Sino US trade war and Cree? The response said there was no substantial impact

In July 6th, the U.S. government announced a 25% tariff on China's $34 billion product. CREE, the American LED grain plant, had hoped for a tariff exemption before it was imposed on the tariff, and eventually failed to obtain, so that the LED chip from the Huizhou factory of China will be charged 25% of the tariff.

However, according to LEDinside, CREE said that the tariffs on trade war between China and the United States did not have a substantial impact on the company. One of the LEDinside analysts speculated that one of the possibilities was that CREE had succeeded in persuading the trump government to get a tariff exemption, as the U.S. Trade Representative (USTR) announced a tariff exemption on the same day as the new tariff measures were implemented.

In the bulletin, a reference to the exemption of a manufacturer's application must meet several factors, including whether the product can be obtained outside China, whether the tariff will be serious economic harm to the applicant or other American stakeholders, and whether the product has a strategic importance or "China made 2025". The industrial plan is related. As an American enterprise, CREE may be exempt from the tariff.

The war between China and the United States began, the United States government continued to pressure, and in July 10th, it announced a list of US $200 billion for Chinese imports, and could levy a 10% tariff. Among them, LED and lighting projects are as high as a dozen, of which the main items of lighting are up to US $about 5000000000 in 2017 for China's exports to the United States. LEDinside speculates that the affected LED plant, in addition to transferring the production line to third places, and then exporting to North America to avoid tariffs, may also choose to increase the price of the terminal products and transfer the cost to the consumer.

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