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President Biden spoke Tuesday about the administration’s decision to announce a new wave of tariffs on a range of Chinese products.
“American workers can work harder and compete with anyone as long as the competition is fair. But for a long time it has not been fair,” said the president while speaking on the South Lawn of the White House.
He accused the Chinese government of “cheating” due to heavy state subsidies and “unfairly low” prices on the global market.
Electric vehicles are the main focus, with rates in that category quadrupling this year, from 25% to 100%.
The “future of electric vehicles will be made in America by unionized workers. Period,” Biden said.
Other tariff targets include steel, aluminum, semiconductors, medical devices and more. The government plans to increase tariffs on $18 billion in Chinese imports.
The announcement comes as President Biden prepares for a rematch against his predecessor, Donald Trump.
President Joe Biden speaks in the Rose Garden of the White House in Washington, Tuesday, May 14, 2024, announcing plans to impose major new tariffs on electric vehicles, semiconductors, solar equipment and medical supplies imported from China. (AP Photo/Susan Walsh) (ASSOCIATED PRESS)
Ben Werschkul and Brian Sozzi of Yahoo Finance have more here:
Biden’s actions, in particular, do not include reducing more than $300 billion in Trump-era taxes on China. Biden largely renewed former President Donald Trump’s policy – and added new tariffs to certain sectors.
“The president is taking a strategic and tough approach, combining domestic investment with law enforcement against China in key sectors,” said national economic advisor Lael Brainard before the news.
Biden’s top economic adviser also sharply contrasted Trump’s trade record in her comments to journalists. She said Trump’s actions in office “didn’t work” and that his current campaign promises for 2024 would increase inflation.
Most of the new tariffs announced this week could be felt quickly and are expected to be implemented this year.
Others — such as new taxes on semiconductors and batteries — are expected to take effect more slowly in 2025 and 2026.