A new 10% tariff on all Chinese goods took effect Tuesday, increasing the prices of a wide range of products in the US market. The tariffs apply to electronics, home supplies, car parts, and other goods imported from China.
The US imported $427 billion worth of goods from China in 2023, with consumer electronics being the largest import category. China accounted for 78% of US smartphone imports and 79% of laptop and tablet imports last year.
The tariffs will also affect lower-cost clothing, shoes, and kitchen items. Jay Salaytah, owner of an auto repair shop in Detroit, anticipates that prices will rise due to the new tariff.
Amazon, Shein, Temu, and other online retailers that import products from China will be impacted by the new tariffs. Analysts expect price increases in the mid-single digits for these retailers.
US retailers are bracing for the impact of the new tariffs. PacSun, a teen clothing chain, has 35% to 40% of its garments made in China and plans not to increase prices or move manufacturing out of China. The Toy Association trade group expects toy companies to absorb the cost of the tariff in the short term.
The tariffs are part of a tit-for-tat exchange between the US and China over trade policies. China has retaliated with its own tariffs on some US goods, which will begin next week.
It is unclear how much prices will increase due to the new tariffs. However, experts expect delivery delays as packages now have to go through customs.
Source: https://apnews.com/article/china-tariffs-trump-shein-temu-023aaee8f043605e62a614eaa5134f62