Trump touts tax plan to retail CEOs
WASHINGTON — President Donald Trump met Wednesday with the CEOs of large retailers like Target and Best Buy, who have a built-in concern: They’re worried about a possible border tax on imported goods.
The president has provided scant details about his own tax overhaul, but said people will “love” his planned tax reforms. He assured retail CEOs Wednesday that tax rates would be lowered and simplified in a “massive” plan that “will be submitted in the not too distant future.”
Retailers called the hourlong meeting positive and productive, though they offered few details.
During the public portion of the meeting, Trump provided no insight as to whether he still intends to levy a border tax on imports. Trump has threatened a border tax in order to protect U.S. factory jobs. House Republicans have separately proposed a border adjustment tax system on imports that would help to lower overall corporate tax rates, a policy the Trump administration has at times dismissed and also considered as a viable way to help pay for a wall on the border with Mexico.
Retailers have warned that a border tax could raise prices as much as 20 percent on some items.
Nearly all of those items that U.S. shoppers buy are either wholly or partly produced overseas, where production is cheaper. And with online competition and shoppers trained to find the best deals, U.S. retailers haven’t had the power to raise prices on many goods for several years.
The meeting included CEOs from Target, Gap, AutoZone, Best Buy and J.C. Penney. Target said it was a good discussion “about policies that would promote economic growth and job creation,” and about the border tax.