As representatives of American companies kick off six days of public hearings on the newly proposed tariffs on Chinese goods, the National Association for Business Economics (NABE) has released a report detailing economists’ views on President Donald Trump’s controversial levies.
According to a survey of more than 250 of the organization’s members, a resounding 91 percent of respondents considered tariffs and even the threats of additional tariffs to have “unfavorable consequential impacts” on the growth of the U.S. economy.
“Panelists also expect unfavorable consequential impacts should the United States withdraw from NAFTA,” said NABE vice president Kevin Swift, citing two-thirds of respondents. The North American Free Trade Agreement is still under negotiation, with Trump previously declaring that he would not sign another deal ahead of the midterm elections in November.
Early this month, the Trump administration finalized its second set of tariffs against China, subjecting approximately $16 billion worth of Chinese imports to levies of 25 percent, which takes effect on August 23. (The first round, already applied, included $34 billion worth of Chinese imports.) Although the footwear industry was mostly excluded, metal eyelets, shoe polish, textiles and leathers used in the production of shoes made the list.
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“It’s very difficult to see how this doesn’t negatively impact all Americans in every walk of life,” FDRA president and CEO Matt Priest previously told FN. “The president claimed that trade wars are easy to win, but what our industry has always known is coming true: Trade wars are costly, unnecessary and do harm to the American economy.”
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