As Trump prepares to take office, new tariffs may soon impact American prices
Now, even though it might take a bit for these tariffs to kick in, we could see prices going up pretty quickly. Trump has been eyeing tariffs on countries like China, Mexico, and Canada, with some pretty hefty numbers thrown around—like a 60% tariff on China and 25% on imports from Mexico and Canada.
He hasn’t laid out exactly how he’ll implement these tariffs, but he’s made it clear he wants to start right away. He even mentioned on social media that he plans to sign documents to charge those 25% tariffs on products from Mexico and Canada.
Some folks think he might use the International Emergency Economic Powers Act to get things rolling. This would let him impose tariffs if he claims there’s a national emergency. Experts say that even before the tariffs officially start, we could see prices rise as businesses react to the news.
A trade policy fellow pointed out that companies might start shifting production or stockpiling goods, which could lead to price hikes before the tariffs are even in place. Trump’s team insists that his plans won’t hurt American consumers, claiming they’ll protect local manufacturers and workers.
There are a few legal paths Trump could take to implement these tariffs, but it won’t be instant. Some lawmakers are already trying to block him from using emergency powers without Congress’s approval, arguing it could lead to higher prices for everyday items.
While past tariffs didn’t cause a huge spike in inflation, experts think this time could be different. They expect consumers to feel the pinch sooner rather than later, as businesses decide whether to absorb costs or pass them on to shoppers. Some big retailers have already warned that prices might go up if these tariffs happen.
So, it looks like we might be in for some changes in our wallets if Trump follows through with these plans.
