The U.S. government has denying additional requests by Tesla for tariff relief on key components of its electric vehicles, and rejecting ride-hailing company Uber’s petition to waive tariffs on electric scooters and at least 50 separate requests by General Motors Co.
After the United States slapped 25 percent tariffs on $50 billion of Chinese imports last year under the two countries’ trade dispute, the U.S. Trade Representative (USTR) allowed companies to petition for exemptions.
Citing government documents, Reuters reports that the USTR rejected requests to exempt Tesla’s Model 3 car computer and center screen in May 29 letters, saying they both concern “a product strategically important or related to ‘Made in China 2025,’ or other Chinese industrial programs.”
The more than 50 requests by GM rejected by USTR were for exemptions from Chinese-made parts used in vehicles including electronic controllers used for high voltage battery controls in hybrid and electric vehicles. It also rejected GM requests for high frequency antennas, push-button ignition switches, battery cables, electric motor parts and brake parts.
The USTR denied Uber Technologies Inc’s request on May 29 for an exemption from the 25% tariff for its Chinese-made electric bikes that customers rent through its app.
USTR also rejected dozens of requests by Nissan Motor Co. It denied nearly two dozen requests from Fiat Chrysler for parts including wire harnesses and an electrical power steering pump used in vehicles like the company’s 2019 Ram 1500 and Jeep Wrangler.
The Trump administration is trying to thwart China’s efforts to develop high-technology industries that Washington alleges benefited from theft and forced transfer of U.S. intellectual property.