Ford Authority

Biden Admin Weighs Increasing Tariffs On Chinese EVs

While the U.S. EV transition has slowed somewhat in recent months, China has long been committed to electrification, and currently has arguably the most competitive market for those types of vehicles on the planet. Ford is well aware of this fact, with CEO Jim Farley previously stating that Chinese EVs are the company’s main rivals and noting that he expects those vehicles to eventually make it to U.S. soil, while chairman Bill Ford added that he doesn’t believe The Blue Oval is currently positioned to compete with Chinese EVs, too. Meanwhile, as the relationship between the U.S. and China remains a bit rocky, Wall Street Journal is reporting that the Biden Administration is considering increasing tariffs on Chinese EVs imported into America, too.

Nio EC6 - Interior 001

Such a move is certainly not unprecedented, as China slapped substantial tariffs on vehicles imported from the U.S. years ago, but this potential change is particularly notable as the EV wars continue to heat up. The Biden Administration is reportedly mulling increasing these tariffs as a way to help American companies better compete against cheaper Chinese-built EVs, which have the benefit of being produced in a country that is also a chief source of the raw materials used in the construction of EV batteries.

At the moment, Chinese EVs are already subject to a 25 percent tariff, which has thus far prevented manufacturers from gaining a foothold in the U.S., but the Biden Administration may choose to raise that figure following a review that has been ongoing for some time and is expected to wrap up in early 2024. According to this report, the tariff may also impact Chinese-produced EV battery packs as well.

Nio EC6 - Exterior 002 - Rear Three Quarters

Interestingly, this news represents a pretty big shift in strategy, as some officials – including Treasury Secretary Janet Yellen – had been pushing to lower tariffs as recently as last year as a way to combat soaring inflation. There are also concerns that raising these tariffs could intensify the bad blood between the U.S. and China, too.

We’ll have more on this soon, so be sure and subscribe to Ford Authority for ongoing Ford news coverage.

Brett's lost track of all the Fords he's owned over the years and how much he's spent modifying them, but his current money pits include an S550 Mustang and 13th gen F-150.

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  1. John

    How about we just ban EVs instead?

    1. Greg


    2. Ford Owner

      How about banning all oil consuming products?

      1. Steve

        So all that plastic that the EV’s are made of, guess what is required to make plastic? Duh. What a a ridiculous statement.

    3. JoieB

      Double Yeah!

  2. DRW

    If the Biden administration wants to push us to EVs, how does making them more expensive do that?

    1. Ford Owner

      The Biden did not invent the EV push with the $7,500 tax credit. It was George Bush in 2004 who did that. And he bought a Chevy Volt, too.

      1. Ford Owner

        Sorry, the correct year was 2008.

  3. Kevin

    How about we don’t increase tariffs and let ford and others lower their prices cuz I ain’t spending 45k on that


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