The latest wave of tariff increases, unveiled by U.S. President Trump earlier in May, could bee too great of a gamble for the U.S. economy, according to the National Retail Federation.
The Trump administration released a list of USD 300 billion of Chinese goods that will be targeted by additional tariffs of 25 percent.
NRF voiced its support of the administration’s efforts, but said that “the latest tariff escalation is far too great a gamble for the U.S. economy.”
“Slapping tariffs on everything U.S. companies import from China – goods that support U.S. manufacturing and provide consumers with affordable products – will jeopardize American jobs and increase costs for consumers,” Matthew Shay, NRF President and CEO, said.
“Working with our allies who share the same concerns and immediately rejoining TPP are more effective ways to put pressure on China without hurting hardworking Americans. We urge the U.S. and China to get these critical negotiations back on track. Both sides will lose in a full-blown trade war, and the global economy will suffer,” Shay continued.
NRF said that a study commissioned by Tariffs Hurt the Heartland and prepared by Trade Partnership estimated that imposing tariffs of 25 percent on all remaining imports from China, combined with the impact of retaliation, would jeopardize more than 2 million American jobs, cost the average U.S. family of four USD 2,300 each year and reduce the value of U.S. GDP by 1 percent.