The U.S. has announced a new import tariff of 104% on Chinese goods. This decision was unveiled yesterday. This follows the new tariffs introduced last week, which are set to impact all industries, including the horticulture sector. Much speculation is swirling about how this will affect the industry, both nationally and globally. So, how will it affect horticultural supplies like pots, containers, and trays? Wouter Zieck of Desch, a Dutch manufacturer of trays, pots, and containers, who also supplies U.S. growers, provides his perspective on the likely impact.
"The current measures will turn the world upside down," Zieck states. He emphasizes the uncertainty surrounding these policies, especially given how rapidly U.S. trade policies can change.
Zieck also highlights a key question: "How long will this last, and will the U.S. continue to implement sudden changes in its policies?" Under the current conditions, European products, which are subject to a 20% import tariff, are expected to become more expensive in the U.S. market, while Chinese products will likely become even more costly. "This, in turn, could provide a local advantage for American producers."
However, Zieck also points out that the U.S. exports products to Canada, where tariffs are also being imposed. "As a result, we expect the Canadian market to become much more attractive for us," he explains.
Another development he highlights is the recent move by a major player in the horticultural industry that shifted production from the U.S. to Mexico. "This will certainly have consequences, as they also will be faced with US import duties" says Zieck.
While it's still early days and much remains uncertain, Zieck fears that if the proposed measures are implemented and remain in place for an extended period, they will undoubtedly have a significant impact on businesses worldwide.
In the U.S., Desch primarily supplies decorative containers to U.S. growers. This year, for the first time, they will be exhibiting at Cultivate'25 in Columbus, Ohio, from July 12-15. "At this show, we not only expect to present our products to U.S. growers but also to Canadian growers," says Zieck. "We expect that by then, we will have a much clearer overview of the impact of all these changes".
For more information:
Desch Plantpak
desch.nl