U.S. retailers "disappointed" with new tariff threat on Chinese imports

The National Retail Federation (NRF) said Thursday retailers are "disappointed" that the U.S. administration is "doubling down on a flawed tariff strategy," urging the government to seek new tools to achieve better trade relations.

People shop at the Century 21 Department Store in Philadelphia, the United States. [File Photo: IC]

The tariff strategy is "already slowing U.S. economic growth, creating uncertainty and discouraging investment," the NRF's Senior Vice President for Government Relations David French said in a statement, in response to U.S. President Donald Trump's announcement to impose 10 percent additional tariffs on 300 billion U.S. dollars worth of Chinese goods beginning Sept. 1.

"These additional tariffs will only threaten U.S. jobs and raise costs for American families on everyday goods," French said.

Noting that "the tariffs imposed over the past year haven't worked," French said "there's no evidence another tax increase on American businesses and consumers will yield new results."

President & CEO of Footwear Distributors and Retailers of America Matt Priest said "we are dismayed" at the president's announcement on new tariffs, noting that his trade association has "worked tirelessly to make the case against even higher tariffs on shoes."

"President Trump's new tariffs should concern every American. 70 percent of every pair of shoes sold in the U.S. comes from China," said Priest, whose organization represents 90 percent of all U.S. footwear retailers and brands.

"President Trump is, in effect, using American families as a hostage in his trade war negotiations," Priest said, adding that the fresh levy will noticeably raise the cost of shoes at retail and will have a "chilling effect" on hiring in the footwear industry.

"We hoped that continued open communication channels between Washington and Beijing would allow time to ease trade tensions and eventually end the tariff threat," Priest said. "It is clear political considerations are outweighing economic common sense."