Renowned gold advocate Peter Schiff has criticized President Joe Biden’s new tariffs, labeling them as taxes that will exacerbate the economic situation.
What Happened: Schiff, who is also the CEO of Euro Pacific Capital, took to social media platform X, to express his concerns about the new tariffs. The proposed tariffs include a 25% tax on steel and aluminum, a 50% tax on semiconductors, a 100% tax on electric vehicles, and a 50% tax on solar panels.
“Pres. @JoeBiden is bragging about imposing the following #tariffs on Americans; 25% on steel & aluminum, 50% on semiconductors, 100% on EVs, and 50% on solar panels. These are taxes that will raise the price of all goods subject to tariff and will only add to the economic misery,” Schiff wrote.
See Also: Immigration Rebound Helps Solve US Inflation Puzzle: Goldman Sachs
Why It Matters: Schiff’s criticism comes at a time when the U.S. is embroiled in a trade war with China. The Biden administration’s recent tariff hikes on Chinese imports have sparked a strong reaction from the Chinese government, which has vowed to retaliate.
Despite the potential for retaliation, some experts believe that the new tariffs could benefit U.S. automakers, particularly Tesla Inc rivals Ford Motor and General Motors. CNBC host Jim Cramer has suggested that the tariffs will protect American car companies from the threat of cheap Chinese electric vehicles.
Meanwhile, the Biden administration has defended the tariffs as a necessary response to China’s economic practices. White House National Economic Advisor Lael Brainard has stated that the tariffs are aimed at ensuring fair competition and protecting burgeoning domestic industries from China’s export dumping.
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