President Joe Biden drastically increased tariffs on Chinese electric vehicles as a way to protect yourself the US auto industry’s unspectacular electric vehicle effort like lots of novel economical boats electric vehicles from China not reach our shore. White House announced it is imposing tariffs on $18 billion worth of Chinese goods – including a 100 percent tax Electric vehicles made in China. Cholera.
Of course, electric vehicles are not the only target. Biden administration novel tariffs also hit lithium batteries, solar cells AND semiconductorsAccording to Business expert. Tariff escalate on Chinese electric vehicles is drastic – a jump from 25 to 100 percent. This will certainly bring some relief to a very nervous (and rightly so) automotive industry in the USA who doesn’t want to deal with economical and Good Chinese electric vehicles.
Only in some context, the previous rate of 25% was already too costly for most people Chinese car manufacturers to justify vehicle sales in the U.S., so 100 percent could almost be considered an exaggeration. In China, BYD sells cars for as little as $11,000. As great as that would be, it will never happen here.
Some believe these novel tariffs will kill competition from automakers who care electric vehicles – further escalation of tensions between the US and China. WITH Related press: :
The strategy further escalates tensions with the U.S. government, which says it is determined to strengthen its own production to compete with China while avoiding a larger conflict.
“China’s factory-led recovery and delicate consumption growth, which translate into excess production capacity and an aggressive search for foreign markets, combined with the upcoming US election season, create the perfect recipe for escalating US trade factions with China,” he said. Eswar Prasad, professor of trade policy at Cornell University.
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The Democratic Biden administration sees China subsidizing its own production as an attempt to globally control the electric vehicle and neat energy sectors, while it says its own industrial support is aimed at ensuring domestic supplies to assist meet U.S. demand.
“We are not seeking global manufacturing dominance in these sectors, but because these are strategic industries and because of the resilience of our supply chains, we believe we want to make sure we have vigorous and busy businesses,” Secretary Janet Yellen said.
Tensions go far beyond the trade dispute to deeper questions about who leads the global economy as a seemingly irreplaceable nation. China’s policies could make the world more dependent on its factories, possibly giving it greater influence in geopolitics. At the same time, the United States says it tries to ensure that countries operate under the same standards so that competition can be fair.
China maintains that the tariffs violate global trade rules that the United States originally helped establish through the World Trade Organization. She accuses the United States of further politicizing trade issues and on Friday said the novel tariffs deepen problems caused by tariffs the Trump administration previously imposed on Chinese goods and which Biden has kept in place.
Can I get a “yike” in the chat, people?
The idea of novel tariffs gained momentum as reports spread that Chinese automakers such as Cherry BYD and MG were there plans to build factories in MexicoAccording to Business expert. This gap in entry into the U.S. vehicle market has clearly spooked lawmakers in D.C. and across the country.
Looking to the future November presidential electionsthese tariffs are still not as far-reaching as those proposed by former president Donald Trump. He reportedly said that if he wins the 2024 election, he will impose a 60 percent tax on all Chinese imports. Frigid.
Right now it all looks like a bunch of senior people are trying to catch up with much more competent products by, well, cheating, and the only people who are really hurt are American consumers.
