Tariffs may mean prices go up, sales go down, jobs are lost

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Workers sewing in a clothing factory in Bozhou, China.

“Where are you going to go? People have been trying to diversify for years. You just can’t up and move, so prices are going to come to the consumer and that will come sooner versus later,” he told CNBC.

Although the American retail scene is looking positive now, the impact of the new tariffs will hit consumers in six to nine months, he added.

“We are watching the Titanic sail out of port here; this is not a good thing,” he said.

If the Trump administration goes ahead with tariffs on $200 billion of Chinese imports, it’ll be a further blow to the industry, he said.

“There are issues, but to the extent of taxing yourself to solve this, that’s crazy. That’s like punishing your son for something your daughter did. It doesn’t make sense,” he added.

The world’s two largest economies have met several times since President Donald Trump took office to find some common ground on trade issues as the American leader railed against his country’s huge trade deficit with China.

Just this week, Chinese officials led by Vice Commerce Minister Wang Shouwen held talks with U.S. counterparts on Wednesday and Thursday in Washington.

The Chinese Commerce Ministry said in a statement on its website on Friday that the two sides had a “constructive and frank” exchange. The statement did not give any details about the talks, but said the two countries will continue to stay in touch for next steps.

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