What do goldfish have to do with the global trade balance?
That's a question that has Ken Fischer reeling. He sells rare goldfish. And goldfish — the live pet, not the snack food — are tucked in on page 31 of list three of Chinese imports that face tariffs of 25%.
The goldfish tariff, like so many tariffs from the list, might seem negligible for someone buying a $10 common pet-store fish — the basic bright-orange kind one might get at a carnival.
The math is very different for sellers like Fischer. His Michigan company is Dandy Orandas, named for a type of fancy goldfish. It deals in top-shelf fish — telescoping eyes, calico colors, feather-like fins — that can go for well over $100 apiece.
"My income is literally cut in half by tariffs," Fischer says. As a U.S. importer of a Chinese good, he is the one on the hook to pay the tariff.
Goldfish are among hundreds of products caught in the wide net cast by the Trump administration's trade war with China. The countries reached "phase one" of a trade deal on Friday, averting a new tariff increase that had been slated to kick in this week. Yet, the tentative truce doesn't undo existing tariffs. The White House has argued that reeling in Chinese imports would, among other things, also lure back jobs and factories to America.
For aquarium goldfish, China is not simply a source, but a motherland. There, goldfish have been bred over centuries into forms so varied and unusual that some enthusiasts and aquarists consider them a living art form.
A scroll through Fischer's website is a parade of gauzy fins and luminescent scales. There's the butterfly telescope with exaggerated protruding eyes and two tails that fan out horizontally like wings. The delicate veiltail with a sail-like dorsal fin. The pearlscale goldfish that looks studded with beads. One fan favorite is the ranchu, which loosely resembles a plump potato with a cheeky pug-like face.
Prices for high-quality grown fish can run $125 to $300 on average. Fischer says he has sold higher-end specimen for over $1,000. Most pet stores will carry some cheaper but still fancy types like orandas with raspberry-like growths atop their heads.
As tariffs escalated earlier this year, Fischer took stock of his online business. It's a one-man operation, importing about 6,000 goldfish a year. Fischer's home is their care center and habitat with dozens of tanks and tubs plus an indoor pool.
When tariffs hit 25%, "I just said, 'Screw it, I'm not going to play this game, I'm not going to work for nothing," Fischer says. He decided to stop importing more fish.
In 2018, the U.S. bought more than $1.2 million worth of live ornamental freshwater fish from China, according to trade data from the U.S. Census Bureau. This covers goldfish and related crucian carp.
But Fischer gets frustrated by a comparison to another number: The U.S. trade deficit last year soared to a 10-year high of $621 billion.
"A small niche business like mine shouldn't be part of the equation," he says. The U.S. Trade Representative's office did not comment on why the government decided otherwise.
There are goldfish breeders in other countries, including the U.S., but "the selection is still pretty limited because here in the U.S. we just don't have nearly the availability of the exotic breed," says Meredith Clawson, long-time goldfish keeper and author on the hobby.
"For fancy goldfish enthusiasts like me, the rare ones can only be gotten in places like China," Clawson says.
Breeding high-quality goldfish can be a labor-intensive affair, which contributes to the high price tag. And it can take years for a fancy goldfish to grow to a good size.
At Chinese farms, Fischer says, workers cull through millions of fry, or baby fish, with tablespoon-sized nets, spotting deformed or otherwise undesirable fish. They repeat the procedure as fry grow, sifting through acres and acres of ponds.
"It's not something that comes off an assembly line," says Joe Hiduke, sales manager at Florida-based wholesaler 5D Tropical. "So it's not like all of a sudden, we can be buying goldfish from a different goldfish factory."
Hiduke's company sells fish to stores that include large U.S. pet chains. Hiduke says he can pass on some costs to distributors and retailers, but 5D Tropical has contract obligations with larger chains that reassess what fish to stock and how much to charge only about once a year.
"Our options are either to sell these fish at a loss or not fill the product for the stores," Hiduke says, "in which case — we are evaluated very regularly on our fill rate, and if the fill rate suffers, then we potentially are losing more business than just those goldfish."
In a statement, PetSmart said the company was evaluating the tariffs and strategies to deal with them, working with partners to "manage the potential impact." A spokeswoman for rival Petco told NPR that the company was "not aware of any impact on the price or availability of goldfish at Petco related to tariffs."
For Fischer, the uncertainty of the trade war — so often decried by corporate CEOs and trade groups — has become a matter of livelihood.
When he stopped importing goldfish to avoid tariffs, Fischer shut down his business for a few months. He hadn't had a break in a while, and he hoped that the tariffs would go away. They didn't. And he couldn't afford to stay closed.
"So I went ahead and bit the bullet and I just paid $10,000 (in tariffs) on a $40,000 shipment of fish, so that I could continue trying to make a living," Fischer says. "But the numbers aren't adding up."
He says he can't easily raise prices — there's a lot of competition, and ultimately, fancy goldfish are a luxury. So he's spinning his wheels, as he puts it, trying to decide when to cut bait.
STEVE INSKEEP, HOST:
Next, we have the story of one man affected by the U.S. trade war with China. NPR's Alina Selyukh reports on the man and his goldfish.
ALINA SELYUKH, BYLINE: His name is Ken Fischer. It's with a C, but I had to resist my bad jokes about his name being fitting for his job. Fischer sells rare goldfish.
KEN FISCHER: I got into goldfish because goldfish are really more of a man-made specie. And they're also kind of have more of a personality, you might say. Goldfish are really more pet-like.
SELYUKH: Goldfish are a type of carp. You may know them as wriggling, orange fish you might get at a carnival. That's not what Fischer sells. His store is called Dandy Orandas after a type of a fancy goldfish. He sells fish that are top shelf, many for well over $100 apiece.
FISCHER: I am a fan of telescope Ranchu - the fish that says take me to your leader. A Ranchu is normally kind of like a pug face. Telescope means big eyes. It looks kind of like a little alien.
SELYUKH: Last year, the U.S. imported from China, $1.2 million worth of live ornamental freshwater fish, which are mostly goldfish. As President Trump kept expanding tariffs to virtually everything imported from China, the fancy goldfish got caught in this wide net - one of the stranger casualties of the trade war. And on the hook to pay these new tariffs are American importers, like Fischer in Michigan.
FISCHER: My income is literally cut in half by tariffs.
SELYUKH: And the goldfish he's been importing for almost 20 years...
FISCHER: These fish really don't exist much outside of China.
SELYUKH: China is considered the mother land of aquarium goldfish, bred over centuries into forms and colors so varied that some consider it a living art form.
ANDY CATIVO: Some of them they call lionheads. They look like they have manes. The celestial eyes; they have eyes that are pointed straight up.
SELYUKH: I finally got to meet some fancy goldfish in person thanks to Andy Cativo at a store called Congressional Aquarium in Rockville, Md.
CATIVO: These are the bubble eyes, all sorts of funny little (laughter).
SELYUKH: They look so weird.
SELYUKH: He literally looks like he swallowed a bunch of air...
SELYUKH: ...And it's coming out of his cheeks.
CATIVO: Oh, yeah.
SELYUKH: Growing fancy goldfish like these to a good size can take years and it can be labor intensive. Fischer says workers at Chinese farms sort through millions of baby fry with tablespoon-sized nets calling for high quality fish with trained eyes. They sift through acres of ponds over and over.
JOE HIDUKE: It's not something that comes off in an assembly line. So it's not like all of a sudden we can be buying goldfish from a different goldfish factory.
SELYUKH: That's Joe Hiduke from 5D Tropical, a wholesaler based in Florida. His company imports and sells goldfish that you might find in a lot of retail stores, including big chains. And the tariffs are making their math complicated just like Fischer's.
HIDUKE: So our options are either to sell these fish at a loss or not fill the product for the stores.
SELYUKH: This anxiety has been playing out in many businesses around the country. Corporate CEOs and trade groups often bring up the uncertainty of the trade war. But for Fischer, this uncertainty is a matter of livelihood. His store, Dandy Orandas, is a one-man operation. Fischer imports about 6,000 fish a year, which he nurtures in over 100 tanks, tubs and an indoor swimming pool in his home.
FISCHER: Normally, I would get fish at the end of May, but this year with tariffs, I just said screw it. I'm not going to do it. I'm not going to play this game. And I'm just going to unplug.
SELYUKH: Late spring, he stopped importing more fish. For a few months, he shut down Dandy Orandas. But it's his income. He needs it to stay afloat.
FISCHER: So I went ahead and bit the bullet and I just paid $10,000 on a $40,000 shipment of fish.
SELYUKH: That's $10,000 just to cover the tariff. Fischer says he can't really raise prices. There is a lot of competition. And for buyers, goldfish are a luxury. So he's spinning his wheels, as he puts it, trying to decide when to cut bait. Alina Selyukh, NPR News. Transcript provided by NPR, Copyright NPR.