To address this problem, AMTAC urges Congress immediately to take up H.R. 2600, the Border Tax Equity Act, introduced by Congressmen Bill Pascrell (D-NJ), Duncan Hunter (R-CA), Mike Michaud (D-ME), and Walter Jones (R-NC). This legislation would negate the price advantage gained by foreign competitors from VAT rebates and assessments.
Currency Misalignment - "Currency misalignment, especially as blatantly practiced by China, must be stopped now. While the dollar has been plummeting against the Euro and other currencies, China persistently maintains its peg. Between this currency advantage and its VAT subsidies, it is no wonder that China has accumulated more than $1.3 trillion in foreign currency reserves and is running record trade surpluses,” Tantillo said.
“The currency issue has been debated long enough. Congress immediately should pass H.R. 2942, the Fair Currency Act of 2007 introduced by Congressmen Tim Ryan (D-OH) and Duncan Hunter (R-CA)," Tantillo said.
The Results of a Tilted Playing Field - The tilted playing field against U.S. producers, caused in significant part by foreign VAT taxes and currency manipulation, has had a significant impact on the United States since 2001 in the form of:
- 3.1 million lost U.S. manufacturing jobs, and; - More than $4 trillion in accumulated trade deficits.
-Ltd..jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Thermore (Far East) Ltd.")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Telangana State Industrial Infrastructure Corporation Limited (TSllC Ltd)")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Taiwan Textile Federation (TTF)")
