US imposes new tariffs on Chinese imports

100% duty on EVs, higher tariffs on key goods to start on Sept 27

WASHINGTON:

The Biden administration on Friday locked in steep tariff hikes on Chinese imports, including a 100% duty on electric vehicles, to strengthen protections for strategic domestic industries from China's state-driven excess production capacity.

The US Trade Representative's (USTR) said that many of the tariffs, including a 100% duty on Chinese EVs, 50% on solar cells and 25% on steel, aluminium, EV batteries and key minerals, would go into effect on September 27.

The USTR determination, published on Friday but first reviewed by Reuters, showed a 50% duty on Chinese semiconductors, which now include two new categories, polysilicon used in solar panels and silicon wafers, are due to start in 2025.

Adjustments to the punitive "Section 301" tariffs on $18 billion worth of goods announced in May by President Joe Biden were minimal and disregarded auto industry pleas for lower tariffs on graphite and critical minerals needed for EV battery production because they are still too dependent on Chinese supplies.

USTR left unchanged the tariff increase to 25% from zero on lithium-ion batteries, minerals and components, with the increase for batteries for EVs taking effect September 27 and those for all other devices, including laptops and cell phones, on January 1, 2026.