TARIFFS BETWEEN THE USA AND CHINA ARE AFFECTING ALL OF OUR BUSINESSES
“We’ve got to let everything settle as my business continues to absorb a lot of the additional costs that come from paying tariffs on imported items for our clients, and we’re not alone in this regard.”
ARTICLE SUMMARY
I look at how the U.S.–China tariff changes described in this 2019 post affected our furniture and lighting business. Rather than reacting immediately to an uncertain situation, I explain the costs we were absorbing and the importance of reviewing our response with partners and clients.
KEY TAKEAWAYS
The discussion belongs to the tariff environment described in 2019.
My approach was to avoid rushed pricing or supply-chain decisions while conditions were changing.
The ongoing trade war between the U.S. and China has seen a number of rounds of tariffs imposed by both countries. For example, in May 2019, the U.S. started imposing a 25% tax on imported goods from China on items such as furniture and lighting products. New tariffs could take effect in the coming months, but the situation has been very fluid and unclear.
For our industry, tariffs have had an impact but we can’t do anything right now.
We’ve got to let everything settle as my business continues to absorb a lot of the additional costs that come from paying tariffs on imported items for our clients, and we’re not alone in this regard.
Many companies have global supply chains with important items coming from China, and even some local, U.S-based manufacturers have to deal with these tariffs because they import certain components to aid their overall production.
However, because the situation keeps evolving rapidly, we don’t want to make knee-jerk decisions like changing our pricing or supply chain practices.
We just need to sit back, let things happen and from there we’ll re-evaluate and discuss with our partners and clients.
An editorial montage introducing the U.S.–China tariff dispute discussed in this 2019 post.
RELATED READING
For business and project inquiries, connect with George Stroumboulis.
George Stroumboulis visits Conrad Athens The Ilisian to see Ideoli’s custom decorative lighting and reflect on the landmark hotel’s history and transformation.