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The U.S. has entered a trade war. Donald Trumps decision to impose 25% tariffs on goods from Mexico and Canada, as well as a 20% tariff on Chinese goods, could have wide-reaching and long-lasting impacts on the bottom line of millions of Americans. These follow reciprocal tariffs, where the U.S. matches the tariffs other countries charge for imported U.S. goods, imposed last month by the White House. (Canada and China have already retaliated with tariffs of their own.) The duties hardly come as a surprise. Trump has been clear about his intention to slap tariffs on many countries since the campaign (though he did delay this round a month ago). He also utilized tariffs during his first term in the White House. Trump has claimed that tariffs have economic benefits for the U.S., though there is wide disagreement among economic experts about that theory. The Tax Foundation estimates Trumps tariffs will reduce after-tax incomes by 2.2%. For a household making $100,000, thats $2,200. The Tax Policy Center is a bit less pessimistic, saying the tariffs will reduce after-tax incomes by 1%. A November report from the National Retail Federation stated, A growing body of economic research has attempted to assess the impacts of the proposed tariffs on the U.S. economy. In nearly every case, the conclusion has been the same: a net negative impact on the United States with results ranging up to $7,600 in additional costs annually per household. Some companies are already warning customers that they will be forced to raise prices, while others are insisting they wont. Thats likely to be a continually evolving list. (Trump, for instance, has already threatened to increase the Canada tariffs after that country announced a retaliatory levy Tuesdayand has previously threatened the European Union with a 25% tariff). The bottom line is this: Tariffs will impact your finances, possibly more than you might imagine. Here are a few ways they could force some belt tightening. Groceries and household goods The most immediate impact from the tariffs will likely be felt at the grocery store. Roughly half of the vegetables consumed in the U.S., as well as 40% of the fruits imported are from Mexico. And some 90% of all avocados consumed come from Mexico. Over the past two decades, the volume of fresh vegetables imported by the United States, primarily from Mexico and Canada, rose nearly 200%, according to a 2021 report by the U.S. Department of Agriculture. The U.S. and Canada, meanwhile, have the largest two-way trade in live cattle and beef in the world. Price increases could come quickly on both sides of the border. Even French fries are likely to get more expensive. Canada sent some $1.7 billion worth of frozen fries and other prepared potato products to the U.S. in 2023. And tequila and beer drinkers are likely to pay more, also, as Mexico is the heart of the tequila business and Modelo is the top-selling beer brand in the U.S. Exports of wood charcoal (and other wood products) from Canada to the U.S. in 2023 topped $11.5 billion, so summer barbecues will be doubly hit. And electronics, toys, clothing and sporting equipment are all markets that are heavily dependent on China, which has shown the ability to mass produce playthings that meet U.S. safety standards. Retirement accounts Since Trump confirmed he planned to impose tariffs on Canada and Mexico, the stock markets have been in a tailspin. The Nasdaq and S&P 500 are now negative for the year and the Dow is barely clinging to positive territory (but is lower than where it stood when Trump was elected). Bitcoin is also lower since the start of 2025 (by almost 9%), despite the announcement of a national crypto reserve on Sunday. Stock markets ebb and flow naturally over the course of time, of course. And retirement accounts are long-term savings vehicles. But for people who are drawing on them now or plan to soon, big drops in the market could have a direct impact on the money that they have available for their retirement. Home and car prices Canada is one of the leading suppliers of lumber to the U.S. (and lumber futures hit a 30-month high on news of the tariffs.) Meanwhile, China and Mexico make most of the drywall. And many auto manufacturers assemble vehicles sold in the U.S. in Mexico. Car and truck prices could rise by as much as $12,000 by some estimates. And home builders might have to raise prices as well, which could impact not only the price of new construction, but existing homes on the market as well. “Rising costs due to tariffs on imports will leave builders with few options, said Danielle Hale, chief economist at Realtor.com, in a statement. They can choose to pass higher costs along to consumers, which will mean higher home prices, or try to use less of these materials, which will mean smaller homes. We may see buyer’s willingness to pay rise for existing homes as newly built homes get pricier which would mean rising prices for existing homes, too. “
Category:
E-Commerce
After the president announced tariffs would go into effectsparking a trade war that sent the S&P 500 plummeting 1.8% on Mondaya new meme has begun taking hold on Bluesky: Trump Take Nest Egg. Its being delivered in context-free drops, in response to tariff-centric news clips, and accompanied by screenshots of the stock market declining in real time. While the loaded phrase may leave some observers scratching their heads, it should be instantly recognizable to many folks who have spent too much time online latelyparticularly on Bluesky, where the simple line, “Trump take egg,” has become the go-to meme for commenting on the presidents chaotic second term. The Tarzan-esque catchphrase began as a way to highlight Trumps ownership of the recent egg shortage and subsequent price surge. Joe Bidens critics spent much of the former presidents lone term blaming him for grocery store sticker shock; now, the shoe is firmly on the other foot (especially after the Trump administration made moves like accidentally firing the team responsible for curbing bird flu, which may have directly affected egg prices). Trump Take Nest Egg, the latest iteration of what may be 2025s most infectious phrase, isnt the first time it’s evolved. Though originally used as a caption for photos of depleted store shelves, and still frequently deployed that way, the cadence of the phrase quickly spread to other Trump-related topics. When the president sought to end New York Citys congestion pricing program recently, Blueskiers wrote Trump cause traffic.“ As the so-called Department of Government Efficiency (DOGE) seemingly fed whole segments of the federal government to the wood chipper, it was Trump take job. Some have used the phrase to comment on Trumps broken promises around IVF treatment, which was highlighted in a viral Washington Post profile recently. And of course, many have used the phrase to comment on the abundance of recent plane crashes and near misses. Over the past month, Trump take egg has become a Swiss Army Knife of a meme that has reverberated widely online and off. Its as if social media is putting all their Trump-related memes in one basket. It’s been amazing to see the egg meme organically evolve like it has, says Michael Tae Sweeney, the Daytime Emmy-winning TV and film editor who created it and has egged it on every step of the way. Not just the many variations like Trump take nest egg, but also seeing examples of it out in the real worldpeople holding Trump take egg signs at protests or even slapping Trump take egg stickers on empty supermarket egg cases. The nest egg iteration, however, might be the purest and potentially most resonant distillation of the idea since it initially hatched. While Trump and Elon Musk have both previously admitted there could be temporary pain from the retaliatory tariffs, many of their already-pressed constituents are ill-equipped to weather it. Sweeneys hope, though, is that those consumers will soon have more proactive defenders, armed with better messaging around Trumps actions. With a few notable exceptions like Alexandria Ocasio-Cortez and JB Pritzker, Democratic politicians have so far been unable or unwilling to lend their supporters effective language to express the pain and frustration we’re feeling with Trump’s incompetent and destructive economic policies, he says. That it’s fallen to random idiots like me to step in isn’t great. Of course, no amount of posting on social media will make the president reconsider his least-popular economic initiatives. But its not yet clear if Trump Take Nest Egg signifies the beginning of a bigger offline movement. Scrappy grassroots catchphrases have certainly morphed into nationwide rallying cries before. (Lets go, Brandon, for instance, made its way to Congress.) As variations on Trump take egg burrow into national consciousness, and the anger behind them becomes more visible, it could wind up translating into more public protests. And that might be what it takes for Trumps love of tariffs to crack.
Category:
E-Commerce
Target and Best Buy, two of the country’s largest retail chains, warned their prices will increase after President Donald Trumps 25% tariffs on goods from Mexico and Canada went into effect on Tuesday, sending the stock market plunging more than 650 points and shooting shock waves through the financial system. Adding fuel to the fire, Trump also said he would double tariffs on all Chinese imports from 10% to 20%. The move prompted Canada and China, two key trading partners, to swiftly retaliate with their own tariffs, igniting what many are calling a global trade war. Canadian Prime Minister Justin Trudeau said Canada would now put a 25% levy on U.S. goods, while Mexican President Claudia Sheinbaum said Mexico plans to announce similar measures this weekend. Canada, Mexico, and China together are responsible for more than 40% of all imports by value to American consumers. The Trump administration went ahead with the tariffs, despite experts warning the measures would raise already-skyrocketing prices. And American consumers aren’t happy: 74% believe tariffs will lead to higher prices, and 44% think tariffs will impact their finances negatively, reports a recent LendingTree study that analyzed U.S. Census Bureau data. Which companies and industries are likely to raise prices? Target CEO Brian Cornell said the tariffs could force the company to raise prices this week because the chain imports much of its fruit and vegetables from Mexico during the winter, per CNN. Well try to protect pricing, but the consumer will likely see price increases over the next couple of days, Cornell said. The U.S. imports $46 billion of agricultural products from Mexico, according to USDA data, with fresh fruit, beer, and avocados topping the list. Meanwhile, casual-dining chain Chipotle, which sources about half of its avocados from Mexico, told NBC News it intends to absorb the costs of the tariffs. Electronics makers are also getting caught in the crosshairs. On Tuesday’s earnings call, Best Buy’s CEO Corie Barry said prices were highly likely to increase due to the tariffs on China and Mexico, as vendors “will pass along some level of tariff costs to retailers, making price increases for American consumers.” Barry said this is because “the consumer electronics supply chain is highly global, technical, and complex, and its two top sources for those products are China (55%) and Mexico (20%). The news sent shares plungingdown more than 15% (NYSE: BBY) after the morning bell on Tuesday, despite strong fourth-quarter earnings that topped expectations. Another place where Americans could see price increases is the U.S. automotive industry, which relies heavily on parts from abroad. One industry analyst, Daniel Roeska, said he expects to see “severe disruptions” in profits and supply chains. In fact, the tariffs could add as much as $12,000 to the price of a new car, according to a report from the Anderson Economic Group as reported by NBC News. The American Automotive Policy Council, which represents GM, Ford, and Stellantis, said that their vehicles and parts should be exempt from the tariffs based on negotiations during Trump’s first term. Despite that, shares of Ford (NYSE:F) and General Motors (NYSE:GM), which were already down on tariff fears, dropped more than 2% and 3%, respectively, on Tuesday. AutoZone CEO Philip Daniele also said in September that the auto-parts company would “pass those tariff costs back to the consumer.” So did Columbia Sportswear CEO Timothy Boyle, who told the Washington Post last fall that the company will “just raise the prices. . . . Its going to be very, very difficult to keep products affordable for Americans. States most vulnerable to Trumps tariffs Keeping those products affordable could be harder in some states, including Montana, New Mexico, and Vermont. The LendingTree study found that those three states, in particular, get at least two-thirds of their imports from Canada, Mexico, and China, and are the U.S. states most likely to be affected by the tariff wars.
Category:
E-Commerce
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