Yellen Criticizes Trump's New Tariff Agency Plan

U.S. Treasury Secretary Janet Yellen criticized President-elect Donald Trump's plan to create a new government agency to collect tariffs, claiming it duplicates current structures. She warns such a move would increase costs for American consumers and businesses, contradicting the aim of saving taxpayer money.

U.S. Treasury Secretary Janet Yellen has voiced strong criticism against President-elect Donald Trump's proposal to establish a new agency tasked with collecting tariffs. Speaking on 'The Late Show with Stephen Colbert,' Yellen argued that the plan would merely replicate existing agency roles without providing any financial benefit.

Trump announced his intention to create an 'External Revenue Service' starting January 20 to manage tariffs, duties, and foreign revenues. The lack of clarity over whether it would replace the U.S. Customs and Border Protection or the Internal Revenue Service has raised concerns about more bureaucratic layers.

Trade experts and Yellen agree that Trump's suggested tariffs could disturb trade dynamics and inflate consumer costs, ultimately making American goods less competitive. The move could also contradict Trump's own Department of Government Efficiency's aims to streamline operations and reduce government expenditure.

(With inputs from agencies.)