Editorial Column - April

General

Apparently, the current cost to repair failing rails, roadways, tunnels in bridges in the USA is astronomically high. The American Society of Civil Engineers scored the country’s infrastructure a D+ and estimates an investment of USD3.6 trillion will be needed to repair the majority of it within the next three years.

But instead of relying on government funding for this, President Trump reckons he can stimulate USD1 trillion into private-sector infrastructure spending with USD140 billion in tax credits to companies who will step up to the challenge. But, say observers, since the return on investment is little to none, many private companies will not jump at the chance to participate in the work. Privatizing the work could also lead to private asset holders with too much power over future investment decisions. Trump’s other plan is to repatriate profits by offering a one-time tax rate incentive of 10% to bring business back to U.S. from overseas. This could appeal to manufacturing and offshore pharmaceutical companies, but U.S. manufacturing needs to be prepared for such an undertaking because this will make US products very expensive.

Publishing Information
Page Number:
2
Related Articles
Procurement changes a significant breakthrough for Kiwi businesses
Buy NZ Made welcomes the Government’s announcement introducing a new Economic Benefit to New Zealand test in public procurement - a long-awaited move to ensure taxpayer dollars go back into creating...
2025 KiwiNet Awards winners: Science-led innovation shaping New Zealand’s future
Winners of the 2025 KiwiNet Research Commercialisation Awards were honoured at a gala event in Auckland Wednesday night 22nd October for their success in transforming scientific discoveries and new...
Govt Training Initiative to Expand Nationwide Following Success of Pilot
A new Government and industry training and remuneration initiative described as ‘game-changing’ by employers will be expanded nationwide to help address New Zealand’s chronic manufacturing skills gap...