By Lisa Baertlein and Ellen Zhang
LOS ANGELES/BEIJING (Reuters) – U.S. imports from China finished the year strong after some companies stockpiled shipments of apparel, toys, furniture and electronics ahead of President-elect Donald Trump’s plan to impose new tariffs that could revive a trade war between the world’s economic superpowers.
Trump, who has threatened to slap tariffs of 10% to 60% on goods from China, takes office on Jan. 20. During his first term, Trump mainly targeted Chinese parts and components. Economists and trade experts predict his next wave of tariffs could apply to finished goods.
“There has thus been an uptick in the exports of final goods from China to the U.S., as importers aim to front-run possible tariffs on consumer items,” said Frederic Neumann, chief Asia economist at HSBC in Hong Kong.
Chinese trade officials on Monday said December exports surged to record levels and cited concerns about escalating trade protectionism in the U.S. and Europe.
The equivalent of 451,000 40-foot containers of goods from China landed at U.S. seaports in December, a year-over-year increase of 14.5%, according to trade data supplier Descartes Systems Group (NASDAQ:DSGX).
That capped a year when U.S. imports of bedding, plastic toys, machinery and other products from China rose 15% from 2023, according to Descartes.
While some U.S. retailers have rushed in goods to avoid the cost hit from potential new tariffs, teasing out the true effect on overall import gains is difficult because importers keep such data private. Further complicating the analysis, resilient U.S. shoppers have been fueling demand and some importers brought in safety stocks to protect against disruptions from Houthi attacks on shipping near the Suez Canal trade shortcut and a labor dispute at seaports on the U.S. East Coast and Gulf of Mexico.
Trump also has vowed to tariff goods from many other countries, including North American neighbors Mexico and Canada.
As a result, several categories of U.S. imports from all geographic sources posted meaningful gains during the fourth quarter, according to S&P Global Market Intelligence.
Textiles and apparel jumped 20.7%; leisure products, chiefly toys, gained 15.4%; home furnishings increased 13.4%; and household appliances and consumer electronics posted gains of 9.6% and 7.9%, respectively, according to S&P.
Consumer staples categories such as household and personal care as well as food and beverages, rose 14.2% and 12.5%, S&P said.