Nov 6, 2019

WSJ: Tariff revenue spiked to a record $7 billion in September

A truck passes by China shipping containers at the Port of Los Angeles. Photo: Mark Ralston/AFP via Getty Images

The U.S. amassed $7 billion in import tariffs in September, a 9% jump from figures in August and a 59% year-over-year increase due to new taxes on consumer goods, figures compiled by the Commerce Department show, per the Wall Street Journal.

Why it matters: President Trump has falsely said China is paying for the tariffs. Business executives and economists generally recognize the revenue as a growing burden on American importers and U.S. customers.

Why now: The revenue increase can be attributed to a 15% levy on about $110 billion worth of Chinese imports that took affect on Sept. 1.

  • More than $5 billion of the total collected last month came from tariffs collected on imports from China, while tariffs assessed to the rest of the world reaped another $2 billion, the WSJ notes.

By the numbers: In a 12-month period ending in September, the U.S. accrued more than $70 billion in tariffs, almost double what was collected before the trade war, according to the WSJ.

What they're saying: Dan Anthony, vice president of the Trade Partnership, told the WSJ, “This is very much the low-end estimate of costs, because there’s also costs associated with shifting suppliers, shifting to higher-cost sources, that aren’t going to show up in the data."

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Wilbur Ross says December tariff hike likely without China breakthrough

Commcerce Secretary Wilbur Ross during a cabinet meeting on Oct. 21. Photo: Alex Wong/Getty Images

Commerce Secretary Wilbur Ross said Monday on Fox Business that time is running out for the U.S. and China to agree on a trade deal before Dec. 15, when the U.S. is set to impose an additional 15% tariff on around $156 billion worth of Chinese goods.

Why it matters: Future tariff hikes would likely further squeeze the U.S. and Chinese economies, dragging down already declining business investment in the U.S. and possibly pushing the manufacturing industry into a deeper recession.

Go deeperArrowDec 2, 2019

Trump brings the trade war back to life

Illustration: Sarah Grillo/Axios

The trade war looks to be back on in a big way after a series of pronouncements from President Trump and the White House.

The latest: Trump told reporters in London Tuesday he had "no deadline" for a China deal and that he liked "the idea of waiting until after the election for the China deal."

Go deeperArrowDec 3, 2019

More Americans say they're feeling the cost of tariffs

Adapted from CivicScience; Chart: Axios Visuals

The trade war is starting to hit home for more Americans, affecting their buying habits and expectations about the economy, data from research firm CivicScience shows.

Why it matters: Tariffs imposed on Chinese goods have largely avoided items purchased directly by consumers so far, but as the trade war has dragged on, more firms are having to pass costs on to customers. This could increase inflation or cause a pullback in consumer spending, which has been the driving force behind the U.S. economy's strength this year

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Keep ReadingArrowNov 12, 2019