Trump’s tariffs to cost American households nearly $1,000 annually
US President Donald Trump’s tariffs on imports from Canada and China are said to be expected to cost US households an average of $964 per year.
This is according to calculations by RIA Novosti based on data from the US Census Bureau.
On Saturday, Trump signed executive orders imposing tariffs on goods from Canada, Mexico and China.
A 25 per cent tariff has been imposed on all goods from Canada, except for energy resources, for which the rate will be 10 per cent.
A 10 per cent tariff would also apply to Chinese goods in addition to those already in place.
For Mexican goods, the 25 per cent tariff was temporarily suspended for a month to allow for negotiations with Mexican authorities.
From Dec. 2023 to Nov. 2024, the US imported $410.5 billion worth of goods from Canada, including $124.5 billion in energy products.
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Given the large share of fuel in these imports, US importers would pay about 84 billion dollars in tariffs.
Meanwhile, imports from China totalled $435.5 billion last year and companies will have to pay an additional $43.6 billion in tariffs.
If the cost increase from the tariffs is fully passed on to consumers, products imported from Canada and China will become more expensive for 132.2 million American households.
This would add about $964 to their annual costs or an extra $374 per person.
Mexico, which has been temporarily exempted from tariffs, remained the largest source of imports to the US with $503.2 billion worth of goods imported last year.
In the event the two countries failed to reach an agreement, businesses could face nearly $126 billion in new duties, pushing the overall cost of the trade dispute for US households to $1,916.
NAN
