WHITESTOWN, Ind. (WISH) — Indiana companies are bracing for the steep tariffs promised by President-elect Donald Trump while preparing to raise prices. 

Indianapolis-based Westfield Outdoors says its partners have increased imports on goods from China ahead of Trump’s inauguration, even buying items ahead of their normal schedule. The National Retail Federation expects to see similar surges at ports across the U.S.

“While we’re all excited for the hopeful improvement of the economy that’s going to come with this administration, the tariffs are scary,” CEO Bryan Nelson said. 

This week, Trump signaled 25% tariffs on goods from Canada and Mexico as well as an additional 10% tariff on goods from China, starting day one in office. 

Watching the latest shipment from China offloaded at Westfield Outdoors’ facility in Whitestown, Nelson said the company still expects the incoming administration to eventually impose a 60% tariff on Chinese goods as Donald Trump promised on the campaign trail. Nelson said that would raise retail prices on Westfield Outdoors products a minimum 25%. 

“So, if you’re used to buying a chair to go to your son’s soccer game, it was $29.99 last year, now it’s [going to be] $39.99,” Nelson said. “You’re probably still going to buy it. But if everything goes up that much, your disposable income is going to go down.”

China is Indiana’s third largest import partner, supplying about $8 billion worth of goods in 2023. 

Many goods, Nelson said, that can’t be reliably sourced from U.S. companies. 

“The manufacturing that used to be here mid-century is gone,” Nelson said. 

While retailers could break even on the increased tariffs if they sell more products, Nelson believes manufacturers will be hurt the most by a drop in demand if customers can’t keep up with the cost. He would like to see more targeted tariffs, so the taxes don’t unintentionally impact American companies. 

“Instead of using a broad brush, be a little more scalpel-like in what they do to pinpoint where it makes sense instead of just attacking everything,” Nelson said. 

Tariff increases imposed on President Trump’s first day in office could affect retail prices as soon as early Spring. The NRF estimates Trump’s tariff proposals could cost Americans $78 billion.