Overview

• Most fireworks for this Fourth of July are already in U.S. warehouses under the 30% tariff pause, and display companies are absorbing increased import costs while honoring existing contracts.
• The 90-day tariff truce ends July 9, renewing uncertainty over duty levels that could spike back toward 145% and trigger further shipment halts.
• U.S. importers suspended orders during the earlier tariff surge, filling Chinese warehouses and stalling production during the critical post–New Year manufacturing cycle.
• Smaller family-owned retailers face acute financial strain from tariff-driven delays, unlike larger chains that typically lock in supplies 18–24 months in advance.
• Fireworks reshoring is deemed impossible due to U.S. land, regulatory and safety constraints, keeping the industry locked into a Chinese production schedule that may not meet 2026 demand.