Gov. Mark Sanford and Commerce Secretary Bob Faith offered no
immediate remedy Thursday for the thousands of workers who have been
laid off this year as a result of plant closings.
Sanford said the layoffs, 1,100 of which were announced this
week, “mirror what is happening elsewhere in the textile belt.” The
governor and Faith spoke with reporters by telephone from China
where they are on an Asian trade mission.
The best way to help South Carolina’s economy grow, Sanford said,
is a three-pronged strategy that includes income tax reform,
attracting capital and investment and leveraging the state’s
research universities in emerging technologies.
Faith said the state will continue to aggressively market for
expanding business and new investment.
The Commerce secretary said he expects a couple of announcements
from the Asian trip. The party moves to Japan next week.
“I’m bringing in my big gun, the governor, to try to close some
deals,” Faith said about the meetings planned in that country.
“I wouldn’t be surprised if the governor and I came home with a
couple of pelts to put on the wall,” he said.
An expected $70 million deal between the Chinese Ministry or
Railroads and two Midlands companies apparently will not be
announced before the governor’s party leaves China.
Harsco Track Technologies and ImageMap have an initialed contract
with the Chinese for railroad track infrastructure equipment.
Officials had hoped the contract would be formally signed in
meetings with the governor.
Faith said the delegation had a good meeting with the Chinese
Minister of Railroads and that he was pleased with the direction of
talks, but the contract has not been signed yet.
Faith said he wouldn’t be surprised if it is signed next week
when U.S. Secretary of Commerce Don Evans visits China.
“If the governor is my big gun, then Secretary Evans is my really
big gun,” he said.
Sanford and Faith announced a preliminary agreement on a $14
million contract between three Chinese companies and Palmetto
Partners International to export soybeans to China.
The contract is significant because of the size of the Chinese
export market for soybeans. China normally exports through large
companies like Archer Daniels Midlands. U.S. sales of soybeans to
China have approached $1 billion in recent years.
The contract with Palmetto Partners would be one of the first
with a small- to medium-sized company, Faith said.
Faith said he met with several Chinese companies concerning
investment in South Carolina and has several interesting
prospects.
He also met with executives of Haier Group, the Chinese appliance
manufacturer, to urge expansion of the company’s refrigerator plant
near Camden.
Faith and Commerce employees have been in China since Oct. 16
meeting with business and government officials.
Sanford joined the group Monday in Beijing. The meetings have
focused more on Chinese trade practices that are viewed as harmful
to the U.S. economy, especially to the textile industry.
Sanford and Faith — accompanied by U.S. ambassador to China ,
Clark T. Randt — met Thursday with the Chinese vice premier to
discuss trade.
Sanford described his meetings with Chinese officials as
respectful but forceful.
“We have a boiling pot and if the pressure is not let out, it
will explode,” Sanford said. That explosion would most likely take
the form of trade sanctions against China, he said.
Chinese officials say they are adhering to the letter of World
Trade Organization agreements.
Sanford said he wants the Chinese to realize the issue is about
politics, not the WTO.
The governor said China needs to realize America’s loss of
manufacturing jobs because of Chinese trade policies is that
country’s problem,
too.