Long Beach, a coastal city in the U.S. State of California, is bracing for challenges as its port economy will be affected by the series of executive orders signed and tariffs announced by President Donald Trump. An economic impact study has shown that one in five jobs in this city is related directly or indirectly to trade at its port.
"That's a lot of jobs for the city of Long Beach, and the study goes on and talks about, if I remember correctly, in southern California 575,000 jobs, in the state of California 700,000 some odd jobs are related to business at the port of Long Beach," said Bonnie Lowenthal, president of the Long Beach Board of Harbor Commissioners, at a local Chinese New Year celebration event on Saturday.
The latest flurry of tariffs announced by Trump aims to revive domestic manufacturing, but experts say it could take time to build capacity, especially for metals like steel and aluminum.
"At the minimum, it will be three to five years, if not longer for large industrial projects to materialize it. I think it's much easier for advanced manufacturing to be able to deploy right away within a couple of years' time, but under no way or form or shape, one can imagine that one will start to see the manufacturing boom in six months. It will not happen. It cannot happen," said Nick Vyas, founder and executive director of the USC Randall R. Kendrick Global Supply Chain Institute. Meanwhile, concerns are mounting that tariffs could bring much uncertainty to key industries, such as construction and auto-manufacturing, which rely on these raw materials.
"When you are running an industry where average car production, the parts, the subsystems, travels cross-border three and a half to four times before it actually gets assembled, and you introduce this kind of friction between cross-border supply chain, it creates a tremendous anxiety, tremendous inefficiency and tremendous friction. All of this adds up to less productive proposition, higher cost, lower margin, and that makes the entire industry nervous, and rightfully so," Vyas added.
Mary Barton, treasurer of the Long Beach-Qingdao Association, a non-profit organization established in 1985 to foster friendship and exchanges between Long Beach and China's coastal port city Qingdao, said these shifts may be felt by many more businesses and their workers.
"Our friends in the business world are worried about whether or not their products will be successful on the market now. And if not, with these new higher prices, will they be forced to lay off people? What will the economic price be for these people to pay who had nothing to do with the disputes?" said Barton.
California residents worried about potential impact of tariffs on employment, economy
California residents worried about potential impact of tariffs on employment, economy
A new round of trade-in subsidy program is energizing China's consumer market these days, with provinces across the country seeing a surge in demand for cars, home appliances and digital devices.
In north China's Shanxi Province, the new trade-in subsidy program, which started on January 9, has further helped boost sales in home appliances and digital devices which are covered by the new round of subsidies.
To enjoy the subsidies, six types of home appliances, including refrigerators and washing machines, must meet national Level 1 energy-efficiency or water-efficiency standards. Digital and smart products include four types, such as mobile phones and tablets, with a sales price cap of 6,000 yuan (about 800 U.S. dollars) per item.
In both categories, subsidies are set at 15 percent of the final transaction price. For home appliances, the maximum subsidy is 1,500 yuan per item. For digital products, the cap is 500 yuan per item. Each consumer can receive a subsidy for one unit in each category.
Neighboring Shanxi, Hebei Province kicked off the year of 2026 with the new round of trade-in subsidy program starting on January 1.
The subsidies cover automobiles, home appliances, and digital products. Individual consumers who purchase designated Level 1 energy-efficiency appliances or eligible digital products priced at no more than 6,000 yuan can receive subsidies equal to 15 percent of the transaction price. The maximum subsidy is 1,500 yuan per appliance and 500 yuan per digital or smart device, with each person limited to one subsidized item in each category.
Data showed that from Jan 1 to 9, Hebei's home appliance trade-in program alone disbursed more than 130 million yuan in subsidies, driving sales of over 920 million yuan.
In east China's Jiangsu Province, the new trade-in subsidy program, taking effect for two weeks, has brought the province a boom in trade-in.
At a local 4S store in Jiangsu's Suqian City, showroom traffic has spiked as salespeople walked customers through the new benefits from the trade-in subsidy program.
"Under the scrappage-and-replacement scheme, customers who buy a new energy vehicle (NEV) can receive a subsidy worth 12 percent of the vehicle price, capped at 20,000 yuan (about 2,860 U.S. dollars). For combustion-engine cars, the subsidy is 10 percent, with an upper limit of 15,000 yuan. For trade-ins, NEVs are able to receive a subsidy worth 8 percent of the vehicle price, up to 15,000 yuan, while combustion-engine cars will receive a 6-percent subsidy, with a cap of 13,000 yuan," said Sun Yue, a saleswoman at the store.
In the home appliance sector, Jiangsu's policy this year stipulates that only products that meet China's Level 1 energy-efficiency standard are eligible for subsidies. The scheme covers six major categories, including refrigerators and washing machines.
Consumers who purchase qualifying appliances can receive a subsidy equal to 15 percent of the final retail price, up to a maximum of 1,500 yuan per item. Each person is limited to one subsidized unit per product category.
Four types of digital and smart products, such as mobile phones and tablets, are eligible for a 15-percent subsidy capped at 500 yuan per unit, with a retail price no more than 6,000 yuan.
"With the national subsidy policy back in place this year, I went to the store to check what discounts I could get. It knocked 500 yuan off the price. [The discounted price is] very reasonable," said Wang Kang, a resident of Jiangsu's Xuzhou Province.
To enhance the shopping experience for consumers, many retailers are pairing subsidies with "one-stop" services that combine the delivery of new products with on-site collection of old ones.
"After consumers place an order for new home appliances, our staff will schedule a time to pick up the old units. Recycling the old appliance can also further offset the purchase price of the new one," said Yang Jie, a sales supervisor at a major home appliance company.
China's new trade-in program sparks consumption boom
