While President Trump is putting a 90-day pause on tariffs for most countries, China is now getting hit with a 125% tariff rate.
It’s a move that threatens to raise costs on electronics and appliances.
According to Dr. Jeff Gramlich, a Washington State University business professor, “Companies are going to increase their prices, just to make sure, just to be safe. They don’t know what’s going to happen.”
The same goes for many shoppers, like Steve Moore, who’s in the market for a new dishwasher.
“We have to buy a new one, so we’re forced into it, but we’re going to try to shop around to see what the difference would be if there are good American ones,” said Moore.
Gramlich believes Americans will still buy goods from China, but with a possible twist.
“They may very well come from a third country in between – instead of being labeled ‘made in China,’ it will be made someplace else. I suspect we’re going to see some creative ways of getting products into the U.S. without paying 125% tariffs. So I wouldn’t expect a 125% increase in our prices,” said Gramlich.
While prices on popular items and after-market parts could soon spike, some shoppers believe the tariffs will lead to long-term gains for the U.S.
“I absolutely feel that way. I think that when we look at the numbers, the government is projecting that this will be a positive thing overall. I know there’s a lot of turmoil, but I think that will settle down,” said shopper Janon Dykes.
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