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Chinese tire producers hire U.S. government's top trade officials in '421' dumping case.

Manufacturing & Technology News

| June 16, 2009 | COPYRIGHT 2009 Publishers & Producers. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

It didn't take long for a handful of the Bush administration's top trade officials to start representing foreign business interests. Eight members of the House of Representatives have asked the Government Accountability Office to investigate five recently departed senior trade officials at the Department of Commerce who are representing Chinese tire companies in the "Section 421" case that was recently brought before the International Trade Commission.

According to congressional lobbyist disclosure forms, former senior officials at the Commerce Department's Import Administration have been hired by the "American Coalition for Free Trade in Tires" to lobby U.S. government trade agencies and Congress on behalf of American Omni Trading Company, Del-Nat Tire Corp., and Dunlap & Kyle Co. These companies were named in the "421" case (TA-421-7) brought against them at the ITC by the United Steel, Paper, Forestry, Rubber, Manufacturing, Energy, Allied Industrial and Service Workers International Union.

The members of Congress are irate. "We need to slam the revolving door so that government employees do not walk out of their office and into lobbying positions where they may work against the best interest of American workers and industries," said Rep. Louise Slaughter (D-N.Y.). Added Rep. Betty Sutton (D-Ohio): "We need to broadly examine the activities of these people and determine what steps may be appropriate to restrict their actions in the future."

In their letter to acting U.S. Comptroller General Gene Dodaro, the members of Congress note that American taxpayers invest in these officials' training and that they are trusted to uphold the public's interest. "American taxpayers should not find their hard earned money used in ways that ultimately jeopardize the interest of those producers who are struggling to survive in an increasingly competitive world market," write the representatives. "These individuals should be helping to promote growth and opportunity not undermine it."

Among those who are working on the Chinese industry's behalf on the Section 421 case are James Jochum, the most recent Assistant Secretary of Commerce for Import Administration and former Assistant Secretary for Export Administration. Jochum is now a member of the law firm of Black Swan LLC--Jochum Shore & Trossevin PC. On the firm's Web site, Jochum states that he "advises clients on all aspects of international trade law and regulations including antidumping and countervailing duty matters, U.S. export controls and national security controls (CFIUS). Mr. Jochum also lobbies before the U.S. Congress and Administration, primarily on international issues." While at Commerce, Jochum was in charge of implementing U.S. trade remedy laws, including antidumping and countervailing duty laws. Prior to joining the Commerce Department, Jochum worked as the international trade council for Sen. Chuck Grassley (R-Iowa) and played a "key role in all trade legislation that appeared before the Congress from 1994 to 1999," he says on his firm's Web site. He also served as the lead international trade counsel on the Senate Banking Committee under the chairmanship of Sen. Phil Gramm (R-Texas).

Another member of the team representing the Chinese tire interests is Andrew Shore, formerly chief of staff of the House Republican Conference; Policy and Coalitions director of the House Republican Conference; legislative director for Rep. Phil. Crane (R-Ill.); and senior legislative director for Rep. Bill Archer (R-Texas).

Marguerite Trossevin, recently the Deputy Chief Counsel at the Commerce Department's Import Administration, has also been hired ...

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