Marketplace All-in-One
Counting the ways tariffs disrupt our economy
Apr 15, 2025
Justin Hoh, a reporter for Marketplace, explores the ongoing impact of tariffs on the economy, drawing parallels to the pandemic's supply chain disruptions. He discusses how businesses are stocking up on imports in anticipation of rising prices. The conversation highlights challenges in the clothing and steel industries, as trade tensions affect market stability. Additionally, there's a poignant look at how Altadena's community is rebuilding after a wildfire, showcasing local resilience and the emotional toll of recovery efforts.
25:29
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Quick takeaways
- Tariffs disrupt supply chains, forcing businesses to adjust purchasing strategies and inventory management in response to shifting economic conditions.
- Trade tensions are influencing oil prices and market dynamics, posing challenges for producers while simultaneously affecting consumer inflation.
Deep dives
Impact of Tariffs on Supply Chains
Tariffs significantly disrupt supply chains, leading businesses to reconsider their purchasing strategies. For instance, a clothing store owner opted to increase his order from 20 to 200 suits to mitigate the effects of impending tariffs on Chinese imports. This situation highlights the lessons learned from the pandemic, where having multiple suppliers proved essential for maintaining inventory levels. However, front-loading inventory poses a risk if subsequent consumer demand declines, creating a delicate balance between managing cash flow and preventing shortages.
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