Cantwell Statement on Major Trump Tariff Announcement

Cantwell Statement on Major Trump Tariff Announcement

Auto tariffs could increase car prices by up to $15,000 - the Port of Vancouver, WA is the largest importer of Subarus in the U.S.

WASHINGTON, D.C. - Today, President Donald Trump announced a "National Economic Emergency," and signed an executive order declaring a 10% minimum baseline tariff on all countries as well as additional tariffs on nearly 60 countries. The baseline tariff will go into effect April 5 and additional reciprocal tariffs will go into effect April 9. Also included in today's announcement, Trump reiterated his intention to impose a 25% tariff on all imported automobiles starting at 12AM on April 3. U.S. Senator Maria Cantwell, ranking member of the Senate Committee on Commerce, Science, and Transportation and senior member of the Senate Finance Committee, released the following statement:

"As a representative of one of the most trade dependent economies in America, I disagree with President Trump's tariffs. His announcement today will hurt sectors we care about: agriculture, manufacturing, and tech," Sen. Cantwell said. "And ultimately, consumers will pay the price. It's time for Congress to take action to counter the president's trade war."

Trump's reciprocal tariffs set to take effect April 9 include:

• China - 34%
• EU - 20%
• Vietnam - 46%
• Taiwan - 32%
• Thailand -36%
• Indonesia - 32%
• Switzerland - 31%
• India - 26%
• South Korea - 25%
• Japan - 24%
• Malaysia - 24%
• Israel - 17%
• Cambodia - 49%

In Washington state, two out of every five jobs are tied to trade and trade-related industries.

Today's announcement is in addition to previous tariffs President Trump announced over the past few weeks, including on goods from Mexico, Canada, and China. More information about how those tariffs will affect consumers and businesses in the State of Washington can be found HERE.

Those tariffs will also have significant impacts nationwide:

• A 25% tariff on all Canadian and Mexican goods would add an estimated $144 billion a year to the cost of manufacturing in the United States.
• Tariffs on Canada and Mexico could increase U.S. car prices by as much as $15,000.
• According to the Yale Budget Lab, Trump's proposed tariffs would result in the highest U.S. effective tariff rate in more than 80 years, and depending on the level of retaliation by other trading partners, will result in increased costs of between $1,600 and $2,000 per household. According to their analysis, food, clothing, cars, and electronics will all see above-average price increases.

The tariffs could also impact West Coast ports that import automobiles, such as the Port of Vancouver, WA, which is the largest gateway for Subaru imports in the country. In 2023, 98,000 Subarus came through the Port of Vancouver.

Last month, Sen. Cantwell joined the Washington Council of International Trade for a Q&A session on the whiplash caused by the administration's chaotic tariff policies - and how they particularly harm the Pacific Northwest, which is among the most trade-dependent regions in the country. Sen. Cantwell said that the current administration's approach to trade focuses on punitive tariffs, even with America's largest trading partners and closest allies, as opposed to innovation and alliance-building. That ethos is fundamentally at odds with how the Pacific Northwest has historically built its trade-oriented economy.

Sen. Cantwell has remained a steadfast supporter of increased trade to grow the economy and keep prices in check in the State of Washington and nationwide. Sen. Cantwell was the leading voice in negotiations to end India's 20% retaliatory tariff on American apples, which was imposed in response to tariffs on steel and aluminum and devastated Washington state's apple exports. India had once been the second-largest export market for American apples, but after President Trump imposed tariffs on steel and aluminum in his first term, India imposed retaliatory tariffs in response and U.S. apple exports plummeted. The impact on Washington apple growers was severe: Apple exports from the state dropped from $120 million in 2017 to less than $1 million by 2023. In September 2023, following several years of Sen. Cantwell's advocacy, India ended its retaliatory tariffs on apples and pulse crops which was welcome news to the state's more than 1,400 apple growers and the 68,000-plus workers they support.

For the past three months, President Trump has been sowing economic chaos across the country with unpredictable and ever-changing tariff announcements. His back-and-forth announcements and actions, which have whipsawed American businesses and consumers, as well as close neighbors and allies, include:

• On January 31 -- citing punishment for failing to crack down on fentanyl trafficking -- the Trump administration announced plans to impose a 25% tax on many goods imported into the U.S. from Canada and Mexico and a 10% tax on goods imported from China, then abruptly postponed those tariffs.
• Last month, he doubled down, announcing an additional 25% tax on all steel and aluminum imports.
• At 12:01 a.m. ET on March 4, President Trump's long-promised 25% tariffs on goods from Mexico and Canada and 10% tariff increase on goods from China took effect, causing stock prices in the United States to plummet.
• Then, on March 5, he announced that automobiles from Canada and Mexico would be exempt from his tariffs for one month.
• The morning of March 6, he announced that he would suspend the tariffs for some products from Mexico. Then, later that same afternoon, he announced he was suspending most new tariffs on products from both Mexico and Canada until April 2.
• On March 11, Trump threatened to double tariffs on Canadian steel and aluminum - increasing them to 50% - before reversing himself later the same day.
• On March 13, he threatened 200% tariffs on alcoholic products from the European Union, including all wine and Champagne.
• On March 27, he announced plans to impose a 25% tax on all imported sedans, SUVs, crossovers, minivans, cargo vans, and light trucks, as well as some auto parts, beginning on April 2.
• On March 29, President Trump said, "I couldn't care less," if automakers raise the price of cars in response to his tariffs.

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