MU professor: Tariffs could mean higher prices for Missourians
An MU professor said Tuesday President Trump’s tariff proposals on steel and aluminum could mean higher prices for Missourians.
MU Economics Professor Saku Aura said Missourians would see higher prices for things such as cars, beer and soft drinks.
“This might affect the competitiveness of American car makers," Aura said. "So, we might have affects on employment that are negative, too, from these tariffs.”
The president argued his tariff plan protected American industries. Trump tweeted, “We have large trade deficits with Mexico and Canada. NAFTA, which is under negotiation right now, has been a bad deal for U.S.A. Tariffs on steel and aluminum will only come off, if a new and fair NAFTA agreement is signed.”
“There has only been an announcement," Aura said. "The policy is not in effect. There is some hope that maybe cooler heads will prevail.”
The president plans to impose a 25 percent tariff on steel and a 10 percent tariff on aluminum.
Aura said the president’s proposed tariffs raised the possibility of a trade war with China and other key trading partners. Trump said imports are coming into America and putting our steel and aluminum companies out of business.
Trump said the tariffs are a campaign promise he intends to keep.