Biden Administration Delays Decision on Chinese Tariffs

The Biden administration has once again delayed its final determination on increased U.S. tariffs on Chinese-made electric vehicles, batteries, semiconductors, and solar cells. The decision, initially scheduled for August 1 but now pushed past August 31, follows extensive talks with senior Chinese officials and over 1,100 industry public comments.

The Biden administration has delayed announcing its final decision on steep U.S. tariff hikes for Chinese-made electric vehicles, batteries, semiconductors, and solar cells. The U.S. Trade Representative's Office needs more time to develop their final determination regarding the proposed changes to the tariffs imposed under the Trump administration in 2018 and 2019.

This recent delay comes in the wake of White House National Security adviser Jake Sullivan's diplomatic visit to Beijing, meeting with senior Chinese officials, including President Xi Jinping. Both sides acknowledged the importance of managing the U.S.-China relationship amid trade tensions. The administration's decision-making process involves assessing several factors, including over 1,100 public comments from the industry.

The initial higher duties set to take effect on August 1 have been postponed multiple times, and the new deadline extended past August 31. Vice President Kamala Harris's stance on easing tariffs has spurred debate, especially with criticism from Republicans who view this as a softer approach towards China. The administration faces pressure from industries concerned about rising costs and national dependencies on Chinese imports, such as graphite for EV batteries and giant port cranes.

(With inputs from agencies.)