Trump:-Former US President and Republican candidate for the 2024 elections, Donald Trump, has taken a big step towards fulfilling his election promises. Know? 
Trump:-Former US President and 2024 Republican candidate Donald Trump has taken a major step by imposing heavy tariffs on goods imported from Canada, Mexico, and China. Trump claims this move is necessary to prevent the entry of fentanyl drugs and illegal immigrants into the US. Since Canada and Mexico share borders with the US, many illegal immigrants enter through them.
Starting Tuesday, the tariffs will take effect.
- 25% tax on all goods from Mexico.
- 25% tax on most goods from Canada (except crude oil and energy resources, which will have only a 10% tax).
- 10% additional tax on all goods from China.
However, economists warn that these tariffs could have negative effects on US businesses and consumers. Let’s understand how this decision will impact daily life in America.
1. Rising Food Prices
Canada and Mexico supply a significant portion of the US food market, including fruits, vegetables, grains, meat, and poultry.
According to USDA data, last year:
- The US imported $46 billion worth of agricultural products from Mexico.
- This included $8.3 billion in fresh vegetables, $9 billion in fresh fruits, and $5.9 billion worth of beer.
- The US imported $3.1 billion worth of avocados alone from Mexico.
Since food is an essential commodity, higher tariffs mean higher prices for these items in American grocery stores.
2. Gas and Fuel Prices to Increase
Canada is the largest fuel supplier to the US. Every year, the US imports $97 billion worth of oil and gas from Canada.
- Trump reduced the tariff on energy resources to just 10% to avoid extreme price shocks.
- However, even this small increase will lead to higher gasoline prices for American consumers.
3. Cars and Auto Parts Will Get Expensive
Mexico and Canada are major suppliers of vehicles and auto parts to the US.
- The US imports $87 billion worth of vehicles and $64 billion worth of auto parts from Mexico every year.
- From Canada, the US imports $34 billion worth of cars and auto parts annually.
Economists believe that American car prices will rise sharply due to these tariffs. Many US car companies manufacture vehicles in Mexico due to lower labor costs. If production shifts elsewhere, vehicle prices will increase significantly.
4. Steel Prices Could Surge
The US consumes millions of tons of steel annually, and Canada and Mexico are among the largest exporters of steel to the country.
- In 2018, Trump imposed a 25% tariff on steel imports.
- This led to higher construction and manufacturing costs.
- With these new tariffs, steel-based products like buildings, bridges, and appliances could become even more expensive.
5. Beer and Alcohol Prices to Rise
Alcohol consumption in the US remains high, and Mexico is a major supplier of beverages like beer and tequila.
- The US imports $5.69 billion worth of beer and $4.81 billion worth of liquor from Mexico annually.
- Popular brands like Corona beer and Mexican tequila will likely see price hikes in US stores.
6. Construction Materials and Furniture Will Cost More
A large portion of construction materials used in the US, such as wood and cement, comes from Canada and Mexico.
- 30% of the wood used in US home construction is imported from Canada.
- With higher tariffs, home construction costs will rise, making houses more expensive for buyers.
7. Electronics and Toys to Become Expensive
China is the largest supplier of electronics to the US.
- The US imports billions of dollars’ worth of cell phones, TVs, laptops, video game consoles, and home appliances from China.
- Most toys, footwear, and sports equipment in the US are also imported from China.
- 56% of all shoes sold in the US are made in China.
With Trump’s 10% tariff, these products will become more expensive, making electronics and daily-use items costlier for American families.
What This Means for the Average American
- Food, gas, cars, electronics, and housing—all essential goods—will see price hikes.
- Businesses dependent on cheap imports will struggle with higher costs.
- American consumers will bear the brunt of these tariffs in the form of higher living expenses.
As economic experts warn, tariffs are a form of economic warfare, and in such wars, both sides suffer. While Trump aims to protect American industries, his trade war could lead to inflation and financial strain for US citizens.