U.S Lawmakers Want Biden To Hike Tariffs On Chinese-made Cars To Stop Them From Flooding The Market

US lawmakers want Biden administration to hike tariffs on Chinese-made vehicles to prevent them from flooding the market.

These lawmakers urged U.S. Trade Representative Katherine Tai in a letter to boost the current 25% tariff on Chinese vehicles.

The 25% Chinese auto tariffs were imposed during President Trump’s administration and extended by the Biden administration.

Automakers in US, under the Alliance for Automotive Innovation (AAI), have also raised concerns about Chinese automakers.

A group of U.S. lawmakers wants the President Biden administration to hike tariffs on Chinese-made vehicles and investigate ways to prevent Chinese companies from exporting from Mexico, according to a report from Reuters.

The lawmakers urged U.S. Trade Representative Katherine Tai in a letter to boost the current 25% tariff on Chinese vehicles, which were imposed during President Trump’s administration and extended by the Biden administration.

“It is critical that tariffs on [Chinese] automobiles not only be maintained but also increased to stem the expected surge in [Chinese] imports,” reads an extract from the letter seen by Reuters.

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The letter also said the United States “must also be prepared to address the coming wave of (Chinese) vehicles that will be exported from our other trading partners, such as Mexico, as (Chinese) automakers look to strategically establish operations outside of (China) to take advantage of preferential access to the U.S. market through our free trade agreements.”

Automakers in the United States, including Toyota, Ford, Volkswagen and GM, under the Alliance for Automotive Innovation (AAI), have also raised concerns about Chinese automakers.

President and CEO of AAI, John Bozzella, said in June proposed U.S. environmental regulations could let China gain “a stronger foothold in America’s electric vehicle battery supply chain and eventually our automotive market.”

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