Global brands pay up for protection from Trump’s trade war
US brands and multinationals including Walmart, Wal-Mart, Amazon and eBay are paying up to $1,000 per business for protection against a potential Trump trade war, the companies said.
The Trump administration has threatened to impose retaliatory tariffs of up to 25% on imports from foreign nations that use cheaper Chinese-made goods, with the threat of a “big one” being considered.
The White House has threatened that US goods would be banned from the international trade system and threatened to slap tariffs of as much as 30% on imported goods from China, which is a major importer of goods from the US.
“In order to protect the American economy, it is essential that the US trade regime be designed to prevent foreign governments from taking unilateral actions that could damage our industry, our workers, and our economy,” said Walmart spokesman Mark Jorgensen in a statement.
“We believe that the President’s trade agenda should not threaten the ability of American businesses to compete with our competitors in the global marketplace.”
Trump’s economic advisers are working on a “strategic plan” to address the trade war and other issues.
“We are working to ensure that our policies do not negatively impact the United States’ global competitiveness,” the statement said.US brands have been the most vocal in expressing concern over the threat from the Trump administration, with Walmart CEO Doug McMillon warning on Tuesday that “there is a very real possibility that we will not be able to continue to provide competitive products and services to our customers in the US.”
“I am very concerned about what the trade policies of the Trump Administration would mean for the US consumer, and the American people, as we strive to grow and expand our business,” McMillon said in a speech on the company’s website.
The United States has one of the world’s largest domestic manufacturing industries and one of its most advanced manufacturing bases.
Its trade with China is among the worlds most aggressive and it is expected to lead to increased tariffs and trade wars.