Trump’s China tariffs could empty store shelves, CEOs warn

The ongoing tariff war with China could lead to low stock for store shelves. Several CEOs of big box stores have warned President Donald Trump that his 145% tariff on goods imported from China will cause havoc for retailers, and in turn, consumers will see shortages. Items like apparel and footwear are expected to be among the hardest hit, with consumers likely to feel the impact through reduced stock and higher prices.

Hitendra Chaturvedi, Professor of Supply Chain Management at Arizona State University, joined us on “Arizona Horizon” to break down the implications of these tariffs. He discussed how such high import taxes could ripple through the retail industry, creating long-term challenges not only for businesses but also for American consumers.

Chaturvedi discussed how even though we may not be seeing the effects of the tariffs right away, when the back to school shopping season comes around we could see significant price hikes. “There are many people who may end up doing their Christmas shopping six months early,” Chaturvedi said.

The number of manufacturing orders has already dropped. “Ships that come to L.A. and Long Beach ports has already dropped by 35%,” Chaturvedi said.

In terms of what will get hit first, Chaturvedi suggests “Walmart, Target and Amazon,” It is worth noting that Amazon originally considered showing how much tariffs would increase the price on each item on their website and app. The added amount from the Tariffs were set to be placed right next to the item’s price. Amazon however did not go through with this plan.