Ban on EV batteries hurts US interests: China Daily editorial
China DailyA worker operates equipment at a production line of Gotion High-tech Co, a Chinese company focusing on power battery development and production, in Hefei, Anhui province, in December 2022. RUAN XUEFENG/FOR CHINA DAILY In yet another move to decouple from China, US lawmakers have banned the Defense Department from buying electric vehicle batteries produced by China's biggest battery manufacturers on the grounds they pose "national security risks". The move comes as part of the US National Defense Authorization Act passed on Dec 22, which prevents the Pentagon procuring batteries from CATL, BYD and four other Chinese companies beginning October 2027. Congress last year already passed a climate law offering billions of dollars in tax incentives to try to boost the EV industry in the US, but barring cars from qualifying for the full tax break if critical minerals or other battery components have been made by a "foreign entity of concern", namely China. The meeting of the Sino-US Financial Working Group, which concluded in Beijing on the weekend, and the seventh meeting of the China-US Agricultural Cooperation Joint Committee held in Washington last week, indicate that the trend of easing tensions between the two countries still continues, and will not be easily reversed by disruptive moves such as that to curb China's EV industry boom.