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Manufacturers forced to choose between tariffs or higher US production costs

Plufl founders Noah Silverman and Yuki Kinoshita pose with their China-made "human dog bed" in a store. Yukinori Kinoshita/Handout via REUTERS

Small and midsize American manufacturers are facing the choice between paying steep tariffs on Chinese imports or taking on significantly higher domestic production costs.

Even those willing to pay more to make goods in the US are confronting another reality: retailers set prices for consumers and have been largely unwilling to budge in the face of tariffs.

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