The Trump administration’s new 25% tariffs on imports from Mexico, Canada, and China are expected to raise consumer prices. Economists warn that consumers will face increased costs for food and raw materials, while local businesses like McKee Foods express concerns over ingredient sourcing. The duration of these tariffs is still unknown, adding uncertainty to their impact.
New tariffs recently implemented by the Trump administration on imports from Mexico, Canada, and China have raised concerns about their potential effects on businesses and consumers in the U.S. These tariffs, specifically a 25% increase on affected goods, are expected to result in higher prices for various products.
President Trump engaged with the major automakers—Ford, General Motors, and Stellantis—regarding these tariffs, emphasizing their intent to bolster the U.S. economy. He stated, “Tariffs are about making America rich again and making America great again, and it’s happening rather quickly. A little disturbance, but we’re okay with that.”
Economists, including Dr. Howard Wall from the University of Tennessee at Chattanooga, caution that consumers can expect an increase in everyday prices, especially for food and raw materials. He noted, “Imports from Mexico—you’ll see a lot of increase in prices of foods…We get a lot of steel from Canada, a lot of aluminum, a lot of lumber.”
Dr. Wall highlighted that consumers across various sectors, whether as individual buyers or businesses, will face heightened costs due to these tariffs. He stated, “Whether you’re a consumer as a business person, or as a consumer in your household, you’re going to see higher prices.”
Local businesses such as McKee Foods, known for its Little Debbie snacks, are preparing for the impact of these tariffs as well. Although the company primarily sources ingredients domestically, it imports oats from Canada, which may affect production. Mike Gloekler, their Corporate Communications Manager, expressed that the cost of sourcing oats poses a significant concern due to these new costs.
Gloekler mentioned the uncertainty surrounding potential price increases for McKee Foods’ products and the company’s commitment to maintaining consumer value amid economic challenges. He noted, “We want to be a friend to the consumer as much as we can, especially when things are tough in the economy, but there’s always a chance that that could happen.” The duration of these tariffs remains uncertain, adding to the unpredictability of their impact.
The newly imposed tariffs on imports from Mexico, Canada, and China are expected to have a significant impact on American consumers and businesses. With higher prices anticipated for everyday products, particularly food and raw materials, the financial burden will likely fall on consumers. Local businesses like McKee Foods are already expressing concerns regarding the sourcing of essential ingredients due to increased import costs. The long-term effects and duration of these tariffs remain unclear, making market adjustments unpredictable.
Original Source: www.local3news.com
