US Tariffs On New China Are Coming Into Force, Retailers Are Becoming The Focus Of US Stocks.

US tariffs on US $300 billion worth of Chinese goods have been effective since September 1st (2019). The tax increases cover items such as costumes, televisions and jewellery, making US retailers the focus of attention this week.

The effect of this tariff is more direct than that on Washington's tariffs on US $250 billion worth of Chinese goods. US retailers are rapidly reducing costs and trying to minimize profitability. Wall Street analysts are trying to identify retail stocks that are most comfortable with tariffs.

According to industry group, American consumer science and Technology Association (Co) Nsumer Technology Association) the tariff section, which came into effect in September 1st, covers consumer electronics products valued at $52 billion, including smart speakers, earphone earphones and televisions.

The tariff section, which came into effect in December 15th, covers consumer electronics worth $115 billion, including smart phones, pen and video game hosts. This will directly impact technology companies such as Apple Corp (Apple Inc.), Microsoft (Microsoft) and HP (HP Inc.).

Investors looking for retail stocks, if not the most stable price, and will not sacrifice profits, is a company that can rise in price without affecting sales volume. They are also looking for retailers with the least dependence on Chinese imports.

Fatin (Zachary Fadem), an analyst at Wells Fargo Securities, reported that under such circumstances, home Home (Home Depot) and Rowe (Lowe's Companies) appeared to be able to weather the new tariff shocks, because their sales cost was less than 10% of China's share.

On the contrary, it seems likely that the Best Buy, which had been hit hard for 29 months last month, will not expect the whole year to be better than expected due to the uncertainty of tariff measures and consumers' future behavior. Best buy shares also fell by 8%, making the stock price decline in August widened to 17%.