Trump’s start-and-stop threatened tariffs paralyse US trade ahead of crucial holiday season

WASHINGTON – So many US companies rushed in goods to avoid President Donald Trump’s many threatened tariffs that imports soared to near-record levels in recent weeks. Now, retailers and other importers are hitting the brakes, awaiting clarity on where the new duties will land.

US import bookings on massive container ships dropped 64 per cent from the period of between March 24 and March 31 to the period between April 1 and April 8, the week when Mr Trump announced

“reciprocal” tariffs on a swath of countries,

container-tracking software provider Vizion said.

The start-and-stop of Mr Trump’s threatened tariffs – including the April 9 pause on newly imposed tariffs, excluding China – is paralysing that trade, retailers and transportation executives say.

Retailers, who would normally be readying plans for the crucial winter holidays, have not placed their usual orders for Christmas decor from Chinese factories. Amazon is reportedly cancelling some summer season orders from Asia. A retail industry trade group, which counts Walmart and Target among its members, forecasts a sharp drop in US imports in the second half of 2025.

“It’s a tough environment to operate in because there’s no certainty around what’s happening or not happening,” said Ms Lee Mayer, chief executive and founder of Denver-based Havenly Brands, which owns furniture retailers like Burrow and The Citizenry.

“There’s a lot standing in place. No one wants to talk costs yet. No one wants to talk resurfacing yet,” said Ms Mayer, whose brands have been importing more furniture from Vietnam, Cambodia and have been lessening dependence on China.

Mr Trump on April 9 put a

90-day hold on his collection of “reciprocal” tariffs

, including 46 per cent on Vietnam and 49 per cent on Cambodia, less than 24 hours after they were imposed.

But in a show of brinkmanship, he hiked duties on China-made goods from 104 per cent to 125 per cent – escalating a battle between the world’s largest importer and the world’s largest exporter that has global financial markets on edge.

Ms Mayer moved quickly, placing orders with factories in Vietnam and Cambodia. “If it truly is only 90 days, we need to get stuff in,” she said, adding that her orders from China remain “fully paused”.

Retailers from Nike to Best Buy are exposed to Mr Trump’s trade war because they rely on key manufacturing hubs including China, Vietnam and Indonesia.

Amazon, the world’s largest online retailer, cancelled orders for beach chairs, scooters and air-conditioners from China and other Asian countries to reduce the financial hit from Mr Trump’s new tariffs, Bloomberg reported on April 9, citing people familiar with the matter.

Amazon did not immediately provide a comment.

Ms Mayer and other retailers, including import-dependent sneaker sellers, plan to work off stockpiled inventory while the dust settles.

“The other thing we’re trying to do is maintain a little bit of composure until this shakes out,” she said.

Shortly before the Trump administration announced the reprieve on “reciprocal” tariffs, the US National Retail Federation (NRF) and Hackett Associates forecast containerised import cargo volume would drop at least 20 per cent year over year in the second half of 2025.

That was based on Mr Trump’s now paused tariffs. At the time, tariffs on China were 104 per cent. NRF said it would not revise that forecast.

“Retailers have been bringing merchandise into the country for months in attempts to mitigate against rising tariffs, but that opportunity has come to an end,” said Mr Jonathan Gold, NRF vice-president for supply chain and customs policy.

The second half of 2025 sees crucial shopping seasons for retailers such as the back-to-school and Thanksgiving to Christmas periods.

“The back-to-school period is typically a major sales opportunity for them and will likely be the first time that the tariff effects will show up,” Mr Sheraz Mian, director of research at Zacks Investment Research said. REUTERS