Biden’s American Jobs Plan, announced Wednesday, calls for $2.25 trillion to be raised primarily by increasing the corporate tax rate from 21% to 28% and the global minimum tax on U.S. corporations from 13% to 21%. It is meant to improve infrastructure and pump money into manufacturing, transportation, renewable energy, and combating climate change.
“Joe Biden’s radical plan to implement the largest tax hike in American history is a massive giveaway to China, and many other countries, that will send thousands of factories, millions of jobs, and trillions of dollars to these competitive nations,” Trump said in a statement. “The Biden plan will crush American workers and decimate U.S. manufacturing, while giving special tax privileges to outsourcers, foreign and giant multinational corporations.”
Biden’s predecessor went on to say that the plan would lead to higher unemployment by penalizing companies that create domestic jobs, while providing an incentive for companies to move operations overseas. This, Trump noted, comes at a time when the country is recovering from the economic impacts of the coronavirus pandemic.
“This legislation would be among the largest self-inflicted economic wounds in history,” Trump said.
Democrats, meanwhile, have praised the plan. House Speaker Nancy Pelosi, D-Calif., called it “a visionary, once-in-a-century investment in the American people and in America’s future” that will create millions of union jobs while “turbocharging America’s global competitiveness.”
The plan calls for massive investments that would go toward goals such as improving water safety, upgrading schools and child care facilities, and supporting electric vehicles, broadband internet and affordable housing. It would eliminate tax breaks for oil and gas companies.
Fox Business’ Megan Henney contributed to this report.