The exchange left the indelible impression that the Trump administration is struggling to meet its long-standing promise to make Mexico pay for the wall the president wants to construct. It also underscored the gap that continues to exist between the White House and congressional Republicans on tax policy. The Mexican government reimburses companies in its country for the tax if they export the product, but Mexican companies pay the full tax if they sell the goods domestically. Mexico would, in turn, be legally entitled to retaliate with a tariff of its own on American goods. “If you’re trying to make Mexico pay for the wall, this is not how you do it.

Source: Huffington Post January 26, 2017 22:25 UTC