Baseball gloves, handbags, and U.S. economy to be hit after Trump's tariffs
They target baseball gloves, handbags and digital cameras, among other goods. The move is in response to what the Trump administration says is China’s unfair trade practices, and comes after both nations already announced tariffs on $34 billion of each other’s products.
The new list of products subject to duties has been expanded to target categories such as sporting goods, mattresses, some apparel items and furniture. The wider net will capture more products from Chinese factories.
Some major consumer segments managed to avoid the list, including footwear, toys, mobile phones and other household electronics. However, many companies in those categories aren’t feeling immune from the dispute, and are expecting an indirect impact.
The downside to the economy is stark, said UBS Securities economist Robert Martin.
“We expect this will have a meaningful impact on U.S. consumer inflation as well as a meaningful drag on U.S. GDP growth,” he said, citing the Chinese government’s pledge to retaliate against new U.S. duties. “China is by far the largest provider of consumer products to the U.S.” ■