China-US Trade Tariffs Impact Exporters as US Orders Plummet Amid 145% Hike: Chinese exporters are facing a sharp decline in business after the US raised tariffs on Chinese goods by 145%. The impact was clear at the Canton Fair, which started on April 15, 2025 in Guangzhou.
Thousands of Chinese firms, including Conmo Electronic Co., reported major order cancellations and delays. Many exporters rely heavily on US buyers. The change in trade policy has left them unsure about their future. Industry insiders now warn of job losses and lower production if the situation continues.
Also Read | China Bankruptcy Risks for Foreign Investors Exposed in Murky Cases
China-US Trade Tariffs Impact Exporters as US Orders Plummet Amid 145% Hike: Insights
- Over 30,000 Chinese firms showcased products at the Canton Fair.
- US buyers have cut or delayed orders due to the tariff hike.
- US imports from China total over $400 billion yearly.
- Attendance at the fair from the US and Europe dropped by 10%.
- Exporters are considering moving production outside China.
- Many fear further tariffs could hit other Asian countries too.
Background
The ongoing China-US trade tariffs conflict has deep roots. Tensions rose during the Trump administration when tariffs were used to pressure China in trade talks. In April, Trump announced a new tariff hike—145% on Chinese goods. Other countries also saw smaller hikes.
Chinese exporters have long relied on the US market for revenue. With this sudden change, firms are rushing to find other markets or production bases to reduce the blow.
Main Event
At the Canton Fair in Guangzhou, China’s largest trade expo, exporters shared growing concerns. Conmo Electronic Co., a medical device manufacturer, reported losing most US orders after the China-US trade tariffs increased. Their US business makes up 60-70% of total revenue.
“We can’t ship or get paid. This is serious,” said Candice Li, Conmo’s marketing manager.
The fair, held from April 15, 2025, to May 5, 2025, hosts more than 30,000 companies. Organizers say overseas buyer registration is down. Attendance from US and European buyers has fallen by 10% compared to last year’s fair.
Exporters like Shenzhen Landun and Apexto Electronics say US customers have paused or canceled orders. Some US distributors are waiting, unsure of pricing under the new tariffs. Sales to Europe have increased slightly but can’t fully replace US business.
Firms are also looking to move production to Vietnam or the Philippines. However, these countries now face similar levies—Trump imposed tariffs on them too, though reduced for three months during trade talks.
Speaker company Zealot had a large US order from Skechers put on hold. But thanks to strong Nigerian demand, Zealot has managed to stay afloat.
Li, however, says new markets aren’t easy to find fast. “If this goes on, people will lose jobs. Salaries won’t get paid,” she said.
Shipping containers sit idle at a Chinese port as US demand declines due to steep 145% tariffs, leaving exporters grappling with falling orders.
Photo Credits: David Kirton (REUTERS).
Also Read | China-Vietnam Trade Relations Strengthen Amid Global Tariff Tensions
Implications
The tariff hike is hurting Chinese exporters the most. Firms dependent on US clients now face serious income loss. For US businesses, the rising cost of imports may push prices higher. Consumers in the US might see this reflected in product prices.
Other countries may also get dragged into this trade tension. If tariffs spread further, global trade could slow down. This creates risks for small exporters and developing markets alike.
Conclusion
The fallout from the China-US trade tariffs shows no signs of easing. With new tariffs on other countries also in play, exporters fear more losses. Some are trying to shift markets, but not all can adapt quickly. Experts say unless trade talks lead to progress, both sides may continue to suffer. For now, uncertainty is the only clear outcome.
