Chinese Tariff Increases Will Hit U.S. Consumers' Wallets
New York, NY, June 17, 2019--In a letter to President Trump on June 13, Chinese tariff opponents-including Walmart, Target and Costco-said current and proposed tariffs would raise costs to a family of four by an average of $2,000 a year, reports the Wall Street Journal in an article titled, “As China Tariffs Loom, Some U.S. Companies Say Buying American Isn’t an Option.”
As of May 10, the U.S. Trade Representative increased the rate of additional duty from 10% to 25% on $200 billion of Chinese imports, flooring included. Products entering the U.S. after June 15 are taxed at the 25% rate.
The article highlights the struggles of U.S.-based Atlas PyroVision, a fireworks company that says it has few options besides China. “A Wall Street Journal analysis of federal import data gives weight to the claims. Items to be hit by new tariffs include 273 categories of goods-such as consumer fireworks, fishing reels and electric blankets-for which China accounts for more than 90% of imports. Last year, $66.3 billion worth of these items were imported from China.” This is similar to the plight that sellers of SPC and WPC face, as the majority of production of these materials is China-based.