The participation of China American imports in the first quarter of the year fell to its lowest point in 20 years, since the president of the high Trump rates has put Chinese products in commerce.
The imports of the US of China reached $ 102.7 billion in the first three months of the year, they showed the data published by the Department of Commerce on Tuesday. That places the participation of the goods imported from China in just 11 percent in the first quarter, less than more than 22 percent seven years ago.
While the proportion of China imports tends to fluctuate with seasonal changes in the purchase, Mr. Trump’s decision in early April to increase US tariffs on China has clearly begun cascade through supply chains. Because the products take many weeks to move from Chinese factories to cargo ships in the ocean and in American stores, US consumers, in many cases, just begin to see the effect of the highest prices of tariffs. But as summer progresses, these effects are probable.
Both the United States and China have expressed their openness to talk about some kind of commercial agreement that would reduce rates, although it is not clear how fast any agreement could.
While some companies seem to have slowed or detained their imports because current rates, others still have more products to import more products ahead of new tariffs in force.
The data published on Tuesday morning showed that the United States trade deficit in goods and services increased sharply in March, increasing to $ 140.5 billion compared to $ 123.2 billion in February, and continuing with a strong upward trend from the elections.
OMAIR Sharif, the founder and president of the Infection Injights research firm, said that the increase in imports of consumer goods in March was almost completely driven by the ingredients that pharmaceutical partners need to make drugs. Trump has said that he planned to impose tariffs on recipes and other medications in the coming weeks.
“That reflected drug manufacturers to anticipate any sector tariff on administration’s pharmaceutical goods,” Sharif wrote in a note to customers. “In other words, there was much less of everything else, such as toys, furniture, appliances, kitchen utensils, clothing, etc., imported in March than subject.”
Matthew Martin, a senior economist of the USA in Oxford Economics, said that imports can alar of the countries that had been stopped for 90 days, but for China, an additional tariff that the president had put in March “as a bite.”
The average tariff rate of the United States in China increased to more than 100 percent in April, he said, which will push China’s participation in total imports that are very low.
Lydia Cppillis Contributed reports.
