The manufacturing sector lost 29,000 jobs in March.
Things are not going well for America’s factory workers.
Labor Department data released on Friday shows 29,000 manufacturing jobs were lost in March. About 23,000 jobs were also lost in February, and the news just keeps getting worse:
Significant downward revision to manufacturing output over past 18 months. Basically it went down last year not up https://t.co/ra6fHTYm7D
— Capital Economics (@CapEconUS) April 1, 2016
This troubling trend explains why many voters — especially in states dependent on manufacturing — are so fired up about issues like trade. Unfortunately, it is likely we will see job losses continue in the upcoming months, in part because China’s massive industrial capacity continues unabated.
Despite promises from China officials that the country will cut its steel production, for example, one of China’s largest steel companies announced this week that will increase output by 20 percent over the next year.
Already, 12,000 U.S. steelworkers have faced layoffs because of China’s steel overcapacity. It’s not just the United States — across the pond in the United Kingdom, tens of thousands of workers could soon be out of a job permanently. On Friday, Mexico’s Economy Minister called on the United States, Mexico and Europe to come together to stop China’s steel exports.
“It makes full sense that we get together — and we’re going to get together in Brussels — to try to give a common response to the Chinese: Either you reduce your production, stop dumping on us… or we are really going to react violently, trade-ly speaking,” said minister Ildefonso Guajardo. “I’m saying with tariffs and anti-dumping measures.”
Steel imports aren’t the only issue impacting American manufacturing workers, of course. China’s currency manipulation and our growing trade deficit also continue to plague the sector. “That’s not right. American manufacturers can outcompete anyone in the world, but they need a level playing field,” said AAM President Scott Paul.
All of this, of course, has been reflected in the 2016 campaign, both at the presidential level and in down-ticket races. Voters are facing major economic problems like widening inequality and a hollowed-out middle class, in part because of manufacturing’s decline.
That’s why trade, jobs and manufacturing were such big issues in the Michigan and Ohio presidential primary races. They are likely to impact upcoming races in Wisconsin and Pennsylvania as well — which is why all of the candidates are touting their manufacturing credentials.
“We’ll never experience a true manufacturing job resurgence in the United States unless we get a lot tougher with China and policy enforcement,” Paul added. “That’s something many Michigan and Ohio voters in both parties got behind, and it is sure to be a principle Wisconsinites will stand up for at the polls next week.”