Trump’s scope for China means “irreversible” damage to many companies

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Containers and shipping containers at Yangshan Port in deep water on October 18, 2024, in Shanghai, China.

VCG | China Visual Group Gety pictures

The iPhone from Apple and other technology devices, from chips to personal computers, and received China’s tariffs From President Trump on Saturday, but for a large part of the American economy and small business owners, the damage will be irreversible A 145 % tariff It is imposed on Chinese imports.

Site shipping orders and Deserted shipping From China, China has become the standard in the trade war between the United States and China, according to the executives of the supply chain, as companies throughout the American industries have fully paused on container exports, hitting tariffs like a lot of bricks.

“China’s furniture producers have fully paused on orders from US importers, and we hear the same through games, clothes, shoes and sports equipment,” said Alan Murphy, founder and CEO of Sea-Entelligence.

“We had the same in all parts of Southeast Asia, but after restarting these reservations for 90 days,” said Brian Burke, the chief trading official at Seko Logistics, while the containers canceled for containers outside China continued.

“Almost everything is suspended in terms of China’s business,” said Alan Bayer, CEO of OL USA.

“The total Trump tariff by 145 % on Chinese imports will stop most of the trade between the United States and China,” said Erica Erica, Vice -President of Federal Tax Policy at the Federal Tax Policy Center, on Thursday.

“There may be some things without any alternatives that companies should put the bill, but for the largest part, this cuts them,” said York.

It has also become clear during the past week that China will remain the main goal of the Trump administration tariff policy – after that Deposit for 90 days For all other countries that are expected to be exposed to new definitions-the message that came is that low marginal goods cannot be produced in China. The new technology exemption can be partially explained by how the supply chain works, but it also enhances the place of greater pain.

Murphy said: “Supreme shelves and more technical commodities, such as electronics, machines, medical equipment and pharmaceutical preparations, cannot move the sources easily, because the creation of technical manufacturing is very time and a large capital.”

Before exempting a tariff technology, he says that the producers of these goods were analyzing the components that could be obtained elsewhere, while primarily looking to withdraw American stocks in the short term. There are concerted efforts to transfer production to Southeast Asia, in Vietnam, or India in the first place. Prices have also been seen to Europe to maintain production, or explicitly close production lines.

“The risks or the burden of small companies cannot maintain it.”

The sudden changes in politics and high definitions have disrupted supply chains at an unprecedented level since the epidemic.

“With high tariff levels prohibited on American imports from China, many companies have a choice but to cancel requests,” Lamar said. “The continuous switching means that the costs of the new customs tariffs are not accurate or predictable until the goods reach the port, and the high rates generate bills that cannot be paid. This is not a risk or a burden that can carry small companies.”

Lamar said that with the absence of alternative sources on the horizon for many of these companies, especially small companies, this sudden lack of requests will immediately translate into lost sales and a widespread product. “There is a need for an extension of the trade war that temporarily stops to American imports from China before it is irreversible,” Lamar said.

Integrated logistics giant MAERSK has warned that on the side of the container lining of its work, the decrease in reservations besides the possibility Shipbuilding fees on “Chinese” ships It will also lead to “a huge restructuring of all lining services to North America.”

“It will take months to sort the chaos, with a high congestion and charging rate for several months to come,” Merck wrote to clients.

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Murphy said in all Chinese producers with whom his company spoke, no one is currently looking to transfer production to the United States, with part of the reason why the final goals of the administration did not understand.

“The biggest concern here is the complete uncertainty in the actual final game of the Trump administration,” he said. He said: “No one will think of huge investments in American production if the customs tariff is merely a trick to negotiate better trade deals. If the administration is actually seeking a goal in the field of American ringtone, then the long-term plan for definitions must be clear, and the least talk about“ 4D chess ”and“ the art of the deal. ” Certainty.

Adherence to shipping processing is one of the ways to mitigate the effect of definitions. Logistics service providers can provide worship storage, which allows shipping to enter the United States without imposing introductory fees for a certain period of time. Foreign trade and delay in transportation, in addition to reformulating the goods that have already been sent in warehouses, are other ways.

“The current circumstances are unprecedented,” said Carsten Keelaal, the chief trading official in Apoller Merck.

Deserted shipping

The fate of the abandoned Oceans and Air Freight – the goods that have not been claimed or paid by the shipping company or the shipping assistant responsible for paying customs on behalf of its customers – are not clear and change the executing rules, and contracts to contract.

CNBC port officials tell that they are not usually notified of abandoned shipping. The New York Conference Convention states that the remaining goods on the station that exceeds 30 days will be considered deserted and a sale to collect destroyed fees due to NYTC – the charges that were evaluated to leave shipping at stations for a period of time. It also says that the final responsibility of the costs usually depends on specific shipping contracts. “If the BL (shipping policy) is not transferred to the sender, then this is the right of the charger.

The trucks usually prepare a “abandonment letter” for customs purposes for us to sell the shipment or sell it by auction, with the payment of sales/auction returns any expenses, such as using the container and the structure, and with the balance of the station.

The station can transfer the abandoned goods to a worshiper warehouse or leave it on the station and sell it from there. There is a market for the purchase of abandoned shipping. Companies such as JS Cargo & Freight Disposal and FR8 AUTIORES or Merchandise USa Cargo are purchased and then sell them in deducting stores, outlets, descriptions and online sellers such as Amazon, drug chains, diversity outlets, salvation centers, mushrooms and buyers.

MAERSK CNBC tells that many trucks spread “waiting and see”-in a recent alert to customers, he wrote that until there is a clearer picture, customers will be cautious about their stock levels and continue to explore the ways of building their supply chains. He said that “additional flexibility” is an “additional flexibility” that many customers are looking for now, through its global network of warehouses, distribution centers, ports stations, ships and shipping aircraft, which are what many customers are looking for now.



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