How will Trump's tariffs impact Massachusetts consumers? Many businesses are worried
Massachusetts businesses are worried that President Donald Trump's tariffs will create higher prices for consumers.
Tariffs could mean higher prices
Declan Gallagher of R. Gallagher & Sons, which remodels homes, said inflation has sent the cost of remodeling skyrocketing. Now, he's afraid costs will get steeper as lumber imported from Canada will now be subject to a new 25% tariff.
"It's definitely going. It has been for quite some time now," Gallagher said.
Oscar Cabrera, a grocery store delivery driver, expects to see his climbing receipts go even higher when the 25% tariff impacts produce from Mexico.
"At some point, we're gonna be paying two or three dollars for an avocado," Cabrera predicted.
"It's a safe bet that that's going to result in higher prices for Americans," said Boston College Economics Professor Peter Ireland. "Luckily, the federal government benefits because tariffs are a source of tax revenue."
Canada said retaliation possible
And countries being hit by the tariffs are furious. Canadian Prime Minister Justin Trudeau has warned that the upcoming changes could be costly. He has warned of retaliation if the U.S. doesn't back down.
"He is rapidly going to find out, as American families are going to find out, that's going to hurt people on both sides of the border, " Trudeau said.
Who is likely to weather the storm?
But tariffs may not impact everyone.
Retail giants like TJX, owner of T.J. Maxx and Marshalls, may be able to weather the storm by relying on excess merchandise that's already in the U.S.
When Karen Hicks, of Watertown, had to shop for her granddaughter's school dance, she headed to Marshalls.
"Brand-name stuff for decent prices," she said. "Everything has gone up. Marshalls - pretty much the same."
