President Biden is set to announce an increase in tariffs on steel and aluminum products from China, aiming to protect American manufacturers from an influx of low-cost imports. The move, which will be announced during a speech to the United Steelworkers Union in Pittsburgh, calls for tariffs to be raised to 25 percent on certain Chinese products that currently face lower tariffs or no tariffs at all. The president will also launch a trade representative investigation into China’s support for shipbuilders and announce initiatives to work with Mexican officials to prevent China from circumventing American steel tariffs through Mexico.
The decision to raise tariffs on Chinese steel and aluminum products is part of President Biden’s efforts to combat the surge of low-cost Chinese exports that are threatening American-made products. These exports, which receive subsidies and benefit from low-cost labor in China, have raised concerns in the United States and other nations about Chinese authorities’ disregard for international trade laws and the impact on domestic manufacturing. U.S. officials have criticized China’s manufacturing overcapacity and its unfair advantage in global markets due to subsidies. Treasury Secretary Janet Yellen emphasized the importance of addressing these issues to protect American firms and allied countries from being put out of business by Chinese competition.
In addition to imposing tariffs, the Biden administration is also engaging in diplomatic efforts to address trade issues with China. Treasury Secretary Yellen recently traveled to China for meetings, and Defense Secretary Lloyd J. Austin III spoke with his Chinese counterpart for the first time in over a year. President Biden has also held a White House security summit with leaders from Japan and the Philippines to show unity against China’s military actions in the South China Sea. The president’s stance on countering China is also a key issue in his ongoing rivalry with former President Donald J. Trump, both of whom are pushing for tariffs and trade restrictions to appeal to voters in industrial states like the Midwest.
The tariffs that President Biden is proposing to increase were initially implemented by former President Trump and are currently under review by the Biden administration. The review is expected to be completed soon, according to U.S. officials. Biden’s visit to Pittsburgh is part of a broader tour of Pennsylvania, a crucial battleground state that he narrowly won in 2020. The president is seeking to mobilize support from organized labor, a traditional Democratic constituency that has seen some support shift to Trump in recent years. During his visit, Biden delivered attacks against Trump, portraying him as a pawn of billionaires and emphasizing his own roots in the working-class town of Scranton.
The upcoming announcement of increased tariffs on Chinese steel and aluminum products reflects President Biden’s ongoing efforts to protect American manufacturers from unfair competition. By addressing concerns about Chinese subsidies and overcapacity, the Biden administration is working to level the playing field for American firms and prevent the disruption of domestic manufacturing. Through diplomatic engagement with China and cooperation with allied countries, President Biden is seeking to address trade issues and counter Chinese economic practices that threaten global markets. The decision to raise tariffs is also a key component of Biden’s strategy to appeal to voters in industrial states and mobilize support from labor unions in the lead-up to the 2024 election.
