Echo opinions about tariffs ~ from Pittsburgh: Costs will transfer to middle class

Prior to the Pennsylvania District 18 special election, rumors were circulating about the "real" reason Donald Trump made a surprise tariff policy on aluminum and steel. Coincidence? I don't think so. These two letters published in the Pittsburgh Pennsylvania Post Gazette fly in the face of how tariffs will protect manufacturing. Instead, the tariffs will cost middle class consumers more money.

Two opinion letters to challenge the Donald Trump tariff on aluminum and steel, published in the Pittsburgh Post Gazette:

Tariffs are an indirect tax on consumers ~ Arthur L. Goldbert, Squirrel Hill 

Basic economics shows the Trump tariffs are a bad idea ~ Ruben Berrios, Highland Park, PA

Letter #1

Donald Trump steel and aluminum tariff is an indirect tax on all consumers. In other words, all people who consume products using steel and aluminum will pay for the tariff.

Higher costs to U.S. manufacturers using imported steel and aluminum will be passed on in higher prices to U.S. consumers. 

Domestic steel and aluminum prices will increase to the competitive market level that reflects the import tariff. And imported finished products, such as cars, that include steel and aluminum will also have higher prices as the importers will, for sound economic reasons, increase their prices to mirror the higher prices of domestically produced competitive products.

The argument for tariffs being supportive of our national security is wrong when the largest source of steel imports is Canada — a country whose citizens have fought and died in all wars and is the closest possible US ally.

Protectionism is not useful. But consider the potential impact of tariffs from other countries, and the potential loss of employment in the impacted businesses, and deciding how best to increase jobs in general and not in a specific industry. The latest jobs report showed a low unemployment rate and higher labor force participation. Certainly many unemployed steel workers could work elsewhere with a little help. The idea of having a guaranteed job for life is just no longer valid. ~ Arthur L. Goldbert, Squirrel Hill

Letter #2 

Loss of jobs in manufacturing has been due mainly to automation rather than competition from abroad. Under free trade, there are winners and losers, but as long as the gains outweigh the losses, trade is beneficial. It is competition that has lowered prices.

European allies are set on using retaliatory measures if Mr. Trump proceeds in slapping tariffs on the rest of the world. This will not be a win-win situation. On the contrary, once retaliation ensues, there will be severe consequences.

In addition, prices in industries that use steel and aluminum will rise and lead to inflationary pressure. This is basic economics that supersedes ideological posturing that will lead nowhere. Mr. Burris, how about learning some basic economics? Ruben Berrios, Highland Park, PA