“Made in America” ​​laundry brand is threatened by Trump’s tariffs

After Francisco Tzul had been working in secret workshops in California for years, he managed to be employed in an ethical “Made in America”. Now, however, he fears to lose his workplace due to Donald Trump’s tariffs.

Since returning to power, the new US president has started a protectionist offensive and triggered a trade war with China. According to the Republican, this is the best way in the long term to bring industrial production back to the United States.

For the Cantiq brand, which produces fabrics in Los Angeles, which often come from Asia, the additional taxes on the import of fabrics mean above all budget problems and possible layoffs.

“The economy will harm, not only the entrepreneur: inside, but also the employee: inside,” fears Francisco Tzul, who has been with the brand for five years. “I am losing all along the line,” confirms his boss “I have been producing my products in the United States for ten years, but I have never received anything from the government, not even a little word to thank myself for maintaining my production here.”

“Now you will make it even more difficult for me to maintain the jobs of the people who work here and keep my entire production here,” she adds in her business in the trendy district of Echo Park.

One of her most popular articles is a unisex tanga that is currently being sold for $ 35. Three different fabrics are required to produce this part: two from China and one from Taiwan.

Imports from China are now taxed at 145 percent when they arrive in the United States. In view of these explosive additional costs, Hughes confesses not to have dared to calculate the effects on your brand.

“Impossible”

“Everyone will suffer, the only question is to what extent,” she sighs. The 35-year-old entrepreneur is not even sure whether she can continue to sell certain lingerie, which would probably be too expensive for her customers if she increased her prices to compensate for the tariffs. Alternatives for procurement in the United States are not sustainable: the substances they use are up to twelve times more expensive in the United States.

“When it comes to the production of stretch materials such as lace or mesh goods, nobody makes it as cost -effective as abroad,” says Hughes. Beyond their margins, the businesswoman is concerned that her commitment to promote local jobs is questioned. “Everything I wanted was to make jobs in an ethical way, and now they make it impossible for me,” she complains. “I need programs that support me financially, otherwise I have to reduce my workforce, which is about what to do, what you supposedly want to do,” she adds.

In the brand’s workshop, Fransisco Tzul has no choice but to hope for a reassurance or a back. “We don’t want anything that could fundamentally change the economy,” explains the 60-year-old employee, who came from Guatemala two decades ago.

In Latin America, “millions of us have left their country because decisions of the governments instead of helping people destroy the economy,” he recalls. “We don’t want this to happen in the United States.”