On Monday, Bloomberg reported that President Joe Biden may soon be announcing a rollback of some US tariffs on Chinese consumer goods…(Bloomberg)
- A White House spokeswoman said no decision on the tariffs has been made and, unfortunately, the timing could slip, according to people familiar with the deliberation.
PRICE PRESSURES: As prices continue to rise, some in the administration believe removing tariffs on $300 billion in Chinese goods could be a way to help lower prices for the American consumer. However, U.S. Trade Representative Katherine Tai has made clear she’s not convinced that any tariff moves would have an impact on price pressures.
BIDEN’S TARIFFS: President Trump started a trade war with China in July 2018 after an investigation concluded China stole intellectual property from American companies. Trump famously tweeted that “Trade wars are good and easy to win.” However, after a year and half in office Biden owns these tariffs and the $50 billion dollars they are costing US consumers.
Whatever Biden is going to do he better do it quick. The Wall Street Journal is reporting that the personal savings rate, which peaked during the pandemic at 34%, has fallen to 5.4% in May. This is not only down from the pandemic but is now below the average of the last decade which is a sign Americans are taping their savings to keep up with inflation.