Episode description

In the latest edition of “Talking Trade,” Michael Best Strategies Partner Sarah Helton weighs in on recently announced extensions to tariffs on Chinese imports, arguing the move is motivated by “both politics and strategy.” 

“This was the first concrete action that the Biden Administration has taken related to the 301 tariffs, outside of calling for comments from public stakeholders, outside of just continuing the tariffs and the exclusions in place,” she said. 

Last month’s announcement detailed coming changes to tariffs on various products such as steel and aluminum, semiconductors, electric vehicles, batteries, “critical” minerals, solar cells, ship-to-shore cranes and medical products. 

“The U.S. has seen that China is making significant investments in certain areas, like solar, like critical minerals. Also too getting it more into the semiconductor space,” she said. “And so at the same time, you look at the U.S. investments in these areas, more than $860 billion under this administration … They do not want to see, right, that any surge in imports from China would jeopardize the investments that the U.S. is making in those areas.” 

Helton also notes the number of tariff exclusions has been declining over time, falling to about 165 in the latest update from federal officials. 

She advises businesses to keep up with the latest developments in Congress and the Biden Administration related to tariffs, adding “if you’re sitting on the sidelines, you’re going to miss opportunities available to you.” 

Talking Trade is hosted by E.M Wasylik Associates Managing Director Ken Wasylik and M.E. Dey & Co. President and Managing Director Sandi Siegel.