French Pressure Pushes Lebanon to Combat Tax Evasion

A general view of Beirut, Lebanon. (Reuters)
A general view of Beirut, Lebanon. (Reuters)
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French Pressure Pushes Lebanon to Combat Tax Evasion

A general view of Beirut, Lebanon. (Reuters)
A general view of Beirut, Lebanon. (Reuters)

During a recent visit, the French envoy in charge of following up the decisions of the CEDRE Conference urged Lebanon to put an end to tax and customs evasion, as a necessary measure to stop state budget squandering.

Ambassador Pierre Dukan also called for other reform measures, most notably the implementation of the 2019 budget, the adoption of the 2020 budget within the constitutional deadlines, the reduction of spending and the implementation of the electricity plan.

Dukan drew up a roadmap for the Lebanese state, starting with the assertion that extracting gas and oil was not a “magic remedy” that will change the situation for the better, which prompted the government to prove its willingness to apply the reforms pledged during the CEDRE Conference, beginning with the tax and customs evasion file.

Customs evasion is a major sign of corruption that eats away at the state's revenues and takes many forms, including legalized smuggling, through the reduced or falsified bill of consumer goods entering Lebanon in large quantities through the port or airport.

In remarks to Asharq Al-Awsat, former minister Fadi Abboud noted that the state loses more than $500 million a year in tax evasion.

As for customs evasion through illegal crossings, it amounts to $5 billion, depriving Lebanon of revenues exceeding one billion dollars, divided between customs duties and VAT.

According to the World Bank, more than 40 percent of sales and purchase operations are made without VAT.

Lebanon’s GDP is estimated at $60 billion, and the tax rate on profits is at least 10 percent among individuals, institutions and companies.



Nissan Reportedly Considers Transferring Some Domestic Production to US

FILE PHOTO: The American flag flutters at a Nissan automobile dealership in Irvine, California, US, March 27, 2025.  REUTERS/Mike Blake/File Photo
FILE PHOTO: The American flag flutters at a Nissan automobile dealership in Irvine, California, US, March 27, 2025. REUTERS/Mike Blake/File Photo
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Nissan Reportedly Considers Transferring Some Domestic Production to US

FILE PHOTO: The American flag flutters at a Nissan automobile dealership in Irvine, California, US, March 27, 2025.  REUTERS/Mike Blake/File Photo
FILE PHOTO: The American flag flutters at a Nissan automobile dealership in Irvine, California, US, March 27, 2025. REUTERS/Mike Blake/File Photo

Nissan Motor is considering shifting some domestic production of US-bound vehicles to the US, the Nikkei reported on Saturday, as President Donald Trump ramps up trade tariffs on nations worldwide.
As early as this summer, Nissan plans to reduce production at its Fukuoka factory in western Japan and shift some manufacturing of its Rogue SUV to the United States to mitigate the impact of Trump's tariffs, the business newspaper said, without citing the source of its information.
The Japanese automaker's Rogue SUV, a key model in the US market, is now produced in Fukuoka and the United States, the report said, according to Reuters.
On Thursday, Nissan said it would not take new orders from the US for two Mexican-built Infiniti SUVs after earlier Trump tariff announcements, marking, a drastic scale-back of its operations at a joint venture plant.
The automaker now plans to maintain two shifts of production of the Rogue at its Smyrna, Tennessee, plant after announcing in January it would end one of the two shifts this month.
Nissan sold about 920,000 vehicles in the US last year, of which about 16% were exported from Japan, the Nikkei said, adding the planned production shift could hit local suppliers' businesses.