Joe Biden Increases Tariffs on Imports of Electric Vehicles and Other Chinese Goods

Joe Biden, the President of the United States, on Tuesday, May 15, increased tariffs on imports of electric vehicles, solar panels, steel, aluminum, medical equipment, and other goods made in China. The U.S. President stated that the Chinese government gives an unfair advantage in global trade by subsidizing loss-making companies in the country. Speaking in the Rose Garden of the White House, Biden said, "American workers can outpace and compete with anyone as long as the competition is fair. But it has not been fair for a long time." He added, "For years, the Chinese government has been pouring government money into Chinese companies. This is not competition; it is cheating." According to White House estimates, the new tariff increase will affect $18 billion worth of imported goods from China. China criticized the sharp increase in tariffs on electric vehicle imports to the U.S. Previously, tariffs on electric vehicles imported from China to the U.S. were about 27.5%, but now they have reached 100%; a lever used to challenge Beijing's pricing practices (offering goods at low and uncompetitive prices in global markets) and to impose a 40% tariff on imports of American vehicles. China has been accused by the European Union and the U.S. of undermining fair competition for Western products in global markets through price dumping and government subsidies. Biden also responded to criticisms from former President Donald Trump regarding his administration's approach. Biden stated that the Trump administration failed to address the Chinese government's abuses in trade with the U.S. during his presidency. Caroline Levitt, a spokesperson for Trump's campaign, described Biden's new tariffs on Chinese goods as a "weak and futile attempt" to distract from Biden's support for the electric vehicle industry in the U.S. She emphasized that Biden's support for the electric vehicle industry would lead to the destruction of the American auto industry. Meanwhile, the Chinese Foreign Ministry criticized the U.S. government's actions before the new tariffs were signed. Wang Wenbin, a spokesperson for the Chinese Foreign Ministry, told reporters on Tuesday that China has always opposed unilateral tariff increases. He added that the U.S. action violates World Trade Organization rules, and China will take all necessary measures to protect its legal rights and interests. Chinese customs statistics show that last year, China exported $501 billion to the European Union and imported only $282 billion from the 27 member states of the union. On the other hand, while China exported $500 billion to the United States, its imports from the U.S. were only $164 billion.