The Biden administration is set to quadruple tariffs on imports of Chinese electric vehicles (EVs) from 25 percent to 100 percent in a major escalation of the economic war being waged over the development of computers chips and green technology products.
Chinese smartphone maker Xiaomi displays its Xiaomi SU7 electric car in Beijing, Tuesday, March 26, 2024. [AP Photo/Ng Han Guan]
The proposed hike in EV tariffs, under Section 301 of the 1974 Trade Act, has been reported by the Wall Street Journal, Bloomberg and the Financial Times (FT) in recent days and could be invoked as early as today.
While Chinese EV exports to the US are not of major size at this stage—as its producers have focused more on the European market—the mooted tariff hike is a pre-emptive strike aimed at blocking access to the American market in the future.
Outlining the driving forces of the move, former US trade…
