Biden finalizes China tariff hikes

[QChawks]

The Office of the U.S. Trade Representative finalized its plan Friday to raise tariffs on a slew of goods made in China, largely adopting hikes it first proposed in May.

The heightened tariffs go after strategic product categories, including electric vehicles, batteries, critical minerals, semiconductors and solar cells. The final tariff structure includes 14 product categories that cover thousands of items.

The first tariff hikes are set to go into effect on Sept. 27, with the next increase dates at the start of 2025 and 2026.

The Biden administration’s dramatic hikes for this year include a 100% tariff on electric vehicles, a 25% tariff on lithium-ion EV batteries and a 50% tariff on photovoltaic solar cells. A 50% tariff on semiconductors made in China will go into effect in 2025.

The final plan provides additional relief for ship-to-shore cranes, which are set to get a 25% tariff that begins this year. The final structure will allow exclusions for cranes ordered prior to May 14, 2024 and that enter the country before May 14, 2026.

The updated structure hones in on increased tariff rates for medical supplies.

The administration initially proposed a 25% tariff on face masks — that increase will still go into effect this year, now followed by a 50% tariff in 2026. USTR took similar action on medical gloves, upping its initial 25% tariff proposal to a 50% tariff in 2025 and a 100% tariff in 2026.

Finally, it decreased the number of allowed exclusions for solar manufacturing equipment from 19 to 14. It eliminated five exclusions for solar manufacturing module equipment.

The federal agency had previously pledged to finalize the new tariff structure by the end of last month, delaying the process by two weeks.

 

[millah_22]

I was told by the right wing candidate that he wasn't doing anything in the white house.

 

[seminole97]

I was told by the right wing candidate that he wasn't doing anything in the white house.

I was told by left wingers on this board that tariffs are terrible economic policy, yet the Biden admin is doubling down on them.

What do the latest talking points say?

 

[TJ8869]

Now we wait to see who China targets with their retaliatory tariffs.

 

[DogBoyRy]

Now we wait to see who China targets with their retaliatory tariffs.

Food probably

 

[QChawks]

Food probably

that's fine

as long as it's not Iphone's

 

[seminole97]

Don’t look now, moar Biden tariffs:

On Thursday, the White House announced new measures - largely aimed at Chinese e-commerce platforms such as Temu and Shein - aimed at reducing the range of low-value imports eligible for duty and tax exemptions. The new tariffs expand on Trump-era tariffs on China that the Biden administration kept in place, SCMP reports:

In 2018, then president Donald Trump imposed tariffs of 7 to 25 per cent on US$300 billion of Chinese imports under Section 301 of the Trade Act of 1974, citing “unfair” trade practices.
His successor Joe Biden retained most of these tariffs and expanded them to include Chinese solar panels, electric vehicles and batteries – with tariffs on electric vehicles reaching up to 100 per cent. -SCMP
Last June, a House Select Committee report on the CCP concluded that Temu and Shein alone are likely responsible "for more than 30 per cent of all packages shipped to the United States daily under the de minimis provision."

According to a fact sheet released by the Biden administration, the number of annual shipments coming into the US under the de minimis rule has gone from roughly 140 million a decade ago to over 1 billion as of last year.

"That is just too high a volume for our officials to be able to target and block the shipments that are unsafe, illegal, or violate our laws in any other way, or are unfairly traded," said a senior Biden administration official, who added "We are very concerned about large foreign companies exploiting the de minimis loophole in unprecedented ways, creating a scale and volume that we believe constitutes abuse."

 

[DooBi]

Lol

 

[hawkeyetraveler]

I was told by left wingers on this board that tariffs are terrible economic policy, yet the Biden admin is doubling down on them.

What do the latest talking points say?

I am one of those that said tariffs are usually bad. And they are. I don’t like Trump’s proposal and I don’t like what Biden is doing. This will raise the costs for many of those goods. It is inherently inflationary.

 

[seminole97]

I am one of those that said tariffs are usually bad. And they are. I don’t like Trump’s proposal and I don’t like what Biden is doing. This will raise the costs for many of those goods. It is inherently inflationary.

In and of itself, these measures don’t create money, and thus don’t create inflation.
To raise the general price level you have to increase the monetary pool.
Prices for good A increasing without an increase in the monetary pool just means less money to afford goods B-Z, it doesn’t also raise their price.
Increasing the monetary pool changes the relative exchange rate of goods A-Z, increasing prices - the symptom we now call inflation (which originally referred to the increasing monetary pool).

 

[Dr. Phil Seuss]

I am one of those that said tariffs are usually bad. And they are. I don’t like Trump’s proposal and I don’t like what Biden is doing. This will raise the costs for many of those goods. It is inherently inflationary.

We are divesting from China. The decision was made long ago. Their skilled labor is no longer cheap enough. And they’re a shitbag IP thief. We are building up domestic high tech production and Mexico can absorb vast amounts of manufacturing sectors.

 

[Hoosierhawkeye]

Meh not a fan, although this is a big favor to Elon.

 

[Obviously Oblivious]

We are divesting from China. The decision was made long ago. Their skilled labor is no longer cheap enough. And they’re a shitbag IP thief. We are building up domestic high tech production and Mexico can absorb vast amounts of manufacturing sectors.

Agreed, and that's why I do support these strategically targeted tariffs. Generally speaking though, I'm not big fan of using tariffs to try and even the trading field.