Benise Balaoing

President Donald J. Trump waves to the crowd on the first day of the Republican National Convention at the Charlotte Convention Center on August 24, 2020 in Charlotte, North Carolina. The four-day event is themed "Honoring the Great American Story."   David T. Foster III-Pool/Getty Images via AFP

Article (news)

Republicans Hold Virtual 2020 National Convention

Agence France-Presse

<p>WASHINGTON -- President Donald Trump&#x27;s rollercoaster tariff row with Beijing has wreaked havoc on US companies that rely on Chinese manufacturing, with a temporary de-escalation only expected to partially calm the storm, analysts and business owners say.</p><div><a href="https://www.abs-cbn.com/news/business/2025/5/3/trump-s-tariffs-bite-at-quiet-us-ports-1618" rel="noopener noreferrer" target="_blank">Trump&#x27;s tariffs bite at quiet US ports</a></div><p>&quot;The only option is to try to keep your head above water and be tossed by the waves, or to go out of business,&quot; said Anna Barker, whose Mississippi-based firm Glo sells luminous toys designed in the United States and made in China.</p><p>She told AFP that the 90-day reprieve beginning Wednesday is just a mere &quot;blip on the radar.&quot; Placing orders, manufacturing products and shipping them to the United States takes much longer.</p><div><a href="https://www.abs-cbn.com/news/business/2025/2/2/us-tariffs-a-blow-to-the-world-economy-0756" rel="noopener noreferrer" target="_blank">US tariffs: A blow to the world economy</a></div><p>Trump&#x27;s escalating trade war since his return to office saw US duties on Chinese goods -- including toys -- reach a whopping 145 percent, while Beijing&#x27;s countermeasures hit 125 percent.</p><p>The world&#x27;s two biggest economies however agreed at talks last weekend in Switzerland to temporarily lower the levies, bringing US tariffs down to 30 percent and China&#x27;s corresponding duties to 10 percent.</p><div><a href="https://www.abs-cbn.com/news/business/2025/5/12/markets-rally-after-china-and-us-slash-tariffs-for-90-days-1700" rel="noopener noreferrer" target="_blank">Markets rally after China and US slash tariffs for 90 days</a></div><p>While cautiously optimistic about the ongoing negotiations, Barker warned the 30 percent rate remains &quot;massive for a small company.&quot;</p><p>Trump has argued that companies will enjoy zero tariffs if they manufacture in the United States, overlooking costs for any machinery or raw materials that would still need to be imported.</p><div><a href="https://www.abs-cbn.com/news/business/2025/5/9/trump-tariffs-without-modern-precedent-us-fed-official-2059" rel="noopener noreferrer" target="_blank">Trump tariffs &#x27;without modern precedent&#x27;: US Fed official</a></div><p>&quot;We&#x27;re an American company,&quot; Barker said. &quot;Our biggest priority, if it was just up to us, will always be the US market. But it simply can&#x27;t be right now.&quot;</p><p>To stay afloat, she is looking abroad for growth.</p><div><span class="fr-video fr-deletable fr-fvc fr-dvb fr-draggable" contenteditable="false" draggable="true"><iframe width="640" height="360" src="https://www.youtube.com/embed/4pHY9y3HEss?&amp;wmode=opaque&amp;rel=0" frameBorder="0" allowfullscreen="" class="fr-draggable"></iframe></span><br/></div><div><strong>&#x27;Clogged pipeline&#x27;</strong></div><p>The pause &quot;may temporarily help unstick&quot; an effective trade embargo since April 9, when steep levies forced many firms to halt imports, said Steve Lamar, president of the American Apparel &amp; Footwear Association (AAFA).</p><p>He warned, however, that the residual 30 percent tariff, stacking on duties from past administrations, will &quot;make for an expensive back to school and holiday season.&quot;</p><div><a href="https://www.abs-cbn.com/news/business/2025/4/3/recession-likely-for-many-countries-after-trump-s-liberation-day-tariffs-1146" rel="noopener noreferrer" target="_blank">Recession likely for many countries after Trump&#x27;s &#x27;Liberation Day&#x27; tariffs: Fitch official</a></div><p>&quot;The tariffs are still so large that you can&#x27;t help but pass them along,&quot; said KPMG chief economist Diane Swonk.</p><p>This means producers, retailers and consumers could all bear some burden, with small businesses hit particularly hard due to their narrower margins.</p><div><a href="https://www.abs-cbn.com/news/business/2025/4/24/trump-says-25-tariff-on-cars-made-in-canada-could-go-up-0807" rel="noopener noreferrer" target="_blank">Trump says 25% tariff on cars made in Canada could go up</a></div><p>Freight rates could also surge due to shipping disruptions from the tariffs.</p><p>&quot;There&#x27;s a lot of inventory piling up in factories in China that now need to hit the water,&quot; said Josh Staph, chief executive of Ohio-based Duncan Toys Company.</p><p>Barker said her company was hurrying to join an &quot;already very clogged pipeline of people racing to shipping ports.&quot;</p><div><a href="https://www.abs-cbn.com/news/business/2025/4/9/ph-eyes-south-american-middle-eastern-markets-amid-us-tariff-woes-1805" rel="noopener noreferrer" target="_blank">PH eyes South American, Middle Eastern markets amid US tariff woes</a></div>

<p>President Donald Trump's rollercoaster tariff row with Beijing has wreaked havoc on US companies that rely on Chinese manufacturing</p>

President Donald Trump's rollercoaster tariff row with Beijing has wreaked havoc on US companies that rely on Chinese manufacturing

'Panic and paralysis': US firms fret despite China tariff reprieve

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'Panic and paralysis': US firms fret despite China tariff reprieve

Agence France-Presse,

Beiyi Seow

Published May 14, 2025 01:06 PM PHT

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Updated May 14, 2025 01:56 PM PHT

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