Britain's business secretary urges Obama to back free trade, not protectionism

LONDON - Britain's business secretary Peter Mandelson urged U.S. President-elect Barack Obama on Thursday to embrace free trade and resist protectionism.

Mandelson told a House of Lords committee he believes some of Obama's fellow Democrats want Obama to restrict imports in an effort to protect American jobs during the economic downturn.

"Mr. Obama has a pro-market approach, including government action to support markets and distribute their fruits more fairly — that is something he has strongly in common with the British government," Mandelson told a hearing of the Lords' European Union committee.

"But inevitably he and others within the Democratic Party are concerned about the impact of globalization on American workers and industry. This could lead to Democrats becoming more skeptical about the virtues of free trade and market openness," Mandelson said.

Prime Minister Gordon Brown has said he expects to cooperate closely with Obama solving economic. Brown said Wednesday he looks forward to cooperating with Obama's administration "as we both help people fairly through the downturn."

Mandelson was EU trade commissioner from 2004 until last month, when Brown recalled him to London to serve in his Cabinet.

Mandelson, who sits in the House of Lords, urged President George W. Bush to use his final months in office to finish the long stalled Doha round of global trade talks.