The Hong Kong freight forwarding industry is suffering from the impact of the US-China tariff war. It is reported that within the week starting from the 12th, as much as 41% of container liners from Hong Kong to the West Coast of North America have been canceled.
The South China Morning Post on the 6th quoted Joyce Tai, an executive from the international freight booking and payment platform Freightos, saying that many manufacturers with more than 15% of their business related to US-China trade have been forced to lay off employees or cut costs.
She further stated, "The economy will be greatly impacted, and Hong Kong is likely to be hit harder because it is a transit hub."
It is reported that this is due to US President Trump's recent imposition of a 145% high tariff on Chinese imports.
Joyce Tai also said, "Imposing the same tariff on Hong Kong could have far more severe effects than those on China."
Foreign media reports that Washington and Beijing have been engaged in a cat-and-mouse game over tariffs, with neither side willing to compromise in this trade war, which disrupts global markets and damages supply chains.
US President Trump has imposed a 145% punitive tariff on various Chinese products, while Beijing has imposed a 125% tariff on US imports.
According to a report by the South China Morning Post, data from supply chain research company Sea-Intelligence shows that starting the week after next Monday, 41% of container capacity from Hong Kong to the West Coast of North America will be canceled, with 32% canceled over the next two weeks.