Summary
Republicans are now openly admitting that Donald Trump’s new tariffs, set for April 2 or “Liberation Day,” will hurt American consumers.
Senator Tim Sheehy acknowledged “short-term pain” for Montana, comparing it to home remodeling, while Senators Tuberville and Lankford used similar metaphors about temporary discomfort.
Meanwhile, Trump told NBC he “couldn’t care less” if car prices rise, contradicting his campaign claims that foreign countries would bear tariff costs.
The tariffs, which include 25% hikes on Canadian and Mexican imports and 10% on Chinese goods, will impact everyday items like groceries, cars, and construction materials, affecting nearly every U.S. sector.
Even if there’s a coherent policy goal behind the tariffs, which I doubt, achieving that goal with punitive taxes on undesirable goods means that the greatest burden falls on people with the lowest income. Reaching the same goal with promotional tax incentives means the burden is paid through our normal, slightly progressive tax system and falls more on the wealthy. Tariffs and sales taxes are the worst kind of taxes.