American Business Owner Describes Effect Of China Tariffs | NBC News NOW

Channel: NBC News
Published: 12/14/2019

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NBC News’ Dasha Burns talked to the owner of a manufacturing plant who was hit by China’s retaliatory tariffs. » Subscribe to NBC News: http://nbcnews.to/SubscribeToNBC » Watch more NBC video: http://bit.ly/MoreNBCNews NBC News Digital is a collection of innovative and powerful news brands tha...



Transcript
The us and china reached an agreement on a phase one trade deal today and president trump says phase. Two negotiations will begin immediately. Nbc'S dasha burns talked to the owner of a manufacturing plant, rather, who is hit by china's retaliatory tariffs. Early this year, we export a fair amount of our product into other countries. China is one of those where we actually build it in grand rapids ...
michigan and ship it to china. So what happened there? Well, our product was one of those products listed in their retaliatory tariffs for all practical purposes. The chinese market is closed to us. The retaliatory tariffs on top, which is in our case, was 15 percent. 15 percent percentthere's no way that we can overcome that. That cost barrier at the moment you just have to write it off, so we just right yeah, we just write it out and that's that's a challenge. Are there other places in the world that you're exporting to that you're concerned about our two largest export markets, canada and mexico, and of course, we decided to rip up nafta? I mean what does that unpredictability mean for you and for for these employees here? What i think is failed to be realized by you know whether it's the trump administration of the congress or whatever, is, if we're in an unpredictable environment, then we behave more cautiously in there is aslowing that happens in the economy when companies start becoming risk adverse. I think that's lost in in our friends and in dc they don't get that and josh is here with me now and said we don't know all the details of the trade deal, but how does a trade deal like this impact? Someone like bob well, i called our friend bob up this morning to ask him that, and he told me he is cautiously optimistic about this.

News selling to the chinese market is a pretty important part of their business yeah actually for their long-term business. So this is good potentially, but of course the devil is in the details and we just don't knowthose details. Yet he does say that this is progress for him as far as he sees it and he's hopeful that, because the talks have been positive, that that retaliatory tariffs on his product will be lifted as part of the deal because he's basically been blocked from china. Though i asked him how quickly he could be back in business - oh yeah, he said he has been staying in touch with his contacts in the region. He just hasn't actually been able to do anything with them, so he could be back in action pretty quickly. If things go as he hopes they will go, he also told me that he's been encouraged by the usmc, a votethat's coming up in the house. Yeah. That'S a big he's just excited to see that there's appetite and momentum around doing more for american businesses and american workers, but as you as you heard there, the unpredictability of this climate is is always a concern for him. So this issue is twofold, especially for someone like bob right: it's an economic issue, cuz, it's impacting your business, but then it's also a political issue and it's affecting how a lot of people will decide to vote and their views of the candidates and the the the Parties involved what above has to say about all that. Well, bob is an interesting case. First of all, he's in michigan, swingstate yeah. All i saw in michigan absolutely watching he's also in kent county, which is a politically important place and bob is a republican, but he told me he doesn't really see that he has a home in today's republican interest.

Okay, that's something that i've heard from a lot of republican voters in that grand rapids area. Actually, he says, especially when it comes to fiscal responsibility. He feels like the gop has really strayed from its traditional principles and he's not really a huge fan of donald trump. He is a he agrees with some things he disagrees with others, he doesn't love the tweets. Does he still feel that way today, given the agreement? Well, sothe trade deal is important if he does agree with donald trump that that we needed to revamp these. These deals and - and he says that trump raised a legitimate issue, especially when it comes to china, but he doesn't necessarily agree with his tactics. He told me he wishes that congress and past administrations have started working on this decades ago. Look. This is a business that relies on consistency and incremental change, and so he said, the ideal way for him would have been if they started chipping away at this, and step-by-step took measures to to get a better deal for american businesses, whereas he said right now, he Kind of sees that this is doing surgerywith a chainsaw, as he put it to me, so he he agrees that this. This should move the word, but not necessarily this wasn't the best process in his opinion and on the other hand, he did say, though, that this week made him view both the president and congress and somewhat of a better light, because they actually are doing things. You know they got something done even amid the chaos in washington, oh joshua, it's so interesting. We'Re gon na have to stay in touch with bob and see what he says bob a lot over the next year, yeah.

Well, people we followed him when we hear about that phase to deal dasha. Thank you. So muchhey nbc news viewers, thanks for checking out our youtube channel, subscribe by clicking on that button down here and click on any of the videos over here to watch. The latest interviews show highlights, and digital exclusives thanks for watching.


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