US Treasury Secretary Janet Yellen speaks as US President Joe Biden meets with business leaders and CEOs on the White House debt limit in Washington, DC, October 6, 2021. REUTERS / Kevin Lamarque
Register now for FREE unlimited access to Reuters.com
I’m registering
BON, Germany, May 18 (Reuters) – US Treasury Secretary Janet Yellen confirmed on Wednesday that she is advocating for the Biden administration to remove some tariffs on Chinese imports that are “not very strategic” but harm consumers and business in the United States.
Yellen told a news conference ahead of a meeting of G7 finance ministers and central bank governors that internal discussions were under way on punitive tariffs under Section 301 imposed by former US President Donald Trump on hundreds of billions of dollars in Chinese goods.
“Some of them, in my opinion, seem to do more harm to consumers and businesses and are not very strategic in terms of tackling the real problems we have with China,” she said, referring to unfair trade practices, the problems of national security. or supply chain vulnerabilities.
Register now for FREE unlimited access to Reuters.com
I’m registering
Reuters reported exclusively on Tuesday that US President Joe Biden will have to resolve a heated debate among his aides over whether to cut tariffs as his administration tries to fight high inflation, citing sources familiar with the talks. Read more
While Yellen is pushing for some tariffs to be lifted, sources said U.S. Trade Representative Catherine Thai prefers to keep them to develop a more strategic trade agenda with China that protects U.S. jobs and China’s behavior in global markets. . This approach may even include new strategic tariffs.
Many of the goods subject to punitive tariffs of up to 25 percent have little to do with the Trump administration’s section 301 investigation into China’s misappropriation of US technology and intellectual property. Tariffs on consumer goods from bicycles to clothing were imposed after China responded to initial rounds of Trump’s tariffs.
Some economists, both inside and outside the administration, along with many business groups, are advocating for tariff cuts in China as a way to help curb high inflation caused by disruptions in the COVID-19 supply chain. recovery and jumps in food and energy prices due to Russia’s invasion of Ukraine.
Yellen said tariff cuts could help ease inflation, but it probably won’t be a “game change.”
“So I see a case not only because of inflation, but also because there would be benefits for consumers and companies from … reducing some of them. But we are having these discussions. “
But she said she respected the views she had heard in the tariff policy debate.
“There are various legitimate concerns,” she said. “And we really haven’t arranged it yet – we’re reaching an agreement on where to be, where to be on the tariffs.”
Register now for FREE unlimited access to Reuters.com
I’m registering
Report by David Lauder Edited by Chizu Nomiyama
Our standards: Thomson Reuters’ principles of trust.
Add Comment