'COVID-Like' Shortages, Empty Shelves Expected Thanks To Trump Tariffs, Experts Say

President Donald Trump's steep tariffs on Chinese imports could lead to empty store shelves and shortages for consumers in the coming weeks, experts warn. 

What To Know: The currently steep tariffs on imports and uncertainty around future trade policy has led to U.S. retailers such as Walmart, Inc. (NYSE WMT) and Target Corp. (NYSE:TGT) canceling shipments from China and halting new orders. 

In fact, data from Port Optimizer shows a projected 30% drop in the number of freight ships arriving at the Port of Los Angeles for the week ending May 10 compared to last year. The sudden drop in imports is creating concerns about whether shelves will be adequately stocked in the coming months. 

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"These prohibitively high new tariff rates operate as an import ban," Steve Lamar, president of the American Apparel and Footwear Association, told NBC News. 

"They will translate soon into product shortages as orders are canceled or goods are held in warehouses until a trade deal can be worked out," Lamar said.

Dr. Torsten Slok, chief economist for Apollo Global, also pointed to the cargo container data as a signal of shortages ahead. 

"Daily data for container traffic from China to the U.S. is collapsing … The consequence will be empty shelves in U.S. stores in a few weeks and COVID-like shortages for consumers and for firms using Chinese products as intermediate goods," Slok said. 

The economist also warned that layoffs in the trucking, logistics and retail industries will begin in May. 

"With 9 million people working in trucking-related jobs and 16 million people working in the retail sector, the downside risks to the economy are significant," Slok added. 

The extent and duration of product shortages and other economic effects will depend on how long Trump's tariffs remain at current levels and how quickly businesses can adapt their sourcing and logistics strategies. 

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