Walmart Instructs Chinese Suppliers To Resume Shipments Amid Trade Tensions
American retail giant Walmart has directed its Chinese suppliers to restart shipments to the United States, according to a report by the South China Morning Post. The move follows several weeks of global supply chain disruptions driven by rising US-China trade tensions after President Donald Trump imposed significant tariffs on Chinese goods.
A major exporter of stationery and office products based in Ningbo, Zhejiang province, told the SCMP it received a notice from Walmart on Monday to resume regular deliveries to the US, as per a Business Standard report.
Other exporters in Jiangsu and Zhejiang, key manufacturing regions heavily impacted by the trade conflict, reportedly received similar instructions from large US retailers. A global supplier of garment hangers and packaging noted that American clients began urging Chinese vendors to resume shipments as early as April 23.
Effect Of US Tariffs On Chinese Imports
Chinese exporters have indicated that the financial burden of the newly imposed US tariffs will largely fall on American buyers, helping to alleviate pressure on Chinese suppliers.
In response to the uncertain trade environment, many Chinese vendors have shifted from quoting Delivered Duty Paid (DDP) prices to Free On Board (FOB) terms. This change allows US importers to manage the tariff costs directly through their own customs brokers, who are better equipped to navigate the evolving regulatory landscape.
Walmart, which operates retail and wholesale stores, membership clubs, eCommerce platforms, and mobile applications across the US, Africa, Canada, Central America, Chile, China, India, and Mexico, is among the American retailers adapting to these changes.
Also Read: Relief For Industry And Consumers? Trump Govt Set To Ease Tariff Burden On American Auto Manufacturers
Walmart, Target Warn Trump Of Supply Chain Disruptions
US retailers have reportedly raised direct concerns with the Trump administration over the impact of tariffs on their operations. According to CBS News, executives from Walmart and Target privately cautioned President Trump that the tariffs could severely disrupt supply chains, potentially leading to empty shelves in stores. Publicly, these companies have also warned that consumers may face higher prices because of the trade measures.
US-China Trade War
The US administration has imposed additional tariffs totaling 145 per cent on Chinese imports, raising the effective tariff rate to approximately 156 per cent, according to official White House documents. Some Chinese products are now subject to duties as high as 245 per cent. In retaliation, Beijing has levied tariffs of up to 125 per cent on all US-origin goods, deepening the ongoing trade dispute between the world’s two largest economies.
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