Trump’s Tariffs: 3 Home Appliances That May Get More Expensive If Trump Wins the Election
Written by
T. Woods
Edited by
Amber Barkley
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Current Republican presidential candidate and former President Donald Trump has pushed hard in recent months for tariffs — a tax that one government levies upon another for importing goods — as a solution for many of America’s economic problems, such as the decline of domestic manufacturing, childcare costs, the number of undocumented immigrants in the U.S. and much more.
Indeed, Trump has proposed multiple tariffs upon foreign nations who trade and import goods with the U.S.
Potential Economic Effects of Tariffs
“To me, the most beautiful word in the dictionary is ‘tariff,'” Trump said during an October appearance at The Economic Club of Chicago, ABC News reported. The former president made the case that high tariffs on trade would mobilize the U.S. workforce to generate products — and thus, jobs — in higher numbers to fill the trade vacuum.
Economists, however, told ABC News that the proposed tariffs would be far more likely to cause “a global trade war, diminishing sales for U.S. exporters, which account for about 10% of the nation’s economy. The disruption would likely trigger job cuts and slow the nation’s economic performance.”
The consequences of those tariffs — and the potential ensuing trade war — could have a considerable impact on your wallet. As The Washington Post reported, nearly all shoes and footwear in America are imported. Additionally, the Washington Post noted that 90% of tomatoes sold in the U.S., are imported, and the country does not have the climate conditions needed to produce such other popular food items as coffee, bananas and avocados on the scale to which consumers are accustomed.
Tariffs on these items could drive importers to raise their prices, meaning you’d feel this possible tariff war in your bank account.
If history is any indication, you could feel it at home, too. In his first presidential administration, Trump levied a number of tariffs against foreign nations, the results of which were steep price hikes for many items — including home appliances. Here are a few you’re likely to see impacted by a tariff war.
Washing Machines
A 2019 study by researchers from the Federal Reserve Board and the University of Chicago found that after then-President Trump imposed a 20% tariff on washing machines, the average price on such devices spiked by 12% — approximately $86 to $92 more than usual.
Expect a similar price hike in the future if further tariffs on manufacturing importers are imposed.
Clothes Dryers
That same study found that clothes dryer costs increased along with washing machines, running roughly 5% to 17% more than average.
Large Kitchen Appliances
Also in 2019, NPR noted that some American companies, like Whirlpool, were finally able to raise their prices, which had long been rather low in order to compete with foreign manufacturers, due to new — at the time — tariffs.
While that price hike helped the company compete with its competitors, Trump also imposed tariffs on aluminum and steel, materials necessary to the manufacture of Whirlpool products. The company was then forced to raise their prices even higher, which sent the cost of their many kitchen products — items such as refrigerators, oven ranges and dishwashers, sold under their various satellite brands like Maytag and Jenn-Air — skyrocketing.
While it remains to be seen where Trump will actually impose any tariffs were he to win the election, if history is any indication, the results could send the costs of home goods and appliances through the roof.
Editor’s note on election coverage: GOBankingRates is nonpartisan and strives to cover all aspects of the economy objectively and present balanced reports on politically focused finance stories. You can find more coverage of this topic on GOBankingRates.com.
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