On Tuesday, March 4, the tariffs imposed by U.S. President Donald Trump on imports from Mexico, Canada, and China came into effect, triggering a trade war with which many products will increase in price.
The 25% tariffs on Mexican and Canadian products and the 20% tariffs on Chinese goods could soon affect the wallets of U.S. citizens. Here’s a list of the products that will see price increases.
These products will increase in price in the United States
Mike Skordeles, Chief Economist at Truist Advisory Services, warned that the tariffs imposed by President Trump will disrupt supply chains and increase transportation costs, meaning many products will inevitably see price increases.
This increase will be absorbed by consumers, potentially resulting in reduced spending and, consequently, a decrease in sales across many economic sectors.
ALSO READ Dairy Queen prepares the return of Free Cone Day! When and how to get one?
Products imported from Canada to the United States that will increase in price
- Wood
- Coal
- Aluminum
- Iron and steel appliances
- Cereals, flours, and starches
- Dairy products
- Rubber
- Alcoholic beverages
- Carpets and other textile floor coverings
- Wool, animal hair, thread, and horsehair fabric
- Umbrellas
- Canes, seat sticks, whips
- Cotton
- Photographic or cinematographic products
- Cork products
- Printed books
Products imported from Mexico to the United States that will increase in price
- Cereals
- Paper products
- Processed fruits and nuts
- Tropical fruits
- Tomatoes, onions, lettuce, and cabbage
- Pickled foods
- Fruit juices
- Fertilizers
- Dairy products
- Eggs
- Honey
- Cotton
- Beer and spirits
- Coffee, tea, mate, and spices
- Meat, fish, and seafood
- Sauces and condiments
- Baked goods
- Avocados
- Raw sugar
Products imported from China to the United States that will increase in price
- Fish and shellfish
- Vegetable fats and oils
- Vegetables, fruits, and nuts
- Corn
- Soaps, lubricants, waxes, candles, modeling pastes
- Cereals, flours, starches, and wheat
- Dairy products
- Coffee, tea, and spices
- Sugar
- Cocoa
- Eggs
- Honey
- Vinegar
- Apple juice
- Garlic
What are tariffs and what are they for?
Tariffs imposed on imports of goods are known as tariffs. These tariffs provide a competitive price advantage to locally made products compared to similar imported products, and also serve as a source of revenue for governments.
Why did Trump impose tariffs?
According to President Donald Trump, tariffs are an effective tool to correct trade imbalances and protect U.S. industry. Trump has argued that China, Mexico, and Canada have not done enough to curb the flow of drugs and migrants into the U.S., so these tariffs are a form of pressure for them to take action.
How can Mexico, China, and Canada avoid Trump’s tariffs?
The U.S. president has repeatedly stated that there is no way to stop or avoid these tariffs, although Commerce Secretary Howard Lutnick provided a solution for Chinese, Mexican, and Canadian companies: invest in U.S. production.
Can Donald Trump increase the tariff percentages on Mexico and Canada?
Yes, as the executive order signed by the Republican president states that he can retaliate if Mexico, China, or Canada respond by imposing tariffs. This includes increasing the percentage and scope of the levies.
Are Trump’s tariffs legal?
To implement tariffs on imports from Mexico and Canada, Donald Trump relied on the International Emergency Economic Powers Act (IEEPA). This legislation gives him the authority to take action to address crises without requiring prior investigations.
According to this law, which was enacted in 1977, the U.S. president has the ability to prohibit financial and commercial transactions in response to external threats. Therefore, the tariffs established by Trump are, technically, legal.
