Why is this conflict happening? The low version is that Trump and its advisers believe that the tariffs will facilitate the American economy, encouraging the construction of factories here, reducing trade deficits and punishment of barriers to enter American products in other countries.
“We will unload our national industrial base,” Trump said in a speech of April 2, announcing tariffs on the law of every American trading partner. “We will open foreign markets and divide foreign trade barriers, and ultimately more production at home will mean stronger competition and lower prices for consumers.”
The tariff is a tax input by an import government. When the US government has increased its tariffs, other countries took revenge with its own growth.
Adding to the chaos is that the policy often changes, and the president often announces changes in social media, as was the case in recent days Tariffs for the European Union.
I talked to Chris Seiple, vice -chairman Wood Mackenzi for Power and renewable energy sources to drill on some of the report on renewable energy sources. Here is a conversation, edited for length and clarity:
Dan Gearino: In the case of renewable energy industries, it is a massive problem that tariffs make everything more exorbitant or is there something more?
Chris Seiple: Sure, things to become more exorbitant are a immense part of it. I think that the second challenge and this is unique in the energy industry is that there is a hefty hand of adjustment. And so there are many of us tools that have to undergo quite extensive regulatory processes to get permission for what they want to build. Being in a world where there is so much tariff uncertainty, they do not know what will cost to build what they want to build. Particularly complex is that this industry is able to move in it and affects renewable energy sources more than influences, say, other sectors such as gas or coal, because we rely on the import of equipment to such a greater extent, especially in the storage of batteries, where we are essentially completely dependent on this point of imports with China.
By storing batteries, an attempt was made to enhance production capacity in the USA. How would you characterize where it stands?
Very early days. Many batteries that are happening in the USA are intended to provide battery to EV vehicles, not stationary warehouse projects on a scale. And so the amount of production capacity compared to the demand for this equipment means that the US will import over 90 percent of what we need.