Trade war already threatens to ruin Christmas for retailers

The Trump administration has so far made good on its promise to keep consumer goods off the initial round of tariffs, with the 25% levy on $34 billion of imports that came into effect Friday focused on machinery. But if a new trade agreement isn’t reached, Trump has threatened to add a 10% tariff on an additional $200 billion of Chinese-made goods, potentially doubling that to as much as $400 billion in the event of Chinese retaliation. That would capture about 80% of all Chinese imports and ensure some sneakers, clothing, smartphones and toys would be targeted.