U.S.-China trade war could make holiday shopping more expensive this year

August 12, 2019 - 5:25 am
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Americans may just be wrapping up their summer vacations, but retailers are gearing up for the holiday shopping season - and you may need to as well.

David French, Senior Vice President of Government Relations and the Executive Director of the National Retail Federation, says an additional $300 billion in Chinese goods is set to be slapped with a 10 % tariff September 1. 

"When the president talks about taxing $300 billion of items, what he's really talking about is raising prices on the kinds of things Americans buy every day, and really, the kinds of things Americans tend to buy during the holiday season," French said.

 

Today’s tariff escalation will threaten U.S. jobs and raise costs for American families on everyday goods. Read our full statement: https://t.co/SJovz2BmEn #TariffsHurt

— National Retail Federation (@NRFnews) August 1, 2019

It will take a while for consumers to see prices go up, but you may not want to wait until October to buy that new iPhone or vacuum cleaner, according to French. 

"For most retailers, the holiday shipping season peak months are August, September and October," French explained. "So, the goods that are coming in in September and October are going to be subject to these tariffs, and likely that's going to have an impact on prices around the holiday."

French says that experts worry that the Trump administration ratcheting up tensions in the ongoing trade war will have a lasting, or even permanent effect, and shoppers could see prices rise through the holiday - and beyond. 

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