US, China discuss trade as Biden mulls tariff cuts

The US and China engaged in a discussion Monday about international trade and supply chains even as President Joe Biden considers lowering tariffs on Chinese imports to slow soaring rates of inflation.

US Treasury Secretary Janet Yellen, after her virtual meeting with Chinese Vice Premier Liu He, said she was concerned about China’s “unfair, non-market” economic policies.

The talks come as the Biden administration wraps up a review of tariffs on Chinese imports imposed by former President Donald Trump, who wanted to penalize China for unfair trade practices.

Decision this week

Biden could announce a decision as soon as this week after American businesses and labor unions, who are in favor of sticking with current tariffs, have offered their comments. They have till Tuesday to do so.

Biden is considering the roll-back in hopes that it will reduce the cost of consumer goods that have shot up to record-high levels in the last year.

Skyrocketing oil prices combined with rising costs of food, rent and healthcare have pushed up the consumer price index, which stayed at 8.6% in May, the highest since 1981.