BREAKING NEWS: U.S. Slaps Up to 721% Tariff on China’s Battery Material!

On May 20, the U.S. Department of Commerce announced preliminary countervailing duties of up to 721.03% on Chinese active anode materials—critical to EV lithium batteries.

🔹 Products affected fall under U.S. HS codes 2504.10.5000 and 3801.10.5000.
🔹 In 2023, the U.S. imported approx. $350 million worth of these materials from China.
🔹 The investigation concluded that Chinese manufacturers benefited from unfair subsidies, undercutting U.S. producers.

⚠️ Though Tesla opposed the tariff, the U.S. government prioritizes "long-term industrial resilience" over short-term disruption.

🇨🇳 China is the world’s dominant graphite supplier—accounting for 59% of U.S. natural graphite imports and 68% of synthetic graphite.

🌐 This move could intensify U.S.-China friction over battery supply chains and deeply affect the global EV industry.

🗓 Final ruling expected later this year.