We covered this story a few weeks ago. New Balance, the shoe company, thought that it had a deal with the White House. If the company kept quiet about its opposition to the Trans Pacific Partnership it in turn would get the de facto exclusive right to outfit the military with “made in America” running shoes. (New Balance makes 3 of its shoes in the USA.) But in the end the company was double crossed by the administration.
As we said before, New Balance management basically got what it deserved.
(From The Daily Signal)
The legislative campaign behind this mandate highlights what the debate over free trade vs. protectionism is all about.
The company’s executives thought they had been offered a sweetheart dealfrom the Obama administration related to the Trans-Pacific Partnership agreement. New Balance said the administration promised to mandate the use of U.S.-made shoes for new recruits, as long as the company agreed not to oppose partnership.
According to a New Balance spokesman, “The hook to that was that we weren’t—we were told that we weren’t to speak about this publicly in any way, shape or form. And we weren’t to criticize the TPP or the administration in any way, shape or form. We took the deal.”
But things didn’t go as planned.