WASHINGTON, D.C. — Today marks a vital step in the effort to ensure that American workers and jobs will no longer be targeted by foreign competitors in a global tax surrender created by Democrats in the last Administration, thanks to a new agreement negotiated by President Trump and his Administration. Ways and Means Committee Chairman Jason Smith (MO-08) and Senate Finance Committee Chairman Mike Crapo (Idaho), who had long opposed the surrender, issued the following joint statement:
“Today marks another significant milestone in putting America First and unwinding the Biden Administration’s unilateral global tax surrender.
“What started on day one with President Trump’s executive order nullifying Democrats’ America-last tax commitments led to congressional Republicans drafting retaliatory measures in the One, Big, Beautiful Bill to protect our companies and workers.
“Back in June we agreed to remove those measures from the bill when the G7 publicly committed to respecting U.S. tax sovereignty. We warned at the time that we stand ready to revive retaliatory measures if other parties slow walk implementation of that agreement. That warning remains today as the work to implementing this milestone now begins.
“We applaud the tireless work of the Trump Administration to ensure that the G7 commitment was adopted by over 140 countries. This step was made possible by great cooperation between the Executive Branch and Legislative Branch to prioritize American companies and workers. Today shows that true America First leadership works.
“This landmark step in reversing Democrats’ global tax surrender should serve as an example to other countries. If they delay or slow walk implementing their commitments into their domestic laws, Congress remains willing and able to take immediate action. Congressional Republicans will continue to work vigilantly to preserve these gains, protecting our companies and workers against future attempts to weaken the United States.”
Key Background:
December 2025: The Ways and Means Tax Subcommittee convened a hearing on ensuring our tax code promotes global competitiveness, prioritizing American workers and businesses.
READ: Five Key Moments: Hearing on Promoting Global Competitiveness for American Workers and Businesses
October 2025: Chairman Smith and members of the Ways and Means Committee slammed France’s unfair scheme to impose higher taxes against American companies.
June 2025: Chairman Smith and Senate Finance Committee Chairman Mike Crapo (R-ID) applauded Treasury’s announcement of a forthcoming G7 agreement on international taxation.
May 2025: The House overwhelmingly passed The One, Big, Beautiful Bill that included retaliatory countermeasures against any foreign government that imposed unfair taxes. The Senate Finance Committee shortly thereafter released legislation adopting the House framework of retaliatory measures for the first time – signaling to foreign governments that both chambers were united in fighting these unfair taxes.
READ: The One, Big, Beautiful Bill Fights Back Against Unfair Taxation by Foreign Governments
January 2025: After President Trump issued a Day One executive order that reaffirmed Americans’ sovereignty over our own taxes and rejected the Biden Administration’s global tax surrender to the Organization for Economic Co-operation and Development (OECD) that put foreign governments in charge, Ways and Means Chairman Jason Smith (MO-08) praised the move.
READ: Smith Lauds President Trump’s Action Ending Biden’s Global Tax Surrender
April 2024: During a hearing with then-Treasury Secretary Janet Yellen, Chairman Smith questioned why the Biden Administration was trying to surrender America’s tax revenue and jobs to foreign countries. As he noted, “Congress writes the laws, not bureaucrats negotiating behind closed doors. This deal has no path forward in Congress.”
READ: Chairman Smith Opening Statement – Hearing with Treasury Secretary Yellen
March 2024: Tax Subcommittee Chairman Mike Kelly (PA-16) leads a hearing on OECD negotiations, noting the importance of putting America first.
WATCH: Tax Subcommittee Hearing on OECD Pillar 1: Ensuring the Biden Administration Puts Americans First
September 2023: In a meeting with the OECD as well as officials with the French and German finance ministries, members of the House Ways and Means Committee, led by Chairman Smith, made clear that countries that try to use the OECD global tax deal to steal away American jobs and tax revenues can expect economic consequences in the future.
READ: At OECD, Chairman Smith Warns That Congress Will Reject New Job-Killing Global Tax Surrender
READ: In Paris, Ways and Means Republicans Caution European Officials Against Rubber Stamping Biden Global Tax Surrender
July 2023: During a Ways and Means Tax Subcommittee hearing examining the OECD global tax scheme negotiated by the Biden Administration, Committee Members found the proposal would hurt American companies, kill American jobs, give Chinese Communist Party-sponsored businesses a global economic advantage, and surrender $120 billion in U.S. tax revenue. Rep. Ron Estes (KS-04) also introduced the Unfair Tax Prevention Act to discourage foreign countries from attacking U.S. jobs and tax revenues through the OECD’s Pillar 2 so-called Under Taxed Profit Rule surtax.
READ: Rep. Estes Introduces Legislation to Protect Americans from Unfair Taxes in Global Tax Pact
June 2023: In response to a request by Chairman Smith and Senate Finance Committee Ranking Member Mike Crapo (R-ID), the Joint Committee on Taxation (JCT) issued an analysis finding that the United States stands to lose over $120 billion in tax revenues under the OECD’s global minimum tax as negotiated by the Biden Administration.
READ: JCT: U.S. Stands to Lose Revenue Under OECD Tax Deal
May 2023: Chairman Smith introduced H.R. 3665, the Defending American Jobs and Investment Act, to prevent President Biden’s global tax surrender from killing American jobs, surrendering sovereignty over our tax code, and handing a competitive advantage to the Chinese Communist Party. The bill creates a reciprocal tax applicable to any foreign country that imposes unfair taxes on U.S. businesses and workers under the OECD’s global tax scheme.
READ: Ways and Means Republicans Introduce Bill to Combat Biden’s Global Tax Surrender
March 2023: The Ways and Means Committee held a hearing with then-Treasury Secretary Yellen, in which Chairman Smith noted, “President Biden’s global tax surrender to foreign governments will make it better to be a foreign worker or business than an American one. It’s a tax ‘deal’ only China could love.” The Ways and Means Subcommittee on Tax also held a hearing pushing back on the Biden Administration’s disastrous negotiations on tax with OECD.
READ: “U.S. Is Not a Piggy Bank for Europe’s Socialist Policies”
February 2023: During his first month leading the Committee, Chairman Smith warned the OECD Secretary General that the Biden Administration cannot override Congress’s constitutional tax-writing authority, and demanded he stop colluding with the Biden Administration to enact a global tax deal that will surrender American sovereignty, destroy American jobs, and hand China a global economic competitive advantage.
READ: Chairman Smith: Biden Administration Cannot Override Congress’s Constitutional Tax-Writing Authority
READ: Smith: OECD Must Stop Colluding with Biden Administration to Surrender American Sovereignty