Latest news with #JulieHeckman
Int'l Business Times
04-07-2025
- Business
- Int'l Business Times
US Readies New Tariffs While July 4 Costs Surge For Families And Firms
As Americans fire up their grills and gather for fireworks this Independence Day, a new economic flashpoint looms: a fresh wave of tariffs that could take effect in less than a month. With official notifications expected to go out as early as July 5, concerns are mounting over how the rising cost of imports may impact small businesses and everyday consumers. The tariff strategy—announced by former President Donald Trump—is expected to impose levies ranging from 10% to 70% on goods from countries without existing bilateral trade deals. These measures could be implemented by Aug. 1, according to CBS News. The move marks the expiration of a 90-day pause following April's unilateral tariff threats. Fireworks Industry Feels the Fuse Burning For an industry synonymous with July 4, the fireworks business is in a bind. Roughly 95% of consumer fireworks are imported from China, and importers say recent tariff policy changes have created serious disruptions in supply and pricing. "We're seeing costs that have doubled in some categories over the last three years," said Julie Heckman, executive director of the American Pyrotechnics Association, in an interview with CBS News. Retailers are reporting higher costs per container, which have not fully stabilized since earlier tariff rounds that peaked at 145%. As reported by Business Insider, wholesalers like Indiana-based distributor Bob Hamilton said he secured extra inventory early, but warns that "margins are being eaten alive" by unpredictable import costs. The Cookout Crunch: Families Paying More for Fourth of July Basics This year's holiday cookouts are also costing more. According to Axios, the average cost of July 4 cookout staples—like beef, buns, soda, and condiments—has jumped 12.7% year-over-year. Items like hamburger meat and ice cream are among the steepest climbers, as import-linked ingredients and packaging materials face cost pressure. An Axios/Ipsos poll found 32% of Americans are opting for cheaper food options—like pizza or store-brand hot dogs—rather than hosting traditional barbecues. Economist Natalie Ortega of the National Retail Federation told Axios the inflation isn't isolated: "It's not just food—it's grills, folding chairs, decorations. Tariffs are driving up the cost of celebration." Small Businesses Caught in the Middle For small businesses, especially those relying on international supply chains, the pressure is mounting. According to a recent CBS MoneyWatch report, more than 30% of small firms say they've raised prices due to tariff-related costs, while others fear closure if current trade uncertainty continues. Shayai Lucero, owner of Earth & Sky Floral Designs in New Mexico, described her struggle to keep costs manageable. "Roses that used to cost under a dollar are now close to $2.50," she told CBS News. "We can't eat those costs forever." Trade groups have echoed these concerns. In comments cited by Financial Times, the U.S. Chamber of Commerce warned that business sentiment could weaken further if tariff escalation continues without diplomatic resolution. A Political Playbook or Economic Gamble? While the administration frames the move as reclaiming "economic independence," analysts are skeptical. Julia Sutherland, a policy analyst at the Brookings Institution, told CBS News that "tariffs are regressive taxes. They hit working families long before they touch corporations." Further analysis from Goldman Sachs and J.P. Morgan suggests the U.S. tariff burden is climbing toward 13%—levels not seen since the pre-WWII Smoot-Hawley era. Experts caution this could raise consumer prices into Q3 and chill capital expenditure among small manufacturers. What to Watch Next July 5: Official tariff letters expected to go out to U.S. trade partners. July 9: Deadline for the 90-day tariff pause to expire. August 1: Full implementation of new tariffs anticipated. Global reactions could follow. India has floated WTO action, while the EU and China are weighing possible retaliatory tariffs. Meanwhile, U.S. families are adjusting to holiday inflation. As noted by AP News, even sales of essentials like soft drinks and paper goods have dipped in lower-income households, which are disproportionately affected by price volatility. Final Thought While July 4 remains a day to celebrate American independence, 2025's edition offers a deeper reflection: What does economic independence mean when it comes at a rising cost to small businesses and families? As the country watches fireworks, many on Main Street are watching price tags—and wondering what the rest of the summer will bring.
Times
03-07-2025
- Business
- Times
Trump tariffs' explosive problem: 99% of fireworks made in China
The fireworks industry is fretting that President Trump's tariffs on China will dampen their big blowout next year when Americans celebrate 250 years of independence. Ninety-nine per cent of consumer fireworks and 90 per cent of professional display fireworks come from China. Even the most impressive July 4 displays — on the National Mall in Washington and Macy's show in New York — are reliant on Chinese imports. 'These large signature events — probably 75 to 80 per cent of the product for those shows is manufactured in China,' said Julie Heckman, director of the American Pyrotechnics Association. 'The rest is going to come from Spain, Italy, France and Japan.' Heckman said planned displays in Washington and New York may be 'shortened' in 2026 to cut costs if the 30 per cent tariff remains. She said shows in small American towns could be cancelled altogether, especially if tariffs are returned to the 145 per cent rate imposed by Trump earlier this year. 'If the tariffs increase again to triple digits, small towns aren't going to be able to afford a show,' Heckman said. Fireworks for this year's displays were mostly purchased before Trump's tariffs hit, meaning the shows are largely going ahead as planned. But Lauren Collar, 43, a second-generation firework seller from Missouri, said her family business had to absorb the costs of tariffs this year and predicts shortages in 2026. 'We prepare an order 12 to 18 months in advance,' she said. 'We're uncertain what to do. You could see smaller communities not even shooting fireworks, because they just can't afford it.' Collar said it would take US manufacturers 'a decade' to set up pyrotechnics factories like those in China and even then most of the raw material would be imported and subject to tariffs. 'We're hopeful that the administration will understand our special circumstances and maybe we can get a partial exemption,' she said. Firecrackers were invented in the city of Liuyang, central China, during the Tang dynasty. By stuffing a concoction of charcoal, sulphur and saltpetre into hollowed-out bamboo stalks, Chinese artisans discovered that they could create a satisfying bang. More than 1,200 years later, the province of Hunan still makes fireworks for the rest of the world. For defenders of Trump's protectionist agenda, the simple answer would be to scrap the 1970s health and safety laws that effectively ended small-scale manufacturing in the US, allowing America's firework industry to compete once again with China. But even if these protections were weakened, it is not clear whether Americans would be willing to work in factories adopting Chinese health and safety standards. 'Fireworks are all made by hand. Very little automation is involved,' said Heckman. 'You're dealing with explosive compositions that are highly sensitive to heat, high humidity and friction. It's a very dangerous job.' Fireworks manufacturing is a dangerous business, and accidents are common YANG HUAFENG/CHINA NEWS SERVICE/VCG VIA GETTY IMAGES Earlier this month, nine people were killed in Hunan province by an explosion at a fireworks factory and accidents in China are fairly common. America's pyrotechnicians are hoping Trump's trade war with China will end soon. 'The firework industry is the most patriotic industry in the United States and wants nothing more than to be a significant component of helping America celebrate our 250th anniversary in 2026,' Heckman said. 'But the firework industry needs some relief … in these tariffs to make it happen.'
Yahoo
01-07-2025
- Business
- Yahoo
Tariffs could mean fewer — and pricier — fireworks displays this July 4
Fireworks, a hallmark of July 4th celebrations, are feeling the impact of President Trump's trade war with China. More than 95% of the fireworks sold in the U.S. come from China, according to data from the U.S. Census Bureau. And while sales of pyrotechnics have grown in past years as more states and counties loosen restrictions, tariffs have snarled some firework importers' plans this year. For retailers, the week before July 4 is the busiest time of the year for fireworks sales. In a normal year, shelves would be fully stocked. This year, with a 30% U.S. tariff in place on imports from China, fireworks fans may find a slimmer selection and higher prices. That's because some importers asked Chinese sellers to halt orders, when sky-high 145% U.S. tariffs were in place on China. A May trade truce between the countries lowered the the levy to 30%. "The timing of the tariffs couldn't have hit at a worse time. The majority of U.S. importers told China, 'Do not ship our product, we can't afford to pay," Julie Heckman, executive director of the American Pyrotechnics Association, told CBS News. "It's creating a supply-chain problem. The disruption is leading to fewer choices and higher prices for consumers this Independence Day, according to Bill Weimer, vice president of Phantom Fireworks, a major vendor. "On about 30% of our products, there's going to be some effect in the price," he told CBS News, although he noted that Phantom would absorb at least some of the higher tariff costs and not pass all of it on to consumers. As U.S. importers put orders on hold, China temporarily halted production of fireworks earlier this year. With the two countries taking steps last week to ease their trade dispute, the longer term impact on fireworks products remains to be seen. Saving money vs. saving lives The true cost of the Senate spending bill New Tennessee laws make it illegal to shelter undocumented immigrants
CBS News
30-06-2025
- Business
- CBS News
Tariffs could mean fewer — and pricier — fireworks displays this July 4
Fireworks, a hallmark of July 4th celebrations, are feeling the impact of President Trump's trade war with China. More than 95% of the fireworks sold in the U.S. come from China, according to data from the U.S. Census Bureau. And while sales of pyrotechnics have grown in past years as more states and counties loosen restrictions, tariffs have snarled some firework importers' plans this year. For retailers, the week before July 4 is the busiest time of the year for fireworks sales. In a normal year, shelves would be fully stocked. This year, with a 30% U.S. tariff in place on imports from China, fireworks fans may find a slimmer selection and higher prices. That's because some importers asked Chinese sellers to halt orders, when sky-high 145% U.S. tariffs were in place on China. A May trade truce between the countries lowered the the levy to 30%. "The timing of the tariffs couldn't have hit at a worse time. The majority of U.S. importers told China, 'Do not ship our product, we can't afford to pay," Julie Heckman, executive director of the American Pyrotechnics Association, told CBS News. "It's creating a supply-chain problem. The disruption is leading to fewer choices and higher prices for consumers this Independence Day, according to Bill Weimer, vice president of Phantom Fireworks, a major vendor. "On about 30% of our products, there's going to be some effect in the price," he told CBS News, although he noted that Phantom would absorb at least some of the higher tariff costs and not pass all of it on to consumers. As U.S. importers put orders on hold, China temporarily halted production of fireworks earlier this year. With the two countries taking steps last week to ease their trade dispute, the longer term impact on fireworks products remains to be seen.
Axios
30-06-2025
- Business
- Axios
Trump tariffs could dampen July Fourth fireworks for 2026
As Americans prepare to light up the skies this Fourth of July, the fireworks industry is sounding the alarm: without tariff relief, the nation's 250th birthday celebration in 2026 could be in jeopardy. Why it matters: A looming tariff burden on Chinese imports is sparking fears of higher costs, supply shortages and even canceled shows. "If the tariff increases again back up to triple digits — let's say 145% — it will cripple this industry," Julie Heckman, executive director of the American Pyrotechnics Association, told Axios. The big picture: 99% of consumer fireworks and 90% of professional display fireworks used in the U.S. come from China, Heckman said. A 25% to 145% tariff imposed under a trade provision known as Section 301 is adding strain to the supply chain and pricing. China typically halts fireworks production during hot summer months due to safety risks, narrowing the window for U.S. importers to place and receive orders. Zoom in: Bruce Zoldan, CEO of Ohio-based Phantom Fireworks, told Axios that his 100 stores have seen a big surge in recent days. Over the weekend, Phantom also opened 1,600 seasonal stands and tents. "People are starting to buy now," he said, noting sales are almost 30% higher per day than last year. "If you wait until July 1st, 2nd, or 3rd, half the merchandise is sold out and the lines are long." Phantom — the nation's largest consumer-based retail fireworks company, supplying thousands of stores nationwide like Home Depot — received 85% of its inventory prior to tariffs, Zoldan said. "There could be a few minor changes, but for the most part, our prices are stable with the last year," he said. "Now, going into next year that's another story." State of play: Industry leaders say they need an exemption like the one President Trump granted in 2019 to move forward with planning for 2026 and beyond. "Thirty percent is not sustainable — not going into what we think will be the biggest celebration, consumption of fireworks ever on record," Heckman told Axios. "This isn't political for us," Heckman said. "We support the president 100%, and themajority of firework entities and their customers — the folks coming in to celebrate Independence Day — they are his base." The other side: The White House pushed back on the fireworks industry's plea for tariff relief. "Real prosperity and patriotism isn't celebrating the independence of our country with cheap foreign-made firecrackers and trinkets," White House spokesman Kush Desai said in a statement to Axios. "It's having a country with booming Main Streets, a thriving working class, and robust manufacturing." Yes, but: Heckman said moving fireworks production stateside is impossible, especially for 2026. "Even if we brought some manufacturing back to the U.S., it wouldn't be optimal," Heckman said, noting it's highly dangerous, labor-intensive and regulated. "We could never produce the volume the U.S. relies on for celebrating Independence Day." What's next: Heckman said her organization has been advocating on Capitol Hill and has a meeting in late July with the U.S. Trade Representative's office. "Right now, we're at a standstill," Zoldan said of the fireworks industry. "We're getting close to the point where we have to place our orders for next year, and they have to start manufacturing right after Labor Day." Zoldan said any delay past Labor Day for submitting orders means a certain percentage won't be manufactured in time to get to America.
