- On Saturday, Donald Trump implemented a new tariff for imports from Canada, Mexico and China.
- Canada and Mexico leaders have implemented the US definitions in response to the United States.
- Retail dealers and commercial researchers told that they expect prices to rise on consumer goods with high tensions.
Retail and consumers alike are preparing for the influences of a new trade policy after President Donald Trump on Saturday achieved a pledge to the repeated campaign by implementing a new tariff on imports from Canada, Mexico and China.
Executive requests include a 25 % tariff Goods from Canada and Mexico A 10 % tariff for China, which the Trump administration says is an attempt to address the Ventanil crisis. In response to Trump’s new commercial policy, Canada and Mexico leaders have implemented reprisals against the United States, which increased tensions between trade partners in North America.
“The supply chains will be completely disabled,” William George, Director of Research at the Trade Importagenius database company, told Business Insider. “The disorder that will lead to consumers will be caused.”
Economists who have previously been reported expecting that many companies will pass increasing costs due to customs tariffs, and many companies – including Walmart and Columbia SPORTSWEAR – have already been prepared Price up response.
Electronics, groceries and clothes are most likely Products to see the price increase.
Companies are trying to avoid increases
George, whose company is tracked details of goods shipments to and from the United States and around the world, told BI that some major companies are ready for the president to implement his plan for new taxes and restrictions through front loading shipments of goods in a clear effort to ward off off the supply chain disorders for as long as possible.
“US marine imports organized by China in Wall Mart rose from 33 % from 2023 to 2024,” George said. He added that this increases the accounts of at least 14,000 additional shipping containers of imports that were brought before increasing the expected tariff.
Importagenius data shows Columbia SPORTSWEAR imports throughout the year-more than 50 % of 2023 To 2024 and more than 80 % during the March period to December in 2024, when it is believed that the front loading activity has risen.
Walmart and Columbia SPORTSWEAR representatives did not respond immediately for the BI suspension requests.
Christopher Tang, a UCLA professor and researcher in the global supply chain, said product stocks from major companies may keep the prices fixed in Big Box for a few weeks. However, it is expected that the price increases will increase close to the shelves even for the most prepared companies.
“They cannot buy all the stock they will need forever,” Tang said. ” “On the road, there are estimates that it will cost an additional $ 3,000 for the consumer to buy a car made in Mexico due to the definitions. Let’s hope it does not reach that.”
Each seller has the resources needed for the front charging, so prices may reach closer. BI mentioned previously that some small business owners are working to diversify their supply chains, which may also come with increased costs, while others are planning to add new service fees to their products to make up for the expected high prices.
“We are already high in prices on everything – on meat, eggs – and everything rises again,” said Robin Chada, head of the Latin Business Association, which represents 800,000 Latin companies in California. “All the Mexican companies I know and the across border companies all send responses,” You must do something. We will lose a lot of works. “
Increased tensions risk a commercial war
Tang, a professor of the University of California at Los Angeles, said that anger at consumers and business owners is a feature of definitions, not a mistake. He said that it is likely to increase the pressure on the governments of Mexico, Canada and China to negotiate quickly With the Trump administration to meet its demands for border security – but this step is fraught with risks.
Canadian Prime Minister Justin Trudeau announced on Saturday evening a 25 % retaliatory tariff for goods imported from the United States, in response to the definitions that Trump paid on Canadian imports. Mexican President Claudia Xinboma also imposed a 25 % revenge tariff on imported American goods in response to Trump’s commercial movements, for each. Reuters.
Economists, who have been reported previously, expect China to respond similarly, with a tariff of revenge, which limits the exports of raw materials used to produce semiconductors, or other changes on its commercial policies to pressure the American economy. No measures have been announced.
“I think consumers need to be willing to affect everyone in the country, not just two companies.”
