U.S. imports of goods by sea from China fell sharply in May as higher tariffs took effect.
The 28.5% year-over-year drop was the largest since the pandemic, according to data released Monday by supply chain technology company Descartes.
China is the leading source of U.S. imports through seaports, supplying goods for companies such as Walmart and Ford. Many of these imports include furniture, bedding, plastic items, machinery, toys, and sporting goods.
Overall U.S. seaborne imports in May dropped 7.2% from the same month last year, falling to 2.18 million 20-foot equivalent units. This ended a run of strong growth driven by businesses bringing in goods early to avoid new tariffs.
Ports on the West Coast, which are more tied to trade with China, saw the largest losses. The port of Long Beach reported a 31.6% decline in shipments from China, while Los Angeles saw a 29.9% drop.
The new 145% tariffs announced by President Donald Trump have raised the cost of goods from China. However, the U.S. and China agreed last month to pause new tariffs for 90 days. During this period, the U.S. reduced the rate on many Chinese imports to 30%.
Officials from both countries met Monday in London to ease tensions in the trade relationship. Descartes said import volumes from China could continue to fall as businesses rethink their supply chains and respond to higher costs.
