Bill > HR505

This bill introduces a new mechanism for imposing additional duties (taxes) on imported goods into the United States, which would work as follows: Initially, the President would be required to impose a 10% duty on imports for the first calendar year after the bill's enactment. In subsequent years, the duty would be dynamically adjusted based on the United States' trade balance for the previous year. If the U.S. experiences a trade deficit, the duty would increase by an additional 5% ad valorem (a percentage of the goods' value), and if the U.S. has a trade balance or surplus, the duty would decrease by 5% ad valorem. However, the duty cannot be reduced below zero. These additional duties would be applied on top of any existing import duties, potentially making imported goods more expensive and aiming to influence trade dynamics by creating financial incentives for reducing trade deficits. The bill gives the President the authority to implement these sliding-scale tariffs based on the annual trade balance, which could have significant implications for international trade and domestic economic policy.

Budget and Finance

https://www.congress.gov/bill/119th-congress/house-bill/505/all-info