Senator Obama and Senator McCain have taken two very different positions when discussing the importance of international trade for the U.S. economy and U.S. workers. Senator Obama has been particularly critical of the North American Free Trade Agreement and has emphasized that agreements like this one do not benefit the average American citizen. In one of his campaign speeches he suggested that an amendment to the agreement is necessary in order to make it more favorable for American workers. Senator Obama also said that he will promote strong labor and environmental practices in future free trade agreements. Senator McCain on the other hand has shown almost unlimited support for bilateral, regional and multilateral trade agreements and has stressed their importance to broader U.S. foreign policy objectives. Trade issues relating to Europe, and in particular a transatlantic marketplace, have received less attention. However, McCain recently expressed interest in the possibility of a free trade agreement with Europe. The candidates have not taken an explicit stance on the current negotiations at the World Trade Organization (WTO) but both of them generally showed support for strong multilateral financial and development institutions such as the World Bank and the WTO.

Barack Obama (D)

During the Democratic debate at the University of Texas in Austin, Senator Obama stated: “It is absolutely critical that we engaged in trade, but it has to be viewed not just through the lens of Wall Street, but also Main Street, which means we've got strong labor standards and strong environmental standards and safety standards, so we don't have toys being shipped in the US with lead paint on them.”  With regard to NAFTA, Obama’s website states:”NAFTA and its potential were oversold to the American people. Obama will work with the leaders of Canada and Mexico to fix NAFTA so that it works for American workers.”When Senator Obama was recently asked how other countries should interpret his position, Obama responded that he supported free trade but wanted it to be fair: "What the world should interpret is my consistent position, which is I believe in trade; I just want to make sure that the rules of the road apply to everybody and they are fair.”  While campaigning in Pennsylvania Obama further outlined his position on trade in a speech to the AFL–CIO: “We'll acknowledge that we can't stop globalization in its tracks and that opening new markets to our goods can help strengthen our economy. But what I refuse to accept is that we have to sign trade deals like the South Korea Agreement that are bad for American workers. What I oppose - and what I have always opposed - are trade deals that put the interests of multinational corporations ahead of the interests of Americans workers - like NAFTA, and CAFTA, and permanent normal trade relations with China.”

John McCain (R)

On his website, Senator McCain states that he believes that “globalization is an opportunity for American workers today and in the future [and that] the U.S. should engage in multilateral, regional and bilateral efforts to reduce barriers to trade, level the global playing field and build effective enforcement of global trading rules.” Senator McCain has reiterated his support for NAFTA in St. Louis in March 2008: “I’m a free trader. I do not believe in isolationism and protectionism. We've got to stop this protectionist NAFTA-bashing.” During a speech to the World Affairs Council McCain declared, "I am an unashamed and unabashed defender of NAFTA. I am an unabashed supporter of free trade agreements. In fact, it would be interesting to have a free trade agreement between ourselves and the European Union." Later that day McCain told reporters, “they [the EU] are one of the largest economic blocs in the world, if not the largest. I think to head a free trade agreement with the EU would be a great thing to happen” In a May 20th speech given in Florida, McCain explained how “the Colombia FTA would benefit American workers and consumers – the U.S. International Trade Administration estimates that over $1 billion in tariffs have been imposed on U.S. exports to Colombia since the FTA was signed, tariffs that would be eliminated once the agreement takes effect.

Read More

Obama, McCain Differ on Korea Policy Michael Ha, Korea Times, June 4

Obama May Find it Harder to Govern as Free Trader Bob Davis, Wall Street Journal, May 19

McCain Pitches Free Trade in Struggling Youngstown, Ohio. Maeve Reston, Los Angeles Times, April 23

Obama Tells Workers to Accept Free Trade Nick Timiraos, The Washington Wire (WSJ) April 14

On Economy Obama Blends His Messages Alec Macgillis, Washington Post, April 13

McCain Calls For EU-US Free Trade Deal Deutsche Welle, March 27

Beyond the Noise on Free Trade N. Gregory Mankiw, New York Times, March 16

Hillary Clinton and Barack Obama criticize choice of EADS for $40bn work David Robertson, The Times, March 5

Obama’s dicey trade dance CNN Blog, March 3, 2008

Obama and Clinton Freely Trade NAFTA Distortions Washington Post, February 27

McCain Would Be Good for Trans-Atlantic Trade, Says Expert Stormy-Annika Mildner, Deutsche Welle, February 8

Who's the real left-winger? The Economist, May 10, 2007

Additional Resources

New York Times Election Guide 2008
Council on Foreign Relations Issue Tracker on Trade