Biden: "Creating Jobs and Winning Competition with China through Infrastructure Investment" (Update)

Announcement of $2.25 Trillion Investment Plan
Officialization of Tax Increase Promotion
Push for International Corporate Tax Standardization at 21%

[Asia Economy New York=Correspondent Baek Jong-min] U.S. President Joe Biden announced a $2.25 trillion infrastructure investment plan. President Biden stated that he will lead innovation in batteries, semiconductors, and clean energy to gain an edge in competition with China. He also declared a tax increase policy to secure funding for the investment.

[Image source=AP Yonhap News]

On the 31st (local time), President Biden emphasized that the infrastructure investment plan is a job creation plan during a speech in Pittsburgh.

President Biden directly stated the need for investments such as installing 500,000 electric vehicle charging stations, modernizing 20,000 km of highways, expanding rural high-speed internet, and improving outdated railroads.

The main points of this plan are ▲$620 billion for transportation improvements ▲$650 billion for improving living environments such as clean water supply and high-speed internet distribution ▲$580 billion for supporting the manufacturing sector ▲$400 billion for supporting the elderly and disabled. The investments will be carried out over the next eight years.

President Biden announced that plans for infrastructure investments in education and healthcare will be announced later.

Regarding securing funds for the large-scale investment, he mentioned that it will be resolved through tax increases. He promised that while the corporate tax rate will be raised to 28%, income earners making less than $400,000 annually will not face additional tax burdens. He also mentioned ending tax exemption benefits for fossil fuel companies.

In particular, he expressed the position of inducing the global minimum corporate tax rate to rise from 13% to 21% to standardize corporate taxes among countries. This is interpreted as a measure considering the deterioration of international competitiveness of U.S. companies due to the corporate tax increase.

He emphasized that the tax increase is "to ensure more equitable benefits" and pointed out that large corporations like Amazon are exploiting tax loopholes. He also stressed the need for bipartisan support for this plan and repeatedly emphasized the importance of Republican approval.

This content was produced with the assistance of AI translation services.