Trump Proposes External Revenue Service Amid Criticism

President-elect Donald Trump announced plans to establish the External Revenue Service (ERS) to manage tariffs, duties, and foreign-sourced revenue, aiming to shift tax burdens from Americans to foreign trade partners. The ERS is set to be launched on January 20, Trump’s inauguration day, though it is unclear how it will function alongside existing agencies like U.S. Customs and Border Protection, which already oversee tariff collections. Trump argues this move will ensure foreign entities 'pay their fair share,' but critics, including economists and political opponents, argue it could lead to increased costs for American consumers and provoke trade wars. The proposal has been met with ridicule and skepticism, with concerns that it represents a rebranding of existing functions and could be a multi-trillion-dollar tax hike affecting American families. Trump's consistent critique of past trade agreements and the U.S. trade deficit underscores his push for this new agency, despite the potential economic risks highlighted by experts. Whether Congress will support the creation of the ERS remains uncertain, as such changes typically require legislative approval.