President Trump's tariffs are targeted in the country, which is the main supplier of a wide range of products in the United States. In the case of American families, the results are highly expensive everywhere, almost anywhere, almost everywhere, almost everywhere.
Trump signed a Presidential order to impose tariffs on three largest trading partners in the country, which will come into effect on Tuesday at 12:01 am on Tuesday. According to the Presidential Order, all products imported from Canada and Mexico are 25 % tariffs, except for Canada's energy products. The order also imposed a 10 % tariff on Chinese products.
Mr. Trump on Sunday acknowledged that his new tariff could cause “some pain”, but he insisted that foreign countries would stand on the arrow, without significantly raising Americans. However, trading data and economic surveys suggest that US consumers probably see higher prices in a wide range of products, from vegetables, meat to mobile phones and cars. Some companies may choose to pass tariffs, but many companies can raise the product price.
“Because of these three countries, it is difficult to get off the aisle of a grocery store, and there will be no inflation effect,” said Jason Miller, a professor of the supply chain management professor of Michigan State University. Masu.
What you need to know is what you may have like.
What should shoppers expect in food passage?
Many of the fresh agricultural products imported from Mexico are one of the first categories that shoppers may notice the rise in prices. These items such as avocado, tomatoes, and strawberries have a short storage life. Food shops do not have a lot of stock. This means that consumers immediately find the agricultural products that are subject to Trump's tariff.
The price rise is ready for alcoholic beverages, especially beer and tequila. According to the Ministry of Agriculture, in 2023, almost three -quarters of the US agricultural imports from Mexico consisted of vegetables, fruits, drinks, and distillation spirits.
The United States also imports a variety of agricultural products from Canada, including meat and grains. When a grocery store passes the cost to a consumer, Most of Trump's imports on most imports from the northern neighbors can boost the retail prices of beef. Maple syrup can also be more expensive. According to the Canadian government data, Canada accounts for about 70 % of the world production, and in 2023, more than 60 % of the national maple exports were sent to the United States.
This additional burden is because many Americans have already experienced sticker shock at local supermarkets. The Labor Bureau data indicated in December that food prices, which were relatively flat from late 2023 to early 2024, have risen again, rising based on egg prices.
Is the price of the car can rise?
Yes, tariffs are widely expected to increase the price of US consumers to pay new cars. This is because automakers will ship a completed car, engine, transmission, and other components every week on the entire US border between Canada and Mexico. Billion dollars are imported from Chinese parts manufacturers.
New cars and trucks are already sold at almost a record price. Trump's tariffs can increase the challenges of consumers trying to buy a car.
General Motors, the largest car manufacturer in the United States, will probably feel more impact on tariffs than other car manufacturers. Canada and Mexico GM plant produced almost 40 % of all vehicles made in North America last year.
However, compared to foods, how tariffs affect the car price, probably more diverse, Miller of Michigan State University stated. He said that vehicles assembled in states, including Michigan, Ohio, Kentucky, and Indiana, tend to be largely dependent on automotive parts imported from Canada.
“It's much more complex to understand the rise in prices that consumers can finally see,” said Miller.
What other products can be affected?
In particular, US drivers in the Midwest may have higher prices in pumps. Trump's 10 % tariff on Canada's energy is not as stiff as he first, but lower than other Canadian products. However, tax still threatens to confuse US oil and gas industry, which greatly depends on Canada oil. About 60 % of the oil imported by the United States comes from Canada.
Analysts anticipate the combination of petroleum producers of Canada, Mexico, US, and American consumers, will be paid for additional costs. The spread of tariffs in the market depends on how long they maintain.
Home appliances may be more expensive among the top products imported from China last year to the United States. From mobile phones, computers to video games, shoppers may start to rise within a few months.
Another product that is likely to be affected is wood, and about 30 % are imported from Canada. Cutting duties may raise the cost of building a house. This is the risk of worsening the affordable price crisis of houses that have already emphasized millions of American families. According to the National Housing Construction Company Association, more than 70 % of the import of two important materials (dewall used for Drywall) is Canada and Mexico Mexico. I'm coming from.
“Customs on wood and other building materials will increase construction costs, prevent new development, and eventually pay for tariffs in a higher housing price,” curl, the chairman of the Association.・ Harris stated in a Saturday statement.
How fast can the price rise?
It depends on the product. Consumers can quickly increase the price of non -durable products, including food. However, according to Felix Tintelnot, an associate professor at the University of Duke University, it may take time to increase the price of durable goods such as cars thanks to existing stocks. there is.
Peter Simon, a professor at the North Eastern University, said on Saturday that it was still unable to see how fast companies would raise their prices and the price could be raised. The rise in some prices may indicate a legitimate response to the rise in corporate costs, but there is also a risk of setting a day. In other words, Simon said that companies could use tariffs as an excuse to raise more than necessary prices.
How about inflation of the entire board?
Goldman Sachs analysts have stated that if Trump's full tariffs, the price will increase in the United States and increase economic growth. Most economists hope that fresh trade barriers can lead to temporary bursts of temporary inflation.
After the central bank actively raised interest rates and maintaining them at a high level, inflation has been alleviated toward 2 % of the Federal Reserve. However, the Fed continues to be alert to things that can progress toward their goals, including Trump's tariffs.
