Export Compliance Daily is a Warren News publication.

Ways and Means Chairman Says Carbon Border Adjustment Tax More Talking Point Than True Pay-For

House Ways and Means Committee Chairman Richard Neal, D-Mass., told International Trade Today that a carbon border adjustment tax is still "in the mix" as Democrats try to figure out how to pay for a broad array of social and…

Sign up for a free preview to unlock the rest of this article

Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.

environmental spending. A carbon border adjustment tax could add tariffs to certain imports that are carbon-intensive, if the U.S. determines their manufacture was less clean than the domestic manufacturing processes. But when pressed during a Sept. 23 hallway interview with reporters for more details on where things are on the tax, Neal acknowledged that the discussion of this tax is more conceptual than practical. "Did it come up as a talking point? Yes. Did it come up as a solution point? No." Neal said that all the pay-fors that passed out of Ways and Means are on the menu of options for how to pay for the Build Back Better bill. That includes restricting the use of drawback by tobacco importers and exporters (see 2109130038).