WASHINGTON, D.C. — On June 8, 2025, executives from major global corporations convened in Washington to escalate lobbying efforts against Section 899 of President Donald Trump’s proposed finance bill. This provision, part of the “One Big Beautiful Bill,” aims to increase taxes on foreign investments in U.S. assets, raising concerns about its potential impact on American job security and international investment.
Section 899 proposes a gradual increase in taxes on dividends and interest earned by international investors, particularly targeting countries with tax policies deemed “unfair” by the U.S. administration. The measure could also affect sovereign wealth funds, which are currently exempt from such taxes. Critics argue that this could deter foreign investment and negatively impact the U.S. economy.
The Global Business Alliance (GBA), representing companies like Shell and Toyota, has been at the forefront of the opposition. Jonathan Samford, president of the GBA, stated that representatives from about 70 companies would meet with members of Congress to discuss the potential ramifications of Section 899. He emphasized that the provision could jeopardize the 8.4 million American jobs provided by foreign-owned companies operating in the U.S.
Beth Zorc, chief executive of the Institute of International Bankers, echoed these concerns, warning that the tax could stifle foreign direct investment, disrupt financial markets, and endanger American jobs across the country. The Institute, representing major global banks such as HSBC and BNP Paribas, plans to meet with Treasury officials and Republican members of the Senate banking committee to argue against the provision.
The lobbying efforts coincide with ongoing U.S.-China trade talks in London, where trade tensions have led to a significant slump in Chinese exports to the U.S. Analysts suggest that the outcome of these discussions could influence the global economic landscape and the effectiveness of the finance bill’s provisions.
As the debate over Section 899 continues, business leaders and policymakers alike are grappling with the potential consequences of the proposed tax changes. The outcome of these lobbying efforts and trade negotiations will likely have far-reaching implications for the U.S. economy and its position in the global market.
