American manufacturers and automakers are an economic success story. Jobs are returning home and U.S. auto production next year will reach its highest level since 2007. The American automotive industry is delivering high-quality products that the world wants. In fact, the sector is the largest U.S. goods exporter, selling vehicles and parts all around the globe. As the auto industry strengthens and contributes to the economic recovery, our government leaders should be focused on creating an environment where we can compete fairly in every market by insisting that our trading partners allow their currencies to be established by markets — not government intervention.
Not all of our friends are playing by the same rules we do. Japan, despite being a strong ally for more than half a century, has been breaking those rules to provide its auto industry with an unfair advantage.
With the resurgent Liberal Democratic Party in Japan back in power, the country continues to engage in currency policies that hurt its neighbors and allies. By artificially weakening the yen, Japan provides a huge unfair advantage to its own exports to the United States while impairing U.S. exports to Japan. The result of this imbalance is an increase in the chronic, multibillion-dollar U.S. trade deficit with Japan. That translates into lost jobs for American workers.