China tariff uncertainty clouds container supply chain outlook

A 25 percent tariff on $200 billion worth of Chinese imports scheduled to begin next month could be delayed until May - or may not occur at all, if a trade agreement can be reached - making it more difficult to forecast the effect on supply chains and the outlook for freight capacity. A list of some 6,000 Chinese products ranging from frozen fish and meat to chemicals to fabrics - which the U.S. had already hit with a 10 percent tariff in September - had been scheduled to rise to 25 percent on January 1, but in December the deadline was postponed to March 1. Negotiations wrapping up in Beijing this week, and continuing in Washington next week, are reportedly going well so far. But that could mean merely extending the deadline for an accord, as President Donald Trump is said to be open to pushing back the deadline to May 1.