Expect Utah Prices to Rise as International Tariffs Take Effect

Utah business owners are beginning to sweat as tariffs on Mexico and Canada imports are expected to go into effect today. 

President Donald Trump stated the tariffs are meant to punish America’s neighboring countries for allowing illegal immigrants and illegal narcotics like fentanyl into the country. 

Our news partners with ABC4 Utah spoke with experts around the state to find out how these tariffs could impact businesses in the beehive state. 

One of these experts is Jonathan Freedman, the President and CEO of the World Trade Center in Utah. 

Freedman told ABC4 Utah, “Twenty-five percent of jobs within the state rely on international trade… which equates to about 433,000 jobs in Utah. That’s significant.” 

The White House released a statement explaining why the tariffs need to happen, calling it a matter of national security. 

The White House said, “Tariffs are a powerful, proven source of leverage for protecting the national interest. President Trump is using the tools at hand and taking decisive action that puts Americans’ safety and our national security first.” 

ABC4 said these tariffs are expected to impact automobile, technology, agricultural, and crude oil imports. The Associated Press reports the tariffs will likely lead to higher grocery prices and higher gas prices.  

Freedman told ABC4 Utah, “We’re a state built up of small and medium-size companies… there’s pros to that: We’re resilient, we’re innovative, we’re industrious, we’re nimble. But on the flip side, we’re uniquely susceptible to things like tariffs, where we don’t have large companies that can deploy capital and bring manufacturing onshore quickly. That’s hard for us to do.” 

An example of the consequences would be an increase in new car prices between $4,000 to $10,000. This depends on the type of make and model of the vehicle like small SUV’s and compact cars which often use parts manufactured outside of the country. 

ABC4 said, “On the national level, U.S. stocks plummeted on Monday after President Trump confirmed the tariffs would be imposed. Experts say it will take some time to gauge the full effects of the tariffs, but business will continue. If you have your own business in the state and want help or insight on how to move forward, you can contact the World Trade Center.” 

Check out the full article going deeper into these tariffs on ABC4 Utah’s website.