#TrumpTariffs President Trump's tariffs aim to protect US industries and raise revenue, but they also have significant economic implications. Here's a breakdown ¹:

- *Tariff Types*:

- *Section 232 Tariffs*: Imposed on steel and aluminum imports to protect national security, with rates increased to 50% on steel and 25% on aluminum.

- *Section 301 Tariffs*: Imposed on Chinese products, currently accounting for $77 billion of the $79 billion in tariffs, with rates ranging from 25% to 100%.

- *IEEPA Tariffs*: Imposed on Canada, Mexico, and China, with rates of 25% and 10% respectively, citing national emergencies.

*Economic Impact*:

- *GDP Reduction*: Estimated 0.2% reduction in long-run US GDP due to Section 232 and Section 301 tariffs, with potential for further reduction if IEEPA tariffs are upheld.

- *Job Losses*: Estimated 142,000 full-time equivalent job losses due to tariffs.

- *Revenue Increase*: Tariffs expected to raise $156.4 billion in federal tax revenues in 2025, or 0.51% of GDP.

*Trade Partners' Response*:

- *Retaliatory Tariffs*: Countries like China, Canada, and the EU have imposed or announced retaliatory tariffs, affecting $330 billion of US exports.

- *WTO Disputes*: The US has been involved in WTO disputes with the EU and China, resulting in authorized tariffs on certain products.

*Potential Consequences*:

- *Higher Prices*: Tariffs can lead to higher prices for consumers and businesses, potentially reducing demand and economic growth.

- *Supply Chain Disruptions*: Tariffs can disrupt global supply chains, impacting industries that rely on imported goods.

- *Trade Agreements*: The Trump administration's tariffs may impact ongoing trade negotiations and agreements.