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DALLAS – The uncertainty stimulated by the trade policies of President Donald Trump has a frightening effect on Texas companies – the majority of which say that consumers will ultimately pay the higher price price.
Almost 60% of Texas business owners say that the Trump administration’s round trips on prices, a tax on imported goods, have already had their business, recent results of the survey by the Federal Reserve Bank of Dallas.
The constant change in policies has made more difficult for companies to plan in advance, forcing them to repel hiring and investment.
“The prices continue to change, so it is difficult to make decisions at the moment,” a business owner told Dallas Fed.
Once these prices were in full swing, a majority of business owners said they expect the new samples to bite profits, increase costs for businesses and harm their business in the long term. More than 75% said they would have increased costs on the consumer prices. Most said they would do it within three months of the prices.
The results of the April survey come from the Fed of Dallas, an arm of the system of the federal reserve. The Dallas Fed regularly examines hundreds of owners of Texas companies in a range of industries to assess their feelings on the economy, their commercial prospects and the effects that policies have on their business.
Trump has pursued prices on goods produced in other countries such as a means of pushing consumers to buy more American manufacturing products, to force companies to move their manufacturing facilities in the United States and to eliminate what he thinks is an unjust commercial imbalance between the United States and other countries. Economists have warned that families will endure higher costs as a result of prices and that the country’s economic production will suffer from it.
Trump promulgated a reference rate of 10% on all countries in April, but launched a 90 -day break on many additional rates for specific countries which he announced in April after the global markets have panicked. The administration has since sought to negotiate prices with individual countries. Trump said on Friday that his administration could not negotiate with all countries and that many will see higher rates without head-to-face talks with the United States
More than two thirds of business owners have said they expect the cost of business to increase due to higher costs of materials and equipment. A plurality expects revenues to decrease and that they will resume hiring, production and investment.
Not all companies have declared that it planned to increase prices as a result of prices. Some 44% of the companies interviewed by the Dallas Fed said that they would absorb higher costs. 14% additional said they would reduce their operations or close their business entirely.
Some business owners plan to behave in a way that Trump wanted in response to prices. About 29% said they planned to find new national suppliers if they are faced with higher tasks on foreign goods. But less than 6% said they would move production or services in the United States.
The first round of the tribfest speakers announced! Pulitzer prize winner Maureen Dowd; Rep. Tony GonzalesR-San Antonio; Mayor of Fort Worth Mattie Parker; The American senator Adam SchiffD-California; And we repeated American. Jasmine CrockettD-Dallas goes on stage from November 13 to 15 in Austin. Get your tickets today!