US Energy Secretary Jennifer Granholm said Tuesday that increasing import duties on Chinese electric vehicles (EVs) to more than 100% in August is crucial to the local auto industry's health.
US Energy Secretary Agrees on Higher Tariffs on Chinese EVs
According to Reuters, Jennifer Granholm emphasized the necessity of this move to support the US auto industry, comparing the situation to past challenges faced by the American solar panel sector.
Granholm noted that the government must protect its emerging industries and highlighted Washington's significant investment in clean energy tax subsidies to enhance US EV production and other green industries.
The Biden administration believes that China's production capacity in these sectors threatens the competitiveness of American companies.
Joe Biden's Tariffs on Chinese Imports
The administration of President Joe Biden has quadrupled these tariffs, which will take effect on August 1, to protect American jobs from a surge of inexpensive Chinese imports.
Jennifer Granholm dismissed concerns that keeping lower-priced Chinese EVs out of the US market would hinder American automakers from lowering prices. She noted that domestic manufacturers are already striving to make EVs more affordable.
Addressing political opposition, Granholm asserted that repealing EV tax credits would harm harm autoworkers, especially in Republican-voting states. She expressed confidence that the business community would oppose any attempts to eliminate these tax credits.
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