In advance of President Obama’s trip to Northern Ireland for the G-8 summit later this month, the NAM and several other business groups this week sent a letter asking the President to keep U.S. competitiveness front and center in the upcoming talks. When the talks turn to taxes—and that’s likely to happen—the organizations urged him to support tax policies that would improve the worldwide competitiveness of American businesses and increase U.S. economic growth and job creation.
As the letter points out, this is an important and timely message to deliver. Not only are other countries promoting the international competitiveness of their companies, but a number of foreign countries, including several of our G-8 partners, have advanced tax initiatives under the guise of tax avoidance that actually seem to be primarily targeting American global companies, a development that would harm both the competitive position of U.S. companies and the U.S. Treasury.
With 95 percent of the world’s customers outside the United States, it is critically important that American companies are able to compete effectively in the world’s markets. As we’ve said many times before, overseas operations of American companies help stimulate the demand for U.S. exports and support jobs in the United States.