Boeing, large firms assessing impact of US, China tariffs

NEW YORK: US trade groups and some large companies such as Boeing said they were beginning to evaluate how new tariffs in the Us-china trade spat could affect their operations.

“We are assessing the impact these tariffs and any reciprocal action could have on our supply chain and commercial business,” said spokesman Charles Bickers.

The comments came in response to news that President Donald Trump would impose 25 per cent tariffs on tens of billions in Chinese imports, sparking immediate retaliation from Beijing.

Boeing garnered about 12.8 per cent of its 2017 revenues from China and is frequently seen as among the more vulnerable US multinationals to an all-out trade war.

“We will continue to engage with leaders in both countries to urge a productive dialogue to resolve trade differences, highlighting the mutual economic benefits of a strong and prosperous aerospace industry,” Bickers added.

The American Apparel & Footwear Association, while praising the Trump administration for dropping an earlier plan to place levies on key equipment and machinery used by the industry, said China’s retaliatory measures could harm American farmers and textile manufacturers and add costs to the industry’s supply chain.

“President Trump is fixated with tariffs, which he believes he can wield freely; but there are consequences to the use of tariffs,” said AAFA President Rick Helfenbein.