Protectionist decisions by Obama ahead of G20 summit

At the last G20 meeting in London on 2 April world leaders promised to reject protectionism but since then many nations have taken steps to protect their own businesses against foreign competition. In the runup to the next G20 summit in Pittsburgh on 24-25 September President Obama last week decided on new measures to curb imports from China. Punitive tariffs will be put on Chinese tires and steel pipes in an effort to help US manufacturers. The Wall Street Journal thinks this will open for demands from other industries to get protection, too.

China objects naturally, and they are right that the US are breaking promises made not to combat the economic crises with protectionism. One can only hope that other countries don't follow the lead of the US in this case. The world economy needs more trade, not a trade war.

Everybody against Honduras

In June Honduras president Manuel Zelaya was deposed from the presidency on the order of the country's Supreme Court. Zelaya had violated the constitution by seeking a referendum to change the one-term limit on the presidency. The outside world, led by Venezuela, has called what happened a "coup" and demanded that Zelaya be reinstated as president. But they are all wrong since it wasn't a coup. The laws of Honduras were followed and now there will be new presidential elections in November.

What happened in Honduras is described in this July BBC report. Like everybody else the US abandoned Honduras in what seems a move to please the left-leaning Latin American continent. Wall Street Journal's reporter on Latin American affairs likens the US treatment of Honduras to old time US imperialism in Latin America, although this time to support a left-wing movement. Read Mary Anastasia O'Grady's latest column here.

Yesterday Secretary of State Hillary Clinton met with Manuel Zelaya. The US is now increasing its pressure on the Honduran government by holding back financial support. See BBC article here and Department of State press release here.

The US, the EU and everybody else should stop interfering in Honduras democracy. Not even Zelaya's own party wants him back so why should other countries want it?