Millions will gather across the U.S. for the dazzling sights of fireworks to mark the Fourth of July, but the tradition relies almost exclusively on China. The Asian country makes nearly all of the fireworks that are used in the U.S. It's causing problems for fireworks retailers, many of them small businesses, because of the uncertainty of President Trump's tariffs. CBS News' Ian Lee reports.

President Trump's tariffs, primarily targeting China, could indirectly impact future July Fourth fireworks celebrations through several pathways, although the effect is complex and not easily quantifiable: Increased Costs of Fireworks: A significant portion of fireworks imported into the United States originate from China.

Tariffs increase the cost of these imports for wholesalers and retailers.

This added expense could lead to several outcomes: a) higher prices for consumers, making fireworks displays more expensive for both public and private events; b) reduced quantities purchased, leading to smaller or fewer displays; or c) a shift towards domestically produced fireworks, if such production exists at a competitive scale and quality.

The last option is unlikely to fully offset the impact given the established Chinese dominance in the fireworks market.

Supply Chain Disruptions: Tariffs can disrupt the supply chain.

Even if a retailer manages to absorb some cost increase, delays in shipping or processing due to trade disputes could lead to fireworks arriving late for July Fourth celebrations, or not arriving at all.

This is particularly problematic given the time-sensitive nature of these events.

Reduced Consumer Spending: The broader economic effects of tariffs (increased prices on various goods) could reduce overall consumer spending.

With budgets tighter, discretionary spending on entertainment like fireworks displays might be one of the first things cut, either by municipalities planning public events or by individuals planning private celebrations.

Impact on Domestic Fireworks Industry (if any): If tariffs significantly impact Chinese imports, it could theoretically boost the US domestic fireworks industry.

However, the US fireworks industry is relatively small compared to Chinese production.

A sudden surge in demand might not be met efficiently, and the quality might not match consumer expectations, possibly leading to further issues.

In conclusion, while it's difficult to precisely predict the impact, President Trump's tariffs likely increased the costs and potentially disrupted the supply chain of fireworks, creating a ripple effect that could lead to smaller, less frequent, or more expensive July Fourth fireworks displays.

The degree of impact is uncertain and depends on many factors, including the long-term effects of the tariffs, the responsiveness of the market, and the resilience of consumer demand.