According to a new analysis report released by S&P Global Market Intelligence’s trade data firm Panjiva late-Wednesday, the US-China trade war has led the US companies to source their purchases of tariff-targeted products like furniture, refrigerators and car tires to countries such as Vietnam, South Korea, Taiwan and Mexico, a shift from China.
Key Highlights (via Reuters):
“Overall U.S. imports of containerized freight from China fell 6.4 percent during the first quarter as buyers worked off product stockpiled ahead of tariff increases and rerouted orders to lower-cost countries.
U.S. imports of Chinese-made furniture by retailers such as IKEA, Home Depot, Target Corp and Room to Go fell 13.5 percent in the first quarter. That was partly offset by a 37.2 percent rise in shipments from Vietnam and a 19.3 percent increase in imports from Taiwan.
The change also affected home appliances.
Imports of Chinese refrigerators fell 24.1 percent during the quarter, when shipments from South Korea and Mexico jumped 31.8 percent and 32 percent, respectively.
U.S. companies are also shifting factory investments in the wake of the China trade tiff, which a trio of economists estimate has already cost U.S. consumers and companies $19.2 billion.”
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