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President Trump declared the trade war with China a “done deal” on Wednesday, while his Commerce Secretary Howard Lutnick said tariffs on Chinese goods will be locked in at the current 55% rate without additional increases. Even if the resolution to the battle with the biggest U.S. foe in Trump’s trade war is real, the damage to the supply chain, and U.S. consumer and economy, will remain, say logistics and retail industry executives.
The latest headlines in the trade war come amid a slowdown in orders as the early 2025 period of tariff frontloading ended and firms across the economy prepared for a potential slowdown in the U.S., a fear the CEO of the nation’s largest bank, JPMorgan, warned about again on in comments at an industry conference, with Jamie Dimon saying “I think there’s a chance real numbers will deteriorate soon,” at a Morgan Stanley event on Tuesday, before the Trump’s administration’s most recent comments.
Alan Baer, CEO of logistics firm OL USA, said the existing 55% tariff on Chinese goods will put hundreds, if not thousands, of companies and ultimately jobs at risk. “Very few firms have the pricing power to absorb the tariffs or raise prices to offset the impact,” Baer said. “Ultimately, the consumer pays,” he added.
