Container ships and shipping containers in the Yangshan Deep-Water port on October 18, 2024 in Shanghai, China.
VCG | Visual China Group | Getty pictures
The iPhone of Apple and other technology hardware, from chips to PCs, received a tariff tariff tariff tariff -tariff -Tarif -tariff -Tariff -TARIF -TARIF -TARIF -TARIF -TARIF -TARIF -TAURET -TAURET -TAURET -TAURET -TAURET -TAURIT -TAURIT -TATE -TAURIFTARIT -TAURIT -TAURIT -TAURE -TAURE -but for a large part of the US economy and small business owners will soon be irreversible if the 145% tariffs of Chinese imports are imposed.
According to the managers of the supply chain, the canceled cargo orders and the abandoned freight from China quickly become the norm, since companies have interrupted container exports in the entire US industry, whereby the tariffs hit bricks like a ton.
“Furniture producers in China have made a complete support for the orders of US importers, and we hear the same thing about toy, clothing, shoes and sports equipment,” said Alan Murphy, founder and CEO of Sea-Intelligence.
“We had the same thing in all of Southeast Asia, but after the 90-day reimbursement of these bookings we excited again,” said Brian Bourke, Chief Commercial Officer from Seko Logistics, while the canceled bookings for containers from China are continued.
“Almost everything is in the queue in connection with the China business,” said Alan Baer, CEO of Ol USA.
“Trumps 145% Total tariff for Chinese imports would stop most trade between the USA and China,” said Erica York, Vice President of Federal Tax Policy at Tax Foundation's tax policy, on Thursday about CNBCs “The Exchange”.
“There can still be a few things without replacement that companies only have to play the bill, but for the most part it cuts it off,” said York.
Since it became clear in the past week that China would remain the main goal of the Trump government's tariffs-after the 90-day amuses to all other countries that were expected to be hit with new tariffs, the message that was due to the lower margin was that goods with lower margin cannot be manufactured in China. The new liberation for the technology can be partially explained by the functionality of the supply chain, but also increases where the greatest pain can be felt.
“Higher and more technical goods such as electronics, machines, medical devices and pharmaceuticals cannot simply move the procurement because the establishment of high -technical production needs time and considerable capital,” said Murphy.
Before liberating the Tech tariff, the manufacturers of these goods analyzed which components could be obtained elsewhere, while they primarily want to deduct the US inventories. There is a concerted effort to move production to Southeast Asia, mainly Vietnam or India. The reduction in prices to Europe to keep production or close the production lines directly were also taken into account.
“No risk or a burden of small companies can maintain”
Stephen Lamar, CEO of the American Apparel & Footwear Association, said that the sudden political changes and high tariffs disrupt the supply chains on a level that has not been seen since the pandemic.
“With unaffected high tariff level for US imports from China, many companies have no choice but to cancel orders,” said Lamar. “The constant changeover means that new tariff costs are only presented or predictable when the goods arrive to the port, and the high prices are not paid.
Lamar said that many of these companies, especially small companies, without alternative procurement on the horizon, that this sudden lack of orders immediately leads to lost sales and widespread product shortages. “An expansion of the trade war in US imports from China is now necessary before the damage is irreversible,” said Lamar.
The integrated logistical Maersk has warned that on the container liner page of his business, the decline in bookings in conjunction with the possibility of supplying shipbuilding fees on “Chinese” ships, which will also come into force next week, will lead to “massive restructuring of all Liner services to North America”.
“And it will take months for chaos to say with overload and freight rates for the coming months,” Maersk wrote to the customers.
Murphy said that no one spoke in all Chinese producers with whom his company spoke. No attempts are currently active to shift production to the United States, with part of the reason not understanding the ultimate goals of the administration.
“The biggest concern here is a complete uncertainty of the actual final of the Trump government,” he said. “Nobody will consider massive investments in US production if tariffs are only a trick for better trade agreements. If the administration actually pursues a goal of the purely industrialization of the United States, the long-term plan for tariffs must be clear and less” 4d chess “and” art of the deal “, he said. “Yo-Yo tactics to change the tariff rates every day creates nothing more than uncertainty,” he added.
Holding freight processing is a way to alleviate the effects of tariffs. Logistics providers can offer a bound memory, which means that freight comes to the USA without receiving a tariff for a certain time. The use of foreign trade zones and other methods to delay transits enable the temporary shift in trade tasks.
“The current circumstances are unprecedented,” said Karsten Kildahl, Chief Commercial Officer at AP Moller-Maersk.
Abandoned freight
The fate of the abandoned ocean and the air freight – freight, which is not too responsible by the shipping company or the freight guard for the payment of the customs in the name of its customer, is not clear and the rules change the port and the contract to the contract.
Harbor officials say CNBC that they are usually not communicated about abandoned freight. In the New York Terminal Conference agreement, it says that the freight at the Terminal of more than 30 days is available and sold to be available for the collection of government costs due to the NYTC. In addition, the final responsibility of the costs usually depends on certain shipping contracts. “If the BL (freight letter) has not been transferred to the recipient, it is the responsibility of the sender. The sender could decide to withdraw the freight (ie the freight swings again).”
Senders usually create a “contract letter” for US customs purposes so that the freight is sold or auction, whereby the proceeds from the sale/auction pay the costs such as the use of containers and chassis and with the balance for the terminal.
The terminal can move the abandoned freight to a bound warehouse or leave it at the terminal and sell it from there. There is a market for the purchase of abandoned freight. Companies such as JS Cargo & Freight Isal, FR8 auctions or goods to buy USA buy abandoned freight and then sell in discount shops, outlets, liquidators, online sellers such as Amazon, drug chains, varieties, redeeming centers, liquidators and final buyers.
Maersk announces CNBC that many senders use a “waiting and sea” and have written in a recent warning to customers that customers are careful up to a clearer image in terms of their inventory and continue to investigate opportunities to build additional flexibility into their supply chains. In his global network of warehouses, sales centers, port terminals, ships and freight aircraft, “additional flexibility” is what many customers are looking for now, he said.
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