US Trade Chief Tai Praises Canada’s New Tariffs on China

30 Aug, 2024

US Trade Chief Tai Praises Canada’s New Tariffs on China

U.S. Trade Representative Katherine Tai has strongly endorsed Canada’s decision to impose significant tariffs on Chinese electric vehicles and metals. Canada will introduce a 100% tariff on Chinese-made electric vehicles and a 25% tariff on Chinese steel and aluminum starting October 1. Tai praised Canada's action as a vital step against China's unfair, state-directed policies that undermine market-oriented industries and create excess production capacity.

In her statement, Tai highlighted the alignment of U.S. and Canadian concerns regarding China’s non-market practices, failure to uphold labor rights, and lack of environmental protections. Tai emphasized that these tariffs will help level the playing field for Canadian workers and companies in the electric vehicle, steel, and aluminum sectors. This move is seen as a strategic measure to counteract China's economic policies that adversely affect fair competition.

The U.S. is also finalizing its own tariff plans, which are expected to mirror Canada's approach with duties set at similar rates. The U.S. plans to impose 100% tariffs on electric vehicles, 50% on semiconductors and solar cells, and 25% on lithium-ion batteries. These actions are part of broader efforts by the Biden administration to address trade imbalances and support domestic industries amid ongoing trade disputes with China.