Trump's China tariffs could hurt Walmart, Best Buy
The tariffs the Trump administration will impose on China, FOX Business has learned, focus on certain imports that could have a negative effect on some U.S. retailers -- including the world's biggest retailer.
The heavy annual tariffs, expected to be announced Thursday, could reportedly amount to as much as $60 billion and would apply to products ranging from computers and tech accessories to household items. U.S. Trade Representative Robert Lighthizer had initially proposed $30 billion in unilateral tariffs to be levied in response to unfair trade practices, specifically where intellectual property is concerned.
Imposing duties on imports of those products could spell trouble for some prominent U.S. retailers, including Walmart and BestBuy, which sell products imported from China. One way companies may adapt to tariffs is by raising prices on consumers.
A group of 24 large U.S. retailers on Monday sent a letter to President Donald Trump asking him to rethink enacting tariffs on Chinese imports. The letter, signed by Walmart, Big Lots, Costco, Target, Best Buy and Macy’s, among other retailers, said tariffs would raise the costs of basic household items and punish working families in America.
The Trump administration is seeking to strong-arm China into reforming its intellectual property practices. The government has asserted that China steals U.S. technology by forcing companies to hand it over in order to do business there. The Chinese government also supports its own firms in acquiring new technologies.