Trump promises 'reciprocal tax' plans will be unveiled soon

February 12, 2018

President Trump on Monday promised the U.S. would soon institute a “reciprocal tax” against countries that take advantage of the U.S.

[February 12, 2018 | Inside US Trade]

At a White House meeting with governors and business executives to discuss his infrastructure plans, Trump diverted to trade to say “we are going to charge countries, outside of our country, countries that take advantage of the United States. Some of them are so-called allies but they're not allies on trade. They'll send in their product and we won't charge them anything and we send them our product, same product as they're sending us, and they'll charge us 50 and 75 percent tax. And that's very unfair.”

“So we're going to be doing very much a reciprocal tax,” he continued, without explaining what form it might take – though he did decry what he called other countries' “tariffs and taxes” on U.S. goods.

“You'll be hearing about that during the week and during the coming months,” he said of his reciprocal tax plans. “But not fair when we're taken advantage of. That's why we have these big trade deficits.”

Read more at Inside US Trade

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  • Bill Marthens
    Now, the USA is starting to wake up regarding fair trading practices. I like Trump’s approach to world trade with his reciprocal tax approach. For a change, Trump has a fair trade team of business minds working with him.
  • Tom Terry
    That takes care of the VAT international trade tax scam if implemented competently. Reaction to their reaction will be interesting and we will see if we can adapt as quickly to the next scam. These may or may not have been scams in the beginning but that is what they have become. This should have been done when the difference between VAT (or other policies that are named differently that do a similar thing) and our tax system were first seen. We have had US Trade Representatives who have failed to do their job in the past. Let us hope this can be corrected.