General Discussion

Even in Australia.

Cynical me read an article about a local business, essentially this:

"The Melbourne-based entrepreneur started her children's company as a young mum, when she dreamed up a reusable alternative to throwaway colouring books."

In short, she is selling a silicone coloring book that can be reused.

Essentially, she thinks that she is selling to the US from Australia.

In reality, she is drop-shipping from China, ie no goods are made in Australia, and no goods go through Australian ports, China direct to the US, so the full tariffs apply. Whatever that is today.

She was expecting to pay a 10% tariff.

"In HeyDoodle's case, they expect to pay the far higher tariff that the US has slapped on China — now more than 100 per cent and rising.
That's because the firm's silicone colouring mats are manufactured in China.
They are then shipped directly from a factory there to the US to wholesalers and retailers, like bookshop giant Barnes & Noble."

To my mind, it's a lazy way to run a business, basically selling a Chinese product as middle-man.
It's a common business model and it will be destroyed by the tariff system.

So yeah, big panic!

On a personal note, I will be watching the local AU and US prices of lawn mowers carefully.
What used to be locally manufactured brands moved production to China years ago, while still appealing to low information buyers with the 'buy local' sentiment.