Maybe you shouldn’t wait until Black Friday to buy that new 60-inch TV you’ve been eyeing…
In the wake of months and months of trade negotiations between the United States and China, President Trump announced on Friday, May 10, a long anticipated (and long dreaded) tariff increase from 10% to 25% on over $200 billion worth of China imports. These increases were posed as an incentive to further push the trade negotiations between China and the United States, which included talks about stricter intellectual property rights for US goods as well as lowering government subsidies in certain markets that US goods struggle in – all negotiations that have been unfruitful so far.
This might not mean much to the average consumer but consider this – the more tariffs companies like Walmart and Nike have to pay on their goods, the higher they make their prices, and the more money that the average consumer like you or me have to pay for, well, almost anything that has that iconic “Made in China” label on it! Does it apply to solar panels? Yes. Does it apply to washing machines? Absolutely. Sandals? Yup. Televisions? Those too. If it has that label on it, chances are it’s going to be affected by the tariff increase.
And what does this mean for big box – and little box – retailers and businesses? It may mean finding different ways to mitigate the effects the increase could have on their business. Our #ARCAtribe could help you by determining if these tariffs apply to your business and by offering logistical and transportation solutions or strategies to hopefully keep your costs down and your customers happy.
As for me – I’m going to use this as an excuse to go get those pair of shoes I’ve been eyeing while they’re still on sale.