President Trump imposed 25% of tariff Mexico and Canada on Saturday, and 10% of cinema tariffs, making Promise of a signature campaign and the fundamental economic philosophy of his administrative reality, with implications on all of oil to Autos to American consumer. But for many companies across the economy, preparations for the new Tariff war began long ago – long before Trump won the 2024 elections.
From large companies in consumer sectors such as Walmart, Columbia Sportswear and Lenovo, to a wide range of critical goods for infrastructure projects, importers moved quickly during 2024 to get as many products as possible in the US as possible
Conversations with clients about their products in front of possible tariffs have started since March last year, says Paul Brashier, Vice President of the Global Supply Chain in his logistics, and components are used in infrastructure projects one of the largest segments of products that are brought to the country early.
“Many of them [infrastructure/construction] The budgets were made two or three years ago, and an additional 20% of the costs could be expelled by those budgets from the water, “Brashier said.” So, you have to introduce them before the tariff so you can protect the bottom of the line. “
Solar panels, spare power supply, racks and lithium batteries used in data centers have identified imports as additional objects that are front.
“When it comes to the influence of tariffs, companies are very grainy and very concrete,” said Josh Teitelbaum, an older advisor Akina, who advises his clients to prepare for quickly with the Tariff Plans of President Trump and do not become seized in discussions on the effectiveness of tariffs as economic policies. “They are not interested in academic questions about what principles are and whether this specific tool can be theoretically justified to use this tariff. They want to know when it will affect me and how much and how much and how much products,” said Teitelbeum, which was involved in the structure Trans-Pacific partnership, a trade agreement that President Trump has now drawn during his first time in power.
Adopting the product early requires storage in warehouses, which has additional costs. “The cost of warehouse is folded into the price of the product. In the end, the consumer will pay,” Brashier said. In the case of storage of equipment for infrastructure project equipment, companies absorb costs, but this is better than paying the tariff, he added.
Although the largest companies on the market can afford to bring products early, a strategy called Frontload, I cannot afford all companies to afford this approach.
“I don’t know what happens,” said Rick Muskat, president of the Deer Stags family shoe salesman, who imports about two million shoes a year, with about 98% of their men and boys shoes made in China and sell at Macy’s, Kohl’s, JcPenney And on Amazon.
Tuesday is an implementing plan for the implementation of new tariffs, although the time remains unclear, with a Canadian oil that will be affected by tariffs at a lower level of 10%. Trump has previously threatened to eventually impose tariffs up to 60% on Products from China.
Muscat says that the company is “devastating margins” forbids it with the products that are front, and consumers will ultimately have to pay. “We’ll increase the price,” Muskat said. “The seller will either accept it or will not accept it. If it accepts it, it will increase its price. Then the consumer will be left without other choice. There will be a shock of stickers.”
Despite the claims of President Trump to pay for foreign nations like China to pay tariffs, Muskat said companies like his bear of pain. And he showed CNBC customs documents to prove it.
“The importer pays the tariff,” Muskat said. “The goods do not release the customs on US territory until the importer pays the duty, tariff, tax. Customs draws the amount directly from our current account.
Jelena Jelena is the most popular male shoe for sale for $ 50. If the tariffs impose, the muscat said the shoe is likely to increase to $ 75. Part of the problem, Muskat explained, is that orders and prices of trained approximately seven months before delivery with clients.
While Trump Tarife positioned as key to the growth of the American economy, Muskat is a trade policy as a threat to his family’s dream about having a job.
“That keeps me at night,” he said. “We are a family business. We are considering people who work for us, part of our family. Most of our team has been with us for over 20 years. They are the only ones with us less than 20 years have recently replaced the people who have withdrawn. “
Safiya Ghori-Ahmad, the leadership of a public public relations practice at APCO, who has been advising customers for months about how to communicate price increase to customers, said that influence would feel wider than it was during Trump’s first term.
“It’s really important for companies to talk about the real impact on consumers,” Ghori-Ahmad said. “This time the tariff will be more expansive. In addition to China, we will probably see tariffs with our biggest commercial partners, Mexico and Canada. These tariffs could include food, auto sector, furniture and toys from Mexico.”
Even companies that have made strokes for the restructuring of supply and production restructuring and production cannot be rapidly moving with such complicated operations to avoid significant influences of tariffs. Surfaceart, which products related to tiles and tiles products, moved his business from China as a result of tariffs for 2018 and spent millions by setting up operations in the US, but still did not have enough capacity to satisfy demand. Surfaceart has facilities in Vietnam, Spain and Italy to pick up additional capacity that cannot satisfy American operations.
“The amount of imports required for the Nutrition of the United States offer is quite obvious,” Kevin Stupfel, president of the family company. If the tariff is covered by imports, which Trump’s administration has imagined with various federal departments in charge of preparing a report of potential tariffs in the next 60 days, Stupfel says these are not only companies and owners of the company, but also all in us who need each other prepare. “Now they simply do not have the ability to make tiles that requires the US market. It would affect everyone you know. It would also affect the cost of construction, the cost of building a house and remodeling.”
