Join Import & Export Telegram Group📈
💰Join Import & Export Facebook Group
President Biden has announced a 100% tariff on electric vehicles imported from China, quadrupling the existing 25% tariff[1][2][3]. The move is designed to protect American automakers and jobs by preventing a potential flood of cheap, subsidized Chinese EVs from undercutting U.S. manufacturers[1][3].
The tariffs, which also target Chinese solar cells, batteries, semiconductors, steel and aluminum, are part of a broader effort by the Biden administration to counter China's unfair trade practices and support domestic manufacturing in key industries[2][4]. However, the measures have drawn criticism from China and some analysts who view them as largely symbolic and politically motivated ahead of the 2024 election[4][5].
While Chinese EVs currently have a negligible presence in the U.S. market due to existing tariffs, the new 100% rate would effectively price them out[3][4]. The administration argues this will give American automakers time to ramp up EV production and compete with China's rapidly growing EV industry[1][4].
The tariffs could raise costs for U.S. consumers and automakers who rely on Chinese-made batteries and components[3]. But the White House believes the short-term pain is worth it to secure the future of American manufacturing in the electric vehicle and clean energy sectors[1][4].
Having said that, reports also state that the new tariffs will not apply to Chinese EVs imported into the USA from Mexico - a major loophole.
Citations:
[1] https://www.npr.org/2024/05/14/1251096758/biden-china-tariffs-ev-electric-vehicles-5-things
[2] https://www.theguardian.com/business/article/2024/may/14/joe-biden-tariff-chinese-made-electric-vehicles
[3] https://apnews.com/article/biden-china-tariffs-electric-vehicles-solar-254546e92f823a78220c195a0a42a10e
[4] https://www.bruegel.org/analysis/rippling-out-bidens-tariffs-chinese-electric-vehicles-and-their-impact-europe
[5] https://www.bbc.com/news/business-69004520
💰Join Import & Export Facebook Group
Join Import & Export Telegram Group📈
Related Posts
None found