Drowning in uncertainty: Trade questions slow investment, squeeze profits across US

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From a denim plant in rural Georgia to a St. Paul, Minneapolis loudspeaker maker, nagging uncertainty over when President Donald Trump's trade ...

WASHINGTON: From a denim plant in rural Georgia to a St. Paul, Minneapolis loudspeaker maker, nagging uncertainty over when President Donald Trump's trade wars might end, if ever, is confounding many U.S. manufacturers.

Trump has said China would pay for the higher tariffs. But a study by the New York Federal Reserve found that Americans are feeling most of the pain. Tariffs Hurt the Heartland, a campaign grouping more than 150 trade groups that oppose tariffs, said U.S. consumers and businesses have paid an extra US$42 billion due to the tariffs since the trade war began.

"The scale we need doesn't exist," he said. It would take five to seven years to set up outside of China fabrication of the silicon chip sets needed for JLab's air buds and headsets, the second-best selling in the world behind Apple's Air pods.Phil Marfuggi, president of Ambriola, a U.S.-based unit of Italian cheesemaker Auricchio SpA based in West Caldwell, New Jersey, said he has put off spending US$1.

"It's probably set us back by two years," said Digre, who has retained U.S. production long after other rivals moved to Asia. The new line was expected to boost sales and generate 20 more jobs at the plant. Digre, whose father started the company 70 years ago after serving in World War Two as a B-17 gunner, has tried to stave off any job cuts."That's the last resort, so you cut in other areas, like innovation and R&D."On the East Coast, Jeff Greenstein, president of Boston-based Delta Cycle, a privately owned maker of bike racks, padded seats and other accessories, said he has cut his marketing budget by a quarter.

 

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