Studving? RESEARCH TOOLS Economist.comsuRveYs Raising the barricades Sep 18th 2003 From The Economist print edition If the global economy falters, free trade will suffer I'M MAD as hell " roared the man on stage. "Mad as hell about what is happening to the manufacturing sector in America. This is a trade war with China, shouted his colleague and it's time to fight that war head on. The audience cheered in approval. Patriotic songs played in the background, interspersed with extracts from George Bush's address to the nation after September 11th. Banners waved Leave China in the sink, said one. Free trade is a myth said another This was August 1st dubbed Manufacturing Awareness day in Connecticut by a new anti-China trade group called"Mad in USA". In recent months, several such grassroots groups have sprung up across America's manufacturing heartland they represent mainly smaller businesses (big firms are buying from China, or moving their manufacturing there), and promote a mixture of protectionism and patriotism On the website of Save American Manufacturing",a wisconsin based group, a cartoon Uncle Sam urges you to join the fight to stop the de-industrialisation of he United states As yet these groups are small, but China-bashing is a growing phenomenon. With 2.7m manufacturing jobs -one in six -lost during the past three years people are looking for a scapegoat. Japan served in that capacity when its trade surplus with America was soaring in the 1980s: now it is china 's turn Over the summer, complaints about China have become a big political issue in Washington, DC Congressional committees have held hearings about unfair competition from China and particularly its cheap currency. Mr Bush's rivals sense a winning issue. Joseph Lieberman, a Democrat contender and supposed free-trader, has accused China of economic attack".Mr Bush's economic team is worried that the china issue will escalate as the election nears particularly if the jobs outlook remains glum They are right to be concerned. The political backlash in America is likely to gain momentum as Chinas role in the global economy becomes ever more prominent(see chart 13). This is not a temporary blip that relies on a cheap currency. It is a structural shift based on economic reform, huge reserves of cheap labour and a rapidly improving infrastructure China's integration promises vast benefits for the globa economy but it comes at an awkward time. During the 1990s, protests against globalisation though vocal, were relatively ineffective. Political pressure for protection inRaising the barricades Sep 18th 2003 From The Economist print edition If the global economy falters, free trade will suffer “I'M MAD as hell,” roared the man on stage. “Mad as hell about what is happening to the manufacturing sector in America.”“This is a trade war with China,” shouted his colleague, “and it's time to fight that war head on.” The audience cheered in approval. Patriotic songs played in the background, interspersed with extracts from George Bush's address to the nation after September 11th. Banners waved. “Leave China in the sink,” said one. “Free trade is a myth,” said another. This was August 1st, dubbed Manufacturing Awareness Day in Connecticut by a new anti-China trade group called “Mad in USA”. In recent months, several such grassroots groups have sprung up across America's manufacturing heartland. They represent mainly smaller businesses (big firms are buying from China, or moving their manufacturing there), and promote a mixture of protectionism and patriotism. On the website of “Save American Manufacturing”, a Wisconsin￾based group, a cartoon Uncle Sam urges you to “join the fight to stop the de-industrialisation of the United States”. As yet these groups are small, but China-bashing is a growing phenomenon. With 2.7m manufacturing jobs—one in six—lost during the past three years, people are looking for a scapegoat. Japan served in that capacity when its trade surplus with America was soaring in the 1980s; now it is China's turn. Over the summer, complaints about China have become a big political issue in Washington, DC. Congressional committees have held hearings about unfair competition from China, and particularly its cheap currency. Mr Bush's rivals sense a winning issue. Joseph Lieberman, a Democrat contender and supposed free-trader, has accused China of “economic attack”. Mr Bush's economic team is worried that the China issue will escalate as the election nears, particularly if the jobs outlook remains glum. They are right to be concerned. The political backlash in America is likely to gain momentum as China's role in the global economy becomes ever more prominent (see chart 13). This is not a temporary blip that relies on a cheap currency. It is a structural shift based on economic reform, huge reserves of cheap labour and a rapidly improving infrastructure. China's integration promises vast benefits for the global economy, but it comes at an awkward time. During the 1990s, protests against globalisation, though vocal, were relatively ineffective. Political pressure for protection in