Addressing trade imbalances and promoting domestic industry, Biden hikes tariffs on Chinese solar components, with a 50% tariff on wafers and polysilicon, starting January 2024.
The Biden government has announced an increase in tariffs on key solar energy components imported from China, targeting products such as wafers, polysilicon, and tungsten.
Starting on January 1, 2024, these materials will face significant tariff hikes, with solar wafers and polysilicon now subjected to a 50% tariff, while tungsten products like bars and sheets will incur a 25% tariff. This decision was confirmed by the Office of the US Trade Representative (USTR) on Thursday.
USTR Katherine Tai stated that these increases are part of an ongoing effort to counter China’s harmful trade practices. She emphasised that the measures would support the US’ clean energy goals and strengthen the resilience of critical supply chains, aligning with the Biden administration’s broader economic and environmental initiatives.
The latest tariff adjustments build upon similar actions taken earlier this year. In September 2024, the Biden administration implemented additional tariffs on a range of Chinese products, including a 100% tariff on electric vehicles and a 50% tariff on semiconductors.
Expanding tariffs on solar components continues the administration’s strategy to address trade imbalances and promote domestic industries.
Following the announcement in September, the USTR conducted a 30-day public comment period regarding the tariff increases. However, there was mixed reaction to the tariffs on tungsten, with some uncertainty about their impact.
Looking ahead, it is expected that further tariff actions may be introduced, especially considering ongoing discussions regarding trade policies with China and other nations such as Canada and Mexico.
