- The border tax would effectively levy a tax on products coming into the US and give tax breaks to companies sending products abroad. Proponents say it would protect US jobs, while opponents say it would raise prices of everyday goods for many Americans. See a primer at CNN.
- As you might expect, companies such as Boeing, Merck, and Dow Chemical that export many of their products are big fans of the BAT, while heavy importers such as retailers Walmart and Target oppose it because they say it would drive up their prices, reports the Atlantic.
- A huge ad war is unfolding. The National Retail Federation, for example, is running ads against the BAT, like this parody of an infomerical.
- Paul Ryan and House Republican leaders are pushing for the BAT, but their Senate counterparts generally oppose it, reports the the Washington Post. Conservative Tom Cotton, for instance, called it “a theory wrapped in a speculation inside a guess,” in this op-ed at USA Today. In a possible hint of compromise, the Post notes that Treasury chief Steven Mnuchin has suggested that some products or industries could be exempt, without offering details.
- President Trump himself sounded skeptical of the tax initially but might be warming up. “Anytime I hear border adjustment, I don’t love it,” he told the Wall Street Journal in January. In February, however, he told Reuters that it “could lead to a lot more jobs,” and on Sunday, Reince Priebus said Trump thought a border tax could even “the playing field between our country” and others, per Fox News.
- The success of the BAT hinges on the economic premise that it would strengthen the US dollar, though there’s a fair amount of skepticism about that, notes Business Insider. A more in-depth analysis, which takes note of “significant confusion and uncertainty” about how exchange rates might respond, is at Real Clear Economics.
- The European Union might sue if a border tax goes into effect, reports dw.com. Canada isn’t a fan, either, notes Fortune.
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Fake news again. Worthless.
Might as well say Sir Fur is going to charge us for reading.
Didn’t Mark Levin say we already have about 700 or maybe it was 7,000 import taxes? Anyway, a BAT would only start a tariff war. I’m no expert but I would think the only way to survive a tariff war is to have a booming economy first, then start jacking with the Mexicans and Chinese.
Oh goodie another congressional donnybrook. Guaranteed to stir much angry debate, and cause hurt feeling galore.
When the government taxes goods and services, who exactly pays the extra taxes? Exactly – the consumer.
@The Gunny March 28, 2017 at 7:46 am
So, Citizen, you agree that it is a voluntary contribution?
If we no longer have a border how can we have a border tax?
I’d happily pay more for everything I use, provided it isn’t made in some 3rd world shit hole.
As a consumer of primarily energy. I regularly look at shit in places like WalMart and think, this shit isn’t even worth looking at, let alone buy it.
RINOS are for it. Tells me all I need to know.
Like opportunistic rats getting ready for the next elections — nibbling around the edges but never going after the real meat of anything. That’s our congress.