US importers rush in goods from China as Trump tariff threat looms
Chinese trade officials say December exports surged to record levels and cite concerns about escalating trade protectionism in the US and Europe
US IMPORTS from China finished the year strong after some companies stockpiled shipments of apparel, toys, furniture and electronics ahead of president-elect Donald Trump’s plan to impose new tariffs that could revive a trade war between the world’s economic superpowers.
Trump, who has threatened to slap tariffs of 10 to 60 per cent on goods from China, takes office on Jan 20. During his first term, he mainly targeted Chinese parts and components. Economists and trade experts predict his next wave of tariffs could apply to finished goods.
“There has thus been an uptick in the exports of final goods from China to the US as importers aim to front-run possible tariffs on consumer items,” said Frederic Neumann, chief Asia economist at HSBC in Hong Kong.
Chinese trade officials on Monday (Jan 13) said December exports surged to record levels and cited concerns about escalating trade protectionism in the US and Europe.
The equivalent of 451,000 40-foot containers of goods from China landed at US seaports in December, a year-on-year increase of 14.5 per cent, according to trade data supplier Descartes Systems Group.
That capped a year when US imports of bedding, plastic toys, machinery and other products from China rose 15 per cent from 2023, according to Descartes.
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While some US retailers have rushed in goods to avoid the cost hit from potential new tariffs, teasing out the true effect on overall import gains is difficult because importers keep such data private.
Further complicating the analysis, resilient US shoppers have been fuelling demand and some importers brought in safety stocks to protect against disruptions from Houthi attacks on shipping near the Suez Canal trade shortcut and a labour dispute at seaports on the US East Coast and Gulf of Mexico.
Trump also has vowed to tariff goods from many other countries, including North American neighbours Mexico and Canada.
As a result, several categories of US imports from all geographic sources posted meaningful gains during the fourth quarter, according to S&P Global Market Intelligence.
Textiles and apparel jumped 20.7 per cent; leisure products, chiefly toys, gained 15.4 per cent; home furnishings increased 13.4 per cent; and household appliances and consumer electronics posted gains of 9.6 per cent and 7.9 per cent, respectively, according to S&P.
Consumer staples categories such as household and personal care, as well as food and beverages, rose 14.2 per cent and 12.5 per cent, S&P said.
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