Carrier Still Plans to Move Jobs to Mexico as President-Elect Trump Got Played Jason Easley - PoliticusUSA
go to original December 1, 2016

President-elect Trump visits Indiana to tout Carrier deal (CBS This Morning)

Update: Despite Trump's Warnings, 430 Companies Ready to Invest in Mexico (El Universal)

Carrier played the president-elect by getting tens of millions of dollars in incentives, while still outsourcing 1,100 jobs to Mexico.

The Financial Times reported:

Carrier’s decision to cancel plans to move 1,000 jobs to Mexico was on Wednesday painted as a trade-off for planned tax cuts, as one of Donald Trump’s economic advisers said he hoped other US businesses would see the deal as a “beacon signal” of a climate where they can keep more jobs at home. Donald Trump secured a victory after successfully pressuring Carrier, a unit of United Technologies, to change its plan to move 2,100 jobs to Mexico to cut costs. Carrier said it would keep about 1,000 jobs in Indiana, after negotiations with Trump representatives including vice-president elect Mike Pence who offered unspecified incentives.

When asked whether the deal would set a precedent for companies to demand a tax break in exchange for keeping jobs at home, Anthony Scaramucci, a Trump adviser, said: “Companies should expect a tax break. We have the highest corp tax rates in the industrialised world, we have to get those corporate tax rates down to a competitive position ... I’m hoping that every CEO in America is getting that beacon signal from the new Trump administration.”

What about the other 1,100 jobs that are still going to Mexico? Oh, those are still leaving.

The troubling aspect of the bad deal that Trump cut for taxpayers is that his adviser said that they expect every company in America to go after the same kind of deal. The idea that the US has the highest corporate tax rate of anywhere in the world is not true. While top US corporate tax rate is high, but Republicans have been exaggerating the damage caused by this fact for years.

...Trump got played, and even worse he set a precedent for even worse deals to come.

Related: Donald Trump’s Deal for American Jobs Doesn’t Look as Good in the Light of Day (Quartz)

Related: Trump's Carrier Deal Worthy of 'Banana' Republic: Senior Mexico Official (Reuters)

Read the rest at PoliticusUSA

Related: With Carrier Trip, Trump Embraces Theater of the Presidency (Associated Press)

Related: Mexico Disappointed at Carrier Agreement to Keep Jobs in US (Journal Star)

Related: Team Trump Dishes Out Generous Corporate Welfare to Carrier Using Taxpayer Money Before They Even Take Office (AEI.org)

Related: Mexican Official: Carrier Will Suffer by Not Moving Plant (The Hill)

Related: Senator Bernie Sanders Lambasted Donald Trump for Giving Carrier Tax Incentives to Keep 1,000 Jobs in America (CNNMoney)

Related: Experts: Don't Get Too Excited About Carrier Deal's Broader Impact (IBJ.com)

Related: As Trump Claims to Have Saved Carrier Jobs, Details Are Hazy (The Washington Post)

Related: How Trump’s Deal with Carrier Could Affect the Manufacturer's Bottom Line (The Motley Fool)

Related: Trump Claim of Saving Carrier Jobs Seen as Shady ‘Play’; Mexico Miffed (Associated Press)

Related: ‘This Is Encouraging Economic Blackmail’: CNN Panelist Slams Trump’s Carrier Deal (Mediaite)

Related: Trump Saved Jobs at Carrier by Making the Same Deal American Politicians Always Make (Slate)

Related: Carrier: Trump Gave Us State 'Incentives' to Save Jobs (FourStatesHomepage.com)

Related: The Story Behind Donald Trump's Deal With Carrier to Keep 1,000 Jobs in the US (ABC News)

Related: A Pattern Is Emerging with Trump's Deals to Save US Manufacturing Jobs (Business Insider)

Related: Trump Says He Saved American Jobs, But He Hasn't Shown How He Can Turn the Victory Into Policy (The Los Angeles Times)

Related: Donald Trump’s Carrier Deal Is an Empty P.R. Stunt — and a Bad Precedent That Incentivizes Bad Corporate Behavior (Salon)

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