US retailers may try to take a bite by upping prices but China will lower prices to adjust because otherwise they lose market share.
The desired outcome is the PRC government’s profits take a hit, prices in the US remain stable, PRC is poorer; why am I am not having a broken heart for the poor PRC Chinese?
I believe they will reduce the wholesale price, but not the full 25%. I think all parties will absorb a part of it, including the consumer. I don’t expect a 25% price increase. Maybe 5% or 10%.