January 1, UN Climate Tax Threatens US Trade and Jobs

Wyatt’s Take

• The United Nations is pushing a hefty climate tax on American shipping.
• This global carbon tax would strip control from Americans and hurt our economy.
• China stands to benefit while the U.S. pays the price.

The United Nations will soon vote on a climate-change tax that takes aim at American industry. Without a firm response from the White House, this tax on fossil fuels could become international law and hit U.S. businesses hard.

This proposal would force global cargo and cruise ships to pay a carbon tax, affecting $20 trillion worth of goods shipped worldwide each year. Ship transport handles about 80% of world trade.

The goal is to push for “net zero” carbon emissions—a standard that has already weakened European economies and that Americans have opposed. Supporters say it helps the climate, but it brings extra costs to working families everywhere.

This tax sets a dangerous example, letting the United Nations tax American-owned ships. It raises the question: why should U.S. businesses follow international taxes that don’t serve America’s interests?

Industry leaders estimate this plan would cost U.S. shippers over $100 billion in just seven years. Many fear it would force older ships to retire, shifting wealth to China, which now dominates shipbuilding.

China supports the tax heavily, despite being the largest polluter. Meanwhile, Americans would pay for China’s mess instead of our own interests.

Revenue from these taxes may not benefit the U.S., leaving us with higher bills and little say in where the money goes. For Americans, it feels like taxation without representation all over again.

Even if the U.S. rejects the tax domestically, foreign ports and flag states can still force American shippers to pay. Our importers and exporters would be hit regardless of U.S. policy.

Top U.S. officials said America “will not accept any international environmental agreement that unduly or unfairly burdens the United States or our businesses.” They warned the tax could raise global shipping costs by 10% or more.

The U.S. fleet transports just 12% of global goods but could pay almost 20% of the tax. The voting math at the U.N. also stacks against us, with Europe and China ready to push the tax through.

If the White House doesn’t take a strong stand, our own allies may abandon us in this vote. A better plan would be to answer the U.N. with tough countermeasures, like reducing U.S. payments to global organizations.

With trade tensions high, a new U.N. tax is the last thing American workers need.

Read more here

Wyatt Matters

Hardworking Americans want control over our future, not new taxes decided by foreign powers. These taxes threaten our jobs and the stability of our communities—Middle America deserves a fair deal and a strong voice.