The Biden administration’s new measures against Chinese imports risks creating a doom-loop of declining American competitiveness.
President Joe Biden signs a memorandum on increasing tariffs on China under Section 301 of the Trade Act of 1974, May 14, 2024, in the White House Rose Garden. Credit: The White House Photo/Carlos Fyfe via Facebook
Earlier this week, the Biden administration announced dramatically higher tariff rates on a range of imports from China, focusing on batteries, strategic minerals, and electric vehicles, but also including steel, personal protective equipment and semiconductors. These tariffs are likely to impose a number of costs on the American public without meaningful medium term benefits; a much better policy mix of additional subsidies, favorable tax policies, and some non-tariff barriers would produce sim
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