WTO Penalizes U.S. Exports for First Time - aftermarketNews

WTO Penalizes U.S. Exports for First Time

The United States comes under World Trade Organization penalties for the first time today, the result of congressional failure to steer through presidential politics, employment anxiety and budget deficits and head off the tariffs. A 5-percent penalty tariff awaits U.S. exports such as jewelry and refrigerators, toys and paper. The penalty climbs by 1 percentage point for each month that lawmakers fail to bring U.S. laws in line with international trade rulings.

From Detroit Free Press

WASHINGTON — The United States comes under World Trade Organization penalties for the first time today, the result of congressional failure to steer through presidential politics, employment anxiety and budget deficits and head off the tariffs.

A 5-percent penalty tariff awaits U.S. exports such as jewelry and refrigerators, toys and paper. The penalty climbs by 1 percentage point for each month that lawmakers fail to bring U.S. laws in line with international trade rulings.

The tariffs penalize the United States for failing to eliminate a tax break that is worth $5 billion a year to U.S. exporters. It was declared an illegal export subsidy by the WTO and lawmakers agree they must repeal it.

But the House and Senate disagree on tax cuts to replace the old ones. American business, divided between manufacturers hoping for help and multinational companies hoping to modernize American tax laws, cannot agree on a solution.

The dollar’s sharp decline in value against the euro, the European Union currency, means American goods are cheaper on European markets. That may protect U.S. manufacturers from feeling the bit for some time, said Gary Hufbauer, a trade economist at the Washington-based Institute of International Economics.

“Add all of this together, and you can see why we are going beyond the deadline,” he said.

Senate leaders expect to start debating their legislative solution this week, then set it aside temporarily to work on next year’s federal budget.

(Associated Press)

_______________________________________

Click here to view the rest of today’s headlines.

You May Also Like

Continental, Synopsys Team Up on Automotive Software Development

The collaboration aims to accelerate the development and validation of software features and applications for the Software-Defined Vehicle.

Continental announced a collaboration with Synopsys to accelerate the development and validation of software features and applications for the Software-Defined Vehicle (SDV).

"This new collaboration integrates Synopsys’ industry-leading virtual prototyping solutions for virtual Electronic Control Units (vECU) within Continental’s Automotive Edge (CAEdge) cloud-based development framework. The results are digital twin capabilities for software development that help automakers accelerate software development and speed up their time to market," Continental said.

Epicor Unveils Digital Cataloging, Future Plans

The new catalogs use Epicor-validated, ACES-compliant data and an “Intelligent Search” feature to find the right part quickly.

Epicor digital catalog
Epicor Launches Automotive B2B eCommerce Platform

The Epicor Commerce for Automotive platform features multi-seller support and parts lookups for distributors and their customers.

Epicor commerce for Automotive
Marelli Launches Fuel System for Hydrogen Propulsion Systems

Marelli will present a variety of new technology at the CTI Symposium in Germany, Dec. 5-6.

The Automotive Aftermarket’s Role in a Circular Economy 

Take a deep dive into the factors driving the automotive aftermarket toward a more circular economy.

Circular economy

Other Posts

AI in the Aftermarket: Endless Applications Yet Hurdles Remain

The automotive aftermarket is delving into AI and ways it can help businesses be more productive and effective.

Intellias to Showcase HMI, ADAS and More at CES 2024

The company also will unveil the next generation of its IntelliKit, a portable fully-integrated digital cockpit.

Anyline Partners with Treads to Simplify Car Ownership

Anyline has partnered with Treads, an AI-driven car management subscription service, to enhance analytics for car owners.

Anyline Trends partnership
Unifying Your Parts Technology to Eliminate Channel Conflict

Harmonizing various channels in your eCommerce strategy through unified technology helps build an agile business model.

ecommerce channel conflict auto parts suppliers