Even though tariffs are assessed on a wholesale level, most manufacturers are passing along new tariffs to consumers in the form of higher prices. Unlike prior tariffs applied to Chinese imports earlier in the year to unfinished materials and products, such as aluminum and components used for manufacturing purposes, the tariffs effective Sept 1st will affect mostly finished consumer products.
The tariffs will apply to products from clothing and shoes to furniture and computers. Sneakers, sweaters, pants, dresses and baby clothes all fall under a category worth roughly $39 billion in annual imports from China. Higher priced ticket items such as furniture products including chairs and sofas are worth roughly $1 billion in annual imports.
Prices on many of the newly affected products may not result in immediate price hikes at stores, as some retailers have stockpiled inventories of products with no assessed tariffs since they were imported before September 1st.
Sources: U.S. Department of Commerce
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