The Trump administration said Tuesday it would delay its latest round of threatened tariffs on certain consumer products until December 15, although it plans to go ahead with others on September 1.
But, according to the American Apparel & Footwear Association (AAFA), over three-quarters of these consumer goods retailed to the apparel industry will, in fact, be affected by these tariffs. The AAFA says that 77 percent of all apparel, footwear, and home textile products imported to the U.S. from China will be hit with an additional 10 percent tariff on September 1 – amounting to approximately $39 billion worth of goods.
Twenty-three percent of all apparel, footwear, and home textile products imported to the U.S. from China will be hit with an additional 10 percent tariff on December 15 – amounting to approximately $12 billion worth of goods.
“By no means is this a win or a de-escalation,” said Rick Helfenbein, president and CEO of the American Apparel & Footwear Association. “The administration is imposing an additional 10 percent tax on U.S. businesses and U.S. consumers. This is a tax that will hurt every American. Contrary to the headlines, the Grinch has stolen the Christmas selling season for our industry.”
“Several claims made by the administration are confusing and not supported by action,” continued Helfenbein. “The administration claims to have removed products from the list for reasons of ‘health, safety, national security, and other factors;’ however, it is hard to see how this logic was applied since items like infant apparel, allergy-resistant bedding, and protective footwear are still on the list. Meanwhile, items that were removed from previous tariff lists are now being freshly taxed, including items like machinery and textiles used to make products in America.”
“Further, several statements have been made claiming that the delay of some tariffs were to protect American consumers during the holiday shopping season,” he added. “While we’re glad the administration is finally confirming that American consumers pay the tariffs, unfortunately, many common holiday items are being hit on September 1 – including holiday stockings.”
“The administration has just announced one of the largest tax increases in American history. The tax increase will hit Americans this holiday. It is time we realized this.”