Trump Imposes 25% Tariffs on Trucks, Pharmaceuticals, and Kitchen Cabinets

Trump Announces New Tariffs on Trucks, Drugs, and Kitchen Cabinets In a move aimed at protecting US manufacturers, President Donald Trump announced new tariffs on imported trucks, pharmaceuticals, and kitchen cabinets. The measures, set to take effect from October 1, will impose a 25% tax on heavy-duty trucks, a 50% levy on kitchen and bathroom cabinets, and a 10% tariff on branded or patented drug imports. The president unveiled the industry-focused measures on his Truth Social platform, citing the need to prevent "the large scale 'FLOODING' of these products into the United States by other outside Countries." Trump's announcement comes despite calls from US businesses for the White House to refrain from imposing further tariffs. Neil Shearing, chief economist at Capital Economics, noted that while the tariff on pharmaceuticals may seem significant, it is not as substantial as it appears. "Many of the world's largest pharmaceutical companies either already have some production in the US or have announced plans to build factories here," he said. This means that only a small portion of imported drugs will be subject to the 10% tariff. The new tariffs are expected to impact various industries, including manufacturing and logistics. The 25% tax on heavy-duty trucks may lead to increased costs for companies such as trucking firms and manufacturers that rely on these vehicles for transportation. Similarly, the 50% levy on kitchen and bathroom cabinets could affect home builders and furniture makers. The US Chamber of Commerce has expressed concerns about the impact of tariffs on businesses, particularly small and medium-sized enterprises. "Tariffs are a tax on American consumers and workers," said a spokesperson for the organization. "We urge the administration to reconsider these measures and explore alternative solutions that promote fair trade." The new tariffs will add to the existing trade tensions between the US and other countries, including China, Canada, and Mexico. The move is likely to be met with resistance from international partners and could lead to retaliatory measures. As of now, it remains unclear how the new tariffs will affect the economy in the long term. However, analysts predict that they may lead to higher prices for consumers and potentially slow down economic growth. The White House has not provided a detailed timeline for implementing the new tariffs, but sources indicate that the administration is working closely with industry stakeholders to ensure a smooth transition. By Osmond Chia and Charlotte Edwards Business reporters covering trade policy and economics. *Reporting by Bbc.*