The decision -- which drew a fiery response from Beijing -- comes as President Joe Biden gears up for a re-run of his 2020 contest with Republican rivalThe tariff rate on EVs is set to quadruple to 100 percent this year while the tariff for semiconductors will surge from 25 percent to 50 percent by next year, the White House said.
The tariff rate on natural graphite and some other critical minerals will surge from zero to 25 percent, and that on solar cells doubles to 50 percent.But some tariff hikes, such as on non-EV lithium-ion batteries, take effect later to allow for a transitional period as the country builds up its domestic battery production, a senior US official said on condition of anonymity.
The levies will ensure that investments in jobs, spurred by Biden's policies, are not undercut by"underpriced exports from China," National Economic Advisor Lael Brainard said. Brainard also took aim at the Trump administration, saying it"failed to follow through" with investments, and to ensure China complied with a deal marking a truce in the trade war."It is really a signal to US automakers that the Biden administration is protecting the industry from Chinese EVs," he told AFP.