Will removing Chinese tariffs have a dramatic impact on inflation?

See Biden Might Soon Ease Chinese Tariffs, in a Decision Fraught With Policy Tensions: White House wants to take steps aimed at easing inflation while still looking tough on China by Yuka Hayashi of The WSJ. The article discusses other interesting aspects of trade policy. 

If you tax a good, its supply curve or supply line will shift upwards by the amount of the tax. If the tax is $1 per unit, every point on the new supply line is exactly $1 higher above the old supply line. The price of the good will go up (probably less than a dollar). But if you lower a tax (or a tariff), then the supply line shifts downward and price will fall. 

It looks like the most cutting the tariffs could do would be to reduce inflation by 1 percentage point. That helps, but going from 8% to 7% still keeps inflation way too high. It helps to remember that the money supply, as measured by M2, is about 40% higher than it was 2 years ago.

Excerpts from the article:

"President Biden is expected to roll back some tariffs on Chinese imports soon, a decision constrained by competing policy aims: addressing inflation and maintaining economic pressure on Beijing."

"It could include a pause on tariffs on consumer goods such as clothing and school supplies, as well as launching a broad framework to allow importers to request tariff waivers."

"Among his own cabinet, Treasury Secretary Janet Yellen has called tariffs a drag on the economy, saying the administration is looking at ways to reconfigure them to help curb inflation. Ms. Yellen has said some of the inherited tariffs aren’t strategic and don’t address China’s unfair trade practices."

"Possible steps include raising tariffs on strategic items such as industrial machinery and transportation equipment, while lowering duties on consumer goods. The U.S. also could start a fresh investigation under Section 301 of the Trade Act focusing on China’s industrial subsidies on high-tech items, a policy the USTR has been preparing for months"

"Economists say removing Chinese tariffs isn’t likely to have a dramatic impact on inflation, however. Peterson Institute for International Economics analysts Megan Hogan and Yilin Wang estimate that removing tariffs on Chinese imports could lower consumer-price index inflation by a marginal 0.26 percentage point at first. But “as U.S. corporations trim their markups to compete with imports,” that might eventually lead to a 1-percentage-point reduction in inflation, they added."

"Beijing has fallen far short of that purchase commitment.

Ms. Tai, who was appointed by Mr. Biden, has repeatedly defended the tariffs as a useful tool in confronting China over its trade practices."