#TrumpTariffs
đ Todayâs Highlights
1. Canned food costs are spiking
Doubling steel and aluminum tariffs to 50% is expected to raise canned food prices (like tuna, beans, Spam) by up to 15%, disproportionately impacting low-income Americansâespecially SNAP recipients. Food banks are warning of ririsingfoodinsecurity
2. Small businesses are stressed
Smaller U.S. firmsâespecially those reliant on Chinese importsâare delaying product development, pausing manufacturing, and laying off staff. Tariff uncertainty has diverted resources from innovation to compliance
3. Trade war backfiring
Analysts argue that Trumpâs trade conflict is harming the U.S. economy more than protecting it. Economic growth is slowing, supply chains disrupted, courts have labeled the tariffs unlawful, and public support is eroding .
4. Market volatility in steel
Steel stocks plunged after a sudden policy pivotâtariffs were raised to 50%, then lifted for Canada and Mexicoâhighlighting investor discomfort with erratic trade policy
5. Economic resilience & hidden costs
Despite moderate inflation (~2.4% core) and modest job growth, economists caution mounting hidden impacts: long-term growth slowdown, consumer price hikes, and stifled business investment
đ Big Picture Insight
Domestic industry winners, like some steelmakers, may see short-term gainsâbut many small businesses and consumers face higher costs.
Global supply chains are reorienting toward Mexico and other nations ("nearshoring"), as U.S. tariffs push commerce elsewhere
Legal challenges are intensifying: multiple court rulings have deemed the tariffs unlawful, now awaiting Supreme Court review
Fiscal strategy debate: The CBO reports tariffs could reduce deficits by $2.8Tâbut risks include higher inflation, lower GDP and consumer purchasing power