Imports to the U.S. are expected to rise due to concerns over potential tariff hikes proposed by President-elect Donald Trump and the threat of a port strike on the East and Gulf Coasts. During his 2024 campaign, Trump suggested raising tariffs on Chinese goods to 60% and imposing a 20% tariff on other foreign imports. This has prompted many retailers to accelerate their shipments to avoid these increases. Some are shifting cargo to the West Coast to bypass potential disruptions, similar to actions taken earlier this year.
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The National Retail Federation (NRF) warns that the proposed tariffs could increase consumer prices by $78 billion annually, further stressing an already fragile retail environment. The threat of a port strike in January, following a brief shutdown in October, is also causing uncertainty. As a result, import volumes have remained high, with imports from Asia continuing to grow despite tariff concerns. Global Port Tracker, a report by the NRF and Hackett Associates, estimates U.S. ports handled 2.29 million twenty-foot equivalent units (TEUs) in September, marking a 12.8% increase compared to last year. For the remainder of 2024, imports are expected to rise, with November projected at 2.15 million TEUs (up 13.6% year-over-year) and December at 1.99 million TEUs (up 6.1%). However, these projections could shift based on the final outcome of the election and any labor disruptions.
Source: www.furnituretoday.com