U.S. President Joe Biden revealed significant tariff escalations on various Chinese imports, including electric vehicle (EV) batteries, computer chips, and medical products, risking a potential standoff with Beijing as he endeavors to win over American voters discontent with his economic policies.
During a speech in the White House Rose Garden, Biden emphasized the importance of fair competition for American workers, announcing measures to prevent China from inundating the U.S. market.
China swiftly promised retaliation, expressing opposition to the tariff increases and affirming its commitment to safeguard its interests.
Biden’s plan retains tariffs initiated by his predecessor while intensifying others, notably quadrupling EV duties and doubling semiconductor tariffs.
The heightened tariffs target $18 billion worth of Chinese goods, spanning various sectors such as steel, aluminum, semiconductors, electric vehicles, and solar cells.
U.S. Trade Representative Katherine Tai defended the tariff revisions, citing China’s alleged intellectual property theft. However, she recommended tariff exclusions for certain industrial machinery import categories, including solar product manufacturing equipment.
Despite aligning with Trump’s tougher trade stance, Biden criticized his predecessor’s trade deal with China, branding it ineffective in boosting American exports and jobs.
While Biden seeks to avoid a trade war with China, his tariff measures aim to address concerns about unfair competition and intellectual property theft.
The tariff revisions include significant increases on EVs, lithium-ion batteries, photovoltaic cells, and critical minerals, among other products, with more tariffs slated for subsequent years.
The move has drawn mixed reactions, with concerns raised about its potential impact on EV costs and Biden’s climate goals.
Both Biden and his opponent in the 2024 election have departed from Washington’s previous free-trade consensus, opting for tougher stances on China.
Biden’s tariff updates are part of broader efforts to address trade imbalances and protect American interests, particularly in key industries affected by Chinese imports.
