While the United States has raised additional $ 55 billion in customs rights this year, it is neither consumers nor foreign countries who suffer the greatest impact, but American companies, according to the Wall Street Journal.
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The new taxes imposed by the Trump administration – among the highest in decades – are generally paid by importers as soon as the goods reach American ports. This includes manufacturers, carriers, customs brokers, or even certain retailers.
But who really pays the bill at the end? For the moment, it is the very American companies that absorb the impact, from General Motors to Nike, to the local mechanic. In a competitive market, increasing prices means risking losing customers. Result: several companies prefer to take the increases, even if it means cutting over their margins.
Some, however, envisage price increases in the coming months, continues the American daily, especially if the prices become permanent.
Foreign suppliers, especially in China, have started to reduce their prices to compensate for 30%prices. But their contribution remains much lower than Trump’s promises.
The effects on profits are starting to be felt. GM paid more than a US $ billion in prices this quarter. The manufacturer of Hasbro toys estimates the impact at $ 60 million for the year. Despite everything, few companies have raised their prices, still preferring to collect for the moment.
