Name: Chinese exporters strategize to adjust to Trumps tariff threats
Uploaded: 2025-01-21T16:48:40.600Z
Duration: 2 min 15 s
Description: As U.S. President Donald Trump threatens to impose tariffs on China, exporters are implementing strategies to get ahead. Some companies are doubling the number of products they ship to the U.S. and storing them in warehouses.

As U.S. President Donald Trump threatens to impose tariffs on China, exporters are implementing strategies to get ahead. Some companies are doubling the number of products they ship to the U.S. and storing them in warehouses.

Beijing

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Chinese exporters are actively formulating new strategies in anticipation of possible tariff impositions by the United States, as threatened by its president at the time, Donald Trump. In China’s manufacturing hub of Guangdong, businesses are taking preemptive measures to counteract potential impacts on their trade operations. For instance, furniture seller Harry Lee is intensifying his shipments to the U.S. and storing products in U.S. warehouses to mitigate potential tariff effects. As tariffs could lead to an increase in product prices by up to 10%, Lee is prepared to assume additional risk to stay competitive.

Other companies are considering relocating production outside of China, despite higher associated costs. Jung You, whose company Tess Ron produces water purifiers, is exploring options in Vietnam, Malaysia, Mexico, and Dubai, even though expenses may rise by 30% compared to domestic manufacturing costs. The competitive domestic market and impending tariffs have motivated such strategic considerations.

For some, like Lung Rung, a skincare product manufacturer, the prospect of new tariffs threatens to disrupt exports to the U.S. altogether. Having previously faced tariffs exceeding 20%, Lung Rung is concerned about maintaining his thin profit margins and is exploring the possibility of passing any additional costs to consumers. As uncertainty looms over future economic decisions, the allure of the U.S. market may be diminishing for some exporters, leading to strategic reevaluations to distribute the financial burden of tariffs among Chinese manufacturers, U.S. partners, and ultimately American consumers.



Chinese exporters strategize to adjust to Trump's tariff threats

President Trump signing a number of executive orders on day one no immediate tariffs on China, but that said Factories there are getting ready our Eunice Yoon has more this morning from Beijing. Hey Eunice Hey Carl well Chinese exporters are implementing various strategies to adjust to President Trump's tariff threat as I found out in the manufacturing belt of Guangdong I Hope to beat Trump's tariffs furniture seller Harry Lee is doubling the number of products he ships to the u.s. And storing them in warehouses there four out of five of his tables and other furnishings are sold to American consumers Lee expects the stockpiling will force him to raise prices as much as 10% even before the tariffs I have to ship them in advance and take on more risk He says water purifier maker Jung you is scouring the globe to supply the u.s By creating a new production base outside of China Jung's company Tess Ron is considering Vietnam Malaysia and Mexico But at the moment is leaning towards Dubai, even though it will increase his costs by 30% compared to China The domestic market is too competitive. We've been waiting to jump out of it for some time He says Trump's tariffs gave us the final push Lung rung who makes skincare products is worried. He might have to stop exporting to the u.s Completely his goods got hit with tariffs north of 20% during President Trump's first term with his thin margins Lung is hoping he can pass on the cost of any tariff to his customers In the past we all felt the u.s market was the greatest market that everyone wanted to sell to but with all the Uncertainties and unfriendly decisions the u.s. Is less attractive now. He says it's a real pity and All of those factories are in discussions to try to figure out how to break up the burden of Trump's tariffs So they're thinking how much they can absorb how much their u.s Partners would be able to take on and ultimately how much the American consumer could bear guys

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