US retailers relieved as US delays $200bn China tariff increase
07 / 12 / 2018
Photo: stockphoto mania/ Shutterstock
US retailers have welcomed news that the US has decided to hold off on implementing tariffs on $200bn worth of Chinese goods due to be implemented in January.
The delay comes after China and US agreed to a 90-day truce on further tariffs hikes to allow talks to take place.
From January 1 tariffs on $200bn worth of Chinese goods were set to be increased from 10% to 25% as part of an ongoing trade war.
US president Donald Trump also declared via Twitter that China would reduce and remove the 40% tariff it places on US car imports.
The US National Retail Federation (NRF) president and chief executive Matthew Shay said: “We commend President Trump for his efforts to restore a fair and balanced trade relationship with China. The administration’s decision to give diplomacy a chance and at least temporarily avoid the imposition of increased and additional tariffs is an encouraging sign.
“It is clear the administration has heard the voices of those negatively impacted by existing tariffs. We hope this 90-day tariff pause will lead to a positive resolution that removes tariffs altogether and improves US-China trade relations. Retailers are pleased by this progress"
NRF and a coalition of nearly 150 organizations representing retailers, farmers, manufacturers and technology companies sent a letter to the White House last week urging the administration to negotiate with China and forgo a January 2019 tariff increase.