Trump’s tariffs trigger a 35% drop in Port of Los Angeles imports as retailers cancel China orders, while consumers brace for fewer product options and higher prices.
Quick Takes
- Port of Los Angeles expects a 35% drop in cargo arrivals next week as major American retailers halt all shipments from China due to Trump’s tariffs.
- Chinese shipments constitute 45% of the port’s operations, with the current slowdown potentially leading to layoffs in transportation and retail sectors.
- U.S. retailers have only a 5-7 week inventory buffer from pre-tariff stockpiling before supply shortages become apparent to consumers.
- The maritime industry contributed nearly $300 billion in economic output and supported almost 2 million jobs in 2022, all now at risk.
Tariff Impact Causes Immediate Shipping Decline
The impact of President Trump’s tariff policies on China trade is already showing dramatic effects at America’s busiest port. The Port of Los Angeles is forecasting a staggering 35% decrease in cargo arrivals within the next two weeks compared to the same period last year. This significant drop comes as major American retailers and manufacturers have completely ceased shipments from China, while cargo movement from alternative sources in Southeast Asia remains substantially lower than normal levels. The situation represents one of the most immediate and visible consequences of the administration’s trade policies aimed at reducing dependency on Chinese manufacturing.
Gene Seroka, executive director of the Port of Los Angeles, has been monitoring the situation closely through the port’s digital tracking systems. The data shows an unmistakable downward trend in container volume that will have ripple effects throughout the American economy. The current tariffs include a substantial 145% rate on Chinese goods and a 10% rate on imports from nearly all other nations, significantly impacting U.S. demand for foreign products. While a 90-day pause on reciprocal tariffs was announced, excluding China, industry experts note this provides insufficient time for businesses to make substantial adjustments to their supply chains.
“It’s my prediction that in two weeks’ time, arrivals will drop by 35% as essentially all shipments out of China for major retailers and manufacturers have ceased, and cargo coming out of Southeast Asia locations is much softer than normal,” said Seroka.
Shipments from China to drop by 35% next week due to Trump tariffs, Port of LA chief warns https://t.co/UcNXbZBW1D pic.twitter.com/DGXokf17vb
— New York Post (@nypost) April 29, 2025
Limited Options for American Retailers
Retailers across America are caught in a difficult position as their existing inventory reserves begin to deplete. The rapid implementation of the tariffs has left businesses with few immediate alternatives to their established Chinese supply chains. Many major U.S. retailers have reported having only a five to seven week supply of inventory currently in their systems. Once these stockpiles are exhausted, companies will face difficult decisions regarding product availability, pricing strategies, and potential store closures if the current policies remain unchanged and no alternative sources are secured.
Exports from American businesses are expected to be even more severely impacted than imports. The Port of Los Angeles already reported a notable decline in TEUs (twenty-foot equivalent units) moved in March. Retaliatory tariffs from China are particularly affecting U.S. agriculture, manufacturing, and information technology sectors. This bilateral trade restriction creates a compound effect that threatens to damage American export businesses that rely on Chinese markets, potentially leading to job losses and economic contraction in multiple domestic industries that have built dependency on foreign trade.
Broader Economic Consequences
The maritime industry represents a significant portion of America’s economic foundation, having contributed nearly $300 billion in economic output and supported approximately 2 million jobs in 2022. The current slowdown directly threatens these positions, particularly among dock workers and truckers. Casual dock workers, who are called in based on shipment volume, will likely see their hours significantly reduced or eliminated entirely. The potential for layoffs extends beyond the ports themselves into warehousing, logistics, and retail sectors as the supply chain disruption widens.
Some transport companies are attempting to pivot by seeking alternative suppliers in Southeast Asia, but this strategic shift presents its own challenges. The logistics infrastructure in these alternative regions is generally less developed than China’s, leading to delays, increased transportation cancellations, and higher costs. For American consumers, the most immediate effects will likely be reduced product selection in stores and higher prices on remaining inventory. These impacts may become increasingly apparent as the pre-tariff stockpiles that retailers accumulated begin to deplete over the coming weeks.
