Donald Trump keeps flirting with 25% tariffs on Canada and Mexico. They've been delayed for a month starting Tuesday, but the way things are going, that might not be true by the time you read this.
The effect of the tariffs are expected to impact the U.S. economy and our trading partners. But one state is particularly exposed: Texas.
Texas has a $300 billion trade relationship with Mexico all on its own, which has supported hundreds of thousands of jobs and brought in billions in capital investment to the state.
These unnecessary Trump tariffs could raise the price of what Texans eat and drink. That includes beer, liquor, produce, agave, sugar, coffee and chocolate. This won't bode well for the Austin bachelorette party scene.
They could also raise the already high housing prices as tariffs are set to hit imported raw materials needed to build homes like lumber and drywall.
Out in West Texas, oil producers, who get pipes from Canada and Mexico, are going to spend more money to follow Trump's "drill baby drill" initiative, especially with the tariffs hitting steel, aluminum, and copper.
In the trucking industry, which has boomed under free trade the tariffs are expected to increase the cost of semi trucks and decrease demand for trucking, meaning less business and at a higher cost.
This doesn't even take into account the fresh produce Texas needs in the winter months. Or the coffee we're all addicted to. Or the ingredients needed for all of the Tex-Mex their restaurants are known for.
Yee-haw?
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