The independent nonprofit organization Tax Foundation has published an estimate of the total cost to United States (U.S.) households due to the tariffs announced by Donald Trump, the President of the U.S., against Canada, Mexico, and China.
According to estimates, tariffs of 25 percent on Canada and Mexico and 10 percent on China will cost 830 dollars per household annually.
Due to these tariffs, the Tax Foundation states, the U.S. economy will experience a decline of 0.4 percent, while taxes will increase by 1.2 trillion dollars in the period from 2025 to 2034.
They also say that Trump’s previous tariffs, during his first term, ultimately had a negative impact on the U.S. economy.
For the current tariffs, they estimate that they could significantly threaten the strong economic indicators that marked the final year of Trump’s predecessor Joe Biden’s term.
The biggest problem, economists point out, is the initial impact, which will be felt most in the first few months, though they say the tariffs will have no effect on prices for U.S. citizens after 2025.
A report by the U.S. Congressional Budget Office states that the greatest impact will be felt by citizens with the lowest incomes.
It should be noted that, in addition to the tariffs Trump has already introduced, he is expected to soon announce the introduction of tariffs on goods from the European Union (EU).
