US Delays China Tariffs Scheduled for August by at Least Two Weeks

The U.S. government has decided to delay the planned tariff increase on Chinese-made electric vehicles and other products, which was scheduled to take effect from the 1st of next month, by more than two weeks.

The U.S. Trade Representative (USTR) stated on the 30th (local time) that it is continuing to review over 1,100 comments submitted regarding tariffs on China.

USTR said, "USTR is continuing to review all comments in consultation with the Section 301 Committee, and the final decision is expected to be made in August." Regarding the new tariffs on China, it explained, "They will take effect about two weeks after the final decision is announced."

Earlier in May, the Biden administration announced it would raise tariffs on $18 billion (approximately 24.93 trillion won) worth of Chinese imports, including steel, aluminum, semiconductors, electric vehicles, and solar panels, in response to China's overproduction and unfair trade practices.

USTR stated that the tariff increases on electric vehicles, semiconductors, batteries, and medical supplies will take effect from August 1.

Accordingly, tariffs on Chinese-made electric vehicles were expected to rise from 25% to 100%. Lithium-ion electric vehicle batteries will also see an increase from 7.5% to 25%, among others.