President Donald Trump signed an executive order July 31 imposing reciprocal tariffs ranging from 10% to 41% on U.S. imports from dozens of countries and foreign territories.
“I have received additional information and recommendations from various senior officials on, among other things, the continued lack of reciprocity in our bilateral trade relationships and the impact of foreign trading partners’ disparate tariff rates and non-tariff barriers on U.S. exports, the domestic manufacturing base, critical supply chains and the defense industrial base,” Trump stated in the executive order. “After considering the information and recommendations that I have recently received, among other things, I have determined that it is necessary and appropriate to deal with the national emergency declared in Executive Order 14257 by imposing additional ad valorem duties on goods of certain trading partners at the rates set forth in annex I to this order, subject to all applicable exceptions set forth in Executive Order 14257.”
Following the president’s latest tariff announcement, the National Retail Federation released its recommendations in response. NRF Executive Vice President of Government Relations David French is encouraging the administration to negotiate binding trade agreement and lowering tariff rates.
“Tariffs are taxes paid by U.S. importers and are eventually passed along to U.S. consumers. These higher tariffs will hurt Americans, including consumers, retailers and their employees and manufacturers, because the direct result of tariffs will be higher prices, decreased hiring, fewer capital expenditures and slower innovation,” said French. “Retailers have been able to hold the line on pricing so far, but the new tariffs will impact merchandise in the coming weeks. We have heard directly from small retailers who are concerned about their ability to stay in business in the face of these unsustainable tariff rates.”
