"A continuation of MFN status now would send a message of accommodation to ongoing violations of international trading norms and human rights," said John J. Sweeney, president of the AFL-CIO, in a statement in May.
A revocation of MFN status would mean a dramatic increase in tariffs on U.S. imports from China--the average trade weighted MFN duty applied to U.S. imports from China is 6 percent, without the MFN, trade weighted tariff rate would be 44 percent.
However, according to the Bureau of Public Affairs, MFN status is really a misnomer. It is not a privileged status, but a name for ordinary tariff treatment given to many nations.
The State Department and a majority of the members of Congress say denying China the status would be a mistake.
"Denying MFN would hurt the United States--our jobs, exports, and investments in China...and [with certain retaliation], many of the approximately 175,000 high-paying export jobs related to US trade would disappear," Bereuter said in a speech a few days after the extension of MFN to China this year.
But Woodhead insists that corporate interests in the U.S. are concerned with money instead of human rights.
"We have many multinationals that want to do business with China, and inasmuch as I hate to quote Pat Buchanan, I think he was right when he said 'When it comes to MFN, Republicans love money more than they hate tyranny.' They'd do business with everyone, but at some point you've got to say no," Woodhead says.