Here's how Trump's newly announced tariffs could impact Wisconsin
Experts say nearly half of WI imports come from China, Mexico and Canada
Experts say nearly half of WI imports come from China, Mexico and Canada
Experts say nearly half of WI imports come from China, Mexico and Canada
On Wednesday, President Donald Trump announced sweeping new tariffs, sparking a global trade war and sending stocks into a tail spin.
The DOW dropped nearly 1,700 points — its largest single-day loss since 2020, but the president is still confident.
"The markets are going to boom, the stock is going to boom, the country is going to boom, and the rest of the world wants to see if there is any way they can make a deal," Trump told reporters Thursday.
Experts reacting to the news said the cost will most certainly be passed down on to consumers. People could see prices increase on everything from produce at the grocery store, to coffee, to auto parts and new homes.
Family-owned Reina International Auto in Brookfield sells new Vespas and used vehicles from Italy. Filippo Reina, the store's general manager, said he had a meeting with corporate manufacturers Thursday about altering sales tactics after news of the tariffs.
"I would maybe look at purchasing something now so you could save yourself some money in the future," Reina suggested to customers.
Reina's Vespas are subject to a 20 percent tariff Trump enacted on goods from the European Union.
"A $10,000 bike could potentially be another $2,000," Reina said.
The White House maintains that the tariffs will lower the U.S. trade deficit and boost stateside manufacturing. Some economics experts said it's more complicated than that.
"We may see some industry coming back, but it might be that we have to see who has enough margin, capital investment," said Marko Bastl, the director of the Center for Supply Chain Management at Marquette University.
Bastl also said he didn't know how long a manufacturing transition back to the U.S. would take. Nearly half of Wisconsin's imports come from countries facing the steepest tariffs.
"If you look at the Wisconsin imports, 46 percent are actually coming from Canada, Mexico and China," Bastl said.
"It doesn't make sense to focus in on individual trade deficits with individual countries," said Rick Esenber, the president of the Wisconsin Institute for Law and Liberty. "I always say my wife and I run a huge trade deficit with the local grocery store. We spend a lot of money there, and they don't buy anything from us. And yet, we find value there. And that's what happens with international trade."