#TrumpTariffs President Trump's tariffs aim to protect US industries, but they also have significant economic implications. Here's a breakdown¹:

*Tariff Details*

- *Steel and Aluminum Tariffs*: Increased to 50% on June 4, 2025, after being doubled from 25%

- *Automobile Tariffs*: 25% tariff on autos and certain auto parts, exempting USMCA trade

- *Universal Tariff*: 10% tariff on all imported goods, with some exclusions

- *China Tariffs*: Total tariff of 145% on Chinese goods, including 20% "fentanyl tariff" and 125% "reciprocal tariff"

*Economic Impact*

- *GDP Reduction*: Estimated 0.8% reduction in long-run US GDP, with potential for further decline due to retaliatory tariffs

- *Job Losses*: Estimated 142,000 full-time equivalent jobs lost due to tariffs

- *Tax Revenue Increase*: $156.4 billion increase in federal tax revenues in 2025, making it the largest tax hike since 1993

*Retaliation and Trade Agreements*

- *Retaliatory Tariffs*: China, Canada, and the European Union have announced or imposed retaliatory tariffs, affecting $330 billion of US exports

- *USMCA Exemption*: USMCA trade is exempt from some tariffs, but not all

- *WTO Dispute*: The US won a WTO dispute against the EU, authorizing tariffs on $7.5 billion worth of EU goods

*Potential Consequences*

- *Inflation*: Tariffs can lead to higher prices for consumers and increased costs for businesses

- *Trade War Escalation*: Retaliatory tariffs can escalate trade tensions and harm the global economy

- *Economic Uncertainty*: Tariffs can create uncertainty and volatility in financial markets²