Protectionist US risks losing economic leadership in Asia

July 8, 2008

The United States is becoming increasingly protectionist and risks losing its economic leadership position in Asia to China, an official of President George W. Bush's administration warned on Monday.

"It is ironic that in the 21st century, America is turning inward, uncertain whether economic engagement with Asia is in the national interest -- even as Asian nations rush to conclude trade and investment agreements with one another," said Commerce under secretary Christopher Padilla.

"Perhaps this seems alarmist. But look at the facts," he told a Washington forum, saying many US lawmakers "are deeply suspicious" of expanded trade with allies such as South Korea and "downright hostile" toward trade with China.