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Is America still a serious nation?

Consider. While U.S. elites were denouncing Donald Trump as unfit to serve for having compared Miss Universe 1996 to “Miss Piggy” of “The Muppets,” the World Trade Organization was validating the principal plank of his platform.

America’s allies are cheating and robbing her blind on trade.

According to the WTO, Britain, France, Spain, Germany and the EU pumped $22 billion in illegal subsidies into Airbus to swindle Boeing out of the sale of 375 commercial jets.

Subsidies to the A320 caused lost sales of 271 Boeing 737s, writes journalist Alan Boyle. Subsidies for planes in the twin-aisle market cost the sale of 50 Boeing 767s, 777s and 787s. And subsidies to the A380 cost Boeing the sale of 54 747s. These represent crippling losses for Boeing, a crown jewel of U.S. manufacturing and a critical component of our national defense.

Earlier, writes Boyle, the WTO ruled that, “without the subsidies, Airbus would not have existed … and there would be no Airbus aircraft on the market.”

In “The Great Betrayal” in 1998, I noted that in its first 25 years the socialist cartel called Airbus Industrie “sold 770 planes to 102 airlines but did not make a penny of profit.”

Richard Evans of British Aerospace explained: “Airbus is going to attack the Americans, including Boeing, until they bleed and scream.” And another executive said, “If Airbus has to give away planes, we will do it.”

When Europe’s taxpayers objected to the $26 billion in subsidies Airbus had gotten by 1990, German aerospace coordinator Erich Riedl was dismissive, “We don’t care about criticism from small-minded pencil-pushers.”

This is the voice of economic nationalism. Where is ours?

After this latest WTO ruling validating Boeing’s claims against Airbus, the Financial Times is babbling of the need for “free and fair” trade, warning against a trade war.

But is “trade war” not a fair description of what our NATO allies have been doing to us by subsidizing the cartel that helped bring down Lockheed and McDonnell-Douglas and now seeks to bring down Boeing?

Our companies built the planes that saved Europe in World War II and sheltered her in the Cold War. And Europe has been trying to kill those American companies.

Yet even as Europeans collude and cheat to capture America’s markets in passenger jets, Boeing itself, wrote Eamonn Fingleton in 2014, has been “consciously cooperating in its own demise.”

By Boeing’s own figures, writes Fingleton, in the building of its 787 Dreamliner, the world’s most advanced commercial jet, the “Japanese account for a stunning 35 percent of the 787’s overall manufacture, and that may be an underestimate.”

“Much of the rest of the plane is also made abroad … in Italy, Germany, South Korea, France, and the United Kingdom.”

The Dreamliner “flies on Mitsubishi wings. These are no ordinary wings: they constitute the first extensive use of carbon fiber in the wings of a full-size passenger plane. In the view of many experts, by outsourcing the wings Boeing has crossed a red line.”

Mitsubishi, recall, built the Zero, the premier fighter plane in the Pacific in the early years of World War II.

In a related matter, the U.S. merchandise trade deficit in July and August approached $60 billion each month, heading for a trade deficit in goods in 2016 of another $700 billion.


For an advanced economy like the United States, such deficits are milestones of national decline. We have been running them now for 40 years. But in the era of U.S. economic supremacy from 1870 to 1970, we always ran an annual trade surplus, selling far more abroad than Americans bought from abroad.

In the U.S. trade picture, even in the darkest of times, the brightest of categories has been commercial aircraft.

But to watch how we allow NATO allies we defend and protect getting away with decades of colluding and cheating, and then to watch Boeing transfer technology and outsource critical manufacturing to rivals like Japan, one must conclude that not only is the industrial decline of the United States inevitable, but America’s elites do not care.

As for our corporate chieftains, they seem accepting of what is coming when they are gone, so long as the salary increases, stock prices and options, severance packages, and profits remain high.

By increasingly relying upon foreign nations for our national needs, and by outsourcing production, we are outsourcing America’s future.

After Munich in 1938, Neville Chamberlain and Lord Halifax visited Italy to wean Mussolini away from Hitler. The Italian dictator observed his guests closely and remarked to his foreign minister:

“These men are not made of the same stuff as the Francis Drakes and the other magnificent adventurers who created the empire. These, after all, are the tired sons of a long line of rich men, and they will lose their empire.”

If the present regime is not replaced, something like that will be said of this generation of Americans.

Patrick J. Buchanan is the author of the new book “The Greatest Comeback: How Richard Nixon Rose From Defeat to Create the New Majority.”

Copyright 2016

• Category: Economics, Ideology • Tags: Donald Trump, Free Trade 
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  1. Anonymous • Disclaimer says:

    Is America still a serious nation?

    Answer: America’s been a democracy for a couple of generations already…

    • Replies: @Anonymous
  2. Anonymous • Disclaimer says:

    As for Airbus, the EU, its people at least, is no less a damaged party than the USA and Boeing.

  3. America’s allies are cheating and robbing her blind on trade.

    While that’s no doubt true, it’s also excellent to have pointed out other key considerations such as these:

    1. They get a little help by cheating the European masses. “When Europe’s taxpayers objected to the $26 billion in subsidies Airbus had gotten by 1990…”

    2. Boeing itself…has been “consciously cooperating in its own demise.”

    3. As for our corporate chieftains, they seem accepting of what is coming when they are gone, so long as the salary increases, stock prices and options, severance packages, and profits remain high.

    The job of the ultra-rich, it seems, is to screw the rest of us prols and peasants while blaming it on others of us prols and peasants.

    This appears to have been going on for some time. For instance, there is little doubt in my mind that one of the key drivers of the fight against the Japanese in WW2 was the prospect of obtaining a slave colony for the obvious benefits. In that regard I think it is worthy of note to recall that Toyota was bailed out by the US government via contracts to make trucks for the US for use in the US war on the Korean peasants and went from making about one vehicle a day to becoming one of the largest vehicle manufacturers in the world.

    I think there may be a lesson there, somewhere.

  4. “Our companies built the planes that saved Europe in World War II…” — Buchanan

    “Much Red Pill Wisdom you have. Much Red Pill Wisdom yet to gain you must!” — Yoda

  5. Marcus says:

    No, it hasn’t been serious for some time, and is more of a euphemism than a country at this point.

  6. Rurik says:

    we have to accept that it’s over

    it was great while it lasted, but corruption has rotted the American soul

    and those twin pillars of a strong nationalistic love of one’s country and affinity for one’s fellow citizens, diversity and multiculturalism – has decayed and putrefied all sense of national fellowship. Today only a chump would sacrifice his children’s lives on the alter of Goldman Sachs’ profits and third world immigrant’s EBT cards.

    we all need to realize it’s over and move on. We need to do a collective Atlas Shrugged. Withdraw your consent and stop being a willing party to your own enslavement.

    Today the US government is your most intractable and determined enemy. It will not rest until you’ve been looted, humiliated, degraded and dishonored. Your progeny will be hounded and vilified from every organ and apparatchik of its feculent reach. They’ve won, and we are at the beginning stages of what Russia went though in 1917, when the white Russians were hunted down like dogs by the Bolshevik armies of orcs unleashed.

    cling to your guns as if your very lived depended on them (they will ; ). And move out of the cities. Better yet, move out of the country all together, if you have children.

    Trump is not going to be able to turn this whole thing around, even if he somehow wins. If anything, he’ll just prolong the agony. But at least that will give you time.

    They hate you, oh boy do they hate you. They hate everything about you. They hate your values, your principles, and they hate you down to your DNA. There’s no hate on this earth like the hate born of envy, and there’s no punishment awful enough for you to suffer to make up for the way you make them feel about themselves.

    They’ve won. It’s over. Pack your bags, because things are going to get a whole hell of a lot worse, before they ever get better, and that won’t be in our lifetimes. Your elites have and will sell you and your children down the river. What’s left of the US will all have to come crashing down to the ground, and as the orcs turn every last inch of this place into a war zone with the Zio-terror drones flying the skies, you’ll be grateful to me for these prescient words of warning.

    • Replies: @Sam Shama
  7. OutWest says:

    Right symptoms; wrong analysis. About 1930 the U.S. went into a deep economic depression that FSDR maintained until WW2. The war for the most part used the old factories with purpose built production such as the Dodge City B-29 engine plant in Chicago, Kaiser shipyards and other ad hoc facilities. After the war most of the war production facilities were shut down. The 50-60 year old factories were workable if lethal with no competition from the otherwise leveled world. The U.S. worked to make the Japanese production efficient and quality oriented to counter the communist threat there. Germany industriously rebuilt better, more quality oriented facilities. We sat on our hands and enjoyed the short-lived, big-pie prosperity. First Europe and Japan, and then China sacrificed and built to surpass and eclipse us.

    The enemy is us -management, government and labor. Pat is lamenting the symptoms and accurately accessing blame, but only in part. The government is supporting the only remaining workable sector of our crippled economy.

  8. Trump Right on Trade Predators

    Yes, he is.

    And he has been from the beginning of his campaign. In fact, for decades before that even.

    But now everyone is out to destroy him. Coordinated attacks from the mainstream media working with his opponent’s campaign.

    …one must conclude that not only is the industrial decline of the United States inevitable, but America’s elites do not care.

    • Replies: @NoseytheDuke
  9. This is the voice of economic nationalism. Where is ours?

    Three letters: DOD

    Even before Boeing’s acquisition of Rockwell, McDonnell, and Hughes, Boeing’s bottom line was significantly bolstered with fat DOD contracts. The EU’s rationale for creating Airbus (as a subsidized enterprise) was that US government support of Boeing would prevent any non-subsidized competitor from emerging.

  10. and what of american subsidies to big biz…… exxon gets taxpayer largesse in the form of subsidies. g.e. escapes taxation, receives over 3 billion in rebates – at least in one single year.
    boeing is subsidized with money laundered through israel. so is lockheed martin.
    boeing outsources to save money and/or have a better product. the company cares not a whit for america or american jobs.

  11. nickels says:

    Trade is certainly one of the problems.

    But without going after predatory finance as well (which he shows no indication of doing) I am not sure how much he will be able to accomplish.

  12. mtn cur says:

    The dwellers of the western republics have piled the landfills and mini warehouses with so much china trash, it would be more than sufficient to maintain well above water level, those pacific islands reportedly to be submerged due to melting glaciers and polar ice caps. This mess accounts for much of the indebtedness which continually transfers title of real property to the “military banking complex,” while reciprocally financing a 21st century chinese military, complete with state of the art electronics manufacturing, which may or may not enable their land army to effectively control the world island, but in such event, their lack of a blue water navy may prove our multi carrier toy chest to be irrelevant. The same hapless brats who are expected to pay down this debt for “goods” they do not own, are the same worthies who are earmarked to fight and defeat this military of the very government to which they have been sold into bondage by their parents. Certainly, the hat swapping globalist leadership is guilty of treason, yet what of morons who can quote megabytes of stats on sports, and other “entertainment” and yet are too full of self deceit to bother reading a label on the merchandise that says “not american made.” “As a dog returneth to it its vomit, so a fool returns to his folly.” Once again, we have damaged our own military, while rebuilding that of those who not our friends.

  13. Our companies built the planes that saved Europe in World War II and sheltered her in the Cold War. And Europe has been trying to kill those American companies.

    In WWII American (and British) planes bombed Germany to rubble.
    In WWII American and British planes destroyed more of French infrastructure than Germans did.
    For almost a decade as Germans still starved and were the subject of psychological warfare, USA prospered by supplying the goods to rebuild Germany.

    WWII destroyed the British empire and economy, to the benefit of USA.

    THEN the geniuses in US Treasury Dept took it upon themselves to wage economic war against Iran by stiff-arming major corporations and banks around the world, a move that harmed those businesses almost as much as they harmed Iran.

    You don’t think that annoyed the Europeans? You didn’t expect payback?

  14. Pat,

    I’m usually one of your biggest fans. However, you fail to state Airbus’s argument in the Boeing-Airbus dispute.

    Airbus has never denied that it European governments subsidize it. Airbus also claims that the US gooberment subsidizes Boeing by way of military aerospace contracts. I think Airbus has a point there.

    My point of view is that neither BA nor AB are really private, free free free enterprise entities. I don’t know how anyone could separate big aerospace from big government.

  15. Anonymous • Disclaimer says:

    Boeing itself has insisted it would have no overseas customers if not for the welfare program of USA taxpayers giving Boeings overseas customers the wherewithal to buy Boeing products:

    But Boeing officials say the Ex-Im Bank is crucial in allowing the company to compete against export credit agencies in France and Germany, which are only too happy to offer guarantees for the purchase of jets from Airbus, Boeing’s sole competitor in the wide-body market.

    So Buchanan is calling the kettle black, and at the same time Boeing is taking $69 million from taxpayers to pay for lobbying for boeing to take money from taxpayers for a business that would not exist without taxpayer subsidies.

    Cut every dime of welfare, but cut not one dime of personal welfare until every dime of corporate welfare is cut.

    Boeing would go out of business, because it is managed by welfare queens, the people you see at teh check-out counter holding things up as they set aside things they are not allowed or are over budget, and s like Boeing, sometimes shoplifting. All Boeing executives are the basest of welfare queens.

  16. @Buzz Mohawk

    I couldn’t believe my ears during the “debate” when I heard him calling for more trickle-down economics. I do hope I’m wrong but Trump will disappoint his followers much as President Hope and Change let down his. Hillary is worse but neither are good.

  17. Sam Shama says:

    [Trump is not going to be able to turn this whole thing around, even if he somehow wins. If anything, he’ll just prolong the agony.]

    Hey Rurik,

    It descended on me like a heavy blanket of gloom, that Trump, while he draws energy from crowds to which he promises what they cherish, hope for a future bound in some tradition and an escape from a prolonged economic trap, will do no such thing. It was at the New York Economics Club where he was speaking to a large group of assorted bankers, hedge fund managers and captains of the industry [I was there as a member] , it became clear to me that his great ego leaves little or no space for the common man. He is out to build his own empire.

    I am abstaining from the vote. If I change my mind I might consider Johnson, even though he is not in full possession of his faculties.

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