FOX Business host Larry Kudlow discussed former President Donald Trump’s plan to bring jobs back to the U.S. on the show “Kudlow.” Kudlow highlighted that if Deere & Co. seeks lower taxes, they should consider Trump’s new economic program. While Vice President Kamala Harris recently unveiled her third economic plan, which closely mirrors “Bidenomics,” Trump, speaking in North Carolina, expanded upon his “New American Industrialism” manufacturing plan.
Trump’s proposal includes significant incentives for companies to keep their manufacturing within the United States. He proposes slashing the business tax rate from 21% to 15% for products made domestically. Additionally, Trump promised a 100% expensing write-off for machinery and equipment, a major deregulation initiative, and significant reductions in energy costs through increased drilling.
An important aspect of Trump’s plan includes his intention to strengthen the dollar’s position as the world’s reserve currency. Trump declared that if other countries do not follow suit, tariffs would be imposed, halting trade with those nations.
Contrary to some beliefs, Trump’s approach emphasizes a stable dollar rather than cheap money. This strategy aligns with his previous platforms and is seen as a significant economic growth blueprint.
Kudlow also discussed Deere & Co.’s contemplation of moving much of their manufacturing to Mexico, warning that this is contrary to Trump’s “America First” ideology. Trump threatened to impose a 200% tariff on Deere if they pursued this move, emphasizing that his plan offers significant incentives for companies to stay and produce in the U.S. These incentives include lower taxes, reduced regulation, cheaper energy, and a stable dollar, all aimed at making America more competitive globally.
Trump’s plan is designed to cut costs for businesses across the board, making U.S. companies more competitive in international markets. With an ultra-low tax rate, substantial real wage increases could negate the need for expensive labor agreements. Trump is prepared to use tariffs to ensure American economic and national security and is offering substantial new incentives for job creation and business activity in the U.S.
Kudlow concluded by stressing that while U.S. manufacturers compete globally, Trump’s industrial plan provides significant cost-saving measures, making America highly competitive worldwide. Companies like Deere should adapt to these new rules to benefit from the proposed economic advantages.
This article is adapted from Larry Kudlow’s opening commentary on the Sept. 25, 2024, edition of “Kudlow.”