As president Donald Trump Threat to force His first tariff In the Saturday world, Chinese manufacturers are preparing for impact.
Although Trump promises Canada and Mexico The US President has filed a 25 % tariff, suggesting that China is still on the radar. Earlier this month, Trump said The initial tariff may start from 10 % Saturday. During the campaign, he threatened to tariffs on 60 % or more Chinese manufacturing goods.
Trump argued that tariffs promoted the growth of manufacturing and work in the United States, and threats were used in the early stage of the second term. Get leverage in policy negotiationEssence Even so, taxes can increase the price of American consumers from furniture to ElectronicsEssence
In China, new responsibilities may damage exporters relying on the US market. During the recent trip to Guangdong’s manufacturing belt, CNBC found that the factory owner is preparing for tariff threats. These are three main gains:
Tariff threats have increased the price for American consumers
In order to defeat Trump’s tariffs, Harry Li, a furniture seller, doubled the number of products he transported to the United States and stored it in the warehouse there.
He expects the strategy to force him to increase the price up to 10 % -no matter what Trump’s tariffs are.
He sold four -quarters of five tables and other large furniture to American consumers.
He said in the Foshan factory: “I must transport them in advance to bear more risks.”
His company Tianyiled plans to retain additional inventory in the United States until Trump’s tariff plan for China has become clearer.
Chinese factories adopt a response strategy
In addition to inventory, Li also considers other methods to avoid border taxes.
He said: “One thing we can do is to choose those products that are not on the tariff list and export it to the United States.”
In the nearby industrial city of Guangzhou, the water purifier manufacturer Zheng Yu is searching for the world to find a new production base to provide services to the United States outside China.
He plans to establish assembly lines in the third country, buy some equipment and components from China, and hire some jobs locally.
Zheng’s company Tesran regards Vietnam, Malaysia and Mexico as a manufacturing base, but even if the cost is 30 % higher than China, it also tends to Dubai.
He said: “The domestic market is too competitive. We have always wanted to jump out for a while.” “Trump’s tariffs gave us the final driving force.”
The founder of Tesran has also kept in touch with his American customers to discuss the distribution tariffs. He hopes that his partner will bear at least half of the cost.
There is a breakthrough point in the Chinese factory-this may lead to less choice for our shoppers
All enterprises in CNBC have a breakthrough point, and the tariff threshold that is no longer selling to the United States ranges from 20 % to 60 %, depending on the scale of the industry and company’s profit margin.
Zheng water purifier manufacturer, Zheng, said that the other is that President Trump proposed a common tariff, as far as his case is concerned, this will increase the cost of Dubai.
He said, “Then the United States is gone.”
Throughout Guangzhou in Guangzhou, Leng Rong, who produces skin care products, is worried that he may have to stop exporting to the United States.
In the first semester of Trump, his commodity was targeted at 20 %, which caused huge losses to his company Kenny.
LENG hopes that he can give any tariff cost to customers.
Lun said in his Guangzhou factory: “In the past, we all think that the US market is the greatest market that everyone wants to sell. However, due to all uncertainty and unfriendly decisions, the United States is not attractive now.” ” It’s a pity. “
