Sunday, May 26

President Biden Plans to Triple Steel and Aluminum Tariffs on China

Washington, 18th April 2024: In response to concerns raised by labor unions regarding the impact of cheap Chinese exports on the U.S. steel industry, President Joe Biden is set to triple tariffs on steel and aluminum imports from China.

Biden, speaking to the United Steelworkers union in Pittsburgh, Pennsylvania, emphasized the need for action against what he called cheating by Chinese steel companies. He highlighted the damage caused by unfairly low-priced Chinese steel products in the American market.

Biden’s proposal to increase tariffs on steel and aluminum imports from China aligns with his efforts to support the U.S. steel industry and create manufacturing jobs. The move also aims to address China’s heavy subsidization of its steel companies, which have been flooding global markets with low-priced steel products.

The tariff hike plan by President Biden reflects his commitment to protecting American industries and workers. The proposal echoes previous actions taken under the “America First” trade approach. This includes the Section 232 tariffs implemented by former President Trump and the current administration’s exploration of tripling tariff rates under Section 301 of the Trade Act of 1974.

The Biden administration’s review of existing tariff rates on Chinese steel derivatives indicates a push to normalize tariffs across various steel products imported from China. This move is expected to level the playing field for U.S. steel producers and combat unfair trade practices.

While the proposed tariff increase may have a minimal economic impact on Chinese steel and aluminum imports, it is seen as a strategic move to gain support from key battleground states and shore up union backing. The protectionist sentiment driving these tariffs reflects a broader shift in trade policy, as both Republican and Democratic administrations look to safeguard domestic industries.

In addition to addressing Chinese imports, President Biden’s administration is also collaborating with Mexico to prevent circumvention of tariffs through third-party exports. The focus on fair trade practices extends to investigating Chinese shipbuilding industry practices to ensure a level playing field for American manufacturers.

Despite concerns raised by the Chinese government regarding the tariff increase, President Biden remains steadfast in his commitment to protecting American industries and workers. The proposed tariffs against China underscore the administration’s efforts to promote fair trade and strengthen the U.S. steel industry.

The upcoming decisions on tariff rates and trade relations with China will have significant implications for the U.S. steel market and its global competitiveness. President Biden’s actions signal a shift towards a more assertive trade policy that prioritizes American interests and fair competition in the steel and aluminum sectors.