President Obama defended his free trade policy in the face of European skepticism on Tuesday, by arguing against the “protectionist” movements in the U.S. and abroad while supporting “strong safety nets” for workers whose jobs move overseas.
“In our global economy where so much of our prosperity depends on trade between our countries, it’s simply not possible to withdraw and pull up the drawbridge,” Obama said in an interview with the Italian newspaper La Repubblica ahead of Italian Prime Minister Matteo Renzi’s visit to Washington Tuesday.
Obama acknowledged the “very real challenges we face” when the forces of globalization displace workers, but said nations shouldn’t lose sight of the benefits of integration.
“At moments like this … it’s important to remember how much our countries and our daily lives benefit from the forces of integration,” he said. “Our integrated economy, including trade, has helped make life better for billions of people around the world. Extreme poverty has been dramatically reduced … people are living longer and have more opportunity than ever before.”
The solution to the problem of jobs moving overseas for cheaper labor and less tax burdens, Obama said, is for countries to maintain economic policies that are “inclusive and truly invest in our people with education, skills and training that helps boost wages and reduces inequality.”
He also extolled the virtues of trade polices that protect workers and the environment.
On the pending trade deal with Europe known as the Transatlantic Trade and Investment Partnership, or TTIP, Obama noted that trade between the United States and Europe support roughly 13 million jobs. He also argued that a “host of different regulations, rules and standards stand in the way of even greater investment and job creation.”
“By eliminating tariffs and bridging differences in regulations, we’ll make it easier to trade, especially for our small and medium-sized businesses,” he said. “TTIP will not lower standards … it will raise standards to protect the environment, better protect consumers and ensure a free and open Internet, which is essential for our digital economies.”
“For all these reasons, the United States remains committed to concluding negotiations on TTIP, and that will take political resolve in all our countries,” he said.
