(VitalNews.org) – President Joe Biden has inquired with the United States Trade Representative to triple China’s tariff rate on products like steel and aluminum imports. The president is currently in Pennsylvania visiting the United Steelworkers Headquarters in Pittsburgh. The current tariff on steel and aluminum is 7.5% and Biden is looking to triple it.
Treasury Secretary Janet Yellen recently raised concerns that China was creating an oversupply of clean energy products such as electric vehicles and solar panels. Her concern with this is that with an oversupply, they will be dumped out at cheaper prices which could throw off competition.
Chinese officials have denied the claims that they are overproducing clean energy items and that the supply they have of these clean energy products is a result of “constant innovations” instead of government subsidies.
Lael Brainard, the National Economic Council Director, said “China’s policy-driven overcapacity poses a serious risk to the future of the American steel and aluminum industry.” He continued, “China cannot export its way to recovery. China is simply too big to play by its own rules.”
After years of no communication following Trump’s term, Biden has tried to repair the relationship with China and open more communication with them. With this, it’s been difficult to have that kind of relationship when the administration is accusing China of this and raising tariffs as a result.
There’s been a bit of concern behind the potential inflation that could come after raised tariffs, but multiple officials under the Biden Administration have said this is not the case. “The president will make that clear again. He has told the steelworkers he will have their backs and he means it,” a Senior Administration Official said.
Biden has also spoken out about his stance on selling U.S. Steel, which he said would not happen. He explained that it’s important for U.S. Steel to remain domestically owned and operated and therefore the sale to Japan’s Nippon Steel would not happen.
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