24 Apr 2003

American Samoa teax extension bill in US congress

3:54 pm on 24 April 2003

A measure now in the US House of Representatives, could extend a federal government tax credit for another ten years for American Samoa only, which would ensure the tuna canneries remain in Pago Pago.

A tax measure due to expire in 2005, gives US companies favourable treatment for their manufacturing activities in US territories, which the canneries have been enjoying for the last decade.

Many Congressional members are reluctant to extend the tax credit, so American Samoan Congressman Faleomavaega Eni introduced a bill to extend the credit to the year 2016 for American Samoa only.

His bill notes that more than 80% of the territory's economy is dependent either directly or indirectly on the canneries, which employ more than 74 percent of the local workforce.