Mr. He has been importing takeout containers from China for less than a year, but he finds himself in a tough situation due to the US-China tariff war. "New containers are not arriving, and our warehouse is nearly empty," he said with concern. He faces a dilemma of customers pressing for deliveries while shipments remain stalled, forcing him to reduce import volumes.

With tariffs increasing to 145%, he, as a wholesale distributor of Chinese takeout boxes in Southern California, struggles with production and logistics challenges. After the pandemic, he hoped to expand his business as demand rebounded, but the sudden hike in tariffs and production instability means his plans are nearly impossible. He has also considered sourcing from Vietnam or Malaysia but found that local factories lack the necessary technology.

Unable to pass on costs, he mentioned that what used to cost $10 now exceeds $25 due to tariffs. This has significantly squeezed the margins for small distributors. Currently, he has to ration supplies to clients, concerned about running out in the near future.