Green Battery Minerals announced that the White House confirmed President Biden has signed an Executive Order establishing a 25% tariff on Chinese imports, including natural graphite. These tariffs, set to take effect in 2026, will see the rate on natural graphite rise from 0% to 25%.
The tariffs aim to bolster domestic manufacturing in critical industries. The rate on lithium-ion EV batteries will increase from 7.5% to 25% in 2024, and the same hike applies to lithium-ion non-EV batteries and battery parts by 2026.
The move comes amid concerns about China’s dominance in global production of critical inputs for various technologies. The United States imported $427 billion in goods from China in 2023 and exported $148 billion, according to the US Census Bureau. The tariffs are projected to affect around $18 billion in annual imports.
The western world relies heavily on China’s graphite, controlling a majority of the global production. Auto and battery manufacturers are investing in Canadian mining projects to secure North American sources of EV battery minerals. According to Benchmark Mineral Intelligence, the natural graphite market is expected to enter a deficit by 2025 due to rising demand for electric vehicles. 
