Biden Ready to Quadruple Tariffs on Chinese Electric Cars
This is reported by The Wall Street Journal: duties could reach 100% of the value of imported cars and will also apply to solar panels, batteries, and raw minerals
US President Joe Biden is ready to sharply raise duties on Chinese electric cars. According to a Wall Street Journal report, the intention is to quadruple import duties, from 25% to 100%, and further measures will target solar panels, batteries, and some minerals from China.
The decision could come as part of a review of tariffs once imposed by Donald Trump on about $300 billion worth of goods from Beijing. The measure, which undermined the difficult reconciliation process conducted over the past year between the USA and China, also has political significance: there is a long election sprint underway in the USA (the presidential election will be held on November 5, 2024), and Biden, who is trailing his rival in the polls, is clearly trying to rebuild consensus by entering Trump’s playing field in a kind of battle over who is more “anti-China” and who is more protective of US industry. Trump has repeatedly explained that if he is not re-elected, there will be a “bloodbath” in the US economy and, in particular, the auto sector.
The USA, but also the European Union, has doubts about the correctness of Beijing’s production practices and export subsidies, which in recent years has invested heavily in technologies related to green transition. The US administration’s statement on these issues is due on Tuesday, May 14, but analysts say the possible impact of this measure will be limited because Chinese companies already avoid the US market due to the 25% tariffs, while solar panels will enter the United States after triangulation to avoid additional taxes.