Trump unveils 10% tariff on all imports; how local businesses are impacted

President Donald Trump has signed an executive order imposing a 10% baseline tax on imports from all countries and higher tariff rates on dozens of nations that trade with the United States.

Trump says the move will revive the American dream, give a boost to United States manufacturing, and lower prices for consumers.

During his speech at the White House on Wednesday, Trump held up a chart showing the United States would charge a 34% tax on imports from China, a 20% tax on imports from the European Union, 25% on South Korea, 24% on Japan and 32% on Taiwan.

The tariffs follow recent announcements of 25% taxes on auto imports, levies against China, Canada, and Mexico, and expanded trade penalties on steel and aluminum. Trump has also imposed tariffs on countries that import oil from Venezuela, and he plans separate import taxes on pharmaceutical drugs, lumber, copper, and computer chips.

These tariffs are already impacting businesses and customers in the Philadelphia region.

Ross Choate, a dealer principal at Norristown Chrysler Dodge Jeep and Ram, told NBC10 that he’s seen an uptick in online traffic, and sales surged in late March during a time of uncertainty.

“We don’t know, you don’t know what’s going to happen, but there’s a pretty fair certainty that the price will be going up to some degree, and the existing units that are in stock are still at the old pricing level still have incentives on them still have some markdowns so people feel like it’s an opportunity to take advantage of the lower pricing before it happens, and they’re probably correct,” said Choate.

Pennsylvania Governor Josh Shapiro was in Bethlehem on Wednesday, focusing on the potential tariff impact on craft brewers like Fegley’s.

“It’s a big unknown as to what’s going to happen. We have ingredients that come from Canada and other things that are sourced that potentially going to be increasing overnight,” said Jeff Felgey of Fegley’s Brew Works.

“I’m not sure why the president of the united states wants to do this to our small biz wants to harm our main streets, but here in Pennsylvania, I give a damn about our small businesses,” said Shapiro.

Even the cycling industry will be impacted by the new tariffs. NBC10 spoke to Stephen Bileky, owner of Bilenky Cycle Works, who said higher prices mean it will be harder to sell and less money to make.

“No manufacturer wants to hear about raw materials or like components going up,” said Bilenky.

Bilenky and other owners, such as Samih Alameri, owner of Activate Fix and Flip, had to decide whether to raise their prices or lose money.

“I was thinking, can I eat some of the tariffs, the 20% or whatever, 15% for the meantime, we’re just gonna eat that losses,” said Alameri.

Most of the phone repair products inside Germantown’s Activate Fix and Flip come from China; Alameri tells NBC10 they’re not passing the price on to the consumer since their products aren’t high in price.

“I don’t think it’s gonna be too much different on a $10 item or $30 item,” said Alameri.

But for Bilenky’s Bikes, the high-value product means high price increases.

“If it’s a $3,000 bike, goes up $750, then next thing you know, you’re getting close to 4,000, and so that’s a big price difference,” said Bilenky.

The difference impacts either the business or the consumer.

“If you can’t make money and you know can’t pay the bills, it’s gonna be tough,” said Bilenky.

Bilenky tells NBC10 that bikes could rise in price at least 25% and it could happen within just one month. Meanwhile, Alameri said his phone repair store will eat the costs for now, but that could change.