WASHINGTON: To President Donald Trump and congressional Republicans, the overhaul of the tax code that became law Friday (Dec 22) will make the United States a better place to do business.
To the rest of the world, it has the potential to challenge the global economic order, creating an uneven playing field and setting off a race among countries to cut corporate taxes.
The overhaul is already threatening economic relations, adding to concerns that Mr Trump is advancing a nationalistic agenda at the expense of other countries.
European leaders last week raised the prospect of a trade battle, implying that they may fight the new tax rules before the World Trade Organization. Chinese officials are readying defensive measures to protect the country’s economy and its competitiveness.
“A lot of things are going to be happening in the USA,” the president said. “We’re going to bring back our companies. They’ve already started coming back.”
