Trump tariffs could cost Massachusetts billions
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Massachusetts residents have narrowly avoided the worst of the tariff fallout — for now, anyway — but could still see prices rise on electronics, clothing and other Chinese imports.
Why it matters: The Trump administration's proposed tariffs target Mexico, Canada and China, Massachusetts' largest trade partners.
Catch up quick: The tariffs against China took effect Tuesday.
- Trump paused the tariffs on Mexico and Canada for a month after he and their leaders reached deals.
Threat level: The tariffs on China alone could have an estimated $320 million impact on the Massachusetts economy, per Trade Partnership Worldwide.
- A 10% tariff on Chinese imports could increase the prices of electronics, from TVs to smartphones, and other products.
Yes, but: If Trump goes forward with Mexico and Canada tariffs, the cost could be closer to $4 billion.
- The Canadian tariffs would affect imports on maple syrup, car parts and lumber, which face a 30% levy. The lumber levy would hurt affordable housing production in Massachusetts, Gov. Maura Healey said Monday.
- A 10% tariff on Canadian gas would affect prices at the pump and home heating bills. Irving Energy, which serves homes in northern New England, already told customers it would pass the costs along to them.
Plus: Before the deal with Trump, Canada planned to impose its own 25% tariff on various American products, which would have included tomatoes, e-cigarettes, clothing and meat products.
What they're saying: Healey told reporters she was concerned about not only the impact on housing production but also the panic and uncertainty these announcements can create for business owners.
- "For them to now have to spend time and money and energy on trying to figure out where their supply chain is going to be affected ... that doesn't help us move forward."
Axios Boston reporter Mike Deehan contributed reporting.
