Important Update: Tariffs Delayed but We Still Need Your Help
December 3, 2018 | Following the agreement between President Trump and China’s President Xi Jinping to delay new tariff increases for 90 days, The Toy Association continues to strongly encourage members to join the fight against tariffs as there is still work to be done.
The White House announced over the weekend that on January 1 it would not increase tariffs on the $200 billion worth of Chinese imports currently subjected to 10 percent tariffs. Instead, the Administration will delay the increase to 25 percent for 90 days (starting December 1) to give the two countries time to negotiate a trade deal. If a deal is not reached, tariffs on Chinese imports will increase to 25 percent. However, the White House statement did not mention whether the Administration will pursue tariffs on Chinese imports that have not yet been subject to tariffs, nor does it mention any agreement to undo those tariffs that are already in place.
"We had believed the Administration finally heard the cries of businesses of all sizes as well as financial markets impacted by tariffs. However, initial positive news and now subsequent confusion around a 90-day delay does not resolve the looming threat of tariffs and the uncertainty they create for the business community. We must continue to fight against escalation of the third tranche of tariffs and the threat of a potentially disastrous fourth tranche that would devastate the U.S. toy community,” said Steve Pasierb, president and CEO of The Toy Association.
Added Pasierb: "Many top economists continue to view it unlikely that the U.S. and China can find a course forward and rollback of tariffs before March 1. The Toy Association will continue to work with Congress and the Administration to reverse these protectionist trade policies and advocate for fair trade outcomes with China.”
The Toy Association continues to advocate to the U.S. Trade Representative (USTR) and on Capitol Hill to ensure officials understand the profoundly negative impact of tariffs on American companies and jobs.
Toy companies are encouraged to join advocacy efforts by:
“More members of The Toy Association, ASTRA, LIMA, WIT and other important organizations in the U.S. toy community must stand up with us,” said Pasierb. “We urge you to get involved and stand ready to help and to amplify your message.”
Members are encouraged to get in touch with Rebecca Mond, vice president of federal government affairs at The Toy Association, for more information on this developing issue.