President Biden to Raise Tariffs on Chinese Imports, Including Electric Vehicles and Solar Cells
President Biden is set to announce on Tuesday that he will be increasing tariffs on a variety of Chinese imports, including electric vehicles, solar cells, semiconductors, and advanced batteries. This move is part of an effort to protect strategic American industries from what he calls unfair competition that is subsidized by Beijing.
The president will also endorse maintaining tariffs on over $300 billion worth of Chinese goods that were implemented by former President Donald J. Trump. Despite criticizing these tariffs as taxes on American consumers during his 2020 campaign, Biden is now escalating the trade war with China in a bid to appeal to swing voters in key industrial states.
The increased tariffs will apply to approximately $18 billion worth of annual imports from China, with the most significant increase being the quadrupling of tariffs on Chinese electric vehicles to 100 percent from 25 percent. This move aims to protect the American automotive industry as it transitions to clean energy with substantial federal subsidies.
Biden’s decision to raise tariffs in specific sectors like clean energy and semiconductors reflects his administration’s focus on strategic industries crucial to the United States. Treasury Secretary Janet L. Yellen justified the new levies by citing China’s excess industrial capacity as a threat to the U.S. and its allies.
While some economists oppose tariffs due to their impact on domestic consumers, union leaders and Democratic lawmakers are expected to support Biden’s announcement. The move to increase tariffs on Chinese imports is seen as a response to unfair trade practices that have negatively affected American workers.
Overall, President Biden’s decision to raise tariffs on Chinese imports signals a continuation of the tough stance on China initiated by the Trump administration, with a focus on protecting key American industries and creating jobs in strategic sectors.
