Empty shelves to ‘hit us in waves’ amid trade war: What to expect

About this Video

• Video Title: Empty shelves to ‘hit us in waves’ amid trade war: What to expect
• Channel: MSNBC
• Speakers: Alex (host), Lori Ann Larocco (CNBC Global Supply Chain Reporter)
• Duration: 00:06:27

Introduction

This MSNBC news segment discusses the potential impact of the trade war with China on US consumers, specifically the prospect of empty store shelves. The discussion features Lori Ann Larocco, a CNBC reporter specializing in global supply chains, who explains the timeline and types of products most likely to be affected by import slowdowns.

Key Takeaways

• Wave-like impact: The impact of reduced Chinese imports on US store shelves will be felt in waves, starting with cheaper online goods (June), followed by back-to-school items (July), and then electronics.
• Specific product categories: Fast fashion, back-to-school supplies (backpacks, notebooks, clothing), and electronics will be the most affected.
• Port activity decline: Major US ports, such as the Port of Los Angeles, are experiencing a significant drop (44%) in shipments from China. This impacts jobs in trucking, railroads, and warehousing.
• Car industry impact: The car industry is already experiencing a rush to buy vehicles due to existing tariffs, resulting in higher prices.
• No quick resolution: Even if a trade deal is reached soon, the disruption to supply chains and manufacturing will cause continued shortages and economic uncertainty.