COVER STORY
Trump’s tariffs and the effect on the US textile care industry
We catch up with trade organisations in the United Sates and find out how Trump’s tariffs are impacting on the industry
resident Donald Trump climbed down on his controversial ‘Liberation Day’ tariffs one week after he announced them, pausing the highest percentage impositions for 90 days. However, he more than doubled down on Chinese imports tagging them with a 125% levy. He upped that to 145% on some goods while most of the rest of the world incurs a 10% import tariff as of now. Where does this leave textile care businesses? Well, as LCNi went to press, news broke that the US and China had reaxched a raprochement. Now the reciprocal tariff will drop fporm 125% to 10%. The seaparate 20% tariff imposed for what
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Trump saw as China’s involvement in the fentanyl trade remains, however. China has responded by cutting its 125% tax on US goods to
10%.all this will last for 90 days, we are told, while talks continue. These talks are ongoing and whilke the ruce last 90 days, reaching a full agreement might not happen in that timeline. Professional associations representing the textile care industry expressed concern about the impact Trump’s tariffs would have on their members’ businesses.
Trump had announced the sweeping and costly tariffs on imports from countries he perceived as having been “taking advantage” of the United States and leaving the US in
a trade deficit. He believes manufacturing in the US has declined because of cheap imports from many countries around the globe, and had judged the worst offenders, apart from China, to be Vietnam, slapped with a 46% tariff on its goods; Thailand, whose tariff was upped to 36%; followed by Japan which was to be levied 24%, and; the European Union which faced a 20% levy.* However, those levies, apart from those on China, from 9 April, were pegged at 10%, at least for 90 days (unless Trump does another U-turn). Meanwhile, according to a report by BBC News, “the 10% so-called baseline rate never applied to Canada and Mexico – key trading
TRUMP’S WORLD: It seems Trump’s world is a very topsy turvy one and the textile care industry is not going to be exempt from the chaos. Picture Credit: Shutterstock/ Copyright Lawrey
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