President Biden announced on Tuesday a new wave of tariffs on Chinese goods, emphasizing the need for fair competition in global markets. Speaking at the White House Lawn, Biden criticized the Chinese government for “cheating” through heavy state subsidies and unfairly low prices.
One of the key targets of the tariffs is electric vehicles, with duties in that category set to quadruple this year from 25% to 100%. Biden emphasized that the future of electric vehicles will be made in America by union workers.
In addition to electric vehicles, the tariffs will also impact sectors such as steel, aluminum, semiconductors, and medical devices. The administration plans to raise duties on $18 billion in Chinese imports.
The announcement comes as President Biden prepares for a potential rematch against his predecessor, Donald Trump. Biden’s actions notably do not include lowering the more than $300 billion in Trump-era duties on China, instead re-upping Trump’s policy and adding new tariffs on certain sectors.
National economic advisor Lael Brainard highlighted the strategic approach taken by the administration, combining investment at home with enforcement against China in key sectors. She also drew a contrast with Trump’s trade record, stating that his policies did not deliver and could lead to inflation.
Most of the new tariffs are set to be implemented this year, with some, like those on semiconductors and batteries, phasing in more slowly in 2025 and 2026. The administration’s decision reflects a commitment to leveling the playing field for American workers and businesses in the global market.
