Joe Biden Increases Tariffs on Chinese EVs and Solar Panels – Here’s Why?

Joe Biden Increases Tariffs on Chinese EVs and Solar Panels – Here’s Why?

The US is typically rushing to affect economic growth in some way or another. People all over the globe have witnessed the unstoppable fire between the two countries. However, the recent decision by the US authorities is going to tense the relationships between both countries. Let’s spill the news: “Biden Increases Tariffs on Chinese EVs, Solar Panels and More.” The US has decided to Impose a 102.5% Tax on Chinese EVs, which will be an extremely difficult stance against China.

Biden Increases Tariffs on Chinese EVs

The US government decision covering the headline, “Biden Increases Tariffs on Chinese EVs, Solar Panels,” has created an inflamed environment. It has fueled the controversial drama regarding the presidential election of the United States of America.

On the other hand, it can also initiate an aggressive trade war. The unexpected 102.5% Tax on Chinese EVs will severely impact consumers’ global resources and revenue. Moreover, there is a high chance it will result in disturbed supply chains worldwide.

Biden Increases Tariffs on Chinese EVs
Biden Increases Tariffs on Chinese EVs

Is the US Stopping China’s Rise in Upcoming Years?

The United States of America and the Biden Administration are announcing a futuristic plan to pause China’s unstoppable economic rise. Undoubtedly, China has raised the trading standard globally with its exceptional manufacturing and trusted supplying techniques.

The US government justifies this situation by stating that they are just addressing the issue to spoil China’s high-end ambitions. They predict that their control of technological advancements in the near future will harm other developed countries.

Is the US Stopping China’s Rise in Upcoming Years?
Is the US Stopping China’s Rise in Upcoming Years?

Furthermore, Beijing’s subsidies deform the global markets, which is highly concerning for Europe and Gulf countries. Plus, the rapid growth of Chinese trade ethics is a strong threat against US workers. Meanwhile, the 102.5% Tax on Chinese EVs can result in a secure working environment for US manufacturers, workers, and designers, potentially increasing market value and leading to better pricing.

102.5% Tax on Chinese EVs

Well, this sudden hike in tariffs, aka 102.5% Tax on Chinese EVs, is going to last for the span of the next 3 years. It is preferred by the previous US administration as well. However, Joe Biden is much more involved in bringing a shift in the economic landscape.

Perhaps we will not experience a sudden impact, but gradually, it will dramatically affect almost all the business and industrial sectors. Whereas few of the particular industries might not even last by the start of 2025.

Previously, the tax was only 27.5%, but now it has hiked almost three times, which will primarily affect the EV (electric vehicle industry). Moreover, China was clearly leading in the solar industry; it wouldn’t be wrong to say that China was the only “King manufacturer” of the solar sector. By introducing and distributing such technology in several countries around the world, China has significantly impacted the revenue and lifestyle of millions.

102.5% Tax on Chinese EVs
102.5% Tax on Chinese EVs

Statistics – “Biden Increases Tariffs on Chinese EVs, and Solar Panels”

  • The 102.5% Tax will be imposed on 18 Billion US Dollars worth of products in China
  • Initially, it will impact 0.01% on inflation
  • The EV industry will also be impacted by a significant jump in prices approximately 60% more
  • The solar industry will be hiked by 50%
  • Whereas the US imposed a 25% Tax on Aluminum and Steel products as well

European Concerns – 102.5% Tax on Chinese EVs

China’s supreme ambitions are unmatchable. Surprisingly, the US is not the only country against constant economic growth and industrial superiority in China. European countries also share the same concerns and are looking to impose strict policies against China. Global stress and anxiety are reshaping the international trading system. China has to deal with the situation potentially; otherwise, it could harm its markets.

Joe Biden’s New Strategy to Deal with Economic Dominance of China
Joe Biden’s New Strategy to Deal with Economic Dominance of China

China as a Political Football in a Polarized Nation

Former President Trump and current President Biden have both taken actions to increase tariffs on Chinese electric vehicles (EVs) and solar panels. While Biden decided to implement high taxes to protect the US’s economic interests and political influence, Trump had previously proposed even stricter and more aggressive tariffs that could have led to global trade disruptions, given that over 60% of global trade relies on Chinese business.

Wrapping up – “Biden Increases Tariffs on Chinese EVs, Solar Panels”

In conclusion, President Joe Biden’s decision to significantly increase tariffs on Chinese electric vehicles and solar panels marks a bold move in the ongoing economic struggle between the US and China. The 102.5% tax hike, aimed at curbing China’s rapid industrial growth and protecting American industries, will undoubtedly have far-reaching implications. While the immediate impact on inflation might be minimal, the long-term effects could reshape global supply chains and market dynamics

Stay tuned to digialpsbusiness.com to get updated on further details and how it will affect your wallet in the near future.

One Response

Leave a Reply

Your email address will not be published. Required fields are marked *