According to Reuters analysis, if the inclusion of smart phones, computers, toys, clothing and footwear products, furniture and other consumer goods, can easily reach a scale of 100 billion US dollars, the US retail industry will inevitably increase prices.
Taking the three categories of consumer electronics products as examples, the size of mobile phones is 44 billion U.S. dollars, the computer category is 37 billion U.S. dollars, and the audio and video data recorders category is 22 billion U.S. dollars, adding up to more than 100 billion U.S. Dollars. .
However, the US supply chain may be affected because many consumer electronics products rely on the United States to supply semiconductors and software and other components, which are sold in mainland China and then assembled in the United States. Taiwan, which supplies mobile phone components to Apple and other companies , South Korea, Japan will also suffer.
Trump's products, such as toys, games, sporting goods, etc., have less impact on US supply chain products, with a size of about 25 billion US dollars. However, 81.5 percent of American products rely on China's mainland. That is, it is not easy to find other alternative import sources.
Hun Quach, Vice President of the U.S. Retail Association, said: “If you consider how to deal with the import of one hundred billion U.S. dollars from China, consumer goods cannot be avoided.” She also pointed out that importing from other countries “can't say that reforms will change.” It's not that easy. The retail industry orders for this year have already been negotiated.
How the new tariffs affect consumers' pockets is subject to many variables, making it difficult to estimate the impact of tariffs on individual products. Some operators may absorb some of the costs, and others may shift production from mainland China to other countries. For example, LG Electronics earlier this year was selling US washing machines subject to a 20 per cent tariff, which later reflected a price increase of 4 to 8 per cent.