The trade war between the United States and China, for American businesses that import flooring,Chance or challenge?
As the USA and China content for global leading role, reputation and wealth, the year-long trade war is appearing as the first skirmish in which could be a decades-long economic conflict.
As both sides are strengthening their negotiating positions, the process to reach a trade agreement is nearly fall apart during recent several weeks. Chinese negotiator had backed to Beijing on weekend. Instead of reached a trade agreement, the two countries enhanced Economic barriers. The Trump administration improved the tariffs of $200 billion worth of Chinese export products on last Friday. Meanwhile, he expressed they will continue to push the legal procedure that also add 25% tariffs for other products worth $300 billion.
As the trade war between the world's two largest economies heats up, tensions between the two countries have risen. The United States has already levy more than double tariffs on many China's products.
Does trade war affect prices in the form of inflation?
Tariffs can affect domestic prices of the USA in many ways.
If the exporter shift the tariff onto the goods, it will improve the cost of import commodities that directly raises the price that consumers pay for their products.
Who pays the import and export tariff? The United States or China?
Acctually, the resposibility of paying for tariffs is usually on the importer's side.
The cost of a new tariff system would probably lead to price rise in the United States. It influences domestic customers and producers those who purchase import products, rather than foreign exporters.
These tariffs are paid for America government by the import company.America customs and CBP usually request importers to pay tariffs within 10 days after the goods being cleared.These companies which import goods from China mostly are America companies or others which has registered in America.
SPC vinyl Flooring is Revolutionizing Today's Flooring Market. SPC is a substantial technical upgrade to LVT Flooring.
Because SPC flooring has excellent waterproof ,resistance stain,anti-scratch ,anti-slip production performance and so on,which is more and more favored by America customers and engineer contractors. The production of SPC is mainly concentrated in China nowadays,it's difficult to find substitute from other countries,so import companies of America mainly import SPC flooring from China.
Facing the condition of add tariffs,most America flooring import enterprises will have strong wait-and-see atmosphere.
Even these America enterprises maybe suspend to import flooring form China which must cause the lack of related production on market.
But anything has two sides.If some America customers can buck the trend ,bear the pressure of adding tariffs and increase the import quantity of SPC flooring,they must can occupy the empty of market quickly and get more engineer orders from engineer contractors' hand.
Anything can be divided two sides.Crises always is the power of revolution. For America flooring importer enterprises ,the trade war between the United States and China is not only challenge but also opportunity.