U.S. Tariffs Spark 64% Drop in Imports, 49% Decline in Container Bookings
April 14th, 2025Via: Word on the Street:
The recent imposition of tariffs by the United States has led to a significant disruption in global trade, particularly affecting the country’s import orders. Following the announcement of tariffs on April 2, there has been a noticeable freeze in trade activities, with a sharp decline in import orders. This trend is evident from the latest high-frequency data on container shipping bookings, which show a sudden halt in shipments from overseas to the United States due to the high tariffs.
The data indicates that while there was a surge in import orders during the first quarter, this trend has since reversed, with a collapse in orders observed. This phenomenon is not isolated but part of a broader trend of trade instability. The data from the cargo data company Vizion highlights that the “pre-order freeze” is widespread, with global trade disruptions becoming more pronounced.
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The data from March 24-31, 2025, compared to the subsequent week (April 1-8, 2025), shows a dramatic decrease in pre-order quantities. The total number of standard container bookings dropped by 49%, overall U.S. imports by 64%, and overall U.S. exports by 30%. This sharp decline coincides with two key events: the U.S. announcement of retaliatory tariffs on China and China’s subsequent countermeasures. These tariff actions have led to a widespread freeze in shipping bookings, with shippers pausing their operations mid-cycle to reassess costs, timelines, and broader trade strategies.
First a pandemic to shut down small businesses, then tariffs to shut down larger ones? What will Home Depot have left to sell when the made-in-China goods are all gone?
A nice, new, big container ship costs around $240M. Some are still under construction, some were launched fairly recently. How many deliveries does it take to pay for the ship? Not that the lender will foreclose: then he’d have to pay the dock fee for it to sit there, earning nothing.
Maybe Trump could rent one to take 100,00 illegals at a time back to ports around the Indian Ocean and the Mediterranean.
It’s looking pretty grim, but. Will make it.
https://m.youtube.com/watch?v=9vnmugDJDWU&pp=ygUtVGhlIGVpZ2VyIHNhbmN0aW9uLCBkbyB5b3UgdGhpbmsgd2lsbCBtYWtlIGl0
That is poignantly grim, Dale