Trade war escalated; impact on Wisconsin toy store, other goods

WAUWATOSA, Wis. - U.S. markets tumbled for a second day in a row on Friday, April 6 after China matched President Trump's tariffs hike. It's all part of an escalating trade war that is extending to Wisconsin.

Escalating trade war

What we know:

There is something for everyone at the Ruckus and Glee toy store in Wauwatosa. From cars and slime to Tonies and LEGO. 

Lately, what is as important as the toy itself is where it was made. Eighty-five percent of the products in the store are made in China or have pieces from that country. That is why in Wisconsin, prices will likely go up. 

President Trump announced tariffs on products from other countries, with China at the top. That brings the total tax on goods from China to 54%. 

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"We will have to raise the prices to reflect the tariffs," said Matthew Poulson of Ruckus and Glee.

Toys are just a small part of what Americans can see increase in price. Economists say cars, clothes, tech and food could all go up in price. 

After the tariff announcement, the markets plunged. It left many panicked about their portfolios. 

What they're saying:

"I was a little surprised by the magnitude of the response," said Brian Jacobsen, Annex Wealth Management Chief Economist and Marquette instructor. "It’s really about having a plan before these events happen."

That is exactly what Poulson has been doing. Optimistic shoppers will not go away. 

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"We have a customer base, a community that really supports us. So, I think they will continue to support us," Poulson said. 

Poulson said not everything will go up in price. There are products in his store that are entirely American-made.