One of the top US Treasury officials has highlighted the importance of US tariffs on Chinese goods to aid US jobs and competitiveness, amid debate over scaling them back in an effort to reduce inflation.
One of the challenges we faced for a very long time is the fact that, because of China’s unfair practices, American jobs have been lost and our companies have been unable to compete,” Deputy Treasury Secretary Wally Adamo told CNN. Said in an interview.
“So we want to make sure that we address the short-term challenges like inflation, but also the long-term challenges that we face.”
President Joe Biden said last week that he was considering removing some tariffs and would take up the matter with Treasury Secretary Janet Yellen. She is scheduled to join Federal Reserve Chairman Jerome Powell in a meeting with the president.
Ms Yellen has suggested the US is open to rolling back Trump-era sweeping tariffs on imports of goods from China, not only to help bring inflation back from a four-decade high, but also because This could benefit US firms.
“Some of the tariffs that were imposed by President Trump in retaliation for China’s unfair trade practices, some of them seem to me like they inflict more harm on consumers and businesses and we don’t have much strategic in the sense of addressing the real issues. With China,” Ms Yellen said recently.
Mr. Ademo made no reference to some tariffs that were doing more harm than good. A Treasury spokesman did not immediately respond to a request for comment on whether Adamo was expressing a different view on tariffs from Ms Yellen.
Some outside economists have also advocated removing or reducing tariffs to aid in the fight against inflation. But US Trade Representative Catherine Tai is among those to highlight the leverage provided by duties at the negotiating table with China. Ms Tai has said the US needs to be “strategic” when deciding whether to remove the duties.
“We are actively considering what we do with respect to those tariffs,” said Mr. Ademo, when asked why the Biden administration is not removing tariffs to help lower inflation.
He said Mr Biden is committed to doing everything he can to reduce costs for Americans.
Mr. Adamo outlined some of the arguments made for imposing tariffs during the Trump presidency, in comments that also often reflect some of the points made by Ms. Tai.
“Ultimately our decisions will be around what we do with tariffs, do we think they have an effect in leveling the playing field so that American firms and workers are in a better position to sell American goods around the world. to be retained,” he said. Told.
The administration said earlier this month that it was taking the first steps toward a formal review of tariffs — a process necessary to prevent them from ending automatically, beginning in July, and could take months. Huh. Mr Trump imposed tariffs on hundreds of billions of dollars worth of imports.