Report Says Tariffs Hit American Equipment Manufacturers Hard

(WASHINGTON, DC) With tariffs continuing to take a toll across the country, a new report by IHS Markit outlines the impact of tariffs on the equipment manufacturing industry and the broader U.S. economy. President of the Association of Equipment Manufacturers (AEM) Dennis Slater says “tariffs on steel, aluminum, and Chinese imports, as well as the potential for additional tariffs, are driving up the cost of production, delaying capital investments, and impeding job creation.” The report estimates the impact of the Trump administration’s Section 232 and 301 tariffs on $265 billion of imports will hurt the U.S. economy, largely from the direct effect of higher prices, yielding average lost GDP of $29 billion a year for 10 years. According to the report, tariffs will also increase costs of producing U.S. agriculture and construction equipment by 6 percent.