The European Union (EU) and China have agreed to hold talks regarding tariffs on Chinese electric vehicles (EVs). This comes after the EU imposed tariffs of up to 38% on Chinese EVs, citing concerns about unfair trade practices and subsidized competition. The talks, announced following virtual meetings between EU Trade Commissioner Valdis Dombrovskis and Chinese Commerce Minister Wang Wentao, aim to prevent a potential tariff war.
Former US President Donald Trump has proposed abolishing federal income tax if he wins the upcoming presidential election. While Trump has long advocated for tax cuts, he is now proposing a more radical plan to eliminate the tax altogether. Trump claimed that by imposing higher tariffs on imports, he could recoup the revenue lost from the tax abolition. However, experts have warned that this would likely lead to increased costs for businesses and consumers, offsetting the benefits of the tax cut. The proposal has received mixed reactions, with some economists expressing skepticism about its feasibility and potential consequences.
The White House has criticized Republicans for supporting a so-called ‘MAGAnomics’ agenda, which it claims would raise prices for families and worsen inflation. The agenda, which includes a plan to replace the income tax with tariffs, was discussed by former President Donald Trump with Senate and House Republicans on Thursday. The White House has also accused Republicans of targeting Medicare and Social Security for cuts and pushing for tax welfare for the super-rich.
US President Joe Biden has recently implemented tariffs on various products imported from China, including electric vehicles, batteries, and solar cells. This decision has been met with criticism, as many believe it goes against Biden’s previous stance on tariffs. In 2019, Biden criticized then-President Donald Trump’s imposition of tariffs on Chinese imports, calling them ineffective and harmful to the American people. Some have accused Biden of hypocrisy, while others speculate that political motivations may be behind his recent decision. Meanwhile, Trump has argued that tariffs are necessary to protect American interests and prevent the country from falling behind China in economic and technological development.
In response to perceived unfair trade practices by China, US President Joe Biden has implemented significant tariffs on a range of goods, including electric vehicles, semiconductors, batteries, steel, aluminium, and solar cells. The tariffs aim to support American manufacturers and ensure that the country is not held back by unfair competition. Biden emphasized that he wants fair competition with China and believes that the United States is well-positioned to win the 21st-century economic competition.
The United States is set to impose a 100% tariff on electric vehicles imported from China, according to a report from the Financial Times. This move, if implemented, would represent a significant escalation in the ongoing trade war between the two countries. The tariffs, which would be a four-fold increase from the existing 25%, come after US officials expressed concerns about China’s “overcapacity” in electric vehicle manufacturing, which they believe poses a threat to US jobs and national security. The move, which comes ahead of November’s US presidential election, is seen as a way for Democrats to showcase their tough stance on China.
A coalition of US solar manufacturers has petitioned the federal government to impose tariffs on imports of solar cells and modules from Cambodia, Malaysia, Thailand, and Vietnam. The companies allege that these countries are flooding the US market with cheap products that are subsidized by their governments, which is hurting the domestic industry. The petition has divided the US solar industry, with manufacturers such as First Solar supporting tariffs and the Solar Energy Industries Association opposing them.
A report by Scotiabank Economics warns that Canada’s economy would suffer a greater impact than the United States if Donald Trump wins the upcoming presidential election and imposes promised tax cuts and tariffs on all U.S. imports. The report says that Canada’s GDP would likely fall by 3.6% by 2027 relative to current forecasts, while inflation and interest rates would also rise. The report warns that Canada needs to urgently address its issues with lagging productivity to make itself less vulnerable to economic shocks from trade policy changes in the U.S. and abroad.
The share price of Gujarat State Petronet Ltd (GSPL) has plunged sharply today after a number of brokerages downgraded the stock. The downgrades come after the Petroleum and Natural Gas Regulatory Board (PNGRB) cut tariffs for the company’s high-pressure (HP) network by 47 percent. The tariff cut is expected to have a significant impact on GSPL’s financial performance, and the downgrades reflect the brokerages’ concerns about the company’s future prospects.
