
Tariffs devastated America’s ports. Soon, they could face a surge from stockpiling
CNN
US ports are facing a dramatic slowdown in cargo – but they could see the exact opposite in a matter of weeks.
US ports are facing a dramatic slowdown in cargo – but they could see the exact opposite in a matter of weeks. Starting Wednesday, cargo leaving China bound for the US will carry a 30% tariff rate – a reduction from the higher 145% tariff that was in place for six weeks. The US and China announced a dramatic de-escalation in tariffs on Monday, lowering cripplingly high rates for 90 days. Experts say retailers will likely frontload more cargo during the pause, working against the clock to bring in inventory before things change again. “You’re right kind of smack dab in the middle of when all that holiday merchandise is supposed to be coming in. So, there might be some retailers who decide to bring more product in early to get ahead of that potential expiration if they’re able to,” said Jonathan Gold, vice president of supply chain and customs policy at the National Retail Federation That’s exactly what retailers did before the first wave of tariffs took effect on April 9, stockpiling imports in March. China is one of America’s most important trading partners, where we get most of our clothes, footwear, toys, electronics and microchips. For many businesses, the higher tariffs make it too expensive to do business with China. Flexport, a logistics and freight forwarding broker, said Monday it was too early to predict the exact scale of the surge following the US-China announcement, but that they were anticipating a “boom” in bookings. Peter Boockvar, an economist at The Boock Report, says that while it’s still unclear how much a 30% tariff rate on China will make a difference, some retailers will take advantage of the lower rate.













