Several large U.S. based retailers including Target, Macy’s, Walmart and Best Buy, are appealing directly to President Donald Trump asking him not to implement massive tariffs on goods that are imported from China. The appeals came via a letter sent on Monday to the White House.
The White House administration has said to be setting up tariffs against Chinese telecoms, technology, and consumer products as it attempts to force changes in the practices in Beijing of investment and intellectual property.
Washington is thought to be possibly preparing the tariffs of over $60 billion on goods from apparel to electronics and toys to footwear.
The letter states that there exists concern about the impact being negative as remedial actions are considered under Section 301 of the Trade Act on working families in the U.S. and applying any more tariffs that are broad based as part of action in Section 301 would worsen that inequity and would hurt working families in the U.S. with an increase in prices for household basics such as shoes, clothing, home goods and electronic devices.
This letter is just the most recent example of an increasing division between the White House and the business community when it comes to trade policy. On Sunday, several trade associations that represent the majority of larges businesses in the U.S. wrote a letter that echoed concerns over the ramifications economically of the tariffs.
The trade associations pushing back publicly include the National Retail Federation, the Information Technology Industry Council and the U.S. Chamber of Commerce.
The president of the Retail Industry Leaders Assoc. Sandy Hill argued that the tariffs would eliminate any benefit that the tax bill had provided our economy.
She said that this is not industries in America crying wolf.
Twenty-four businesses signed the letter including Abercrombie & Fitch Co, Big Lots Inc., American Eagle Outfitters Inc., Chico’s FAS Inc., Costco Wholesale Corp, Columbia Sportswear Co, Dollar Tree Inc., J.C. Penney Co Inc., Havertys Furniture Cos Inc., Gap Inc., Jo-Ann Stores Llc, Kohl’s Corp, Ikea North America Services Llc, Sears Holdings Corp, The Michaels Companies Inc., VF Corp, Qurate Retail Group, Levi Strauss & Co and Wolverine World Wide Inc.