US-China trade dispute escalates: American retailers force Chinese suppliers to bear more transportation and tariff costs

Foreign media: Affected by the China-US trade dispute and the surge in freight rates, major US retailers are asking Chinese suppliers to share or even fully bear the transportation costs, breaking the precedent of US parties paying all freight costs. In particular, exporters from Zhejiang Province in China said that since late May, 60% of American-bound products manufactured by clothing makers like Stage Group have been self-funded for logistics costs.

Meanwhile, US parties are also requiring Chinese suppliers to shoulder up to 66% of the additional US tariff costs, which were originally paid by US buyers.

This move reflects the pressure on US retailers to "absorb tariffs" domestically, as they pass the cost of the trade war onto Chinese factories, increasing the export burden on Chinese enterprises.

Original article: https://www.toutiao.com/article/1834264835229700/

Disclaimer: This article solely represents the author's personal views.