs to be unconstitutional, to be illegal.
▶ 2:14:37Uh, so I want to say to you, I want you to live up to the order that the supreme court said the monies must be returned to those who paid them. You'll see some difference of opinion here, but it's very clear the monies were illegally gotten by this government, by this administration. They are illegally sitting in treasury, and they need to go back to those who paid them in full with interest. So let me examine that with you.
▶ 2:15:02Uh, I noted that you you spoke a lot about trade deficits, trade surplus. We heard the president do all of that. Reminds me of the last time we had a trade surplus, as you well know, was in the great depression. Uh, to say the least. That's not a good thing. Uh, it was in part as a result of isolationist policies of the 1920s. I'd hate to have history repeat itself. The administration stole from american businesses and consumers in an illegal way.
▶ 2:15:33With the tariffs, the money must be returned. Will you commit to making sure the money is returned in full without request from those who it was taken from automatically to those from whom it was taken? Will you commit to work with treasury, customs and border to return in full automatically? Yes or no? >> so, congresswoman, anything the court tells us to do will do it right. And so. >> are you going to hide behind the court didn't speak to we have to return the money or not.
▶ 2:16:04>> so as I was just speaking with Mr. iv, customs and border protection has a program, right? We don't just do a willy nilly grab and just anyone comes and we give them money. They come in through the cbp program set up. It's a portal that opens on monday. >> I want to interrupt you stop me because I'm aware of the program. >> well, that's how we give the money back. >> no. Here's how you collected the money. I took a look at this. This is an entry summary for an importer, a small importer. >> a form seven, 501. I'm very familiar. >> with it. I think you're right. Of course it is. Seven. Very good.
▶ 2:16:33Then, you know, on seven. 501 iipa tariffs are listed here as clear as day to the penny, to the product and to the penny. There should be no application process. Return. Hit the button return it to those who paid it. Will you commit to saying that the program needs to be changed? It should be automatic. Yes or no? Will you commit to that custom? >> well, I don't control customs, so I can't commit on behalf of customs. No, I can't commit on. >> behalf of the administration. And as the ambassador of trade, yes or no? >> so.
▶ 2:17:02So there's a manufacture id number on that form. And if you take that and you go to the portal and you put it in and you tell them, I'm the manufacturer, cbp can look at. >> it, my. >> time and. >> verifying my time. >> I mean. >> in terms of paying interest on these monies wrongly, illegally, unconstitutionally gotten by this administration, uh, interest is owed on it. Do you agree with that? >> uh, if there's interest owed on by statute, it gets paid. That's right.
▶ 2:17:31>> if there is interest or is there interest. >> I'll defer to cbp. I don't I don't have the specific. >> you know, what the interest rate is. >> I think it's 6%. >> I don't think that's true. >> okay. >> what is it? I think it's 4.5. I'll take 04.5. I'll take six. Since it was illegally gotten. I'll ask the irs. Corporate overpayment rate is 4.5, so we can check on that. We'll do four point. You know what? No you're right, you're right. Overpayments exceeding exceeding $10,000 go to 6%. You're absolutely right, I missed that.
▶ 2:17:57Uh, will you commit to making sure that interest is paid on all of these refunds, which should be automatic. >> if there is an issue with this or your constituent has an issue with this, I'm happy to talk to cbp about it. >> we shouldn't have to do it by. >> constituent expired. >> may I just say for the record, may I enter something for the record? >> gentlelady will respond. >> uh, thank you, Mr. chairman.
▶ 2:18:21Uh, by the opinion of the united states court of international trade, the order written by richard eaton, these duties must now be refunded with interest. And the clock is ticking. Further interest is accumulating every. Day with approximately $6.650 million a month. >> Mr. klein. >> thank you, I yield. >> thank you, Mr. chairman, and thank you, ambassador greer, for testifying before us today. And again, you are.
▶ 2:18:49For far too long, the united states has been taken advantage of by unfair trade practices around the world. These persistent trade imbalances have driven manufacturing overseas, weakened critical supply chains, and left our defense industrial base even more dependent on foreign suppliers to restore both free and fair trade. President trump has utilized tariffs on more than 60 countries, putting america first and ensuring U.S.
▶ 2:19:17Manufacturing is no longer shortchanged by foreign competitors. Already, president trump has delivered major results securing billion dollar trade deals with our allies and partners, bringing thousands of jobs back to our shores and driving billions in new manufacturing investment. Despite the supreme court's decision earlier this year, president trump remains committed to restoring american manufacturing.
▶ 2:19:41So my question is, president trump has already announced historic private sector investments in american manufacturing here at home. In your view, have the administration tariff policies been successful? And have you seen significant evidence of companies reshoring investment back to the united states? >> uh, yes. Thank you.
▶ 2:20:00And I mentioned this earlier, just last week, I was in michigan, in ohio, and I went to a variety of factories from very small businesses to large multinationals. One of these is stellantis, which is the company that owns jeep and dodge. And due to the presence tariffs on autos that he imposed last year, they announced a $13 billion investment in the united states across the upper midwest.
▶ 2:20:24And some of that included bringing back product lines from both canada and mexico to the united states. So that's one example. We also announced there was an announcement of a $60 million investment in the whirlpool factory in clyde, ohio, which is the world's largest and oldest washing machine factory. Um, and that has another 150 jobs. So these are just examples. The pharmaceutical companies, they're, they're pouring foundations and building superstructures. And in north carolina and indiana and southern california across the country. So we.
▶ 2:20:52And when we asked them why they say tariffs, they don't always love to put it in their filings with the sec, but that's what's. That's why. >> well thank you. And I've been to clyde, ohio too. So um great place. >> were you named after it? >> uh, no, it wasn't named after me. Um, in your fiscal year 2027 budget request, there's an increase of $7 million or an 8% above the fiscal year 2026 enacted level for the office of the us trade representative.
▶ 2:21:21Uh, now, I'm a small businessman and I believe in return on investment. So that needs to be positive and not negative or otherwise why are we investing? So can you explain specifically how this additional funding will translate into tangible outcomes to positive roi, particularly in terms of securing greater investment and expanding economic opportunities here in the united states? >> uh, certainly.
▶ 2:21:47So every time we considered making a trade deal, which again, the way we get the trade deals are by having tariffs, we have to have the leverage to get the deals. Otherwise these these countries will continue to treat us as they have for decades. Um, and so when we, when we have some level of tariff, you know, you bring some money into the, into the treasury and that can, that's a, you know, that's real revenue that can be used for programs. Uh, second, when we get the trade deals, every time we do these deals, we, we do an assessment of what we think the market opportunity is.
▶ 2:22:15Um, and so from indonesia to india to the uk to argentina, it's hundreds of billions of dollars in opportunities. And as I mentioned earlier, we've, we've seen that actually start to happen with record breaking exports in the last couple of months. >> okay. So, but with the increase of $7 million. All right. I mean, are you going to I mean, what does that actually doing for us in just the I mean, how do you monitor these trade agreements to ensure that that the folks are, are holding to what they agreed to?
▶ 2:22:43Or is that what this is necessary for? >> or that's certainly part of it because we have to monitor it. Uh, one of the problems we've had over the past decades, you know, my agency typically only has, you know, 200 to 250 people at any given time. And we believe that with this money, we can have another 20 to 25 people because we have more trade agreements. Now, after a year and more commitments, I need more people to monitor it. I need more people to enforce it.
▶ 2:23:07Um, you know, there's also one, there's $1 million I'm asking for, which is actually to consolidate our footprint from buildings to get rid of another lease. So I'm trying to save money for you in the long term if I consolidate this year. So I'm trying to be as respectful as I can with the taxpayers money and bring opportunities for american workers and farmers. >> all right. One last question before my time runs out.
▶ 2:23:26And you addressed this with the with the chairman a little bit, given our reliance on adversarial nations like communist china for critical materials and technology, how is your office contributing to to trade strategies that reduce these dependencies, especially the critical materials? >> so we are right now preparing text, which will share with with congress before we circulate it to partners for a plurilateral agreement on trade and critical minerals. We want to create a situation because china has broken the market for critical minerals.
▶ 2:23:57And this is not the first time they've tried to use rare earths to control other countries behavior leverage. Exactly right. And so what we are doing with trading partners who have critical minerals or who have manufacturing, is we want to create an agreement where, uh, among among the parties to the agreement, we have a market in critical minerals among us and we try to trade at a market based prices. But if you're not in the agreement and you want to trade with one of these parties, you have to do it at a certain level.
▶ 2:24:24You have to have a price floor, because in the past, the chinese have just dumped into our market and then we have a mine that can't operate anymore because it's make economic sense. And so we're trying to do an agreement with a select group to protect and create a market to because it's been broken in the past. >> thank you, ambassador greer. You're doing a great job. And I yield back, Mr. chairman. >> gentleman yields back. Mr. mervyn. >> thank you, Mr. chairman. Uh, thank you. Ranking member. Uh, Mr. greer, thank you for your testimony today.
▶ 2:24:52Indiana's first congressional district is home to the nation's largest concentration of steel production. American steel makers play a critical role in the defense, energy and automotive, construction and industrial manufacturing industries. Therefore, ensuring that domestic producers can compete globally on a level playing field is an economic and national security imperative. To that end, I appreciate the work that you have done to enhance. Section 232. Uh, steel tariffs.
▶ 2:25:16And I hope to continue to work with the administration as co-chair of the steel caucus, uh, to strengthen our domestic steel industry on the usmca, uh, one of the largest looming conversations in the steel industry is the review of the usmca slated for this summer.
▶ 2:25:34While the initial adoption of the usmca in 2020 made strides with strengthening certain rules of origin provisions that have benefited domestic steel makers, trade policies in canada and mexico have allowed for surge of global steel overcapacity in the north america steel markets. The mandatory six year review of the usmca presents an opportunity for the ustr to encourage canada and mexico to take actionable steps to stem the tide of non-north american steel imports that distort U.S.
▶ 2:26:04Markets and harm american steel producers and fabricators. What conversations are you having with canada and mexico counterparts, mexican counterparts, regarding the usmca, and what steps? What steps do you plan in order to curb trans shipment of heavy subsidized steel from other parts of the world, particularly china? >> uh, thank you, congressman, and we appreciate your support on this. I look forward to to working with you and the rest of the steel caucus on something of critical national security importance.
▶ 2:26:33Over the past year, I've had a lot of conversations with my counterparts in canada and mexico, and I've been clear with them that, you know, we we cannot really have, um, you know, free trade with those countries in steel unless they are controlling their own borders with respect to steel to get the trans shipment issue we're talking about, for me, the gold standard for rules of origin for steel is melt and pour, which means we want it to be melted and poured in these countries. Um, so that's, that's my view.
▶ 2:27:01That's my expectation. >> when you say my view, you mean also the administration. >> yes, sir. Yep. President united states, the secretary of commerce who runs the. 232. This is our this is our view. >> because we brought in steel from another country for the white house expansion. So I just want to make sure we're on the same page. >> well, we don't prohibit imports, but we do have a tariff on them. Okay. >> I just want to make. >> sure we're not prohibiting it. >> speak consistently. So please go on. >> yeah. We don't prohibit it like people can still crystal clear.
▶ 2:27:30But if they're going to if it's going to be for steel, it's going to be paid for. It's a 50% tariff. It's the highest tariff any presents ever put on steel using section 232. Um, so I'm happy to work with you on that. I'm having conversations with the canadians and mexicans about rules of origin on this issue. >> okay. Thank you for that. And, uh, northwest indiana, largest steel producer in the country, national security along 12 to 14,000 steel workers and tradesmen who are in that industry. It's the lifeblood of my economy. So it's something I take very seriously.
▶ 2:27:56So the next step, national security farmers, um, with the tariffs and what has happened to the farming industry. I represent a lot of farmers. I specifically want to ask the question that, uh, china's soybean market has been closed. That market was filled by argentina. The administration sent $40 billion or 40 million or $40 billion to argentina.
▶ 2:28:21While the farmers are suffering here because of the tariffs and the closing of the markets, I'm a believer of e15 and making sure that we do what we can to open those markets, but also with the closing of the strait of hamas, nitrates and fertilizers are increasing by 3,040% consistently and growing season is starting now.
▶ 2:28:42And so the administration and you specifically have talked about lowering costs while grocery costs are rising, which is directly related to the input costs of our farmers. Please tell me how that what you would say to the farmers who believe that it was a slap in the face to give $40 billion to argentina, who took over a market that was their market. >> thank you. Congressman.
▶ 2:29:09Uh, with with respect to argentina, again, this is something china does anytime we try to defend or take care of unfair trading practices, china tries to squeeze us and they always use our farmers as a target. That's why we don't want them to be super dependent. They get it from brazil. They get it from argentina. >> the tariffs purposely took the soybean market away from the american farmers because you don't want them to be have that market. >> I don't understand what happens when we try to take care of unfair trade practices by the chinese, who are a national security threat.
▶ 2:29:38The chinese response is often to target american farmers. >> correct? >> right. I think we agree on this. And then the chinese start importing from brazil or argentina or other places with respect to the 40 billion. Uh, that wasn't a gift. Uh, you can call it a gift. Well, you said you gave it to him. You give a gift. >> you're being presumptive. The united states. >> said that we gave. >> it, forwarded $40 billion to argentina. Don't put words in my mouth. I did not say gift. >> the united states of america made a return on that. >> very good.
▶ 2:30:09>> so, you know, if you don't want us to make a return on our money, we don't have to. But I think. >> you better return on what? >> when you give. When you give a country a loan from a fund that's set up by congress to give to help float countries. >> the 40 billion to argentina was a loan. >> so. So congress, they control the purse. Right. And you set up by statute the executive funds at the treasury department that they can use to float countries. That's what it's for. >> so congress or the executive gave the $40 billion?
▶ 2:30:37No, I'm sorry, returned $40 billion to argentina because we're losing track that the farmers. You didn't answer the question. The administration gave $40 billion to a country that took their market. What do you say to the farmers who feel like it's a slap in the face? That one market was closed and you enhanced the country that took their market away? >> we have a 25 million metric ton commitment from the chinese every year for the next three years to buy soybeans 25 million metric tons a year.
▶ 2:31:08That's what we have from the chinese. That's what they committed to do. That's what we've negotiated. >> are they currently doing that? >> and they they don't buy it all at once. They do it over the year. >> because why would the farmer say that the market is closed if you have a commitment? >> we do have a commitment. >> but it's not being fulfilled because of the tariffs. >> well, let's talk about the data. If you look they they had a they had a commitment from our last meetings from the last quarter of 2025 and for the sailing season. And they filled that. And we have 25 million metric tons.
▶ 2:31:37I'm going to see what the united states, the chinese next month. We're going to follow up on this to make sure they fulfill it. >> know that, my. >> farmer gentleman. >> I'm concluding. I thank you for the. >> extra time. Thank you. >> thank you, Mr. chairman and ambassador, thank you so much for being here.
▶ 2:31:53Um, in the 19th and 20th centuries, america built our industrial might on the foundation, really a protectionist trade policy, abundant energy and union knowledge and skills tariffs created really the conditions for domestic production to thrive, while unions ensured that the resulting prosperity reached the workers on the factory floor.
▶ 2:32:15Carrying on that tradition, the administration's reindustrialisation efforts for the united states through tariffs have been vital in reorienting the american economy to manufacturing. Manufacturing jobs are high quality jobs that provide a stable lifestyle and allow families and communities to flourish.
▶ 2:32:37Can you explain how a robust protectionist policy, coupled with unleashing american energy dominance and tapping into unique skills of american workers and unions, will serve to unleash a golden age of manufacturing here in the united states. >> thank you.
▶ 2:32:53So, starting really in earnest at the end of the cold war, there was a view in washington and wall street, I would say, uh, that we should open our markets, uh, we should lower our barriers to foreign goods, services, capital and labor. And that in doing that, you know, we would grow and it would all be shared and that kind of thing. Uh, we now have, you know, 35, 40 years of data and we know that was wrong. We lost 5 million factory jobs.
▶ 2:33:20We lost 70,000 factories because people wanted to, um, you know, lower all of our protections. Uh, they wanted to be dependent on countries like china, you know, they wanted us to, to just, uh, you know, go backwards in the face of unfair trade practices. They didn't want us to do anything. You know, when if we wanted to put tariffs on china, you know, president bush, you know, for for a hot minute, he had tariffs on steel from china. And then everyone said, no, no, no, we can't we can't.
▶ 2:33:47You know, we can't close out markets to china. We can't deal with chinese retaliation. Right. So we're not going to give up on this. Right. We are committed to this. So it's sometimes can be challenging. The chinese will retaliate. But we're going to deal with this. We're not just going to lay down and let the chinese have their way with the american economy. So we have to be able to reverse the script. And that's what we've been doing. We've been putting up tariffs to protect our manufacturing.
▶ 2:34:12And by the way, our ag producers, because our ag producers have had a trade deficit for the past few years under biden, that's finally being cut down. Um, and at the same time, we're opening foreign markets. That's why we are exporting more than america has ever exported in its entire history of 250 years, $300 billion, over $300 billion in each of of january and february.
▶ 2:34:34So we flipped the script instead of having our market just wildly open and facing closed markets overseas, we've done a moderate control of our own imports to protect domestic manufacturing and agriculture, you know, not having tariffs on everything. We have a lot of things that aren't that aren't covered by tariffs, but things importantly are covered by tariffs. And we've opened markets overseas. And that's what's creating the turnaround for us. >> well this has been touched on a little bit. But I just want to put a finer point on it.
▶ 2:35:02And I really believe that a nation that offshores its industrial capacity really offshores its deterrent capacity. Um, and this is true both for defense industrial base, but it's also our industrial base more broadly, if we can't pour our own steel and produce the active ingredients for pharmaceuticals or making our own chips, we are at the mercy of those who do. Uh, ambassador, can you speak a little to the national security imperative or bringing our industrial supply chain back to the united states?
▶ 2:35:32And why that is so critical? >> well, think about the pandemic in recent history. Uh, wasn't a war, but there were supply chain snarls and logistics challenges. And for a time, we couldn't get enough semiconductor chips that we use in cars. So we couldn't make cars. The same types of chips go into satellites and weapon systems and things like that. What about pharmaceuticals? During the pandemic, there were a lot of countries that locked down the export of pharmaceuticals.
▶ 2:35:59So we have we have, you know, fundamental advanced manufacturing and basic manufacturing like steel and other things that we have to have here. We have to, you know, are we going to import? Of course we're going to import. We're not it's not our target we're talking about. But we have to have resilient supply chains where we can provide for ourselves. If there's a pandemic, if there's a war, if something else happens, we have to be able to have those resilient supply chains, not just in time supply chains like we like to have, but ones that actually provide for the security of the american people.
▶ 2:36:28>> well, thank you, ambassador greer, and please continue the great work I yield back, Mr. chairman. >> thank you. >> gentleman. Yields back. That concludes today's hearing. I want to thank our witness, ambassador greer, for being here today. Thank you sir. Without objection, members may have seven days to submit additional questions for the record. Subcommittee stands adjourned.