United Steelworkers (USW) International President Leo W. Gerard released the following statement in response to the U.S. Department of Justice’s announcement that an additional nine Japan-based auto parts producers, along with two executives, pled guilty and agreed to fines of almost three-quarters of a billion dollars for their illegal activities to fix prices on auto parts.
“This announcement is a success in an investigation that has identified broad price-fixing by Japanese auto parts companies that has affected more than 25 million car buyers in the U.S.,” he said. “The Justice Department’s investigation has now netted agreements to plead guilty from 20 companies and more than $1.6 billion in criminal penalties. In addition, 21 executives have been charged with 17 already sentenced to prison. But the investigation highlights the broader problem of doing business with Japan, especially its auto and auto parts sector. For decades, they have engaged in exclusionary and illegal trade practices that have kept our exports out of their market and flooded our market with their products. Our largest trade deficit in autos and auto parts is with Japan, a number that grows higher year by year. Japan cheats, it’s that simple. We do not want the trade negotiations to grease the way for Japan’s auto and auto parts companies to capture more of our market and jeopardize more U.S. jobs.”
