‘You can always put off the purchase of a couch’: how tariffs are squeezing the U.S. furniture business via ReutersTV
LOS ANGELES/CHICAGO - When President Donald Trump decided to raise tariffs on Chinese imports earlier this month, Francis O’Brien was left with no choice but to add a 4% fee on every item of furniture he sells.
Like O’Brien, some are hiking prices. Others said they are canceling or pausing orders. Still others are imposing tough new contract terms, rerouting sourcing and discussing ways to share costs with each other. But such offsets are often limited to the big factories and purchasers, and many in the $114 billion U.S. retail furniture industry are scrambling to cope with a sharp rise in costs from their biggest supplier.
Children's furniture is seen displayed in a showroom at New York-based Delta Children, the biggest U.S. supplier of baby furniture from China and other countries to major retailers like Walmart, William-Sonoma Inc's Pottery Barn and Wayfair Inc. in New York, U.S., May 29, 2019. REUTERS/Mike SegarManwah, for instance, is more than doubling the size of its factory in Vietnam, which now ships 1,000 containers per month.
Others raised similar concerns about pricing and demand. A typical furniture seller would have to raise the retail price of a table that wholesales for $400 to about $999 from $799 to cover the 25% tariff costs, said Stephen Antisdel, founder of Precept Partners, an e-commerce consultancy.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
U.S. Tariff On Mexico Hits FCA, BMW And VW Stock PricesEuropean auto makers face mounting losses if the U.S. decision to raise tariffs on Mexican exports by 5% isn’t settled soon, and their stock prices took a beating Friday with the Stoxx Europe 600 index losing almost 3.0% at 454.73.
Read more »
Australia says it is complying with U.S. aluminum deal after tariff exemptionAustralian Prime Minister Scott Morrison said on Monday aluminum exporters are c...
Read more »
Former Mexican Ambassador To U.S. Says Latest Tariffs Will Backfire On TrumpDonald Trump's threat to impose tariffs on Mexican goods will “boomerang,” warns Arturo Sarukhan, Mexico’s former ambassador to the U.S.
Read more »
As meetings begin and U.S. tariffs loom, Mexico hopes for migration dealMexico can reach an agreement with the United States to resolve a dispute over m...
Read more »
U.S. economy slips from first to third place in global competitiveness ranking amid Trump's tariffsThe center's director described Trump's ongoing trade war with China as a 'tantrum.'
Read more »
U.S. Auto Makers Sweat Under Threat of Tariffs on Mexican ImportsPresident Trump’s threat to impose escalating tariffs on Mexican imports foists fresh bad news on the U.S. auto industry, which had pinned hopes on a tentative deal reached last year to preserve free trade between the countries.
Read more »
China threatens corporate hit-list on eve of new tariffs on U.S. importsChina threatened on Friday to unveil an unprecedented hit-list of 'unreliab...
Read more »
Mexico starts talks in Washington early over U.S. tariff threatMexico's Economy Minister Graciela Marquez said on Sunday she would meet wi...
Read more »
Mexico's Economy Minister to meet Wilbur Ross over U.S. tariff threatMexico's Economy Minister Graciela Marquez said on Sunday she would meet wi...
Read more »
Japan business lobby urges sales tax hike to proceed as plannedThe head of a Japanese business lobby said a planned sales tax hike should proce...
Read more »
Mexico Warns of Retaliation for U.S. TariffsMexico is weighing its options to respond to the threat of U.S. tariffs on all of its exports, including possible retaliation, but would rather convince the Trump administration that a negotiated solution is in the best interest of both countries, senior officials said Monday.
Read more »