The US President, Joe Biden, is increasing taxes on certain goods imported from China, such as:
- Electric cars ( 100%)
- Solar panels (from 25% to 50%)
- Steel and aluminum products (up to 25%)
This is seen as a way to protect US jobs and respond to China's unfair trade practices. However, China opposes these tax increases and has threatened to retaliate. Analysts believe this move is largely symbolic and aimed at gaining support in the upcoming election. The tariffs will affect approximately $18 billion worth of imports.
The US government is keeping and expanding taxes on Chinese goods, despite businesses saying it increases prices for Americans. This decision shows a big change in how both political parties think about trade. They used to support global commerce, but now prioritize protecting US companies and jobs. An expert, Wendy Cutler, believes Americans are willing to pay more for cars if it helps US industries succeed in the long run. It's about making trade-offs for a stronger future.
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