close
close
Trump's tariffs in Canada and Mexico begin tomorrow – here you can influence the prices

Trump's tariffs in Canada and Mexico begin tomorrow – here you can influence the prices

by

Topline

The 25% 25% tariffs for goods from Mexico and Canada as well as an additional 10% tariff for Chinese imports began shortly after midnight on Tuesday, which led to price increases to a number of imports, from food and alcohol to cars and china to announce retaliation duties.

Key facts

It is unclear how much of the additional costs of the Canadian and Mexican tariffs could be transferred to consumers, but most economists believe that tariffs lead to higher prices.

The 25% tariffs for Canadian and Mexican goods and a separate 10% for all other imports can lead to a quarter of all consumer expenditure to an increase of 0.81% if companies pass on half of the costs or 1.63% if the costs are completely transmitted.

The 25% tariffs in Canada and Mexico could be an estimated total tax increase between $ 120 and $ 225 billion, according to Jacob Jensen, a trading policy analyst in the center-right thinking factory The American Action Forum. And China could cost the typical US budget 1,200 US dollars a year.

Groceries: A significant portion of food, meat and grain to fresh vegetables, is imported from Canada and Mexico. Canada is the largest exporter of meat to the USA, while 77% of the fresh vegetables were imported from Mexico and 11% were imported from Canada in 2020.

Alcohol: The United States imported alcohol of around 26 billion US dollars from Mexico in 2022, while 18% of the beer from the USA was consumed from Mexico, the USDA.

Gas prices: Canada is the source of around 20% of the oil used by Americans, while Canada and Mexico together make up 70% of US gross imports – a tariff of 25% could increase gas prices by 30 to 40 cents per gallon. Gasbuddy manager of the petroleum analysis Patrick de Haan predicted last year that a lower 10%.

Wood: Canada is the largest wood supplier for the USA, and the tariffs could increase the price per thousand board feet to 600 US dollars of almost 590 US dollars, according to the Forst Resources Association. Trump also investigated the trade department last week whether wooden in-deports threaten national security because officials from the White House argue that the United States should be self-sufficient in the timber industry and that existing guidelines have controlled the construction and housing costs.

Cars: The average price of a new car could increase by an estimated 3,000 US dollar, since 22% of all vehicles from Mexico and Canada sold in the USA are imported, according to S&P Global, while a study by Anderson Economic Group, which is cited by several branches, estimates that a price structure of 9,000 US dollars in Mexico and 8,000 US dollar The intake of 8,000 US dollars is produced for $ 8,000.

Get Forbes Breaking News Text notifications: We start SMS notifications so that you always know the greatest stories that shape the headlines of the day. Text “Warnings” (201) 335-0739 or register Here.

What you should pay attention to

Officials in China and Canada announced retribution measures against the tariffs shortly after their effect on Tuesday. China said it would expand the import duties in several important American agricultural food by 10-15% and the export controls of 15 US companies. The Canadian Prime Minister Justin Trudeau also announced a retribution tariff of 25% on American goods worth 107 billion US dollars.

Large number

900 billion US dollars. This is the total value of Canadian and Mexican imports in the United States every year, according to the Brookings Institution.

tangent

The tariffs came into force on Tuesday at 12:01 p.m. On Monday, Trump confirmed that they would stay at 25%, as he initially suggested, although the Minister of Commerce Howard Lutnick suggested that the tax level have been changed the day before, since both countries have made progress in increasing border security. Trump's confirmation led to an immediate decline in the stock exchange, with the S&P fell by more than 2%, which brought the worst day to speed this year.

Key background

Trump officially announced that on February 1, he would impose a tariff of 25% from Canada and Mexico, with the exception of Canadian energy and oil experts, which would be taxed at 10%. While Trump has not explicitly explained in detail what the countries can do to relieve the tariffs, he threatens the flow of fentanyl from both countries in addition to China to impose the taxes. Days after his first announcement, Trump said that he would be postponed for a month if they are negotiated with the Canadian and Mexican leaders and the assurance from both countries to do more to meet Trump's demands on fentanyl and the limit. Despite the experts' warnings about the costs for consumers, Trump said reporters on Thursday: “It's a myth.”

Read more

How do tariffs affect them? Here is what you should know about Trump's plans (Forbes)

Prices for food, cars and popular products from Shein and Temu could also address in the middle of Trump's tariffs (Forbes)

Trump -Zölle Live -Updates: The President begins the process for mutual tariffs -but it does not yet impose them (Forbes)

Related posts:

Red royal crabs through acid trend in Bering Sea, the study suggests | Local news

State Florida at Virginia Odds, tips and betting trends

See New York Knicks against Philadelphia 76ers Free Live Stream