High tariffs in steel definitions can display Trump’s promise to low grocery prices
President Donald Trump’s doubling can strike a tariff on foreign steel and aluminum American in an unexpected place: groceries.
theFriday’s announcement of an amazing tax of 50 %On these imports, the fear disturbed that the purchase of large tickets from cars to washing machines to homes may see a significant increase in prices. But these minerals everywhere in the package are likely to pack a punch through consumer products from soup to nuts.
Osha Haley, an expert in trade and professor at Whitchita State University, who added that the customs tariff can raise costs through industries and more stresses with the allies “without the help of reviving the United States manufacturing in the long run.”
Trump’s return to the White House cameWith an unparalleled barrage of definitionsWith the threat of fees, addedOften, they took away,In such a frenzy that stimulates the injury, it is difficult to keep up with it. He insisted that the latest tariff was necessary to ensure the steel industry in the United States.
This promise, though, can be at odds with his pledge to reduce food costs.
Trump said that the high grocery pricesIt was among the biggest reasons for votersroad. It shows a look about the supermarket, the number of products that can be affected by new taxes on steel and aluminum, from beer and soda to dog food to a bean box, fruits, tomato paste and more.
“He plays in the hands of China and other foreign canned food producers, who are more happy than spending American farmers and food producers,” insists that the head of the Manufacturer Institute, Robert Bodowe. “Double the steel tariff will increase the cost of canned goods in the grocery store.”
Budway says that the production of local Tin Mill steel producers, whose products are used in cans, have decreased significantly in recent years, making manufacturers depend on imported materials. When these prices rise, he says: “The cost is imposed on millions of American families.”
The food companies were already evaluating the management tariff before the last height, which Trump said would enter into force on Wednesday. Campbell, which is the soup boxes, said the main component of millions of Americans, it is working to reduce the impact of definitions but may have to raise prices. Congra brands, which put everything from Reddi-WHip boxes to cooking machine guns like PAM on the supermarket shelves, also indicated steel and aluminum effects.
“We cannot get all our materials from the United States because there is no supply,” David Marberger said at the Goldman Sachs Conference on Global Staples.
In addition to clear products – canned foods such as tuna, chicken broth and cranberry sauce – economists warn of an indirect effect that definitions can cause on a group of elements. If the cost of building a store or buying a truck to withdraw food, you may follow the prices of products.
Most Americans will never buy a tractor, but Babak Havezi, who runs a global consulting company and teaches international business at the American University, says that high prices in such a great element in the vital production of food production will retreat to all other types of elements.
“If John Derry’s tractor costs more than 25 %, consumers pay the price of that,” says Havizi. “This flounders in the economy and affects every aspect of the economy. Some aspects that flow immediately and others are slower in showing themselves. But yes, prices will increase and options will decrease.”
Trump appeared in front of a crowd of steel chanting to reveal the new definitions at a gathering outside Pittsburgh. In a statement, David McClic, President of the International Federation of Workers at United Steelweers, described as a “valuable tool in achieving a balance between standards” but there is a need for “broader reforms for our global trade system”.
Andreas and Dakrash, professor of economics at Colby College, is studying a chapter on international trade, it may be difficult to measure the weight of definitions on the chickpea box against a new car, but consumers may see countless costs.
“Anyone directly connected to the steel industry, he will benefit from it. It comes at a very high cost,” says Waldrash. “You may get a few steel jobs. But all these indirect costs mean that you are destroying jobs anywhere. If you will add all of this, you will take a very big negative loss.”
This story was originally shown on Fortune.com