Businesses in Indiana are preparing for the impact of the steep tariffs promised by President-elect Donald Trump, with some already seeing an increase in imports from China and adjusting their prices accordingly. Indianapolis-based Westfield Outdoors, a maker of outdoor products, has reported a surge in imports ahead of Trump’s inauguration on Jan. 20, as well as an expected increase in retail prices due to the tariffs.
The National Retail Federation has also predicted similar trends at ports across the United States. Westfield Outdoors CEO Bryan Nelson expressed concerns about the tariffs, stating that they are “scary” for businesses. Trump has signaled plans to impose 25% tariffs on goods from Canada and Mexico, as well as an additional 10% tariff on goods from China, starting on his first day in office.
Nelson expects the tariffs to eventually reach 60% on Chinese goods, which would lead to a minimum 25% increase in retail prices for their products. This could have a significant impact on consumer disposable income and may lead to a drop in demand for goods. Nelson believes that more targeted tariffs would be beneficial to American companies, as opposed to broad taxes that could unintentionally harm businesses.
The tariff increases are expected to affect retail prices as early as spring, with the National Retail Federation estimating that Trump’s proposals could cost Americans $78 billion. Businesses in Indiana are now carefully monitoring the situation and preparing for potential changes in the market.
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