Reported 1 day ago
U.S. President Donald Trump claims value-added taxes (VAT) contribute significantly to America's trade deficit, particularly with European trading partners who deny this impact. Highlighting VAT in his recent memorandum, Trump argues it's unfairly applied to U.S. imports while EU exporters are exempted, creating a 'double whammy' effect. While trade experts acknowledge some arguments against VAT, many suggest it does not impede trade as tariffs do. This discussion forms part of a broader U.S.-EU trade standoff, as Trump seeks to balance tariff differences and potentially justify higher import duties.
Source: YAHOO