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By Roger Runningen and Hans Nichols
Jan. 30 (Bloomberg) -- President Barack Obama’s administration will examine a “buy American” requirement in economic stimulus legislation that has raised concern among U.S. trading partners, White House press secretary Robert Gibbs said.
The administration “will review that particular provision,” Gibbs said today at his regular briefing. The president’s advisers understand “all of the concerns that have been heard, not only in this room, but in newspapers and up north and down south.”
The issue may cloud Obama’s trip to Canada on Feb. 19, his first journey outside U.S. borders as president. Canadian officials are criticizing a provision of legislation that passed the U.S. House of Representatives that requires the use of U.S.- made iron and steel in infrastructure projects.
“U.S. protectionism is about to make Canada’s recession a lot worse,” Ralph Goodale, house leader for the opposition Liberal Party, said today in Parliament.
Prime Minister Stephen Harper said yesterday that he will complain to U.S. officials over the “buy American” measure. “This is obviously a serious matter,” he said.
The provision also is opposed by U.S. companies with significant sales overseas such as General Electric Co. and Caterpillar Inc., which warn it may spark other countries to retaliate by restricting U.S. products.
The Senate is working on its own version of the stimulus legislation.
To contact the reporters on this story: Roger Runningen in Washington at rrunningen@bloomberg.netHans Nichols in Washington at Hnichols2@bloomberg.net Last Updated: January 30, 2009 14:55 EST
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