Venable partner Ashley Craig was quoted in a January 26, 2017, USA Today article on President Donald Trump's call for American businesses to keep manufacturing jobs in the country or face a border tax on their products. While restructuring global supply chains that have been place for decades could prove costly to companies, the Trump administration has floated ideas to offset the cost such as deregulation, cuts to corporate tax rates, and one-time tax relief for companies that brings jobs back to the U.S.
"The administration wants to bring insourcing back into style, but there would be a whole host of unintended consequences based on their good intentions," said Craig. "Literally, the administration would be asking companies to go back in time to help American workers." He thought it was likely that technology companies would keep their overseas manufacturing facilities but shift some final assembly tasks back to the U.S. to appease the president.
"The administration wants to bring insourcing back into style, but there would be a whole host of unintended consequences based on their good intentions," said Craig. "Literally, the administration would be asking companies to go back in time to help American workers." He thought it was likely that technology companies would keep their overseas manufacturing facilities but shift some final assembly tasks back to the U.S. to appease the president.