CTA warns that tariffs could lower U.S. consumer purchasing power by $90B to $143B

Consumer Technology Association warned today tariff In Canada, Mexico and China will cheer for inflation and damage US consumers’ purchasing power to $90 billion to C$143 billion.

“I’ve said it before, I’ll say it again: Tariffs are taxes on U.S. and U.S. businesses, not foreign governments or companies. Import tax rates in Canada, Mexico and China will increase American prices when inflation and affordability are their biggest concern. Tariffs will drive higher inflation when we need to lower inflation in order to lower interest rates.”

It is expected to take effect on Canada and Mexico tonight, while Chinese tariffs are already in effect. Trump administration believes tariffs will help bring manufacturing jobs back to the United States

Shapiro said that if we could lower interest rates by two points, we could reduce the annual interest rate on Treasury bonds by more than $700 billion. He said tariffs will stimulate inflation, not just groceries. this Entertainment Software Association It also said it was concerned about the impact of tariffs on the game.

CTA Research show Tariffs make technology products that Americans like more expensive. CTA research shows that if President Trump proposes implementation during his campaign, tariffs could lead to a drop of $90 billion to $143 billion in technology products that U.S. consumers can buy.

“More importantly, tariffs will intensify our relationship with Canada and Mexico, two of our closest neighbors and major trading partners,” Shapiro said. “These countries have committed retaliation against U.S. exports, causing greater damage to the U.S. economy and creating a harmful retaliatory tariff cycle. Tariffs are tools to resolve trade disputes, not political negotiation chips for issues like immigration or drug control.”

“We urge President Trump to focus on reaching agreements with our trading partners, which allows us to take a step back, lift us out of the expensive trade struggle and fuel the U.S. economy, fight inflation, and protect millions of Americans’ pocket books.”