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As exports from China plunge, the U.S. faces an impending shortage of goods; here's what Americans.


Date: 01-05-2025
Subject: As exports from China plunge, the U.S. faces an impending shortage of goods; here's what Americans
China exports to U.S. plunge as tariffs hit hard, raising fears of product shortages- The story of China exports to the U.S. plunging due to high tariffs is now unfolding in real-time, and it’s starting to shake up the shelves of American stores. As the U.S.-China trade war escalates, shipments of goods from China are dropping fast—raising alarms among U.S. retailers, logistics companies, and even economists. With tariffs now reaching record levels, supply chains are being squeezed, inventory is thinning out, and price hikes could be next.

How bad is the drop in China exports to the U.S.?
The numbers paint a clear picture: shipments from China to the U.S. are plummeting. According to Flex port, a major supply chain company, container bookings from China have dropped by as much as 60%. The Port of Los Angeles, which handles a huge chunk of U.S. imports from Asia, reported a 10% year-over-year decline in shipments last week alone. Eugene Seroka, Executive Director of the Port of Los Angeles, said during an April 24 meeting  ..

Why such a steep decline? The answer lies in the sharp spike in tariffs. The U.S. now imposes up to 145% tariffs on Chinese goods, making many products more than twice as expensive as last year. China, in response, slapped 125% tariffs on U.S. exports. This tit-for-tat has made it nearly impossible for businesses to plan or afford cross-border trade.

Retailers had tried to get ahead of the situation by stockpiling goods last year, but that buffer is about to run out. Once summer hits, stores may struggle to restock shelves.

What products could soon be missing from store shelves?
U.S. ports are already seeing the early signs. At the Port of Los Angeles, five key product categories are at risk: furniture, auto parts, clothing, plastics, and footwear. These are among the most common imports from China, and they’re also everyday essentials for American households.

Source Name : Economic Times

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