At stake are the president's efforts to fuel an economic recovery in the US by funneling stimulus funds to communities, including $US6 billion for municipal water projects. Lawmakers mandated that the money be spent on US products, with exceptions to meet international trade obligations.
GE says it assembles high-tech filtration systems for North American markets at its plants in Toronto and Oakville, Ontario, with parts from Hungary and elsewhere.
http://business.smh.com.au/business/buy-american-backfires-20090807-ecik.html
We improve our welfare when we trade.
The funniest punchline to this story would be the discovery of a supplier that produces the required filters in the US, but is wholly owned by a foreign investor.
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