Obama, Romney continue battle on outsourcing
The Republican party on Tuesday defended its presumptive presidential candidate Mitt Romney on outsourcing, saying President Barack Obama has done no better. Yashwant Raj reports.world Updated: Jul 12, 2012 02:10 IST
The Republican party on Tuesday defended its presumptive presidential candidate Mitt Romney on outsourcing, saying President Barack Obama has done no better.
“Obama’s failure to address outsourcing comes at the expense of hundreds of thousands of American jobs,” said the Republican Party in a blog post, citing news reports.
The report had claimed the Obama administration was being criticised for failing to stop the loss of US jobs because of its reluctance to call China out for manipulating its currency.
China undervalues its currency to keep its exports cheap, which make US products non-competitive, forcing manufacturers to either cut costs by laying off workers or shut down.
Also, stimulus funds and federal grants extended by the Obama administration, the Republican National Committee claimed, went to companies with vast operations abroad.
India with its roughly $70 billion worth outsourcing industry depends largely on US orders and it would be watching this turn in the presidential election with rising alarm.
Most of the dust kicked up by the debate on outsourcing is about the loss of US jobs in the manufacturing sector — going to China, for one. India is mostly about services.
The Obama campaign started off the outsourcing war some weeks ago, running ads saying Bain Capital, a private equity co-founded by Romney, pioneered outsourcing.
The Republican National Committee hit back Tuesday, springing up a long and complex blog shortly after the news report, quoting heavily from it.
“Obama’s failure to confront China cost the United States 450,000 jobs from 2008 to 2010,” the blog said, citing figures from news reports.
In an election speech on Tuesday, Romney described Obama as an outsourcer in chief. Will he succeed in making it stick? He sure will try his hardest.
First Published: Jul 11, 2012 23:27 IST