Charlotte economists warn consumers of price hikes as tariff on Chinese imports moves forward
CHARLOTTE, N.C. (QUEEN CITY NEWS) — Tariffs on Mexican and Canadian imports were paused, but the White House is moving forward with a 10 percent tariff on Chinese goods. With it being a blanket tariff, local economists expect consumers will pay more on a range of items.
'This is a much bigger issue than what happened with Mexico and Canada…we import tons of things from China,' said Matthew Metzgar, a professor at UNC Charlotte.
Metzgar said with how much the US imports, the tariffs could be far-reaching.
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'The things many people would guess, you know, furniture, lots of things made with plastic, toys and then electronics,' he said.
Metzgar noted that while there were tariffs leveled against China during the Biden administration, they were on specific items including electric vehicles and solar cells. The latest one from Trump goes much further, taxing anything imported.
Metzgar's UNC Charlotte colleague, John Connaughton says there are cases where retailers may eat the cost of the tariff, but it depends on what makes the most sense for their business model.
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'They're the ones that have to decide what their revenue take will be based on that price, retail price,' Connaughton told Queen City News where the US will really hurt is when China retaliates, specifically the nation's plans to restrict what they export, like rare earth materials.
'[They] go into a lot of sophisticated products. And we don't have a lot of alternative supply. So that has been, that's the worry point in this particular trade war,' said Connaughton.
China also plans to level its own tariffs against coal, natural gas, and crude oil starting early next week.
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Newsweek
24 minutes ago
- Newsweek
China Challenges US Sea Power With Two Aircraft Carriers in West Pacific
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. For the first time ever, two Chinese aircraft carriers operated simultaneously in the western Pacific beyond a strategic island defense line meant to keep China's naval forces in check. Chinese naval activities in relevant waters are "fully consistent with international law and international practices," the Chinese Foreign Ministry said at press conference on Monday. Newsweek has also reached out to the Chinese Defense Ministry for comment by email. Why It Matters The Chinese navy is the world's largest by hull count, with more than 370 vessels, including two aircraft carriers—CNS Liaoning and CNS Shandong—in active service. This growing fleet enables China to expand its military reach and presence in the Pacific Ocean. Under a containment strategy, the United States has established three island chains across the western and central Pacific by using its own territories, as well as those of its allies and partners, in an effort to restrict China's naval access to the broader Pacific during wartime. On Saturday, Japan—a U.S. treaty ally—announced that the Liaoning had become China's first aircraft carrier to be spotted sailing in waters east of the Second Island Chain, which links Japan to New Guinea, north of Australia, via Guam—America's westernmost territory. What To Know A second Chinese naval task group—consisting of the Shandong and four other vessels—was tracked operating in the Philippine Sea on Saturday, approximately 340 miles southeast of Miyako Island in Japan's southwestern waters, the Japanese Defense Ministry announced. 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What Happens Next The Chinese navy may conduct its second dual aircraft carrier operation as the Liaoning and the Shandong operate around the Second Island Chain, a Newsweek map shows. The two aircraft carriers conducted their first joint operation last October in the South China Sea.
an hour ago
Los Angeles' image is scuffed since ICE raids and protests
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Trump and California officials continued to spar online and off, faulting each other for the fallout. At the White House, Trump criticized California leaders by saying 'they were afraid of doing anything' and signaled he would support Newsom's arrest over his handling of the immigration protests. If Los Angeles' image was once defined by its balmy Mediterranean climate and the glamor of Hollywood, it's now known 'primarily for disaster,' said Claremont McKenna College political scientist Jack Pitney. 'A lot of perception depends on images," Pitney added. Right now, the dominant image "is a burning Waymo.'
CNBC
an hour ago
- CNBC
Gold falls as traders watch US-China trade talks in London
Gold declined on Tuesday as market participants awaited further developments from ongoing U.S.-China trade talks in London, with negotiations extending into a second day. Spot gold fell 0.5% to $3,311.16 an ounce, as of 0125 GMT. U.S. gold futures also fell 0.7% to $3,330.90. High-level trade talks between the U.S. and Chinese officials are extending into a second day, with discussions encompassing issues ranging from tariffs to rare earth restrictions. "With these key the U.S.-China trade talks still in the works, gold is trading reservedly until we see what if any progress is made between the two global superpowers," said Tim Waterer, chief market analyst at KCM Trade. U.S. President Donald Trump said his administration was "doing well" in the negotiations and noted positive reports from the talks. Last month, both sides agreed to a temporary pause tariffs, offering some relief to financial markets. "If traders come away from the U.S.-China talks this week thinking that the two nations remain on track to achieve a broader trade deal, safe-haven demand for assets such as gold could ease." Data from China showed export growth slowed to a three-month low in May as U.S. tariffs impacted shipments, while factory-gate deflation worsened to its deepest level in two years. Meanwhile, investors are now awaiting U.S. inflation data on Wednesday for more cues on the Federal Reserve's monetary policy path. "If CPI has ticked marginally higher that would be an expected result, but if it jumps then that could raise some alarm bells for investors, and any resulting flight to safety could help the gold price," Waterer said. Gold gains appeal during uncertain geopolitical and economic times and tends to do well when interest rates are low. Elsewhere, spot silver was down 0.6% to $36.51 per ounce, platinum dropped 0.8% to $1,210.46, while palladium fell 0.2% to $1,071.75.
