The Trump Administration has dubiously used trade balances as a metric for measuring relative policy fairness but France’s digital tax and the proposed retaliation against it by Washington highlights differences in the composition of trade. Although the U.S. committed to negotiate with Europe on a singular OECD approach to digital enterprise taxes, no one expects a resolution before the two sides meet in Davos later this month. Instead, more retaliatory duties will be imposed on French goods - targeting champagne, cheese and other higher priced foods. The duties will have an outsized impact because of the composition of bilateral transatlantic trade. Ninety percent of Europe’s food exports to the U.S. are intermediate and...
From WPI Consulting
Weighing in on strategic realignment
WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.