05/13/2025
90-Day Tariff Reduction Agreement with China – Temporary Relief for Fireworks Industry
Dear NFA Members,
This morning, President Trump announced a new trade agreement with China that temporarily reduces tariffs and opens the door for future negotiations. Under the agreement, both countries will reduce the reciprocal 125% tariffs—implemented after April 2, 2025—to 10% for a 90-day period, effective May 14, 2025. The U.S. will maintain its existing 20% tariffs related to fentanyl enforcement, bringing the total tariff rate on Chinese imports to 30% during this pause.
What This Means for Fireworks:
1.4G Consumer Fireworks:
30% (tariff) + 5.3% (duty) = 35.3%
1.3G Display Fireworks:
30% (tariff) + 2.4% (duty) = 32.4%
The National Fireworks Association has been actively engaged in the ongoing trade discussions and was part of the team that responded immediately to this breaking news from the Geneva talks. While this 90-day pause offers some relief, it falls short of our industry’s ultimate goal: a complete exemption for fireworks from punitive tariffs.
This temporary agreement does not undo the damage already inflicted on our industry—particularly on small businesses—leading into the Fourth of July season. Many members were forced to cancel shipments due to the unsustainable 145% tariff, and production for 2026 remains at risk due to the lost time and disrupted supply chains. We also expect a surge in demand from multiple sectors trying to capitalize on this 90-day shipping window, which may further stress factory capacity and shipping logistics.
The NFA remains fully committed to fighting for a permanent solution and will continue pressing policymakers in Washington and trade officials for a long-term exemption for the fireworks industry. Our leadership is in close coordination with stakeholders at every level and will provide further updates as the situation evolves.
We encourage all members to work closely with your customs brokers to understand how U.S. Customs will implement this agreement, confirm effective dates, and determine if any refund processes will be offered on goods affected by prior tariffs.
Further Reading:
White House Fact Sheet – May 2025
Associated Press Article – U.S.-China Tariff Talks
Thank you for your continued support and engagement. The NFA is proud to stand with you in this critical fight for the future of our industry.
Sincerely,
Stacy Blake
President, National Fireworks Association