President Trump's $ 34 billion in fresh tariffs on Chinese goods pave the way for price increases for US companies and consumers. How does it affect American everyday life? We explain it.
The ongoing trade war President Donald Trump against World powers, including some of our closest allies, show no signs of slowing.
Left in the dispute: companies, American workers and consumers.
The list of affected companies continues to grow, whether through the closure of factories, the dismissal of employees, the elimination of plans for new jobs or the increase in prices.
On Tuesday, the Trump Administration announced that it was escalating the fight with China by pushing up a 25 percent tariff on $ 16 billion for Chinese goods. Tariffs will come into force later this month.
The ultimate goal in Trump's eyes is that these countries lower their tariffs on American goods, thereby improving the US market. Some say that his plan could work if the US negotiates a position of strength – a strong – economy and low unemployment.
But as the fight continues, some companies have to absorb the shock. Some have raised prices or suffered lower profits, while others have announced the closure of factories, layoffs and job closures.
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Here you will find a list of all companies listed under State, Impact of tariffs have announced:
The nation's largest nail manufacturer, Mid-Continent Nail, announced 60 workers after selling rushed 70 percent in the wake of Trump imposed a 25-percent-inch on steel from Mexico and Canada. Poplar Bluff said it has raised prices, but customers have defected. The company announced that there would be more redundancies and that the entire 500-strong workforce would be terminated by Labor Day.
SEMO Box, a packaging company based in Cape Girardeau, noted that Mid-Continent is experiencing slow business. According to Associated Press and Mid-Continent, the company would lay off four temporary workers because of the slowdown.
Harley-Davidson plans to relocate part of its US motorcycle production outside the US in response to the trade battle. The Milwaukee-based motorcycle manufacturer said in a public statement on Monday that the move was needed to maintain its second largest market after the European Union introduced new tariffs.
The company did not state whether it would close any US plants or lay off workers. But Harley has recently devised plans to relocate some productions to a new factory in Thailand and said she would close her plant in Kansas City, Missouri and add some jobs at a facility in York, Pennsylvania.
About 100 employees were recruited at the Moses Lake plant by REC Silicon, a silicon materials supplier for solar panels. dismiss. The plant has also reduced production by 25 percent, according to Reuters.
The layoffs are a "direct result of the ongoing solar dispute between China and the US," Fortune company said. China has imposed tariffs on polysilicon on which the company relies.
Trans-Matic, of Holland, Michigan, shapes metal, mostly in auto parts, as well as door lock components. The company has been forced to pay higher steel prices due to trade negotiations in recent months. These higher costs have been passed on to automotive suppliers, some of whom have scaled back their business.
The company's chief financial officer, Steve Patterson, said his employees are getting fewer hours and experiencing a slight decline in profits.
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tariffs could up to 4000 new jobs cost in a new Volvo plant, which was opened in South Carolina. Volvo Cars boss Hakan Samuelsson told Reuters that "trade barriers and restrictions" would prevent them from "creating as many jobs as we plan to do".
Element Electronics, a television producer, said it might be forced to shut down its plant in Winnsboro, unless certain items were removed from the list the company needed for production. The plant is one of Fairfield County's largest job suppliers and the company said it may be forced to lay off 126 people.
Prices have risen at Vintage Industrial, a steel furniture company in Phoenix, due to tariffs. Greg Hankerson, co-owner of the company, said the 25 percent duty on imported steel has increased raw material costs, forcing him to raise prices by 5 to 10 percent for various items earlier this year, with further price increases possible are. 19659018] Could Trump's tactic work?
Many companies hope that trade negotiations will end quickly, but warn that job cuts and price increases may be imminent. BMW and General Motors have sent their warnings in writing to the Ministry of Commerce.
"That hurts the economy, but so far it's manageable," says Mark Zandi, chief economist at Moody's Analytics. "If the war continues to escalate, it will do more damage and someday undermine the good economy, causing significant job losses and probably a recession.
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Despite fears that the trade dispute could get out of control, causing global growth The Wall Street professionals still believe in the President's use of tariffs as a bargaining tool is likely to be a winner.
"Right or wrong, many investors still believe that the US will have the upper hand in this fight and win in the end," said Randy Frederick, vice president of trading and derivatives at the Schwab Center for Financial Research.
That's because China has more to lose. The country's exports to the US, measured in dollars, surpass American exports to China 3 to 1. This purchasing power is hard to replace.
And while prices could raise consumer prices from cars to washing machines, "the US does not need China as much as China needs the US," says Barry Bannister, head of institutional equity strategy at Stifel. 19659049] Contribution: Paul Davidson, Adam Shell and Nathan Bomey
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