Democratic state treasurers from five states have criticized President Trump’s trade war with Canada and Mexico. They highlighted the negative impacts on consumer prices and key industries. Recent adjustments to Mexican tariffs offer temporary relief, but concerns linger regarding the economic implications of ongoing trade conflicts.
Democratic treasurers from Illinois, Nevada, Colorado, Oregon, and Minnesota urged President Donald Trump to halt the escalating trade war with Canada and Mexico. During a Thursday Zoom meeting, they emphasized that the tariffs impose significant economic strain on everyday consumers. Minnesota’s state auditor, Julie Blaha, likened the trade wars to reckless behavior that causes lasting damage before any resolution is reached.
The treasurers’ warning followed Trump’s recent decision to temporarily lift the 25% tariff on Mexican goods, effective until April 2, which applies to items under the U.S.-Mexico-Canada Agreement (USMCA). This agreement permits tariff-free movement of products made or significantly modified in North America. However, uncertainty remains regarding whether Canadian goods will also be exempt from tariffs.
Illinois State Treasurer Michael Frerichs criticized the trade war as unnecessary, dubbing it a “Trump tax,” and predicted increased prices on various products, including vegetables, meat, and automobiles. He pointed out that this burden disproportionately affects struggling Americans, intensifying their financial challenges.
Colorado State Treasurer David Young warned that the tariffs threaten the state’s economy, as Mexico and Canada are key trading partners, contributing nearly $10 billion. He stressed that industries like agriculture and aerospace could suffer significantly, resulting in potential business closures due to reduced market access.
Oregon State Treasurer Elizabeth Steiner echoed these concerns, noting that exports to China, Mexico, and Canada surpass $15 billion annually. She highlighted the repercussions for housing construction costs and the overall economy, making it challenging for families to obtain affordable housing and jobs in the construction sector. Steiner criticized the unpredictability of tariffs, stating it disrupts planning for families and businesses alike.
State Treasurers from five states voiced strong opposition to Trump’s trade war, citing threats to consumers and economic stability. They emphasized escalating prices on essential goods and potential harm to key industries, particularly in agriculture and manufacturing. As negotiations around tariffs continue to fluctuate, the uncertainty poses challenges for businesses and consumers, complicating financial planning.
Original Source: www.usnews.com
