PLATTSBURGH, N.Y. (WCAX) – Economists are saying you could pay up to $1,000 more a year for general cost of living expenses after President Trump’s tariffs go into effect on Saturday.
According to Trump, the goal of the tariffs is to address the trade deficit that he says is caused by undocumented immigrants coming across the border. But how will it affect North County manufacturing?
“It’s the buyer that pays the tax, not the seller,” said North Country Chamber of Commerce President Garry Douglas.
President Trump’s 25% tariffs on Canadian imports loom large over the North Country and Quebec.
“It would knock more than one percent off the GDP of the United States and three percent off the GDP of Canada, probably pushing it into recession,” said Douglas.
Douglas says the tax would hit the North Country hard, impacting sectors like tourism, local businesses, manufacturing, and critical energy supply.
“100% of our natural gas comes down through a pipeline, two pipelines actually, from Canada. So, if you are a natural gas customer using it to heat your home this winter, look out. You are going to have a 25% increase in your gas costs,” said Douglas.
Quebec’s delegate general for the mid-Atlantic David Brulotte says they are ready to tackle any issues that come their way. “What our Premier reiterates is that nothing is off the table. We will see what comes our way. Let’s be calm about this. Let’s be strategic about this,” he said.
One possible solution is entering renewal talks on the United States, Mexico, and Canada trade agreement.
“The conversation about the renegotiation of USMCA was supposed to happen in 2026. I think now there is not a relative consensus that if it happens earlier for the benefit of us all, including not imposing tariffs, that is probably the best way forward,” said Brulotte.
According to Capital Economics, if fully enacted, the tariffs could drive up inflation.
President Trump has cited the need to boost U.S. manufacturing as another reason for the tariffs, though data to support that claim is mixed.
