WASHINGTON DC – National Foreign Trade Council (NFTC) Vice President Tiffany Smith today issued a statement following the United States Trade Representative’s (USTR) request for United States-Mexico-Canada Agreement (USMCA) dispute-settlement consultations in response to Canada’s discriminatory digital service tax (DST):
“Today’s action is a critical first step in pushing back against the proliferation of discriminatory digital policies and other similar taxes that are unfairly targeting U.S. companies.
“Canada’s decision to unilaterally implement its DST undermines the good-faith work that countries are engaged in to reach a more durable international consensus in the Inclusive Framework Two Pillar Solution.
“NFTC commends the Biden-Harris Administration for taking action today to defend American interests. It is a strong signal that the United States will not tolerate policies by any country that unfairly disadvantage U.S. businesses and such an action will be met with a strong response.
“We once again urge the Canadian government to reconsider the implementation of their DST and fully commit to the process of reaching a consensus-based international solution at the OECD, and ask the Biden-Harris Administration to continue to prioritize this issue until it is resolved.”
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About the NFTC
The National Foreign Trade Council (NFTC) is the premier business association advancing trade and tax policies that support access to the global marketplace. Founded in 1914, NFTC promotes an open, rules-based global economy on behalf of a diverse membership of U.S.-based businesses.
