{"id":16299,"date":"2025-02-11T22:14:46","date_gmt":"2025-02-11T22:14:46","guid":{"rendered":"https:\/\/torontotribune.ca\/index.php\/2025\/02\/11\/from-fridges-to-cars-what-products-might-cost-more-with-metal-tariffs-national\/"},"modified":"2025-02-11T22:14:46","modified_gmt":"2025-02-11T22:14:46","slug":"from-fridges-to-cars-what-products-might-cost-more-with-metal-tariffs-national","status":"publish","type":"post","link":"https:\/\/torontotribune.ca\/index.php\/2025\/02\/11\/from-fridges-to-cars-what-products-might-cost-more-with-metal-tariffs-national\/","title":{"rendered":"From fridges to cars, what products might cost more with metal tariffs? – National"},"content":{"rendered":"


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With tariffs<\/a> on steel and aluminum set to take effect next month<\/a>, economists say the costs of a wide range of items could go up as businesses pass those costs to consumers.<\/p>\n

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President Donald Trump\u2019s<\/a> tariffs of 25 per cent on steel and aluminum means those companies paying more as a result of the tariffs will try to \u201cclaw back\u201d the increases, says economist Moshe Lander.<\/p>\n

\u201cAnything then that involves steel and aluminum is going to hit us,\u201d Lander said.<\/p>\n

\u201cThink about all of the trucks, trains, bridges, factories, warehouses, distribution networks that use steel and aluminum in any part of that chain, that money then gets passed on.\u201d<\/p>\n

A new note from the Royal Bank of Canada (RBC) on Tuesday cautions that while prices would rise, \u201clikely not enough to have a significantly destablizing effect on the economy.\u201d<\/p>\n

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The question for many is, how much could costs go up \u2014 and on what?<\/p>\n

Steel and aluminum inputs that comprise many of a vehicle\u2019s internal parts and auto body will sometimes cross the Canada-U.S. border multiple times before a finished vehicle rolls into a dealer\u2019s lot.<\/p>\n

Those crossings, especially if retaliatory tariffs are applied like in 2018, could mean more costs to produce vehicles.<\/p>\n

\u201cYou can produce a sheet of steel in Hamilton, it can go across the border for three or four or five times before it lands in a car,\u201d said Peter Warrian, a senior research fellow at the Munk School of Global Affairs and a steel economist.<\/p>\n

Erik Johnson, senior economist at BMO Capital Markets, told Global News on Monday<\/a> that the average price of a new vehicle could rise US$400 to US$700 under the new trade restrictions.<\/p>\n

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But if domestic U.S. producers raise their prices in response to the tariffs, that price could be closer to $1,000.<\/p>\n

In addition to the vehicles themselves, the Insurance Bureau of Canada said in an interview<\/a> that as costs rise on things like cars and trucks, the cost of auto insurance claims will reflect those increases which is the biggest piece in an auto insurance premium.<\/p>\n

The same is true for many appliances, too.<\/p>\n

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Whether it\u2019s a fridge or coffee maker, you might see the price on your appliances increase due to the tariffs because of the steel and aluminum that goes into making it.<\/p>\n

\u201cSo many of these appliances are made in the States, come back across the border,\u201d Warrian said.<\/p>\n

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Warrian said steel can be produced in Hamilton, Ont., but then cross the border multiple times before it lands in a product and thus leads to an increase in cost.<\/p>\n

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\n\t\t\t\tCould housing costs rise? \t\t\t<\/h2>\n<\/p><\/div>\n

Manufacturing and construction could also see costs rise, with Warrian noting there\u2019s steel in many newly-built homes, not only in the appliances but in the building itself.<\/p>\n

The Canadian Home Builders\u2019 Association told Global News in a statement that the immediate impact from Trump\u2019s tariffs on steel would likely not affect Canadian home-building prices right away, in part due to the lack of retaliatory duties by Canada.<\/p>\n

That could change if Canada retaliates.<\/p>\n

However, a spokesperson cautioned if the U.S. tariffs stay in place for some time, it could have \u201csevere impacts\u201d on some local economies and result in slower housing starts due to the impact on jobs and reduced consumer confidence.<\/p>\n

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\n\t\t\t\t‘Weird ways’ tariffs can surface\t\t\t<\/h2>\n<\/p><\/div>\n