Fireworks retailers say tariffs squeezed prices but expect record consumer sales ahead of nation’s 250th

Jeff Wagner, a CBS News correspondent, reports that consumer demand for fireworks is projected to hit record levels ahead of the nation’s 250th anniversary, and that industry representatives say earlier U.S. tariffs on Chinese imports pushed up costs and delayed production.

Industry data cited in the segment trace the market’s growth over two decades: roughly $400 million in consumer fireworks sales in 2000, about $1 billion by 2019, and a near doubling in 2020, with an average of at least $2.2 billion per year since then. "I’m feeling pretty strong that we will most likely achieve $2.5 billion for consumer firework sales this year," said Julie Hecman of the American Pyrotechnic Association.

At Fireworks Nation in North Hudson, Wisconsin, owner Anders Nelson told Wagner that the COVID era helped expand backyard fireworks displays and steady demand. Nelson said some of his suppliers imposed steep duties in the prior tariff period, and that when the store purchased stock during that spike it paid higher import fees. "Even though the tariffs have come down, when we made those purchases, we had to pay those high tariffs," Nelson said. He added that the shop’s large inventory helped it absorb those earlier costs and that he expects retail prices to look similar to last year.

The report says some members of the industry faced tariffs as high as 145 percent during the trade actions that affected shipments and production in China; the segment states the tariff level has since fallen to about 15 percent. Wagner’s piece links the tariff timeline and pandemic-driven demand to the current strong inventory levels and marketing of patriotic-themed fireworks tied to the 250th celebration.

The segment did not report any formal policy actions or pending votes; it focused on industry projections, historical sales data, and retailer accounts of costs and inventory ahead of the holiday.