We all herd of the proposed U.S. Border tax — its major goal is to boost U.S. manufacturing.
There is a growing concern that this proposed border tax would violate international trade rules.
(By subsidizing exports and penalizing imports.)
Besides manufacturing, the border tax would affect other industries as well.
Here are some of its implications for the gas and oil industry:
On the plus side: U.S. oil firms would have an increase production — and that’s worth $20 billion.
On the negative side: Mexico could retaliate (by placing a border tax on American goods).
If that happens U.S natural gas exports would be severely affected.
(Mexico is the largest buyer of U.S. liquefied natural gas.)
Americans for Prosperity — a conservative group founded by David and Charles Koch — are against the border tax.
They say that we would pay more for imported goods; and called this border tax a “massive tax increase” on U.S. consumer.
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