Exports

Low-income Americans could be most affected by new U.S.-Mexico tariffs

Trump himself.
Photo: Henry Nicholls - WPA Pool/Getty Images

Low-income and fixed-income Americans may bear the brunt of President Trump's newly announced tariffs on Mexican goods, AP reports.

The big picture: Trump announced last week that he plans to levy a 5% tax on Mexican imports, increasing that number up to 25% in the ensuing months if Mexico does not address the flow of immigrants at the southern border. As the cost of everyday goods rises, low- and fixed-income households are expected to take the biggest hit. Meanwhile, more well-off households may be unaffected by the incremental increase in costs.

Expert Voices

During Trump visit, Abe aims to reinforce ties and smooth trade strains

Donald Trump and Shinzo Abe standing side by side
President Trump with Prime Minister Shinzo Abe in Yokosuka, Japan. Photo: Athit Perawongmetha - Pool/Getty Images

Japanese Prime Minister Shinzo Abe designed an elaborate visit for President Trump, complete with golf, a sumo championship, warship tours and a meeting with the new emperor and empress. But the pageantry couldn’t paper over every crack between the two leaders.

The big picture: Discussions of bilateral trade and North Korea’s missile program left Abe struggling to accommodate Trump. Yet he knows how much hinges on their alliance and will do all he can to ensure Japan and the U.S. remain steady partners.