7 Items To Stock Up on in Response to Trump's Tariffs

Yahoo

4 hours ago

In the politically tumultuous world of looming inflation, you have to start asking yourself what to stock up on in response to price hikes. Do you purchase items from Canada, Mexico or China?
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The Trump Administration has placed an additional 25% tariff on imports from Canada and Mexico and an additional 10% tariff on imports from China, according to the White House's official website. These tariffs are on top of existing tariffs already in place — so how could this affect consumers' personal finances?
There has been a lot of back and forth with the tariff mandates, but ultimately, it comes down to how much each will impact your wallet. Here are some examples:
Homes: The National Association of Home Builders (NAHB) estimated that before the recent 50% tariffs on steel and aluminum, tariff activity added roughly $10,900 to the average cost of a new home. This could also reduce the number of homes being built, which would create a housing shortage, and lead to higher inflation pricing thanks to warped supply and demand.
Car: Some economists predict that Trump's Tariffs are expected to drive up auto costs anywhere between $4,000 to $12,500, depending on what type of car you buy and where it comes from. For example, there is an imposed 25% tariff on steel and aluminum that could hurt U.S. automakers on imports from Mexico and Canada.
Food: Coffee from Brazil (tariff rate: 10%) and Colombia (tariff rate: 10%); Olive Oil from anywhere in the European Union (tariff rate: 20%); Seafood from Chile (tariff rate: 10%), India (tariff rate: 26%), Indonesia (tariff rate: 32%) and Vietnam (tariff rate: 46%); Fruit from Guatemala (tariff rate: 10%), Costa Rica (tariff rate: 10%) and Peru (tariff rate: 10%)
In an ideal world, these tariffs wouldn't increase the price for U.S. consumers; however, this isn't realistic. With that in mind, try to make some intentional purchases for items now that are subject to Trump's tariffs and will go up in price, if they hopefully haven't already. Here are a few things to add to your shopping list to grab before stores have to restock with more expensive inventory.
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Countless well-known computer brands, such as Apple, Dell and HP, create and assemble their products in China. According to the Observatory of Economic Complexity (OEC), 8.7% of all exports from China are for computers. If you're thinking about upgrading your work laptop or gaming PC, consider doing so now before prices are adjusted for tariffs.
TV and other broadcasting equipment accounted for 12.5% of exports from China to the United States, according to the OEC. Have you been dreaming about a 75-inch flatscreen TV in your living room? How about upgrading your desk monitors or investing in a surround sound system? Whatever the case, consider buying your TV and electronics equipment now.
China is a major exporter of toys and video games to the United States. In 2023, toys, video games and card games accounted for 5.40% of imports into the United States, per the OEC. Now might be a great time to stock up on birthday presents, Christmas gifts and other toy items before prices increase.
If you're a business owner or in the market for a new vehicle, consider expediting your purchase. Over 23% of imports from Mexico in 2023 were related to cars, delivery trucks and accessories, according to the OEC. If you've been considering upgrading your car, it might make sense to get the process started sooner rather than later.
If you enjoy having a cold one after a long day, check where your beverage comes from. In 2023, purchases of beer and hard liquor made up 2.32% of the United States' imports from Mexico, per the OEC. Alcoholic beverages have a long shelf life, making them great items to stock up on.
Canada is a major producer of rapeseed oil, also known as canola oil. In fact, 1.18% of all U.S. imports from Canada in 2023 were for rapeseed oil, according to the OEC. If canola oil is your preferred cooking oil, consider stocking up, as prices are likely to increase due to tariffs.
Wood products, including sawn wood, particleboard board and wood carpentry items, made up 2.25% of imports from Canada in 2023, per the OEC. If you're considering starting a new project or ordering a new piece of furniture, now might be the time to stock up. The prices for lumber and products containing wood and particleboard may increase over the next few months.
New tariffs don't always mean prices will increase. However, taking a proactive approach and stocking up on items you would already be purchasing can safeguard your wallet if prices do rise.
Caitlyn Moorhead contributed to the reporting for this article.
Editor's note on political coverage: GOBankingRates is nonpartisan and strives to cover all aspects of the economy objectively and present balanced reports on politically focused finance stories. You can find more coverage of this topic on GOBankingRates.com.
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