Trump rolls out sweeping new tariffs: what you need to know
Donald Trump rolls out sweeping tariffs while promising to free the US
President Donald Trump announced sweeping new tariffs in a move that could raise prices on everything from housing to cars to groceries.
PHILADELPHIA - President Donald Trump rolled out a set of tariffs that he said would free the United States from a reliance on foreign goods.
What we know:
With his plan in hand, President Trump announcing his long-awaited tariffs that he says will help bring manufacturing jobs back to the United States and rebalance the $918 billion trade deficit.
"Jobs and factories will come roaring back to our country and you see it happening already," Trump stated. "We will supercharge our domestic industrial base. We will pry open foreign markets."
'It's our turn to prosper': Trump announces 10% baseline tariffs on imports from all countries
Trump has repeatedly called April 2 "Liberation Day," with promises to roll out a set of tariffs that he says will free the U.S. from a reliance on foreign goods.
By the numbers:
Among the first to be hit is the auto industry, starting at midnight.
According to a Michigan think tank, consumers can expect to pay an extra $2,500 to $5,000 for North American sedans, small crossovers or mid-size SUVs.
For European and Asian luxury models and large SUVs, expect to pay an extra $20,000.
What they're saying:
Economists say consumers will begin to adjust.
"As an economist, we see some substitution effect. So, instead of a Honda Accord, you may buy a Honda Civic. Instead of a Chevy Suburban, you may buy a midsize," Economist with Anderson Economic Group, Ilhan Geckil, said.
Timeline:
Along with the automobiles, a baseline 10 percent tariff is set to go into effect on Saturday on all imported goods.
Then, on April 9th, higher reciprocal rates will be placed on countries with tariffs against the United States.
While the White House calls it liberation day, Democrats see it differently. Minority House Leader, Hakeem Jeffries, stated, "It’s not liberation day, it’s recession day."
Why you should care:
It’s expected companies will first feel the impacts of the tariffs, followed by consumers. If you are car shopping, do it now.
Geckil continued, "We will see the impact of prices not tomorrow or next week. It’s going to take some time. A month, maybe, or a little more, so if you are a consumer, if you are planning to buy, buy within a month."