U.S. officials, including Commerce Secretary Howard Lutnick and Treasury Secretary Scott Bessent, announced impending tariffs on imports from Canada and Mexico. While specific tariff percentages are yet to be disclosed, it is anticipated that this will increase consumer prices on a variety of goods. Additionally, Bessent revealed plans for an affordability czar to help mitigate inflationary pressures on working-class Americans.
Commerce Secretary Howard Lutnick indicated that the United States plans to implement tariffs on imports from Canada and Mexico, potentially beginning Tuesday. Although specific levels are yet to be confirmed and will be determined by President Donald Trump, Lutnick emphasized the likelihood of tariffs being enacted soon. Notably, Trump had earlier proposed a 25% tariff on most imports from Mexico and a similar duty on Canada, with exceptions for energy products. Furthermore, a 10% tariff on Chinese goods has already been imposed and could see another increase soon.
Economists anticipate that tariffs on the United States’ chief trading partners will elevate the prices of essential consumer goods, affecting a range of products including clothing, electronics, food items, and vehicles. Despite a recent decline in inflation rates, American consumers and businesses are expected to continue coping with the long-term pressure of inflation due to these tariffs.
In a statement on CBS News, Treasury Secretary Scott Bessent mentioned that Mexico has signaled its willingness to reciprocate tariffs on China, noting that a similar approach from Canada would be beneficial. He remarked, “that would be a very good start,” suggesting that both countries could respond by imposing tariffs as soon as Tuesday, pending the unveiling of U.S. tariffs.
To mitigate inflationary challenges, Secretary Bessent announced the creation of an “affordability czar” tasked with identifying key areas for intervention that would positively impact working-class Americans. He also proposed the idea of establishing an “affordability council” to address ongoing economic pressures. Bessent reassured Americans that they need not be overly concerned about rising prices, citing previous instances when tariffs did not impact the costs significantly.
Nevertheless, a report from the free-trade coalition Tariffs Hurt the Heartland reveals that U.S. companies incurred $46 billion more in tariffs than would have been the case without Trump’s policies. Bessent outlined a comprehensive strategy that includes tariffs, regulatory cuts, and measures to reduce energy costs. He expressed optimism for a continued decrease in inflation throughout the year.
Treasury Secretary Scott Bessent’s recent announcements regarding an impending series of tariffs on goods from Canada and Mexico have raised concerns about potential price increases for American consumers. The establishment of an affordability czar aims to alleviate these pressures, although historical data indicates that tariffs have previously led to significant financial burdens on U.S. companies. The administration’s approach suggests a proactive stance on managing inflation, though the implications for the economy remain to be fully understood.
Original Source: www.cnn.com
