Importers are being advised that they have just weeks to renegotiate prices with their vendors if they want to minimise the impact of new tariffs on imports from China.

The additional 10% tariff set to be imposed on hundreds of billions of dollars' worth of products imported from China (Tranche 4A goods) will be triggered by the date of entry. 

As a result, there will be no reprieve for such goods that are currently on the water but unable to reach the US before 1 September, according to customs and trade law firm Sandler, Travis & Rosenberg (ST&R).

The company says it is critical that importers properly document and execute any discounts or price reductions so they are incorporated into the value on which the additional tariff will be assessed. 

"In particular, importers should ensure that (a) the discount or price adjustment is agreed prior to the importation of the goods and (b) related supporting documentation complies with US Customs and Border Protection guidelines," the trade law firm adds.

More than three-quarters (77%) of apparel, footwear and home textile products imported into the US from China will be impacted by the extra September tariffs – amounting to about US$39bn worth of goods – according to an analysis by the American Apparel & Footwear Association (AAFA).

The remaining 23% of apparel, footwear, and home textile products imported to the US from China will be hit with an additional 10% tariff on 15 December – amounting to about $12bn worth of goods.

Pre-negotiated vendor concessions are likely to bear the brunt of the new tariff, with some brands using this as a means of mitigating the potential impact. US department store retailer Macy's last week said it is working closely with its manufacturing partners to manage the extra 10% tariff. But CEO Jeff Gennette said this would not be sustainable if the punitive tariffs rose to 25%.

US footwear maker Weyco also says some of its suppliers are willing to be flexible where pricing is concerned.

Click on the following link for an updated look at the actions so far and the products on the hit-list: US-China tariff war – The textile and apparel hit-list updated