NORTH SIOUX CITY, S.D. (KCAU) – Fireworks play an important part in the celebration of American independence, but now trade war tariffs could potentially cause prices to rise.
For people who sell fireworks, July Fourth is the biggest day of the year. It brings in about $1.3 billion in revenue per year. Kelsey Arrowood celebrates the Fourth of July every year with her family. She explained how much money her family spends on fireworks every year.
“Usually, we spend about between 50 and 100 dollars every year,” said Arrowood.
But this year, an escalating trade war with countries like China and higher tariffs are changing things. Don Lantis, president of the National Firework Association and owner of Lantis Fireworks explained how prices have increased in recent years.
“Twenty-five dollars used to be the average order. Now, $100 is the average order. It’s going to price us out of business,” said Lantis.
President Trump is proposing a tariff on Chinese fireworks that could hit close to home with firework vendors. These concerns have captured the attention of South Dakota Representative Dusty Johnson who visited a Lantis fireworks shop to hear concerns from the public.
“Those tariffs are going to get passed on to South Dakotans. That means they’re going to spend less on fireworks and that’s going to take more money out of the pockets of people like Don Lantis. Now, this is not a small deal, we spend $1.3 billion on fireworks in this country,” said Johnson.
American consumers aren’t likely to feel the effects of the higher tariffs this year but next year could be a different story.