OPINION

The high costs of new US tariffs on Chinese EVs

Published on 25/05/2024

» US President Joe Biden’s administration has just announced 100% tariffs on electric vehicles (EVs) manufactured in China, prompting Donald Trump to promise a 200% tariff on Chinese cars made in Mexico if he is elected in November. Neither policy would have notable effects on the US car market because imports of Chinese EVs are minuscule, owing to past tariffs and the anti-Chinese sentiment that has gripped the country in recent years. Nonetheless, the announcement is significant for three reasons.