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Tariffs on fireworks may impact the 4th of July

SCOTT DETROW, HOST:

This week, Americans will celebrate the nation's birthday with cookouts, parades and, of course, fireworks. The last time President Trump was in office, fireworks got a pass from the U.S.-China trade war - not this year. And that means firecrackers and Roman candles could be more costly and harder to come by this Fourth of July. NPR's Scott Horsley explains.

(SOUNDBITE OF FIREWORKS EXPLODING)

SCOTT HORSLEY, BYLINE: For many Americans, the highlight of any Fourth of July is a noisy aerial display of exploding rockets.

(CHEERING)

HORSLEY: But for the fireworks we use to mark Independence Day, the U.S. is almost entirely dependent on China. Julie Heckman, who heads the American Pyrotechnics Association, notes that China has been producing fireworks for over a thousand years, and the country is the world's leading supplier.

JULIE HECKMAN: They are basically our sole source.

HORSLEY: Heckman says the tariffs took effect at the worst possible time. Some importers simply halted deliveries to avoid paying tariffs as high as 145%.

HECKMAN: These are all small family businesses. They need to evaluate how much can a company absorb, and how much do they actually need to pass on to the consumer?

HORSLEY: John Sorgi's family has been in the fireworks business for generations. In addition to selling fireworks, Sorgi's company stages hundreds of professional shows each year.

JOHN SORGI: This is go time for us. It's go time for the Fourth of July, but it's also go time to get your orders in and get them moving for next year.

HORSLEY: Next year was expected to be an explosive one for the fireworks industry. Not only does the Fourth fall on a Saturday in 2026, but it's the climax of a yearlong celebration of the nation's 250th birthday. It's hard to plan for that big party, though, without knowing what the tariffs will be.

SORGI: I mean, your $50,000 show is going to look like a $30,000 show. Your $30,000 show is going to look like a $15- to $18,000 show. And then when you get down to the smaller shows, those shows will probably just have to say, we're not doing it.

HORSLEY: Julie Heckman, of the Pyrotechnics Association says given the strict safety and environmental rules in this country, it's doubtful the U.S. is going to start making its own fireworks. Members of her trade group are hoping that Trump's taste for showmanship will lead him to grant their industry a tariff reprieve.

HECKMAN: We know he loves fireworks, and he's been talking about America's salute to the 250th from Day 1, and our industry wants to be a major player in that.

HORSLEY: Trump has lit the fuse on this trade war. It remains to be seen whether it brings a bust...

(SOUNDBITE OF FIREWORKS EXPLODING)

HORSLEY: ...Or a boom.

(SOUNDBITE OF FIREWORKS EXPLODING)

HORSLEY: Scott Horsley, NPR News, Washington.

(SOUNDBITE OF JAKE XERXES FUSSELL'S "WASHINGTON") Transcript provided by NPR, Copyright NPR.

NPR transcripts are created on a rush deadline by an NPR contractor. This text may not be in its final form and may be updated or revised in the future. Accuracy and availability may vary. The authoritative record of NPR’s programming is the audio record.

Scott Horsley is NPR's Chief Economics Correspondent. He reports on ups and downs in the national economy as well as fault lines between booming and busting communities.
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