By using this site, you agree to the Privacy Policy and Terms & Conditions.
Accept
Okay.ngOkay.ngOkay.ng
Font ResizerAa
  • News
    • Politics
  • Entertainment
  • Business & Economy
  • Sport
  • Tech
Reading: US Tariffs Expand: Price Hikes Loom, Trade Tensions Escalate
Share
Font ResizerAa
Okay.ngOkay.ng
  • News
  • Entertainment
  • Business & Economy
  • Sport
  • Tech
Search
  • News
    • Politics
  • Entertainment
  • Business & Economy
  • Sport
  • Tech
Follow US
  • About Okay.ng
  • Advertising on Okay.ng
  • Contact Okay.ng
  • Careers
  • Meet the Team behind Okay.ng
  • Ownership and Funding of Okay.ng
  • Editorial Principles at Okay.ng
© OKN MEDIA PUBLISHING 2022 - All rights reserved
International

US Tariffs Expand: Price Hikes Loom, Trade Tensions Escalate

Genesis Obong
By Genesis Obong
Published: March 12, 2025
Share
5 Min Read
Trump trade War
SHARE

The United States has solidified its stance on international trade, implementing expansive tariffs on steel and aluminum imports “with no exceptions or exemptions,” as promised by the White House. This move, while fulfilling a campaign pledge, has ignited a wave of global trade tensions and raised concerns about potential price increases for American consumers.

As these 25 percent duties take effect, the immediate impact is a projected rise in production costs for a wide array of goods, from household appliances to automobiles. “It wouldn’t surprise me to see the tariffs pretty quickly show up in prices,” stated Clark Packard, a research fellow at the Cato Institute, highlighting the potential for increased consumer expenses.

This is not just numbers; it affects everyday people’s budgets, their ability to purchase essential goods, and the overall cost of living.

The European Commission has swiftly responded, announcing “a series of countermeasures” effective April 1, citing “unjustified trade restrictions” from the United States. “We deeply regret this measure,” declared European Commission chief Ursula von der Leyen, emphasising the retaliatory nature of their response. This tit-for-tat dynamic underscores the escalating trade war, with potentially far-reaching economic consequences.

President Trump’s trade policies have been characterised by a series of aggressive moves against major U.S. trading partners, including Canada, Mexico, and China. The latest levies heavily impact Canada, a significant supplier of both steel and aluminium to the U.S., according to EY chief economist Gregory Daco. The broader implications extend to other key suppliers, such as Brazil, Mexico, the United Arab Emirates, and South Korea.

The layering of these new tariffs onto existing restrictions creates a complex landscape for international trade. For instance, some Canadian and Mexican steel and aluminium products could now face a 50 percent tariff rate, unless they comply with the US-Mexico-Canada Agreement (USMCA). This uncertainty has contributed to market volatility, with Wall Street indexes experiencing significant declines.

Read Also: US Tariffs Threaten Global Inflation, Nigeria at Risk, Warns CBN Governor

While President Trump downplays fears of an economic downturn, his administration acknowledges the “bumpy” nature of these trade negotiations. “It is a transition,” stated White House senior counsellor Peter Navarro, framing the volatility as a necessary part of the process. However, for manufacturers and consumers, this “transition” translates to real-world challenges.

The human angle here is significant. Manufacturers are scrambling to find cost-effective domestic suppliers, and the mere threat of protectionism has allowed U.S. steel and aluminium firms to raise prices. “It’s creating massive amounts of uncertainty,” Packard noted. While some U.S. manufacturers see these tariffs as a boon, others warn that they simply inflate import costs, making U.S.-made goods equally expensive.

Daco of EY further pointed out that these new levies are more comprehensive than those imposed in 2018, covering finished products in addition to raw materials. The higher aluminium import rate and the layering of duties are “likely to make foreign sourcing more expensive across multiple industries.”

Despite pressure from U.S. allies like Australia and Japan, who sought exclusions, the tariffs have been implemented without exemptions. Australian Prime Minister Anthony Albanese labelled the tariffs “entirely unjustified” but indicated his country would not retaliate. This highlights the varied responses from U.S. trading partners, each navigating the complex geopolitical landscape.

Looking ahead, President Trump has vowed to implement separate reciprocal levies as soon as April 2, targeting trade practices deemed unfair by Washington. This raises the prospect of further escalation and the potential for more products and trading partners to be drawn into the fray. As a news writer, I’ve seen that these economic decisions are not made in a vacuum, they have real world consequences for businesses, workers and everyday consumers.

Stay Updated on the Go with Our Latest News—Join Our WhatsApp Channel Now!
TAGGED:EconomyInternational RelationsPoliticsTradeUS Tariffs
Share This Article
Facebook Whatsapp Whatsapp Telegram Email Copy Link Print
ByGenesis Obong
Follow:
Genesis Obong is a Journalist with relevant experience in Business, Finance and Economic matters in Nigeria and across the West African space.
Previous Article Supreme Court of Nigeria Supreme Court Sets June 6 for Final Judgment in 20-Year Emir of Gwandu Throne Dispute
Next Article Omoni Oboli Gives Reason for ‘Love In Every Word’ Removal from YouTube

Connect with Okay on Social

FacebookLike
XFollow
InstagramFollow
TelegramFollow

Dollar/Naira Rates

Dollar to Naira Exchange Rate

Okay.ng Logo
Buy Rate ₦1,605.00
Sell Rate ₦1,620.00

Last updated: 4 days ago (June 3, 2025 2:33 pm)

Displayed rates are for informational purposes only and are subject to change.

USD/NGN Converter

- Advertisement -
- Advertisement -
Ad imageAd image
- Advertisement -
Ad imageAd image

Recent Posts

Super Eagles Rally to Draw Against Russia in International Friendly
Sport
Manchester United Raises Annual Core Profit Forecast to Between £180m and £190m After Europa League Boost
Sport
Ange Postecoglou
Tottenham Hotspur Part Ways with Ange Postecoglou Despite Europa League Glory
Sport
Dangote Names Main Refinery Access Road “Bola Ahmed Tinubu Road” in Honor of President
News
L-R: Ify Okoye, Digital Creator; Linda Ejiofor-Suleiman, Actress; Stella Erebor, Head Internal Audit, Nigerian Communications Commission; Emanuella Samuel, Comedienne/Actress, Sylvia Musalagani, Safety Policy Manager, Africa, Middle East & Turkey (AMET), Meta, and Nicole Chikwe, founder of The Mummy Summit, during the launch of Instagram teen accounts in Lagos on Wednesday, June 4, 2025
Meta Launches Teen Accounts on Instagram in Nigeria to Enhance Online Safety for Young Users
Tech
- Advertisement -
Ad imageAd image

You May Also Like

News

President Tinubu and Top Officials Attend Eid-el-Kabir Prayers in Lagos, Emphasize Peace and Progress

Oluwadara Akingbohungbe
Oluwadara Akingbohungbe
June 6, 2025
International

Elon Musk’s Net Worth Plummets $34 Billion Amid Explosive Feud with Donald Trump

Oluwadara Akingbohungbe
Oluwadara Akingbohungbe
June 6, 2025
PoliticsTop stories

BREAKING: Akwa Ibom Governor Pastor Umo Eno Defects from PDP to APC in Strategic Political Shift

Oluwadara Akingbohungbe
Oluwadara Akingbohungbe
June 6, 2025
Okay.ngOkay.ng
Follow US
© OKN MEDIA PUBLISHING 2025 - All rights reserved
  • About Okay.ng
  • Advertising on Okay.ng
  • Contact Okay.ng
  • Careers
  • Meet the Team behind Okay.ng
  • Ownership and Funding of Okay.ng
  • Editorial Principles at Okay.ng
adbanner
Welcome Back!

Sign in to your account

Username or Email Address
Password

Lost your password?