Beijing responded swiftly with retaliatory tariffs, raising the combined levies of the two countries to more than 100% on many goods. Treasury Secretary Scott Bessent has called the standoff "unsustainable," but no significant negotiations have emerged to resolve the dispute.
Economic analysts are already warning of broader impacts. Torsten Slok, chief economist at Apollo Global Management, has outlined the risk of job losses in the transportation and retail sectors, shrinking inventories, and a possible recession if trade disruptions persist through summer.
Despite these concerns, U.S. retailers are temporarily buffered by inventory stockpiled ahead of Trump's tariff hike. Seroka estimated that companies have five to seven weeks of inventory before product shortages become visible to consumers.