PROVIDENCE – The Trump administration’s proposed 25 and 10 percent tariffs on steel and aluminum, respectively, will increase prices on those imports and has inspired European Union retaliatory tariffs on U.S. bourbon, both of which would negatively affect the state’s brewing and distillery industries.
The analysis of the possible impact of the U.S. tariffs was outlined by the Brookings Institution, which also broke down the percent of state economies steel and aluminum imports account for.
According to the Brookings analysis of U.S. Census Bureau data, Rhode Island imports $12 million worth of aluminum annually, and $4.3 million worth of steel. Combined, the two imports account for 0.2 percent of the state’s gross domestic product.
Brookings notes the EU has also identified tariffs on U.S.-made blue jeans and motorcycles.
The institute also warned of the ripple effects of higher prices for steel and aluminum imports, which are critical in industries including auto manufacturing, construction and brewing.
Rob Borkowski is a PBN staff writer. Email him at Borkowski@PBN.com.