The administration of President Joe Biden is considering an increase in tariffs on Chinese electric vehicles and other goods in an effort to make American clean energy products more competitive, according to individuals familiar with the matter.
Officials from the White House and various Cabinet agencies have been debating whether to raise tariffs on certain Chinese exports, sources said.
These discussions are part of deliberations that have spanned years and began shortly after Biden took office.
Some members of the administration would like the debate to conclude early next year, according to these individuals, who spoke on condition of anonymity to describe private deliberations.
The Wall Street Journal previously reported on the discussions.
Spokespersons for the White House National Security Council and the Treasury Department declined to comment on the ongoing review.
The U.S. Trade Representative’s office did not respond to a request for comments.
Biden left in place the tariffs on around $300 billion of Chinese products imposed by President Donald Trump.
The Biden administration initiated a review of the tariffs nearly three years ago, but internal divisions have prevented his team from reaching a consensus on tariff policy.
Tariff levels have remained unchanged as Biden pursued a thaw in U.S.-China relations with President Xi Jinping.
This culminated in a meeting last month outside San Francisco where they agreed to curb the illicit fentanyl trade and restore communications between militaries.
Raising tariffs further on Chinese electric vehicles could have minimal impact on the U.S. market.
These vehicles are already subject to a 25% tariff, hindering Chinese companies from gaining traction among American consumers.
In a sign of escalating competition in clean energy, China announced on Thursday a new export ban on rare earth mineral processing technology.
This move could make it challenging for the U.S. and its allies to increase the supply of raw materials necessary for batteries and other technologies.
