How Will the Tariff War Affect Minnesotans?
According to MoneyCNN, two weeks ago Walmart requested the Trump administration back down on it's planned tariffs on Chinese goods to no avail.
We could see prices start to rise as early as next week. Both Walmart and Minnesota based Target stores stand to have to either raise their prices to consumers or take the hit. I think we know which way that will go.
The 10 percent tariffs start next week and will rise to 25 percent by the end of the year. So, most likely, what cost you $100 at Walmart or Target before will cost you at least $125 by the end of the year.
Walmart's customer base is made up of mostly.of low to middle income buyers. These are the people that Trump campaigned to help.
And it's not just the big retailers that will get hit. Many manufacturers in the US rely on parts and materials from China. Take bicycles, for example. A regular bike you'd find at Walmart or Target requires about 40 different parts to assemble, all of which are imported.
It all seems so misguided. From dog leashes to washing machines, be prepared to pay more next year.