U.S. Delays Tariff Increases on Chinese Imports

The U.S. Trade Representative's office announced a two-week delay for steep tariff increases on various Chinese imports, including electric vehicles, computer chips, and medical products. President Joe Biden has maintained some tariffs from the Trump era while increasing others significantly. The changes impact $18 billion in imported goods.

The U.S. Trade Representative's office announced on Tuesday a two-week delay on the implementation of steep tariff increases for a variety of Chinese imports, such as electric vehicles, computer chips, and medical products.

The tariffs, initially set to take effect on August 1, are now under further review following the receipt of 1,100 comments. The final determination is expected in mid-August, with the tariffs becoming effective two weeks afterward.

In May, President Joe Biden chose to maintain tariffs established by former President Donald Trump, while significantly increasing import duties on other items, including a quadrupling of tariffs on Chinese electric vehicles to over 100% and doubling semiconductor duties to 50%.

The USTR is also seeking input on whether proposed tariffs on medical products should be increased. The measures aim to protect American jobs by mitigating the impact of cheaper Chinese imports, as the U.S. continues to invest in clean energy and other new industries.

The new tariffs affect $18 billion worth of Chinese imports, including lithium-ion batteries, steel, aluminum, and solar cells. Experts highlight the potential political implications, particularly concerning electric vehicles, whose imports from China are minimal.

(With inputs from agencies.)