Xinhua News Agency, Washington, April 27 (Reporter Yan Liang) Gary Cohen, former director of the National Economic Commission of the White House, said on the 27th that American consumers will begin to feel the painful effects of tariff policies in a few weeks, and small businesses and groups with lower income levels are expected to be particularly severely affected by the tariffs.

　　Cohen is currently the vice chairman of the United States International Commercial Machinery Corporation (IBM). During the last term of US President Trump, Cohen became the director of the White House National Economic Commission in December 2016, and later resigned in March 2018 due to dissatisfaction with the government's tariff policies. Previously, Cohen was the president and chief operating officer of Goldman Sachs Group.

　　Cohen said on the CBS TV program "For the Nationwide" that day that the distribution cycle of imported goods is about 8 weeks, which means that the actual impact of the so-called "reciprocal tariffs" announced by the US government on April 2 will begin to appear at the end of May. He said that small businesses are particularly hit hard. Taking toy stores as an example, some stores either choose not to order or simply close their doors.

　　Cohen said the U.S. market was full of excitement and expectations at the beginning of this year, but now it is full of uncertainty. Consumer confidence is weakening and has begun to cut spending, buying only essential goods or worrying about price increases in the future.

　　Cohen believes that as the tariffs increase the prices of imported goods, groups with lower income levels will be forced to spend more income or even all income to buy goods, while wealthier groups will spend more income on savings, which means that low-income Americans will eventually bear the disproportionate impact of tariffs.

　　Executives at large U.S. retailers such as Walmart have previously warned that U.S. consumers will see a sharp rise in prices of some imported goods soon and their shelves are getting empty.

[Editor in charge: Wang Di]