Tariffs Affect Retail Sales
As a retail marketer it’s important to be up to date on all of the news that could possibly affect our products and customers. There are always changes when it comes to importing products and this has affected the trades in major ways. Plumbtile will always research any impacts these changes will have on their products.
With the increase the impact on our tiles or countertops can have a drastic effect on our prices. There is a fear that extra cost will then be passed down to the retail customers who but those tiles our countertops. So far, the United States hasn’t seen a drastic increase in consumer prices. What is happening is that the Chinese companies are subsidizing the extra cost in order to keep doing business. This would be great if this continued, however, it is not likely. There is hope that this increase will be short term and the trade war will cease and the tariffs will be removed before they start to affect the US trade industry. What is also happening is that companies are beginning to trade with other countries to avoid paying tariffs on their products. Unfortunately, the quality and selection may not be what they are looking for. Plumbtile will not shift quality for pricing. We always carry the best products without swaying our beliefs.
Did you know that American businesses that are operating in China are heavily taxed and have complained for years about how unequal the playing field is in China? The U.S. companies are required to provide their Chinese joint venture partner with technology and training in order to compete. The competition is so high that the stakes on your business continue to grow. In order to elevate the large amount of duties they are sometimes in direct competition with their own entities. The current list of tariffs includes over 5,000 everyday goods that Americans use like shampoo, furniture, luggage, toys, clothing, and others. And is continuing to expand every day. Plumbtile keeps a watch on the list as it grows.
Chinas economy has continued to grow over the years and there has been an increasing call for international tariffs to be removed as a result of this. Efforts at diplomacy have been unsuccessful and the tariffs will continue to increase. President Trump and Chinese President Xi are keep discussions open, and there are hopes that there will be dialogue to get both sides back to the negotiating table. If we can keep negotiations open, then there is a possibility we can come to an agreement to not only help our economy but also save our consumers from paying for those tariffs. As always Plumbtile will seek to provide you with great products and prices that are viable to both Plumbtile and our consumers.