Both large and small companies tell CNBC that the latest round of the tariffs of President Donald Trump, which aimed at countries around the world and transferred trade taxes up to the highest prices for a century, could lead to the fact that freight is abandoned in ports, since owners of wallets and CEOs could reject incoming goods that they could exclude them financially.
Rick Muskat, President of the family-run shoe retailer Hirschhirsch, who imports around two million shoes a year-with about 98% of her men and boys in China and sells in Macy's, Kohls, Jcpenney, and Amazona, who are preparing for the preparation of the shops in the shops Pain is divided and the financial pain is divided, but the financial pain that becomes the financial pain between the pain and the pain that is difficult.
His once 50 dollar pair of men's shoes and $ 35 Little Boys shoes have already risen 80 to 65 US dollars after the United States moved the recent trade war movements through the United States.
Before the tariffs in 2025, his company paid an obligation of 6% to her shoes.
“Then the tariffs were increased twice by 10%, which increased my tariffs of up to 26%. Then Trump levied another 34% last week and now the 50%. All of these tariffs put my tariff to 110% on my non -agricultural shoes. My leather shoes now have a tariff of 120%.
He estimates that the costs for freight orders that are subject to the new tariff will increase from $ 60,000 to $ 600,000 and $ 1 million.
“The cash flow burden is the immediate problem,” he said. “We do not have the capital to deal with it. There is only a bunch of money and I will pay for it, but that means that I don't pay for something else. We will pay for the obligation because we have no choice.”
Muskat said he would not reject the containers in the port, which would force the supplier to take the freight back, but he asked a factory to pause for a week or two to see how things develop. Talks with single dealers have not yet been completed.
It is expected
On Wednesday, Trump added a further change in the liquid situation and said that some other countries than China would receive a 90-day break when implementing tariffs, but new tariffs in China would rise to 125%. According to an estimate, more than half of the daily import duties of 2 billion US dollars from the United States are to enter Chinese goods, and the tariffs for these goods will reach over 1 billion US dollars a day.
The shipping containers at the MSC Livorno are waiting on March 5, 2025, one day after US President Donald Trump, in the port of Long Beach, California.
Frederic J. Brown | AFP | Getty pictures
“The most important trend we see are senders not to accept their freight,” said Joseph Esteves, CEO of Maine Pointe, a consultant for the global supply chain. “Many of these companies are lifted financially. They do not have the requirements for the operating capital and they do not have the money. So they cannot simply do it and hope what happens. They don't have the liquidity to do this,” he said. The balance sheet and cash levels were more sensitive to important cost changes because consumers' demand “slowed down from all this nonsense,” he said. “Every CEO we talk to only seems to wait. They just don't accept at this moment.”
At the moment, many companies are asking their production facilities to delay shipping and do not load a freight on a ship. If the goods arrive in the port and the import duties cannot be paid, the goods in the harbor and the company are charged with costly prison fees.
For many importers “there are no factories in the United States”
Bruce Kaminstein, a Angel investor at New York Angels and founder and former CEO of Casabella, knows the challenges of manufacturing in China. Kaminstein was able to navigate through the tariffs in the first trade war with China, but he warns that start-up companies do not have the cash registers of large companies in order to withstand the capital of capital.
“Products will remain in containers because retailers do not take them,” said Kaminstein.
At the moment, every freight on the water is not confronted with the new tariffs. In updated guidelines on the China -Zöllen published on Tuesday by US -TOLL, a “on the Water clause” explained that the ports in the ports or in the coming weeks are not subject to the tariffs that will only be applied to the incoming goods on May 27.
According to the Kaminstein, however, it takes years for the production of supply chains to be produced.
“The average houseware company, for example, is 20 million US dollars. You do not have the capital to open a factory. … There are no companies, no factories that produce products for other brands,” he said. “This is the real point here. If you have a great idea, where are you going to make the product? There are no factories here in the USA that produce products for other brands.”
Mary Rollman, KPMG US Organizational Strategist & Partnership Executive said that companies have more demanding and better analyzes to appreciate the costs of moving a supply chain today, but added that it took years to find and qualify a supplier.
“Companies have to evaluate the cost of restoring a supply chain,” said Rollman. “You will check the hard data at fixed costs and look at the workforce pool to determine whether there are enough workers to meet the demand.
The other option, she said, was in the country where production is currently taking place and in four years a new administration will find what the tariffs could shy away.
“We use components from all over the world,” said Kaminstein. “Products that are currently being made in one place are very rare. We are used to a global supply chain. In Casabella we introduced products from all over the world and produced products in the USA.”
The Small Business Administration announced CNBC in an e -mail that Trump's trading plan would ultimately support the US business owners.
In an e -mail, an SBA spokesman wrote: “The SBA fully supports President Trump's efforts to restore fair trade, repeated American jobs and revives the American industry, and enables entrepreneurs with level competition to compete.
Hirschhirschhirschs' “Razor-Dünne Margen” prohibited it from front lading products, and the consumers ultimately have to pay. According to the nutmeg, difficult price talks with single dealers are underway.
“We had a conversation with a retailer who agreed to share the increase, but they did not believe that they could rise in the price. Most of the retail community still tried to find out what to do,” he said. “It's so fluent. How do you plan? Hope is not a strategy, but most people hope that Trump and Xi will speak. Both talk hard, but this will be harmful to both countries.”
“Customs for goods that buy consumers like clothes every day or that cannot be grown here, such as coffee or bananas who have only tripled,” said Josh Teitelbaum, Senior Counter from Akin. “We should expect this to go through the economy.”
“It is important to remember that the new tariffs are paid for by US importers,” said Jon Gold, Vice President for supply chain and customs policy at the National Retail Federation. “While retailers can do as well, they will unfortunately not absorb all increased costs. With a few tariff rates of almost 50% and more than 100%, many retailers are forced to increase prices. We encourage administration to quickly negotiate agreements with countries in which we deal with trade.”
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