Latest news with #LosAngelesCountyEconomicDevelopmentCorporation
Yahoo
07-05-2025
- Business
- Yahoo
Businesses struggle to navigate as Trump's tariff fallout hits West Coast ports
LOS ANGELES — California businesses are operating in the dark as they brace for the economic fallout from President Donald Trump's trade war — and the layoffs are already beginning. American manufacturers and retailers are anticipating a sharp dropoff in imports from China this week as they struggle to pay a 145 percent tariff on goods from the country. Already, dozens of ships have canceled planned arrivals at West Coast ports, putting dockworkers, truckers and more jobs across the supply chain at risk. But Stephen Cheung, CEO of the Los Angeles County Economic Development Corporation, said Tuesday that nobody is safe from the global economic upheaval. That includes his own nonprofit, tasked with assisting businesses in the region, as the government support and donations it relies on dry up. 'I actually had to lay off three people last week because the budget just got cut,' he said in an interview. 'This is a litmus test; what happens here in LA first will actually impact the rest of the nation.' The climate world — especially in the transportation and energy storage sectors that rely on lithium batteries — is particularly vulnerable to the pain . While electric vehicles have fewer parts than their combustion engine counterparts, around a third of their cost is their batteries, a market dominated by Chinese manufacturing. Cheung said the confusion caused by Trump's volatile trade policy is being compounded by the White House's information void. He said while LAEDC had a direct relationship with the United States Trade Representative under previous administrations, the group isn't in contact with Trump's top trade advisors. Instead, the nonprofit has turned to larger organizations like the International Economic Development Council, which has more than 4,500 members globally, to get its message across. 'We need to come up with new ways of actually partnering with national organizations that have connections with the White House, to be able to convey that message,' Cheung said. Whether that message will actually be listened to is a different story. Cheung said no information about the administration's plan has trickled back to him, and he's learned about policy changes through the news and social media. Gene Seroka, executive director of the Port of Los Angeles, said in an interview last month that he'd heard very little from the administration. He offered an update Tuesday to the Los Angeles Board of Harbor Commissioners that offered no new information on Trump's thinking. Seroka said he anticipates a 35 percent decline in container deliveries this week, compared with the same point last year. 'Prices of products made in China now are two and a half times more than they were just last month, and importers just simply cannot justify those costs,' Seroka said. The Trump administration seems to have, at least so far, settled on a message: Be patient . Senior Trump aides on the White House's National Economic Council and in the Treasury Department are closely monitoring the disruption, according to one White House official granted anonymity to discuss internal strategy. But they've felt little need to do any major outreach so far. Meanwhile, the uncertainty is fueling friction between California and national trade groups, as in-state interests try to secure their priorities. The California Building Industry Association is working with British Columbia officials to try to secure lumber supplies for rebuilding after the Los Angeles fires, while the U.S. Lumber Coalition is hoping for new tariffs on Canadian exports. 'Nothing gets rebuilt overnight, and even if it did get rebuilt overnight, the U.S. industry can easily supply all of the lumber needs to rebuild any of those affected areas," said U.S. Lumber Coalition executive director Zoltan van Heyningen, who argues that Canadian producers are hurting the U.S. lumber industry by 'dumping' their excess capacity in U.S. markets. Dan Dunmoyer, president of the CBIA, is pushing back on van Heyningen's claim that the domestic industry can deliver enough lumber in time to rebuild the Pacific Palisades and Altadena. 'The U.S. lumber industry hasn't proven itself able to pivot quickly to fill any gaps without raising prices,' said Dunmoyer, who says the industry currently sources about 30 percent of its lumber from Canada and that tariff uncertainty has slowed construction and led to price fluctuations . 'There's nothing in anyone's insurance policy in America that says, 'Hey, if the cost of lumber goes up because of tariffs, even in the short term, don't worry, we have additional coverage.'' Another ag product that isn't totally disinterested in some sort of market correction is California-grown wine. Vineyards have struggled to stay in business amid years of declining consumption — and competition from European wine subsidized by the E.U. 'There could be a real opportunity for us to essentially level the playing field,' said Natalie Collins, president and CEO of the California Wine Growers. But the tariffs so far haven't helped much because they've prompted retaliatory moves from California wine's top export market, Canada. 'I think in the short term, this uncertainty and the pulling the wine off of shelves in Canada has probably done more harm to California wine,' said Stuart Spencer, the executive director of the Lodi Wine Grape Commission. 'Long term, there's some serious damage that's been done for American products that's going to take time to rebuild.' Like this content? Consider signing up for POLITICO's California Climate newsletter.
Politico
07-05-2025
- Business
- Politico
‘This is a litmus test': LA ports brace for tariff fallout
LOS ANGELES — California businesses are operating in the dark as they brace for the economic fallout from President Donald Trump's trade war — and the layoffs are already beginning. American manufacturers and retailers are anticipating a sharp dropoff in imports from China this week as they struggle to pay a 145 percent tariff on goods from the country. Already, dozens of ships have canceled planned arrivals at West Coast ports, putting dockworkers, truckers and more jobs across the supply chain at risk. But Stephen Cheung, CEO of the Los Angeles County Economic Development Corporation, said Tuesday that nobody is safe from the global economic upheaval. That includes his own nonprofit, tasked with assisting businesses in the region, as the government support and donations it relies on dry up. 'I actually had to lay off three people last week because the budget just got cut,' he said in an interview. 'This is a litmus test; what happens here in LA first will actually impact the rest of the nation.' The climate world — especially in the transportation and energy storage sectors that rely on lithium batteries — is particularly vulnerable to the pain . While electric vehicles have fewer parts than their combustion engine counterparts, around a third of their cost is their batteries, a market dominated by Chinese manufacturing. Cheung said the confusion caused by Trump's volatile trade policy is being compounded by the White House's information void. He said while LAEDC had a direct relationship with the United States Trade Representative under previous administrations, the group isn't in contact with Trump's top trade advisors. Instead, the nonprofit has turned to larger organizations like the International Economic Development Council, which has more than 4,500 members globally, to get its message across. 'We need to come up with new ways of actually partnering with national organizations that have connections with the White House, to be able to convey that message,' Cheung said. Whether that message will actually be listened to is a different story. Cheung said no information about the administration's plan has trickled back to him, and he's learned about policy changes through the news and social media. Gene Seroka, executive director of the Port of Los Angeles, said in an interview last month that he'd heard very little from the administration. He offered an update Tuesday to the Los Angeles Board of Harbor Commissioners that offered no new information on Trump's thinking. Seroka said he anticipates a 35 percent decline in container deliveries this week, compared with the same point last year. 'Prices of products made in China now are two and a half times more than they were just last month, and importers just simply cannot justify those costs,' Seroka said. The Trump administration seems to have, at least so far, settled on a message: Be patient . Senior Trump aides on the White House's National Economic Council and in the Treasury Department are closely monitoring the disruption, according to one White House official granted anonymity to discuss internal strategy. But they've felt little need to do any major outreach so far. Meanwhile, the uncertainty is fueling friction between California and national trade groups, as in-state interests try to secure their priorities. The California Building Industry Association is working with British Columbia officials to try to secure lumber supplies for rebuilding after the Los Angeles fires, while the U.S. Lumber Coalition is hoping for new tariffs on Canadian exports. 'Nothing gets rebuilt overnight, and even if it did get rebuilt overnight, the U.S. industry can easily supply all of the lumber needs to rebuild any of those affected areas,' said U.S. Lumber Coalition executive director Zoltan van Heyningen, who argues that Canadian producers are hurting the U.S. lumber industry by 'dumping' their excess capacity in U.S. markets. Dan Dunmoyer, president of the CBIA, is pushing back on van Heyningen's claim that the domestic industry can deliver enough lumber in time to rebuild the Pacific Palisades and Altadena. 'The U.S. lumber industry hasn't proven itself able to pivot quickly to fill any gaps without raising prices,' said Dunmoyer, who says the industry currently sources about 30 percent of its lumber from Canada and that tariff uncertainty has slowed construction and led to price fluctuations . 'There's nothing in anyone's insurance policy in America that says, 'Hey, if the cost of lumber goes up because of tariffs, even in the short term, don't worry, we have additional coverage.'' Another ag product that isn't totally disinterested in some sort of market correction is California-grown wine. Vineyards have struggled to stay in business amid years of declining consumption — and competition from European wine subsidized by the E.U. 'There could be a real opportunity for us to essentially level the playing field,' said Natalie Collins, president and CEO of the California Wine Growers. But the tariffs so far haven't helped much because they've prompted retaliatory moves from California wine's top export market, Canada. 'I think in the short term, this uncertainty and the pulling the wine off of shelves in Canada has probably done more harm to California wine,' said Stuart Spencer, the executive director of the Lodi Wine Grape Commission. 'Long term, there's some serious damage that's been done for American products that's going to take time to rebuild.' Like this content? Consider signing up for POLITICO's California Climate newsletter .
Epoch Times
01-05-2025
- Business
- Epoch Times
Port of Los Angeles Warns Potential 35 Percent Drop in Cargo Arrivals Due to Tariffs
The Port of Los Angeles, the busiest container port in North America, has warned of a potential 35 percent downturn in cargo arriving at the port resulting from U.S. tariffs starting in early May. 'It's my prediction that in two weeks' time, arrivals will drop by 35 percent as essentially all shipments out of China for major retailers and manufacturers have ceased, and cargo coming out of Southeast Asia locations is much softer than normal,' Gene Seroka, executive director of the Port of Los Angeles, In 2024, China was the port's The Port of Los Angeles reported on April 11 that it saw strong growth during the first quarter of 2025 compared to last year. It processed more than 2.5 million container units, which is a 5.2 percent increase over the previous year. March 2025 data, however, began to show signs of a slowdown. Loaded exports dropped 15 percent when compared with 2024, while loaded imports grew a modest 1.6 percent over last year. 'Many importers have already brought their goods in early, and as prices begin to rise, consumers will think twice about many purchases,' Seroka said in an April 11 Related Stories 4/30/2025 4/30/2025 Seroka said at the time that total cargo could decline by at least 10 percent in the second half of 2025 due to tariff-related issues. President Donald Trump has placed tariffs of 145 percent on most goods from China, while the country responded with tariffs of 125 percent against the United States. The tariff situation with China was described as unsustainable on April 29 in a speech by U.S. Treasury Secretary Scott Bessent, who said he expects a de-escalation between the two countries as a result of trade negotiations. Seroka said trade volume from China will likely remain very light while the tariffs are in effect. An April 22 Los Angeles County Economic Development Corporation (LAEDC) The trade and logistics industry in Southern California contributed nearly $500 billion in regional revenue and supported 2 million jobs in 2022, according to the nonprofit organization. The National Retail Federation and Hackett Associates' Global Port Tracker report, released on April 9, The Department of the Treasury and the White House did not return a request for comment by publication time. The Associated Press contributed to this report.
Morocco World
29-04-2025
- Business
- Morocco World
US Expects Empty Shelves as Tariff Wars Slow Imports
The United States is expected to begin feeling the effects of President Donald Trump's tariff wars as early as May, with major ports bracing for a sharp decline in imports over the coming weeks. Mario Cordero, CEO of the Port of Long Beach, announced last week that the San Pedro Bay Complex in California is projected to see a 44% year-over-year drop in vessel calls. Cordero warned that this downturn in cargo volume—largely driven by the 145% tariffs imposed on Chinese goods—will likely persist into the third quarter of 2025 as the ports are heavily dependent on imports from China. A recent report from the Los Angeles County Economic Development Corporation further highlighted the economic threat posed by the tariffs, estimating that they endanger $500 billion in revenue and put 2 million local jobs at risk. The World Trade Organization also weighed in, cautioning that escalating trade tensions between the US and China could slash bilateral trade by as much as 80%. This has sparked alarm among business owners nationwide. US media outlets are now warning that the broader impact of these tariffs will soon be felt by everyday Americans, with economists predicting a recession by summer. Torsten Slok, chief economist at Apollo Global Management, explained that, given the time required for goods to ship from China, consumers could begin experiencing shortages by May. He likened the anticipated supply disruptions to those seen during the 2020 pandemic. Slok, along with the Port of Long Beach, noted that a wave of canceled or postponed sailings has already pushed shipping activity to levels not seen since COVID-19. 'The consequence will be empty shelves in US stores in a few weeks and COVID-like shortages for consumers and firms relying on Chinese goods as intermediate products,' warned Slok. Read also: According to his projections, container ship arrivals at US ports could halt by early to mid-May. This would be followed by a sharp drop in trucking demand, leading to empty store shelves and declining corporate revenues. Layoffs in the trucking and retail sectors could begin by late May or early June, culminating in a recession by summer 2025. Donald Trump has long argued that his tariff policy would boost domestic manufacturing. He believes that making foreign goods more expensive will encourage companies to shift production back to the US, creating jobs and reducing dependence on overseas supply chains. Many observers and economists fear that American consumers will still face higher prices even if tariffs succeed in reshoring production. 'If production moves to the US, prices will be higher,' said Larry Harris, a professor of economics. 'The reason those goods aren't made in the US in the first place is because we can't produce them as cheaply as other countries can.' While American households are set to soon feel the consequences of the tariff wars at the checkout lines, Trump continues to downplay the risks and emphasize that any felt setbacks are just part of a transitional period. 'You just don't know it yet, but this is a tremendous success what's happening,' said Trump in a recent interview with Time Magazine. 'I don't believe it'll be inflation. I think it'll be a loss for our country,' he insisted.
Los Angeles Times
18-02-2025
- Business
- Los Angeles Times
Long Beach – Where Small Businesses Turn Big Dreams into Reality
Known for its diverse culture, authentic neighborhoods, burgeoning arts and entertainment scene and stunning waterfront in the heart of Southern California between the City of Los Angeles and Orange County, Long Beach is one of the best places for small businesses to grow and flourish. Whether you're looking to launch a new venture or expand an existing one, Long Beach is the perfect destination. 'Small businesses are the foundation of a community, and Long Beach has taken bold steps to ensure they feel welcome and supported,' said Long Beach Mayor Rex Richardson. With a business-friendly environment, streamlined permitting processes and accessible City services, Long Beach offers the ideal place for entrepreneurs seeking opportunities across a variety of industries. From unique and authentic commercial corridors, a thriving downtown and emerging international waterfront districts, Long Beach provides fertile ground for small businesses of all kinds, he explained. Recognized as the 'Most Business-Friendly City in Los Angeles County' by the Los Angeles County Economic Development Corporation, Long Beach is committed to empowering small businesses. Through initiatives like BizCare and the Inclusive Business Navigators Program, the City offers free, multilingual resources and services to help small businesses navigate the complexities of starting and maintaining a company. From providing hands-on assistance to help with accessing capital and grants, BizCare provides a critical lifeline for small businesses aiming to grow. Similarly, the Small Business Development Center, hosted by Long Beach City College, helps business owners with low-cost training and no-cost one-on-one advising from experienced entrepreneurs and industry experts. The City recently awarded $266,000 in grants to 29 businesses that successfully completed its innovative and unique Level Up LB: Extreme Small Business Makeover and Grant Program, which provides entrepreneurs with $10,000 grants to invest in their business upon successful completion of a three-month course. One of these grant recipients is Sweet Grass Sugarcane Juice, a small shop specializing in a variety of fresh juices and smoothies and known for its signature drinks. Owner Johnny Chhom started the business from his home kitchen in 2020 during the pandemic. He explained that it's taken a combination of hard work, determination and grit to grow his small business, and the City has provided invaluable programs, resources and networking opportunities for him to lean on every step of the way. 'If you want to go fast, you go alone, but if you want to go far, you gotta go together,' said Chhom, citing the popular proverb. An additional $82,500 in grants were also issued to support another 28 startups and micro-entrepreneurs with launching or growing their business. The City continues to offer a $1,500 Visual Improvement Program, known as VIP, grants to provide relief to local small businesses and nonprofits impacted by crime and vandalism. And over the past two years, the City has issued $1.1 million in small business loans to entrepreneurs. 'Long Beach's economy is as diverse as its population, creating a wealth of opportunities,' said Richardson. 'Long Beach isn't just a place to do business, it's a place to build community.' Entrepreneurs benefit from a strong network of local support, whether through business improvement districts, neighborhood associations, networking events, or coworking spaces designed to help people connect and collaborate. For business owners, success isn't always just about profits, it's about finding a place that feels like home. Long Beach delivers on that front as well. Whether you want to grab lunch at a local café, visit a museum, stroll along the beach or immerse yourself in the city's eclectic arts and music scene, Long Beach has something for everyone. Long Beach is also home to a number of world-class events, including the Acura Grand Prix of Long Beach, Long Beach Pride Festival and Parade, Long Beach Marathon and countless music festivals, which attract hundreds of thousands of visitors to the city annually. Long Beach is set to take the world stage for the 2028 Olympic and Paralympic Games, with several events being hosted in the city. Ahead of the Olympics, the city's first-ever outdoor amphitheater positioned next door to the iconic Queen Mary is anticipated by the end of the year, attracting major bands, artists and global acts. This presents an incredible opportunity for small businesses, and for entrepreneurs now is the perfect time to establish a presence in Long Beach and prepare to benefit from the excitement and influx of opportunities both the new amphitheater and Olympics will bring. Entrepreneurs looking for a city that supports small businesses, offers prime access to Southern California's booming markets and provides a vibrant, diverse community should look no further than Long Beach. This business-friendly city offers the perfect combination of resources, infrastructure and quality of life to help small businesses prosper and thrive. More information can be found at
