Biden ramps up trade battle: Higher tariffs on China, blocks steel deal
On Wednesday, President Joe Biden of the USA called for a triple tariff increase on Chinese steel and aluminum. This move responds to the dumping of these products on the American market. He also promised to block the planned acquisition of US Steel by Japanese company Nippon Steel.
6:07 AM EDT, April 18, 2024
While visiting Pittsburgh and addressing steel industry union members, Biden accused China of unfair trade practices. He highlighted the issue of China subsidizing the overproduction of steel, which is subsequently exported to Western markets at dumping prices.
"The U.S. Trade Representative, Katherine Tai, is investigating the Chinese government's trade practices regarding steel and aluminum. If that investigation confirms these anti-competitive trade practices, then I’m calling on her to consider tripling the tariff rates for both steel imports and aluminum imports from China," Biden declared.
This potential increase follows the implementation of a 25 percent tariff on steel and a 10 percent tariff on aluminum by former President Donald Trump in 2018. Despite some business sectors urging to reduce trade barriers, Biden has maintained these tariffs. When questioned about the risk of a trade war with China before his visit to Pittsburgh, the president assured there would be no such conflict.
Biden: Blocking the takeover of an iconic company
At the event in Pittsburgh, the location of US Steel, the largest American steel company, Biden reiterated his commitment to prevent the company's acquisition by Nippon Steel, its Japanese competitor. He described US Steel as an "iconic company" with a history spanning over a hundred years that should remain under American ownership with American union workers.
Biden’s remarks are strategically aimed at appealing to a critical voter base in Pennsylvania, a key battleground state for the upcoming presidential election in November.
