During an interview aired on Tuesday’s broadcast of NPR’s” Morning Edition” , , U. S. Trade Representative Amb. Katherine Tai responded to problems that the Biden administration’s China tax plan, which includes keeping taxes from the Trump presidency, will be inflationary by stating that “we’ve seen research debunk the connection between these tariffs and prices”. And that avoiding China may give us shelter from the recent supply issues that have caused inflation.
Co- number Michel Martin asked, ]relevant trade begins around 4: 15 ] “]T] he management has been reviewing the taxes imposed by the Trump administration. You’re continuing to impose some of these taxes on hundreds of billions of dollars worth of different Chinese products, which were set up by Trump. What do you say to those who claim that inflation is decreasing but that the rate is still higher, which causes higher prices for goods when Americans could use the pleasure?
Tai responded,” Well, I think we’ve seen reports debunk the connection between these taxes and prices. More significantly, being able to participate in our business means that we are investing in provide- chain resilience. We’re investing in our production capacities to prevent the kind of price increases that have occurred over the past few years because source was constrained and we were unable to act on them.
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