Jun 22 2022 20:07
On Wednesday, a senior US official questioned the impact of eliminating tariffs on Chinese goods on inflation in the short term.
US Trade Representative Catherine Taye, in testimony before a US Senate subcommittee, said removing these duties would likely have a limited impact on inflation.
US President Joe Biden has said he is studying the possibility of raising some tariffs imposed on Beijing in an attempt to ease US inflation.
Tai said she views tariffs on Chinese goods as an “important leverage” in US-China trade relations.
She added that it was important to focus on the bigger picture to protect US commercial interests in the face of China’s plans.
“We need to keep our eye on the ball in this bigger picture,” she added.
In 2018, the administration of former US President Donald Trump imposed punitive tariffs on Chinese products representing the equivalent of $350 billion in annual US imports.
With US inflation at its highest level in 40 years, Biden is seeking ways to ease the burdens leading to higher prices by lowering import costs.
Treasury Secretary Janet Yellen is among officials who say easing tariffs could help curb inflation.
Source: agencies
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