WASHINGTON — The Auto Care Association (ACA) and the National Retail Federation (NRF) are among industry groups urging President Trump not to make good on his threat to raise tariffs on $200 billion worth of Chinese goods to 25% from 10%.
The goods in question include tires, manufactured rubber goods, rubber chemicals and synthetic and natural rubber.
Mr. Trump announced the higher tariffs, along with new 25% tariffs on another $325 billion worth of goods, in two tweets May 5.
"For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods," the president wrote. "These payments are partially responsible for our great economic results."
Mr. Trump originally planned to institute the higher tariffs March 1 but postponed them in late February pending the results of trade talks with China.
His new announcement originally seemed to threaten the continuation of those talks, but Chinese authorities announced May 6 they would still send a delegation to the U.S. this week.
The ACA, which has opposed the tariffs from the beginning, issued a statement May 6 urging the president to reconsider.
The organization said it supports the Trump administration's efforts to combat China's unfair trade practices but opposes the use of tariffs as a negotiating strategy.
"The proposed sudden increase from 10% to 25% would have an immediate negative impact not only on the U.S. businesses that manufacture and distribute these parts, but the motoring public who will see higher prices on a wide range of products," ACA President and CEO Bill Hanvey said.
David French, NRF senior vice president for government relations, said his organization also opposes tariffs.
"Tariffs are taxes paid by American businesses and consumers, not by China," Mr. French said. He cited a recent report stating that the 25% tariffs would cost the U.S. 934,000 jobs, cost the average U.S. family $767 per year in additional spending and reduce the Gross Domestic Product by 0.37 percent.