Ty Wright

Donald Trump Warns of 35% Tariff For Companies That Move Abroad

Dec 04, 2016

Donald Trump warned U.S. companies of "retribution or consequences," such as a massive tariff, if they leave the country.

In a series of early morning tweets Sunday, Trump said companies with offshore factories would face a 35% tax on products they want to sell back in the U.S.

"The U.S. is going to substantialy [sic] reduce taxes and regulations on businesses, but any business that leaves our country for another country, fires its employees, builds a new factory or plant in the other country, and then thinks it will sell its products back into the U.S. without retribution or consequences, is WRONG!" the president-elect wrote. "There will be a tax on our soon to be strong border of 35% for these companies wanting to sell their product, cars, A.C. units, etc., back across the border."

The proclamations came after Trump's intervention with Carrier, who decided to keep about 1,000 jobs in Indiana instead of moving them to Mexico. Carrier will receive economic incentives worth $7 million, in a deal negotiated by Vice President-elect Mike Pence, the current governor of Indiana. Despite the Carrier deal, the company still plans to close a plant in Huntington, Indiana, moving about 700 jobs to Mexico.

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