In less than three months, President Donald Trump will be back in the White House, after a campaign during which he floated 10% or 20% tariffs on all countries except China, which would be hit with an additional 60 percentage points on top of current tariffs.
Rep. Jimmy Panetta, D-Calif., issued a release Oct. 25 asking his colleagues to change the law so that Kazakhstan can receive permanent normal trade relations, as Kyrgyzstan, Georgia and other former Soviet states do. Kazakhstan goods are subject to Column 1 tariffs, but that status must be renewed annually.
Republican presidential candidate Donald Trump is likely to react “more negatively and more directly” than his Democratic rival, Vice President Kamala Harris, to the EU’s plan to start taxing carbon-intensive imports, a former U.S. trade official said Oct. 17.
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Three Republican senators reintroduced a bill to end permanent normal trade relations with China, and to set tariff rates of at least 35% for Chinese goods, if the Column 2 tariffs are not that high, as well as 100% tariffs on 38 pages of Harmonize Tariff Schedule lines enumerated in the bill.
Economists at the Peterson Institute for International Economics said that if the U.S. were to move all Chinese imports into Column 2 of the tariff schedule, removing permanent normal trade relations status, it would increase inflation by four-tenths of a percent if China were to retaliate, and it would hurt manufacturing the most -- the area politicians most want to protect.
A joint statement of the Office of the U.S. Trade Representative and Kazakhstan's president, released almost a week after USTR Katherine Tai's visit to Kazakhstan, noted that Kazakhstan values the Generalized System of Preferences benefits program as a way to diversify the destinations of its exports. The GSP has been expired for more than three years, but Tai said she generally supports Congress' efforts to "revitalize and renew the Generalize System of Preferences program." The statement also noted that Kazakhstan would like permanent normal trading relations with the U.S.; it's still subject to the Jackson-Vanik amendment, as are other former Soviet Union republics Azerbaijan, Tajikistan, Turkmenistan and Uzbekistan. The U.S. Chamber of Commerce supports PNTR for Kazakhstan (see 2001090055).
The U.S.-China Economic and Security Review Commission, shortly after the administration chose to keep and expand the Section 301 tariffs (see 2405220072), grappled with what it should recommend to Congress on how to use trade policy to counteract trade distortions from China's communist-run economy.
While the U.S. should look to counter China with export controls, tariffs and outbound investment restrictions, it also needs to better incentivize trading partners to diversify their supply chains away from China, the Atlantic Council said this week.
In the first third of its first public hearing on promoting supply chain resilience, the Office of the U.S. Trade Representative and interagency officials heard from groups disputing the premise of the project -- that liberalizing trade was harmful to U.S. workers and manufacturing -- and from those who say the worker-centered trade approach of the Biden administration is not going far enough to restore American manufacturing.