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American consumers hit with tariff surcharges amid trade war

in Business
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American consumers are noticing a new line on their shopping receipts — a tariff surcharge.

Even with President Donald Trump’s 90-day pause on tariffs, companies and customers are feeling the impact, especially those that import their products from China. 

The surcharges have been popping up across several industries, impacting nearly everything from prices of clothing to automobile manufacturing.

Some companies are charging flat fees, while others charge a percentage of the total cost of a given purchase. 

Alexandra Fine, CEO and co-founder of Dame, a sexual wellness company, spoke with The Wall Street Journal (WSJ) about her company’s recent $5 “Trump Tariff Surcharge” add-on. 

“It doesn’t cover the full cost—not even close—but it felt better than pretending everything’s fine,” Fine told WSJ.

She said the surcharge was about a “statement” and letting customers “know how these policies are impacting all of us.”

The company manufactures its products in China, which has been hit with a 145% import tariff amid escalating trade tensions between Trump and Chinese President Xi Jinping.

President Trump’s 90-day pause on tariffs is impacting companies and customers. Nopphon – stock.adobe.com
Companies and customers are especially impacted by the importing of products from China. AP

Amazon CEO Andy Jassy recently told CNBC that he thinks manufacturers will start to “pass that cost” on to customers rather than trying to absorb it.

Many of the company’s third-party sellers — which make up 60% of products sold on Amazon — are based in China, and are facing the harshest of Trump’s tariffs.

Wedding dresses are also going up in price because of the tariffs. Paul Virilli, co-owner of Jan’s Boutique in New Jersey, told CBS News that prices of gowns from China are also going up.

Third-party sellers make up 60% of products sold on Amazon and are based in China. itchaznong – stock.adobe.com

“We hope China and the U.S.’ relationship gets fixed and resolved so we can continue to sell this dress at the price it’s marked at,” Virilli told CBS News. The outlet noted that most of his gowns come from China and Vietnam.

On Friday, White House Press Secretary Karoline Leavitt said Trump is “optimistic” about making a deal with China over tariffs.

Currently, Beijing has an 84% tariff on American imports.

“The president has made it very clear he’s open to a deal with China,” Leavitt said.

She also said that Trump would be “gracious if China intends to make a deal with the United States.”

[Notigroup Newsroom in collaboration with other media outlets, with information from the following sources]

Tags: BusinessconsumersDonald TrumptariffsTradeTrump
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