White House says it's losing $19B-$26B a year in revenue as countries dodge tariffs
WASHINGTON — The Trump White House said in a new report on Thursday that countries are routing their exports through third countries to avoid U.S. tariffs, estimating that there are tax revenue losses of $19 billion to $26 billion annually. The report specifically highlights that China responded to new tariffs in 2018 by sending their goods to other nations ranging from Mexico to Malaysia for…
The Trump administration has released a report claiming that countries are dodging U.S. tariffs by routing their exports through third nations, resulting in annual revenue losses of $19 billion to $26 billion. The report focuses on China's response to the 2018 tariff increase, which involved sending goods to countries such as Mexico and Malaysia for packaging and limited assembly, a practice known as transshipping.
This tactic made U.S. imports from China appear lower than they actually were, allowing China to continue expanding its manufacturing sector at the expense of American factories and jobs. White House trade adviser Peter Navarro stated on a conference call that China is transshipping through more than 40 countries, though he argued that the issue lies with other nations enabling the avoidance of tariffs.
"For years, the great transshipment scam has let communist China launder its exports," Navarro asserted. The report precedes a planned September visit by China to the United States.
Written by urgent.news from The Korea Times's reporting — not their text. Machine-written — it may contain errors, so check the original before relying on it.
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