China Business Council Advises Treasury, USTR Against Section 301 Tariffs
The U.S. China Business Council sent a letter to Treasury and the US Trade Representative to reduce tariffs ahead of Biden-Xi chat.
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Not All Tariffs Are the Same: A Case to Consider Optimal Tariff Policy
[vc_row][vc_column][vc_column_text] Not All Tariffs Are the Same: A Case to Consider Optimal Tariff Policy By Amanda Mayoral, CPA Economist Summary Points: Despite popular misconception, economic theory has long suggested that tariffs can benefit a country, particularly one like the US. The most advantageous tariffs are optimal tariffs. This is because optimal tariffs balance…
Work With Allies: How Europe Helps China Circumvent Steel Tariffs
A report by business intel firm Horizon Advisory shows China’s encroachment on the European steel industry. What might it mean for Section 232 tariffs against European steel?
House Committee Hearing on Small Business Supply Chains Forgets About Reshoring
A House committee hearing on the impact of the supply crisis on small businesses left out one key solution: import less, make more here.
Tariff Incidence in the Real World: Why Consumers (Mostly) Didn’t Pay the Steel Tariffs
Summary points: The import price of steel fell in the period following the 2018 imposition of a 25% steel tariff, an indicator that steel tariffs were not passed entirely onto consumers. Steel tariffs did not lead to a proportional rise in consumer prices of steel-intensive goods, such as automobiles. In many instances, firms will internalize…
WTO Déjà Vu as Katherine Tai Tries Rallying Peers on Reforms
The Trump administration refused to approve new trade dispute judges to the WTO. The Biden administration isn’t in any real hurry to fix it.
Restarting Tariff Exclusions Undermines Build Back Better, Rewards CCP Recalcitrance
By Charles Benoit, CPA Trade Counsel Regrettably, the Biden Administration announced last week that they’re open to tariff cuts to imports of Made-in-China merchandise. First up are 549 different products, mostly machinery and technology products. But more may be coming. Ambassador Tai stated in her recent speech at the Center for Strategic and International Studies…
Why Washington Shouldn’t be Worried About ‘Inflaming’ China Relations
In speaking for the Biden administration this week at a conference at think tank CSIS in Washington, Katherine Tai said she didn’t want to “inflame relations” with China. Why this attitude gets us nowhere but towards the China-centric, pre-trade war status quo.
Lighthizer in The Economist: If Trade Deficit Persists Like This, U.S. Will ‘Bleed to Death’
Wall Street will have to get used to a weaker dollar. If not, trillion-dollar trade deficits will be the norm. This comes at great expense to America’s industrial base, and the middle class.
Katherine Tai Says China Tariffs “Effective”
US Trade Representative Katherine Tai says Trump-era tariffs are effective against China. We expect fervent corporate pushback in the months ahead as Phase One trade deal expires, as well as other tariffs next spring.