Josh Hawley Demands Biden Remains Tough On China

Written By BlabberBuzz | Wednesday, 11 May 2022 04:45 PM
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Sen. Josh Hawley (R-MO) is calling on the Biden Administration to maintain taxes on Chinese goods and demanding an investigation into China’s alleged unfair trade practices, according to a letter sent to U.S. Trade Representative Katherine Tai obtained by the Washington Examiner.

In the letter sent to Tai on Monday, Hawley claimed that the tariffs level the playing field for American workers and are essential tools for opposing China economically. The senator also asked about the status of a long-awaited probe into Beijing’s use of industrial subsidies that give Chinese companies a boost over their American rivals.

“China repeatedly violates the rules of international trade and unapologetically steals and cheats in its economic relationship with the United States,” Hawley wrote. “To cut tariffs at this juncture would be a strategic blunder.”

The Biden Administration last week commenced a legally mandated review of the taxes that former President Donald Trump imposed on some $370 billion worth of Chinese goods under Section 301 of the Trade Act of 1974. The tariffs were aimed at pressuring China to suspend what officials described as a pattern of unjust trade practices and theft of American intellectual property, with the first wave imposed in July 2018.

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A probe into Chinese contributions under Section 301 was telegraphed last year but has not materialized. The USTR has not reacted to a request for comment on the status of the planned actions.

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In the Monday letter, Hawley pointed to comments by top Biden Administration officials who have pitched a tariff rollback in response to inflation as the White House struggles to rein in rising prices. The most recent information reveals inflation increased 8.5% compared to last year, hitting a new 40-year high.

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“I think it’s worth considering,” Treasury Secretary Janet Yellen told Bloomberg TV last month when asked about raising taxes on Chinese-made goods to ease rising prices.

Yellen’s remarks followed statements by deputy national security adviser Daleep Singh, who said that many of the Section 301 tariffs should be reframed to serve the country’s strategic priorities. He claimed that duties on consumer goods “serve no strategic purpose.”

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“For product categories that are not implicated by [supply chain] objectives, there’s not much of a case for those tariffs being in place,” Singh said during an event hosted by the Bretton Woods Committee. “Why do we have tariffs on bicycles or apparel or underwear?” Last week, Tai responded to the calls to consider tariff cuts, saying these were being weighed by the Biden Administration but would need to align with broader trade goals.

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