| Right, the coffee maker company in China has some options: * Figures out how to make it even cheaper (unlikely)
* Figure out how to avoid the tariff legally: Maybe move the manufacture or assembly to Mexico for the US market.
* Claim the product is something else, just enough to avoid the tariff(i.e. claim it's a tea maker, not a coffee maker)
* Stop selling in the US since they won't get any sales
* etc.
The middle options are the most likely: avoiding the tariff somehow. Companies do the middle two all the time to varying degrees to get around/avoid tariffs, import fees, etc, even US companies. |