The White House also mentioned that in order to protect employment in the US and to counter the unlawful trade practices, the President has undertaken this decision.
In an effort to bolster the electric vehicle industry in the US, incumbent president Joe Biden has now passed an order to increase heavy duty on EVs manufactured by Chinese firms. Additionally, tariffs will be increased on steel, solar panels, and other goods. When the media approached the cabinet for a detailed statement, it informed that the measures include a 100 percent tariff on all China made electric cars.
The White House also mentioned that in order to protect employment in the US and to counter the unlawful trade practices, the President has undertaken this decision. China strongly retaliated to this measure and proclaimed to take legal action against the US. The analysts opined that this tariff hike is very likely to escalate votes in this tough election. Former US President Donald Trump who is also running the presidential campaign has argued that the decision by Biden would end the car industry in the US.
A couple of days back, President Biden strongly advocated that he will not allow China to unlawfully control the global market in regards to electric vehicles and other important goods such as computer chips, batteries, and solar panels. In fact, the White House added that the tariff measure would impose $18 billion worth of imports.
The new tariffs
- semiconductors - from 25% to 50% by 2025
- certain steel and aluminum products - from 7.5% to 25% in 2024
- electric vehicles - from 25% to 100% in 2024
- lithium batteries and critical minerals - from 7.5% to 25% in 2024
- solar cells - from 25% to 50% in 2024
- ship to shore cranes - from 0% to 25% in 2024
- rubber medical and surgical gloves - from 7.5% to 25% in 2026
Countering the measures of Biden, the Commerce Minister of China told the media that "severely affects the atmosphere for bilateral cooperation". Priori to the announcement of the tariff by White House, a Chinese spokesperson said, “it will take all necessary measures to safeguard its legitimate rights and interests".
