Sept. 15 Daily News editorial

The Obama administration has often talked up the advantages of free trade. President Obama is expected to deliver a strong endorsement of international to world leaders at next week’s G-20 economic summit in Pittsburgh. But that message is sure to be compromised by the president’s failure to live up to his free-trade rhetoric.

Given the choice between maintaining major trade relationships and protecting a less-than-competitive domestic industry, the administration has tended to opt for trade protectionism. Obama signed off on a “Buy American” provision in the federal stimulus package. At the behest of the powerful Teamsters Union, the White House has refused to honor a provision in the North American Free Trade Agreement that would give Mexican truckers access to U.S. roads. And most recently, Obama took aim at China, imposing punitive tariffs on Chinese tire exports.

This latest protectionist move could be the most damaging. It comes a very bad time. A still fragile U.S. economy is posed to emerge from its worst downturn since the Great Depression. Throwing up barriers to free trade is the one action most likely to derail economic recovery. And doing so against trade with China would seem both economically and strategically unwise.

China is the world’s third-largest economy and this country’s second-largest trading partner. The United States relies on Chinese investments to counter the huge deficits resulting from our attempt restart the national economy. Strategically, the United States relies on Beijing to help settle our disputes with North Korea and, to a lesser extent, Iran.

The Obama administration chose last Friday to impose the tariffs at the behest of the United Steelworkers of America, which represents many in the tire industry. The union argued unfair trade practices, noting China’s growing share of this country’s low-end tire market. The number of low-cost Chinese tires sold in the United States has tripled since 2004, and the steelworkers union points out that some 5,000 jobs have been lost during that period.

These figures are not disputed, but unfair trade practices have nothing to do with the market trend that produced them. A flagging economy is mostly to blame — for both the job losses and increased consumer preference for lower-priced tires.

In any case, risking a trade war with China is not a smart move. A tit-for-tat trade dispute threatens a great many more American jobs than the tire manufacturing industry has lost over the past five years. Even should China refrain from quick retaliatory action, American consumers will pay for this protectionism in the form of higher-priced tires. It’s those Americans in greatest financial need of bargain who will be hurt most.

The Obama administration was looking out for its political interest when it imposed these punitive tariffs. It should have been looking out for the national interests.