Analysis: Trump’s Tariffs Could Cost NC Households $3,954 Annually

The Harris-Walz campaign claims Trump's policies could raise costs for 4.4 million NC households by $3,954 annually, impacting 95% of Americans.

October 16, 2024

Article Summary –

The Harris-Walz campaign argues that Trump’s tariffs and tax plans would raise costs by nearly $4,000 annually for NC households, primarily affecting lower-income Americans. An ITEP report claims tariffs could raise costs by $2,872 annually per household and cause job losses, benefiting the rich.

Harris-Walz Campaign Responds to Analysis, Claims Trump’s Policies Will Raise Costs for North Carolina Families

Republican presidential candidate Donald Trump’s tariff and tax proposals would increase taxes for 95% of Americans, according to a new analysis by The Institute on Taxation and Economic Policy (ITEP). The former president’s proposed tariffs would be passed onto consumers, with 80% of Americans paying an average of $2,872 more annually.

Trump’s agenda includes a 20% tariff on imported goods and a 60% tariff on Chinese imports, and he has discussed tariffs up to 2,000% on foreign vehicles. ITEP warns these tariffs would effectively tax American households, harm import-dependent businesses, and result in job losses.

While Trump argues tariffs could raise trillions, experts believe the economic costs outweigh benefits. ITEP states such tariffs would disrupt the economy, increase prices on imported goods, harm import-reliant industries, and raise prices for domestically produced items.

The food sector, where 15% of the supply is imported, would be badly affected. If tariffs are imposed on food products, prices would rise, impacting American grocery stores and consumers. The Yale Budget Lab projects the annual cost could reach $7,600 per household.

Morgan Stanley economists estimate 70,000 fewer jobs created monthly due to these tariffs. ITEP’s analysis covers Trump’s other tax plans, like extending the 2017 tax law and repealing clean energy tax credits.

Overall, Trump’s proposals benefit the richest, with a tax cut for the top 5% and increases for other groups. Affected households in North Carolina could see costs rise by $3,954 annually, according to a Harris-Walz campaign report. The analysis reveals many of Trump’s plans favor the wealthy while new tariffs would raise taxes on everyone else, impacting working-class families the most.