Trump's tariffs war with China has hurt almost every segment of the US economy
Trump has come close to accomplishing something seemingly impossible: tariffs that benefit almost no one.
Trump's trade war with China has hurt almost every segment of the US economy, and created very few winners. The losers include not only consumers, but also firms and the workers they employ, from farmers losing their export markets to manufacturers forced to pay higher input costs. Even the US auto industry, which did not ask for Trump’s “protection”, is worse off overall because it has to pay more for imported steel and auto parts.
U.S. GDP growth is expected to slow by 0.3 percentage points from late 2019 into 2020 because of the trade war, estimates Nomura. It’s now certain Trump’s new 25 percent tariffs will stoke inflation as these will impact all consumer goods imported from China, said Nomura.