Biden will land in Pittsburgh this week to deliver a much anticipated speech to the steelworkers union of America.
The announcement is expected to address the drastic flood of cheap Chinese steel on the market; something that American unions have been fighting against for a long time.
Massive Incoming Tariff for Chinese Steel Products
On Wednesday, Biden plans to announce a 25 percent tariff increase on Chinese products being brought into the U.S.
The administration’s trade representatives are expected to work over time this week on the new measure. The move is part of a trend that Biden has taken to protect American manufacturers from cheap international products.
Speaking to Steelworkers in Pittsburgh
The president is set to meet with Katherine Tai, the U.S. trade representative at the United Steelworkers Union in Pittsburgh this week.
Many products being brought into the U.S. have a 7.5 percent tariff or no tariff at all. These cheap products often undercut quality American made goods and negatively effect the U.S. economy, which causes a headache for unions.
New Investigation Into China’s Shipbuilders To Be Announced
Another interesting announcement is set to be made about China’s involvement in the manufacturing sector during Biden’s speech.
A complete investigation will be called on to look into China’s support for shipbuilders along with other related industries. To ensure that China doesn’t find a work around, the Biden administration will work with Mexico to disallow them from bringing their goods in from the southern border.
Biden’s Economic Plan To Support American Manufacturing
The plans being set out by Biden are part of a larger approach to stop the massive import of low-cost Chinese goods that undercut American made products.
The economic agenda has been one of the top priorities for this election cycle and Biden has made it clear that his support of American unions and a self-sufficient economy is at the top of the list.
China Experienced Higher Than Expected Growth Last Year
The sale of Chinese products often goes through a rather confusing pathway. Although the raw materials and labor are already cheap, the country is able to undercut everyone else in a fevered effort to boost their economy.
Heavy subsidies from Beijing have helped to propel the Chinese economy to higher than expected levels in the past year. The country is currently being accused of fabricating these circumstances in order to compete heavily with the U.S.
Biden Will Force Other Countries To Play by the Rules
In an attempt to level the playing field, the Biden administration has accused Chinese officials of ignoring international trade laws and abusing their manufacturing field to create the new numbers.
The head of the National Economic Council, Lael Brainard, stated that since China is too big to play by international rules, then they need to be controlled by other superpowers.
Production Is Exceeding Global Demand
China’s subsidies and manufacturing overload is far exceeding global demand for these very goods.
The items that China produces are being forced to be sold off to the lowest bidder in an effort to use the products. The low prices of products and manufacturing cause countries like the U.S., who have higher pay and better working standards, to close up shop entirely out of an inability to keep up with the low prices.
Military Measures Are Being Considered in Asia
Last week, Pres. Biden met with officials from Japan and the Philippines to show unity in case of military action in the South China Sea.
During the White House Security Summit, Biden showed his commitment to block a myriad of potential threats coming out of China.
China Is a Central Issue for the Presidential Race
The issues with China have been at the forefront of the 2024 presidential race. Biden has spearheaded these issues in an attempt to one-up former President Donald J. Trump.
Both parties have expressed their desire to set up tariffs and stricter trading laws in an effort to boost the American economy.
Tariffs Being Imposed Initially Introduced by Trump Administration
What is looking more like a bi-partisan issue is tearing the two sides of the aisle apart.
Although the current administration is taking accountability and credit for the tariffs being imposed, they were actually initiated by Republican candidate Trump more than four years ago. The tariffs have been under scrutiny since then in a series of investigations.
Biden Eyeing Pennsylvania as a Crucial Battle Ground
The Biden team is planning a three day stop in Pennsylvania at the crest of a massive battle for the swing state.
The current president has also ramped up his public support of unions around the country. On Tuesday, Biden spoke to the United Brotherhood of Carpenters and Joiners in Scranton, Pa. Speculators expect that Biden’s plans to gain popularity with blue collar workers and union members will win him big this November.
