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SAFETY4SEA

US retail imports rising ahead of higher tariffs

by The Editorial Team
May 10, 2019
in Shipping
seed cake

Above image is used for illustration purposes only

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With retail sales rising and Trump’s plans to both increase and broaden tariffs on goods from China, imports at the US’ major retail container ports are expected to see unusually high levels in the next months and through the summer, according to a monthly report by the National Retail Federation and Hackett Associates.

Much of this is driven by consumer demand but retailers are likely to resume stocking up merchandise before new tariffs can take effect, noted NRF Vice President for Supply Chain and Customs Policy Jonathan Gold.

Tariff increases and new tariffs will mean higher costs for US businesses, higher prices for American consumers and lost jobs for many American workers. We encourage the administration to stay focused on a trade agreement, and we hope the negotiations will get back on track,

… he said.

The rush to bring merchandise into the country that was seen through much of last year slowed down after Trump postponed a tariff hike from January to March and then put it on hold indefinitely as trade talks with China showed signs of progress.

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But Trump said this week that 10 % tariffs on $200 billion worth of Chinese goods will rise to 25 % on Friday, and that he plans to impose new 25 % tariffs on most remaining Chinese goods at an unspecified date.

Key figures

  • US ports covered by Global Port Tracker handled 1.61 million TEUs in March. That was down 0.6% from February but up 4.4% year-over-year.
  • April was estimated at 1.76 million TEU, up 7.7% year-over-year.
  • May is forecast at 1.9 million TEU, up 4.2%;
  • June at 1.92 million TEU, up 3.7 %;
  • July at 1.96 million TEU, up 3 %;
  • August at 1.98 million TEU, up 4.6%, and
  • September at 1.91 million, up 2%.
  • Imports have never before hit the 1.9 million TEU mark earlier than July.
  • The August number would be the highest monthly total since the record 2 million TEU record set last October.
  • Imports during 2018 set a record of 21.8 million TEU, an increase of 6.2 % over 2017’s previous record of 20.5 million TEU.
  • The first half of 2019 is expected to total 10.7 million TEU, up 3.9 % over the first half of 2018.
Tags: container industryshipping tradeTEUUSUS ports

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