Chinese E-Commerce Is Very Worried About The Rapid Development Of American Retail
At present, the house of Representatives is betting whether or not to plug loopholes in the online sales tax.
The ambiguous area of the law allows online dealers to avoid paying state sales taxes.
When ordinary companies have to pay sales tax and online dealers do not need to do so, the former has a substantial disadvantage.
This artificial price advantage for online dealers is 5% to 10%, and 8.25% in Texas.
Faced with this advantage of government support, many small businesses are unable to compete with online competitors, and many small businesses are on the verge of collapse and at the cost of losing countless jobs.
The author said that when the controversy existed, the huge shadow brought by Alibaba group appeared.
The large online distributor from China has just completed the largest IPO in the history of Wall Street, and is preparing to enter the US market.
Alibaba group will not have to pay sales tax.
This competitive advantage will be destructive.
Alibaba group will not enter like some small start-ups.
American market
。
The group has traded more than Amazon Co and eBay combined.
When they are fully operational in the US, if the US government provides them with a 8.25% price advantage, it will be impossible to compete with them.
The author said he hoped that Congress would take the right action to end such special treatment for Alibaba and other similar companies before it was too late.
The US Senate has passed the "fair market law" with the overwhelming majority of 69 votes to 27 votes.
Now we need to rely on the Republican majority of the house of representatives to perform their duties and save the small businesses of the United States.
The author said he joined the business community with the expectation of participating in competition.
It is the spirit of small business owners that makes the United States unique.
He is not asking for special treatment, nor is he asking the government to set up trade barriers to keep foreign rivals out of doors.
On the contrary, he welcomes all competitors at home and abroad, including the Alibaba group.
The United States should become a land of opportunity for all.
However, today's
Legal provisions
Contrary to protectionism.
It makes the Alibaba group and other foreign enterprises take the opportunity to take away the business of small businesses, which is a very stupid behavior.
The author says why does the store with 18 employees matter? Because there are thousands of such small businesses in the United States.
They will all suffer the same fate.
Imagine what an empty shop will mean for unemployment, local taxes and real estate prices. This scenario is not wonderful.
This is also the reason why Congress needs to exercise its responsibilities to remedy this unjust treatment.
The author said that the Republicans in the house and the senators in his state will have to make a decision whether they really want to see the small businesses in the United States with "one arm tied behind their back".
Alibaba
Will the group compete? Or will they restore rationality and restore basic free market competition by blocking loopholes in the online sales tax, so that people can compete in the same rules?
House Republicans have always supported fair and free markets, and hope that they remain the same now.
In this holiday season, one hundred thousand small retailers are crucial.
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