Leading retail companies, including Wal-Mart, Target, Best Buy and Macy’s, have made an appeal to President Donald Trump not to enforce the massive tariffs on Chinese goods.
In a letter sent to the White House on Monday, the coalition of retail companies said that the Trump administration is preparing tariffs against Chinese information technology, telecoms, and consumer products in an attempt to force changes in Beijing’s intellectual property and investment practices. Washington could impose more than $60 billion in tariffs on goods ranging from electronics to apparel, footwear, and toys.
“At the same time, we are concerned about the negative impact as you consider remedial actions under Section 301 of the Trade Act could have on America’s working families,” the letter states. “Applying any additional broad-based tariff as part of a Section 301 action would worsen this inequity and punish American working families with higher prices on household basics like clothing, shoes, electronics, and home goods.”
The letter is the latest in series of objections presented by the business community over trade policy. The growing division between the Trump administration and the business community has put additional pressure on the White House over the President’s plans for starting a trade war with China.
On Sunday, another group of trade associations that represent most of the United States’ large businesses also sent a letter where they expressed deep concerns about the economic ramifications of tariffs.
According to Reuters, trade associations publicly pushing back include the U.S. Chamber of Commerce, the National Retail Federation, and the Information Technology Industry Council.
“This is not American industries crying wolf,” Sandy Hill, president of the Retail Industry Leaders Association, which organized the letter said in a statement.
24 companies signed the latter, including Abercrombie & Fitch Co, American Eagle Outfitters, Big Lots, Chico’s FAS, Inc, Columbia Sportswear, Costco, Dollar Tree, Gap Inc, Haverty’s Furniture Co, JCPenney, Jo-Ann Stores LLC, Kohl’s Department Stores, Inc, Ikea North America Services, LLC, Levi Strauss and Co, Qurate Retail Group, Sears Holding, The Michaels Companies, VF Corp, and Wolverine Worldwide.
“As you continue to investigate harmful technology and intellectual property practices, we ask that any remedy carefully consider the impact on consumer prices,” the letter stated.
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