Trump: Companies Leaving U.S. Will Be Taxed

The threat came as Trump announced a deal with air conditioner manufacturer Carrier to keep jobs in the US.
`Companies are not going to leave the United States without consequences. Nor does it have to be,` Trump said at the Carrier factory in Indianapolis, as quoted by Channel News Asia on Friday (Dec 2, 2016).
Trump said a company could move plants from state to state or negotiate deals with different states. But it would be difficult for them to leave the US.
During the campaign, the billionaire threatened to impose tariffs on companies that shipped jobs to Mexico or Asia, where wages are lower.
He had repeatedly singled out Carrier, which is part of conglomerate United Technologies Corporation (UTC).
Trump said he had pushed the company not to move thousands of jobs to Mexico.
If Carrier left anyhow, Trump said, his administration would impose a large tariff on Carrier products shipped back to the US.
`I called up Greg (Hayes, the head of UTC) and I said this is a very important thing, we have to do something because you are moving a lot of people and you have to understand that we can't have this happen anymore in the US,` Trump said.
Carrier was offered incentives of US$7 million over 10 years in exchange for guarantees on workforce levels, job retention and capital investment.
The deal will save about 1,100 jobs from being transferred out of the US. It is seen as an extraordinary intervention by a president-elect in industry.
Trump supporters hailed it as part of a vital jobs plan.



Writer
: Sakina Rakhma Diah Setiawan


Editor
: Aprillia Ika


Source
: channel news asia,



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