Yellen: Biden Administration Considering Lowering China Tariffs, But Not a Panacea for Inflation

On the 8th, US Treasury Secretary Yellen stated that the Biden administration is seeking to "reconfigure" by lowering tariffs on some Chinese imports, but also warned that reducing tariffs would not be a "panacea" for easing high inflation.

According to Reuters, Yellen stated on Wednesday at a hearing of the House Ways and Means Committee that the Biden administration is exploring the use of "Section 301" against Chinese imports, seeking to exempt certain products from these tariffs.

Yellen mentioned that the U.S. government is actively considering tariff revisions, stating that "I think ultimately it's Americans, not the Chinese, who pay for these tariffs, which undoubtedly harm American consumers and businesses. It makes more strategic sense to reallocate these tariffs."

U.S. Trade Representative Katherine Tai holds a different view from Yellen. Tai does not believe that reducing tariffs is the preferred tool to address high inflation. She believes that the U.S. must carefully manage the overall U.S.-China relationship and consider the issue of reducing tariffs from a strategic perspective.

This article is authorized to be reprinted from Horizon News Network