Gary Painter, BEARE Chair and professor of real estate in the Lindner College of Business, spoke with Fox 19 for a story about tariffs that have been imposed on three of the nation's largest trade partners to address trade deficits.
There is a 25% tariff on imports from Canada and Mexico and products from China are subject to a 10% tax increase over existing tariffs, reports Fox 19.
"It's likely that people who live in the Midwest, Ohioans, people who live in this region are probably going to face higher prices and be shocked perhaps more than people who live in other states," Painter told Fox 19.
Painter, who holds a PhD in economics, says the long term goal is to force industry to move back to the United States, but tariffs could trickle down to make things more expensive for consumers in the short term.
"The tax of 25% is placed on the goods that's being imported and then in the long-term, if industry does move back to the U.S, it actually might be a more expensive place to produce whatever that good or service is so that will also lead to higher prices," Painter continued.
Ohio is home to nearly 100,000 auto and related industry workers. Automakers with factories in Ohio include General Motors, Stellantis, Honda and Ford.
"If, for instance, GM moved a plant from Ohio to Canada to begin with, they did it because it was going to lower the cost of cars. So it could be great for all the workers, but for consumers you are going to see a higher cost," Painter told Fox 19.
Tariffs on Canada might hurt Ohioans more than tariffs on Mexico or China.
"Canada is our largest trading partner," explains Painter. "Cars could be the first item people notice. There are many items in the supply chains that our local businesses use that are important. Canada is a huge supplier of natural resources."
Listen to the full Fox 19 interview online.
Learn more about Dr. Gary Painter online.
