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  • 23 hours ago
U.S. companies are rapidly diversifying supply chains as Trump’s tariffs reshape trade, shifting sourcing from China toward Southeast Asia and India. Banks say tariffs are lifting financing needs and pushing firms to renegotiate payment terms as surplus inventory runs down.

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00:00It's Benzinga, bringing Wall Street to Main Street.
00:03U.S. companies are accelerating supply chain diversification
00:05as Trump's tariffs reshape trade flows, according to CNBC.
00:10The proportion of supplier volume from China, Hong Kong, and Korea
00:13fell from 90% to 50% over the past decade,
00:17with a sharp shift during the first trade war.
00:19Wells Fargo said mid-sized suppliers have migrated to Taiwan,
00:23Vietnam, Indonesia, Thailand, India, and Malaysia.
00:26Imports from China to the U.S. are down 26% year-over-year,
00:31while China's trade with South Asia-Pacific countries has risen.
00:34HSBC said higher tariffs have increased working capital needs
00:37as companies negotiate payment terms to preserve cash.
00:41The bank reported a 20% rise in financing flows since Trump's April tariff rollout
00:46and said surplus inventory brought in to offset tariffs is nearly exhausted.
00:50For all things money, visit Benzinga.com.
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