The U.S.-China trade war is about to pummel America’s small businesses, Apollo economist says

A woman rides a bicycle across the street from high stacks of large shipping containers. (Credit: Qilai Shen—Bloomberg/Getty Images)

• As trade between the U.S. and China collapses, small businesses will be hit hard, according to Torsten Sløk, chief economist at private equity giant Apollo Global Management. Many independent toy, hardware, and clothing stores rely on cheap imports, and firms with 500 employees or fewer account for nearly half of America’s private workforce. 

Trade between the U.S. and China is falling off a cliff. Vacant shipping containers will soon mean empty shelves—and perhaps the dreaded combo of higher prices and unemployment. President Donald Trump is touting talks of a trade deal between the world’s two biggest economies, but Beijing denies any negotiations have taken place.