Democrat carbon tax is anything but fair
Published 8:52 am Tuesday, August 1, 2023
Louisiana, like most of the country, is struggling under the weight of inflation. It makes zero sense to burden Louisianans with yet another regressive tax that will raise the price of everything from cars to appliances.
Unfortunately, congressional Democrats are planning to re-up proposals for a carbon border adjustment tax. The most recent iteration of this legislation was ironically called the “Fair, Affordable, Innovate, and Resilient Transition and Competition Act,” or FAIR Act. But we should be honest about this tax: it’s anything but fair for Louisiana families.
Proposals for a carbon border adjustment would impose a tax on imported goods from countries that cannot meet strict U.S. environmental standards. That would mean raising the cost of imports like aluminum, cement, iron, steel, natural gas, petroleum, and coal. Those costs would in turn be passed on to consumers, raising prices across the board.
A carbon border tax is indistinguishable from a tariff and would lead to driving Louisiana manufacturing overseas and increasing trade tensions ¬– while leaving American consumers holding the bill. Under President Biden, Americans face record high inflation and increasing economic pressure. Republican leaders can’t seriously consider a massive new tax on American consumers. Senator Bill Cassidy has expressed support for a carbon border tax. Yet Senator Cassidy should stand with the rest of his Republican colleagues in the Louisiana delegation and oppose this tax on Louisiana’s working families.
Here’s the truth: the carbon border tax will do little to reduce carbon emissions, and it will put industries critical to Louisiana’s economy at risk. Volatile steel prices have already diminished business opportunities and delayed expansion plans for the Port of South Louisiana, which is responsible for more than 80,000 jobs in the state. The carbon border tax could be even more disastrous—disrupting supply chains and raising the cost of all raw materials that businesses rely on. We cannot risk further endangering our growth during a time of economic uncertainty.
As a member of the Republican National Committee and former Chairman of the Republican Party of Louisiana, I know our party values responsible and sound fiscal policy. As the owner of a small business, I know that unexpected tax hikes can have devastating effects. The carbon border adjustment tax is neither responsible nor sound, and it will certainly harm Louisiana businesses.
While American’s are paying the high cost of Biden’s inflationary agenda, we can’t afford another unfair tax that will raise costs for consumers. Louisiana’s Republican congressional delegation should embrace our party’s values and oppose reckless and unnecessary carbon tax proposals.
Roger F. Villere, Jr.
(Villere is a member of the Republican National Committee, former Chairman of the Republican Party of Louisiana, and owner of Villere’s Florist)