John Paulson‚ a well-known hedge-fund billionaire close to Trumpʼs inner-circle suggests the ex-presidents tough talk on import taxes is more about getting companies to stay-put in America. In a recent wall street journal chat‚ he pointed out that the much-discussed tariffs might end up being more strategic than all-encompassing
The talk of high tariffs (including a whopping 60% on Chinese goods and 20% on other imports) has gotten lots of attention in rust-belt states. Last month Trump even warned John Deere about a possible 200% tax if they moved operations south of the border; however Paulsonʼs words hint at a different story
Paulsons possible role as Treasury head could mean working with tech-mogul Elon Musk – whos been picked to lead a new cost-cutting team. The plan includes keeping Trumps old tax-breaks going (which run out next year) and finding ways to trim about $2-trillion from government spending
When asked about getting the Senateʼs ok for his possible Treasury job‚ Paulson seemed pretty laid-back: “I wouldnt expect a Senate fight; I have good relationships with senators on both sides of the aisle“. He mentioned that getting through the review process would be the main thing to focus on