Six things that may increase in price after trump tariff

US President Donald Trump has launched a trade war by putting tariffs on the imports of his country’s neighbors Canada and Mexico.

Canada has responded like, and Mexico has also said that it will retaliate. The three countries have deeply integrated economies and supply chains, in which the estimated $ 2BN (£ 1.6BN) is manufactured with goods that cross borders per day.

Trump says he wants to protect the American industry, but many economists warned that taxes could increase prices for consumers in the US.

This is because the tariff is paid by the domestic company that imports goods, which can directly choose to pass the cost to customers, or to reduce their imports, which means less products are available.

So what is the possibility of being more expensive?

According to TD Economics, the price of cars is expected to go up to about $ 3,000.

This is because many times cross Canadian and Mexican boundaries before a vehicle is assembled.

As a result of the high taxes paid on the import of parts for the manufacture of cars, it is likely that the cost will be passed to customers.

Andrew Foren, an economist at TD Economics, said, “It is enough to say that to disrupt these trends through tariffs … will come with important costs.”

He said that “uninterrupted free trade” in the car making area was “existing for decades”, which reduced prices for consumers.

Popular Mexican Beer Modlows and Corona can be more expensive for American customers if American companies pass them on imported import taxes.

However, it is also possible that instead of passing the cost increase, the firms can simply import less.

Modlow The number one beer brand in the US in 2023, And now the top position.

It is more complex when it comes to souls. The region has been largely free from tariffs since the 1990s. Industry bodies in the US, Canada and Mexico issued a joint statement before the tariff, stating that they were “deeply worried”.

They say that some brands, such as borbon, Tenasi whiskey, tequila and Canadian whiskey are “recognized as specific products and can only be produced in their nominated countries”.

Therefore the production of these drinks cannot only be moved, the supply may be affected, which increases the price. Business bodies also said that many companies are separate spirit brands in all three countries.

Canadian wood imports have been determined to be killed by import tariffs to America. Trump has said that in the US, we are “more wooder than using anytime”.

However, the National Association of Home Builders have urged the President to exempt the construction material from the proposed tariff, as “due to their harmful effects on housing power”.

The industry body has “serious concerns” that can increase the cost of building tariffs on wood – which are mostly made of wood – and stop construction of new houses.

NAHB said, “Consumers pay for tariffs in the form of high house prices.”

When it comes to trade war with Canada, according to Thomas Sampson, Associate Professor of Economics at London School of Economics, “most obvious” domestic effects occur at the expense of Canadian maple syrup.

Canadian Arab-Dollars have 75% of the world’s entire maple syrup production in the maple syrup industry.

Most of the sweet staples – approximately 90% – is produced in the province of Quebec, where the world’s only strategic reserve was established 24 years ago.

“That maple syrup is going to be more expensive. And it is a direct value increase that will have to face homes,” said Mr. Sampson.

He said, “If I buy items that are domesticly produced in the US, but are produced using inputs from Canada, then the price of those goods is also going up,” he said.

Canada is America’s largest foreign supplier of crude oil. According to the most recent official trade data, 61% of oil imported into the US came from Canada between January and November last year.

While 25% of the Canadian goods imported into the US have been slapped, its energy faces less 10% tariffs.

Now the US is not short of oil, but its refineries are designed to process, which means that it depends on the so -called “heavy” – ie rough – mostly from Canada to crude oil and something from mexico.

According to American fuel and petrochemical manufacturers, “Many refineries require heavy crude oil to maximize flexibility of gasoline, diesel and jet fuel production.”

This means that if Canada decides in its retaliation of American tariffs to reduce crude oil exports, prices may increase at gas pumps.

A food imports that can see a significant value growth to American consumers, IS Avocado. Mainly grown due to its hot, humid climate in Mexico, avocados almost make 90%of the US avocado market every year.

However, with the introduction of the new tariff, the US Department of Agriculture has warned that the cost of avocado – as well as popular avocado -contemporary dishes such as Guakamol – especially on 9 February may increase super bowl on Sunday.

Additional Reporting by Lucy Achesan