Summary
Trump’s proposed tariff hikes on Chinese imports, potentially reaching 60%, could accelerate China’s shift to alternative markets and offshore production.
Exporters in Yiwu, a hub for small goods, report declining U.S. sales and are increasingly targeting regions like Southeast Asia, the Middle East, and Africa.
Trump also plans to close tariff loopholes, such as the $800 duty-free exemption, which would heavily impact low-cost exporters and American consumers.
Many Chinese manufacturers are relocating production to countries like Vietnam and Mexico to evade tariffs, but further restrictions could disrupt these strategies.
I believe Trump means what he says about the tariffs. I have been buying like crazy, trying to make sure I have new work clothes, shoes and some consumables going forward. Things like dish soap, detergent and the like. I don’t know what else to do except insulate myself as much as possible.