The tariffs are coming! And Republicans are going to be super unhappy when they realize that it will affect them more than Trump told them. Oopsie!
Business Insider reports that executives from a variety of companies have already announced that “price hikes are on the way if President-elect Donald Trump’s tariff plans go into effect.”
Just as a reminder, over the last few months of his frenetic campaign, Trump promised tariffs of 25%, 60%, 100% and 200%. Who knows where or what he will tariff!! It is a big surprise! Like when you bite into a chocolate chip cookie and realize the chocolate chips are actually raisins – not a good surprise.
If Trump blankets all imports from, say, China or Mexico, that would be bad. They are some of our biggest trading partners for goods that span auto parts, food and day-to-day goods and sundries. And those tariffs are obviously passed on to consumers who buy, even though Trump convinced his supporters that the selling country would pay the tariff.
In response, companies have started to publicly and privately talk about how these tariffs would impact the cost of their goods. Executives “have told analysts on earnings calls that it would be difficult to maintain current prices under Trump’s broad tariffs.” That means prices go UP. For consumers.
Cosmetics company ELF (great products at really good prices) are holding back on raising prices now, telling Business Insider that the company must first see the policy Trump enacts before making any changes to its pricing and that a new policy wouldn’t affect the business until after its 2025 fiscal year.”
But other companies are being more proactive about their potential plans.
Autozone told analysts in September on an earnings call that tariffs policies had “ebbed and flowed over the years,” but that if Trump implemented more tariffs, “we will pass those tariff costs back to the consumer. We generally raise prices ahead of that…So, that’s historically what we’ve done,” he said.
Columbia Sportswear told analysts on an October earnings call that they are “very concerned about the imposition of tariffs ” and that “trade wars are not good and not easy to win.” They further said that “it’s going to be very, very difficult to keep products affordable for Americans.”
Stanley Black & Decker told analysts on an October earnings call that they were evaluating “a variety of different scenarios” and that “obviously, coming out of the gate, there would be price increases associated with tariffs that we put into the market.”
These are companies that everyone uses – not just woke liberals, coastal elites or the top 1%. But, anything to own the libs! Enjoy that drill going from $29.99 to $49.99 and your tires jumping 60% just because Trump told you China would pay for it.
