U.S. mulls lifting some China tariffs to fight inflation
By Kanishka Singh
WASHINGTON (Reuters) – U.S. Commerce Secretary Gina Raimondo mentioned on Sunday that President Joe Biden has requested his group to have a look at the choice of lifting some tariffs on China that have been put into place by former President Donald Trump, to fight the present excessive inflation.
“We’re taking a look at it. In truth, the president has requested us on his group to investigate that. And so we’re within the technique of doing that for him and he should make that call,” Raimondo advised CNN in an interview on Sunday when requested about whether or not the Biden administration was weighing lifting tariffs on China to ease inflation.
“There are different merchandise – family items, bicycles, and many others – and it might make sense” to weigh lifting tariffs on these, she mentioned, including the administration had determined to maintain a few of the tariffs on metal and aluminum to guard U.S. staff and the metal business.
Biden has mentioned he’s contemplating eradicating a few of the tariffs imposed on a whole bunch of billions of {dollars} price of Chinese language items by his predecessor in 2018 and 2019 amid a bitter commerce warfare between the world’s two largest economies.
China has additionally been arguing that tariff reductions would minimize prices for American customers.
Raimondo additionally advised CNN she felt the continued semiconductor chip scarcity might doubtless proceed till 2024.
“There may be one resolution (to the semiconductor chip scarcity)”, she added. “Congress must act and move the Chips Invoice. I do not know why they’re delaying.”
The laws goals to ramp up U.S. semiconductor manufacturing to provide the USA extra of a aggressive punch towards China.
Raimondo mentioned she disagreed with the characterization that Biden’s $1.9 trillion American Rescue Plan had contributed to the present excessive inflation. Congress handed the COVID-19 aid package deal a yr in the past earlier than it was signed into legislation, marking a signature achievement of Biden’s first yr in workplace.
(Reporting by Kanishka Singh in Washington; Enhancing by Nick Zieminski)
