If China is known as the world’s factory, then the province of Guangdong is the engine room.
It is here, in the thousands of factories that dominate city suburbs where many of your consumer goods likely started their life, and it is here where Donald Trump’s tariffs are hitting first.
China has arguably been the top target in the US president’s trade war. Not only was it subject to a suite of measures during his first term, but this time round it is the only country that has had no carve-outs, no delays and tariffs are levied on 100% of Chinese goods.
As of 4 March anything from China sold to the US faces a tax of at least 20%, and for many goods it’s more than that.
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Johnny Pan
Johnny Pan shows us the assembly line at his factory. This business has been in his family since the 90s and it makes appliances such as fans, air purifiers and air fryers.
Lines of workers are assembling the more complex components by hand.
A third of his products are currently sold to America. Tariffs have had an immediate impact; in just the last month they have seen a major drop off in orders amounting to millions of dollars.
“We have to seek out new markets to get away from the US,” Mr Pan explains. “We should be diving more into product development. But now we have to figure out ways to survive.”
He is actively looking to move some of his manufacturing abroad to avoid the tariffs.
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