China hits back as US proposes new tariffs for ‘unfair’ tech-transfer policies that ‘burden’ US commerce
- Tariffs would rise to 100 per cent from 27.5 per cent on EVs and to 50 per cent on semiconductors and solar cells
- Ministry of Commerce says Washington ‘should immediately correct its wrongdoing and cancel the additional tariffs’
Washington’s proposal on Tuesday to increase tariffs on imports of Chinese semiconductors, electric vehicles (EVs), steel and batteries drew a swift rebuke from Beijing, with allegations that the “political” decision further deteriorates already frayed ties between the world’s two largest economies.
“The US side is coming from political considerations” the Chinese Ministry of Commerce said in a statement on its website. “Specifically, it’s a typical political play, and the Chinese side expresses strong dissatisfaction.”
To press Beijing over technology-transfer issues, tariffs would rise to 100 per cent from 27.5 per cent on Chinese EVs and to 50 per cent on its semiconductors and solar cells, according to 14 proposed increases released by the US president’s executive office. Tariffs on lithium-ion vehicle batteries and battery parts would rise to 25 per cent. The US also proposed Increasing tariffs to 25 per cent on steel and aluminium products.
The increases are expected to be implemented from this year through 2026, depending on the items.
In response, Beijing’s Ministry of Foreign Affairs spokesman Wang Wenbin said China would take “full necessary measures to safeguard its legitimate rights and interests”.
And in its separate statement, the Ministry of Commerce accused the US of “making mistakes again and again” and said the proposed tariff hikes violate President Joe Biden’s commitments to avoid decoupling from China and “not to seek to suppress and contain China’s development”.