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Home World News

US tariffs on Chinese goods disrupt Christmas decoration exports

With a 104% increase in import duties on Chinese products, American retailers face a potential shortage of festive items, while Chinese factories struggle with plummeting orders.

Pratibha by Pratibha
April 9, 2025
Reading Time: 2 mins read
0
US tariffs on Chinese goods disrupt Christmas decoration exports

(FILES) US President Donald Trump speaks to the press, alongside counselor to US President Donald Trump, Peter Navarro (L), after signing an executive order in the Oval Office of the White House in Washington, DC, on February 10, 2025. President Donald Trump's punishing tariffs on countries around the world, including a 104 percent increase in duties on China, bear the fingerprint of Peter Navarro, a Harvard-trained economist who has long warned against a rising Beijing. Saying Washington's trade deficit was a sign of unfair competition, Trump announced blanket 10 percent tariffs on countries and territories around the world last week, including islands inhabited only by penguins. And nearly 60 economies face higher duties, including the over 100 percent tax on Chinese imports that took effect on April 8, 2025, after tit-for-tat tariffs between Beijing and Washington. (Photo by ANDREW CABALLERO-REYNOLDS / AFP)

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Artificial Christmas trees, tinsel, ornaments, and other festive decorations from China have been caught in the crossfire of the US-China trade war, with Chinese producers reporting a worrying drop in orders from their American buyers. The reason, they say, is clear: US President Donald Trump’s aggressive tariff measures.

A recent Reuters report highlights the impact of these tariffs, which have risen by a staggering 104 percent on Chinese imports. This policy, crafted under the influence of economist Peter Navarro, is aimed at curbing China’s dominance in global manufacturing. However, it is also disrupting long-standing business relationships. US retailers source nearly 87 percent of their Christmas decorations from China, amounting to roughly $4 billion in trade annually. In turn, Chinese factories rely on the American market for about half of their sales.

“So far this year, none of my American customers have placed any orders,” said Qun Ying, who owns a Christmas tree manufacturing unit in Jinhua, eastern China. She confirmed that the delay is due to the new tariffs. “By mid-April, all the orders are normally finalised, but right now it’s hard to know if any orders are coming,” she said. “Maybe American customers won’t buy anything this year.”

The ongoing trade war is escalating, with China responding to Trump’s tariffs by imposing 84 percent duties on US goods. Analysts predict this conflict could cut 1 to 2 percentage points off China’s economic growth, deepen industrial overcapacity, impact employment, and fuel deflation.

With Chinese exports to the US exceeding $400 billion last year, the loss of American demand is significant. Chinese exporters now look to Russia, Europe, and Southeast Asia to make up for the loss. “We are worried that US orders will come down. We will definitely win this trade war,” said factory owner Liu Song.

Retailers in the US will find it hard to replace Chinese supplies. Cambodia, the second-largest exporter of Christmas decorations to the US, only meets about 5.5 percent of the demand—and it too has been hit with a 49 percent tariff under Trump’s broader policy.

Jami Warner, executive director of the American Christmas Tree Association, pointed out that the US lacks the manufacturing infrastructure to produce these decorations domestically. “They certainly can’t be made in the United States. There’s no manufacturing, the technology isn’t here,” she said.

As a result, Americans may face both higher prices and limited availability of festive goods this holiday season—underscoring the real-world impact of the trade war on consumers and businesses alike.

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Tags: American Christmas Tree Associationartificial Christmas tree exportChinese economy impactChristmas decoration importsfestive goods from ChinaTrump tariffs on ChinaUS China trade warUS tariffs on imports
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Pratibha

Pratibha

A passionate news person, trying to reflect her views on the recent happenings around the globe, bringing you a nuanced perspective and keeping the ethics of journalism alive in the process. My journey started in an international newsroom, where I have covered major events and been to the roots of them.  The  South-Asian region has also caught my interest, where I have covered more of the features and cultural side of the South-Asian countries. As a journalist dedicated to ethical reporting and with a personal interest in exposing hidden narratives, I aim to offer complex perspectives that enhance comprehension of the modern, globalized world.

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