The turmoil of the prices was painful for the companies of Chicago which depend on China, which is the main target of President Trump’s commercial wars. The companies that hurt particularly are those of Chinatown and Uptown, two districts with large Asian communities.
Spencer NG has Triple Crown, a 200 -seat restaurant in the Chinese district that his mother founded in 1996.
In April, after Trump ordered 145% prices on China, some of NG sellers increased the prices of China ingredients such as Sichuan pepper grains and red Chile. The price of a case of canned water chestnuts increased to $ 55 in May, against $ 35 in the previous year. Costs for canned bamboo shoots and green tea have also increased.
Take -out containers, generally made in China, went from $ 25 per case last year to $ 32, estimated NG. The plastic tablecloths cost 25 cents each year last year, but are now 45 cents.
But NG has not increased the prices of the menu because the loyal customers of the family restaurant are sensitive to prices. And it would also cost $ 6,000 to reprint menus, at a time when Costs are volatile due to prices.
After US-Chinese trade discussions in London last week, Trump said the United States will have a “total of 55%tariffs, China obtains 10%”. But the details of the terms remain rare.
In the United States and Chicago, Chinatown companies have been affected during the pandemic because they received less government aid and were targets of anti-Asian racism. Older owners with older immigrants with English -language limited skills were less equipped to rotate new technologies such as applications and social media. Now prices are their last challenge.
NG is part of the new generation of owners. But for Triple Crown, at 2217 S. Wentworth Ave., the latest cost peaks are part of the current inflation challenge from the COVVI-19 pandemic.
He estimated that the overall cost of most ingredients and supplies increased by 10% to 25%, or more. The monthly invoices of its meat distributor were about $ 14,000 last year, but are now about $ 22,000.
In May, the United States and China announced a 90-day truce. The United States has lowered most prices on imports from China, from 145% to 30%.
But the reprieve was not a complete relief for NG. “The crazy thing is uncertainty. We no longer know what to expect,” he said.
NG does not apply to the goods during the 90 -day break because it lacks storage space and does not want to disturb the cash flows. In addition, some China articles take several months to ship to Chicago, and the prices can change at any time.
NG had prepared to develop next to a new space covering three floors. He had ordered furniture, lighting, tiles and other materials from China. But because of the prices, he interrupted the expansion.
China Sea Cucumber
In Sea Cucumber City, a store based on plants and snacks in the Chinese district, 80% of products from China, said manager Aina Lei. The bins and pots are filled with dried lotus seeds, salted fish, ginseng, sea cucumber and other articles.
The store at 247 W. CERMAK ROAD has increased the prices of certain goods from China in recent months, said Lei. For example, dried lotus seeds were $ 13 a book in April but reached $ 16.50 per book last month.
In April, customers approached products, but purchases slowed down by May, said Lei. Before Trump took up her duties, she did not know that the prices would affect Sea Cucumber City, which opened its doors three years ago.
Lei also said that the 90-day truce between the United States and China does not relieve the business much. Every day, she does not know what will happen next.
Clayton XU, director of non -profit coalition policies for a better American Chinese community based in the Chinese district, said that neighborhood stores that sell China screens such as household items are particularly vulnerable to prices. They are intended for residents of Chinatown sensitive to prices, in particular the elderly. Prices cause confusion among business owners and Chinatown customers, XU said.
This is particularly true for stores in the older part of Chinatown along Wentworth Avenue, where business owners are faced with more linguistic, cultural and technological barriers.
New companies closer to Chinatown Square include more deductibles with technological bleeding, XU said. They have more resources, while mom and pop stores with older owners tend to fight more.
Chinatown already saw unbalanced growth between its older and more recent parts, Xu said. Additional prices could widen the ditch.
The next survey of the coalition with Chinatown companies has revealed that many lack confidence in government agencies and non -profit organizations, they therefore do not use these resources when they are confronted with difficulties. It can be more difficult to know if they need help, and sometimes they wait for it to be too late.
Uptown’s latest challenge
In Uptown, Many companies belonging to Asian origin have had trouble from the pandemic. The district is known for its community in Southeast Asia, whose main street is nicknamed “Asia on Argyle”.
The prices add to their burden, said Chettha Saetia, director of economic development of Chinese Mutual Aid Association based in Uptown.
Before the pandemic, the neighborhood was lively and it was difficult to find a parking lot, said Saetia. Now, more windows are empty, especially near Argyle Street. He estimated that 30% of stores are closed in Uptown.
For companies that import ingredients and supplies from China, prices have increased costs by 25%, Saetia said. In recent months, he has advised them to diversify the supply of China to Vietnam and Thailand, even if the two are part of sixty countries, Trump slaps in prices in April. A separate 90 -day break lowered most rates to 10% until July.
In recent years, the Mutual Aid Association has helped owners of local businesses by connecting them to the grants and the help of the government. But many are still struggling with multiple challenges, including inflation, less pedestrian traffic and gentrification.
“This is one thing after another,” said Saetia, adding that people can support Uptown by leaving to eat and shopping in local businesses.
Peter Yuen, owner of the P pastry at 1050-52 W. Argyle St., said the prices have been alarm clock. The costs have gone bankrupt for red bean paste and melon cake ingredients that come only from China, for example. Flour bags from China made from American wheat cost $ 75, compared to $ 35 a year ago.
Yuen said business was slower in Uptown in recent years. But the Pastry P – Known for croissants and pastries of Asian -French merger – is still doing well. Yuen attributes the reasonable prices of his bakery to high quality items, such as his pork breads at $ 3.75.
But the many vacant windows in Uptown are a “major concern”.
He tries to adapt by offering distinctive pastries and looking for more storage space to fill up on supplies.
However, his bakery remains firm despite the challenges. “We have been here since 1982,” said Yuen about his second generation family business. “Surviving and striving is what we do, as Chinese Americans do over the centuries.”
Contribution: AP
