From Guangdong to LA, tariff superstorm alters course of business expansions

Clutching a “Reciprocal Tariffs” board at his side, US President Donald Trump upgraded his powerful trade storm in the global supply chain to a category that few in its path have ever felt.

Fernando Ching Lau, a Los Angeles supermarket owner, says Trump’s immigration crackdown had already hurt his business – with fearful families avoiding stores. And now, with tariff hikes hitting broad swathes of the planet, the cost is about to grow.

“The tariff policies will hit me even harder – sourcing locations, order volumes, and procurement costs are all becoming far less predictable,” Lau said.

According to Lau, the cost per container – including goods and logistics – currently runs between US$30,000 to US$50,000. By summer, he believes, it could rise by 50 per cent.

Lau originally planned to shift some purchasing from China to Vietnam, Turkey and Mexico. But now, with the US imposing tariffs on those countries as well, he said he intends to pause or slow down the transition.