Tariffs = Taxes. I am not saying that because I am a libertarian. I am saying it because people should understand that when these tariffs go into place they will affect the prices of goods we buy every day.

I agree with some of the President's economic agenda, but for the life of me I cannot understand the logic here. If this winds up really going into place, watch for a wave of companies to start talking about how the tariffs are hurting their business.

So if I am Ford and I import steel and other parts from China, my COGS (cost of goods sold) just rose a lot. So I have a few choices.

1) I eat the margin myself, change nothing else.
2) I eat the margin but raise the price of the trucks I sell to offset that increase in costs
3) I fire a bunch of people in order to offset my costs, so I can keep the price of the trucks the same.

Option 1 is going to occur on the first of Neveruary.
Options 2 and 3 hurt consumers.