Many companies, including Wal-Mart, Golden City, Target, Gapper, Levis and Foot Locker, said in a joint letter, We personally experience that additional tariffs will have a significant long-term negative impact on U.S. businesses, farmers, families and the U.S. economy. The escalation of trade frictions is not in the best interests of the country, and both sides will suffer.
Last month, Trump announced an increase in tariffs on $200 billion worth of Chinese goods from 10% to 25%, and then threatened to impose tariffs on an additional $300 billion worth of imports from China, possibly expanding trade frictions to almost all Chinese goods and involving a large number of consumer goods closely related to the lives of the American people.
These companies say tariffs are paid directly by American companies, not by China. Tariffs and uncertainties surrounding trade negotiations have triggered market turmoil and threatened our historic economic growth.
According to a study cited in the joint letter, a 25% tariff on another $300 billion worth of Chinese goods would increase the average cost of a family of four in the United States by more than $2,000. The study also estimates that the price of household appliances will rise by 3% and the price of consumer and tourist goods will rise by about 10%.
David French, senior vice president of the National Retail Federation, said the new tariffs would undermine Trumps voter base because they were in the most vulnerable parts of the countrys economy. These people cannot afford to pay hundreds or thousands of dollars for daily necessities.
Last month, several industry associations, such as the American Toy Association, the National Retail Federation, the Consumer Technology Association, the Garment, Footwear and Socks Federation and the Soybean Association, issued statements against tariff increases.
Source: Responsible Editor of Economic Reporting in the 21st Century: Wang Xiaowu_NF