The impact of tariffs is becoming increasingly apparent, prompting US retailers adjust their supply
Source：
/en Release date： 2020-03-27
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American retailers and consumer goods companies are adjusting their supply chains to ensure profit margins, control product prices, and avoid the impact of the trade war. According to reports, American companies facing increased import costs have prepared various response strategies, including choosing other countries as the source of imports and forcing suppliers to absorb some of the costs. Many companies are rushing to import goods from China before the new customs duties are imposed next year.
The report comments that despite the efforts of the US business community to come up with various response methods, the unpredictability of the Trump administration's trade policies is complicating the situation. Although the US government recently agreed to suspend plans to impose tariffs on China, it is already too late for US retailers, as most retailers need to complete import orders one quarter in advance, with the majority of goods coming from China. Many American companies believe that readjusting their supply chains is too complex, and they would rather raise product prices. From January to October this year, clothing made in China accounted for one-third of the total imports to the United States. Many clothing and furniture companies believe that leaving China now is a mistake, as China is the world's largest and most comprehensive manufacturing powerhouse. However, other countries such as Vietnam lack corresponding production capacity and supporting facilities.
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