Amazon offered billions in tax breaks for second US headquarters

Amazon said it will announce a decision for its second campus, in addition to its Seattle headquarters, next year. (Reuters)
Updated 19 October 2017
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Amazon offered billions in tax breaks for second US headquarters

SAN FRANCISO: US cities are offering Amazon.com Inc. at least as much as $7 billion (SR26.25 billion) in tax breaks ahead of a Thursday deadline as they compete to house its second headquarters.
The world’s largest online retailer has won promises from elected officials who are eager for the $5 billion-plus investment and up to 50,000 jobs that will come with “Amazon HQ2.”
New Jersey proposed $7 billion in potential credits against state and city taxes if Amazon locates in Newark and sticks to hiring commitments, according to a Monday news release from the governor’s office.
Across the Hudson River, New York City made a proposal without incentives special for Amazon, though the state is expected to offer some, a spokesman for the city’s economic development corporation said on Wednesday.
And across the country, California is offering some $300 million in incentives over several years and other benefits, the governor said in an October 11 letter to Amazon’s Chief Executive Jeff Bezos, published online by the Orange County Register.
Dozens of cities and states have expressed interest in HQ2. Credit ratings and research company Moody’s has ranked Austin as the most likely to win based on its labor pool, costs of doing business and quality of life, among other criteria.
Austin is also the headquarters of Whole Foods Market, which Amazon recently acquired.
The city’s chamber of commerce said in a Twitter post on Wednesday that it submitted its bid for HQ2.
Amazon has said it will announce a decision for its second campus, in addition to its Seattle headquarters, next year.


Mike Pompeo on China trade war: ‘We are going to win’

Updated 32 min 40 sec ago
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Mike Pompeo on China trade war: ‘We are going to win’

NEW YORK: Secretary of State Mike Pompeo vowed that the United States would emerge victorious in an intensifying trade war with China, a day before Washington imposes $200 billion worth of tariffs.
“We are going to win it,” Pompeo said in an interview on Fox News broadcast Sunday.
“We’re going to get an outcome which forces China to behave in a way that if you want to be a power — a global power — transparency, rule of law, you don’t steal intellectual property,” he said.
Pompeo said that President Donald Trump “very much likes” his Chinese counterpart Xi Jinping but said he would press policies that “the American workers deserve.”
Even before Trump’s election, the United States has complained vigorously that China has been unfair to US businesses and has stolen technology by forcing firms to reveal secrets as a condition to operate in the fast-growing Asian economy.
But Trump has taken an increasingly hard line on trade around the world, with $200 billion in tariffs on Chinese exports set to take effect on Monday.
China has retaliated by hitting $60 billion in US products and the world’s two largest economies have already imposed tariffs of $50 billion on each other.
In a first, the Trump administration has also punished a unit of China’s defense ministry for buying fighter jets and missiles from Russia in defiance of sanctions on Moscow.