Local shoppers, businesses brace for price surge, as experts say tariffs will have economic impact

COLUMBIA, Mo. (KMIZ)

Tariffs going into effect on Tuesday means businesses and shoppers should expect to pay more for common goods, a local professor says.

President Donald Trump announced during a Monday press conference that 25% tariffs on Mexico and Canada will begin on March 4, as well as an additional 10% tariff on Chinese goods. Trump's decision comes about a month after Trump postponed Mexico and Canada from having to pay the tariffs after reaching an agreement.

"It doesn't mean they're going to necessarily be 25% more expensive because it depends on the demand for that particular good as well as the shift due to the tariff in supply," said MU professor Joe Haslag. "But, it will have at least some impact on prices and it's going to be up."

Americans should expect to pay more for various consumer goods.

Items from Canada, like milk and wood, could be more expensive. Consumers should also expect beer from Mexico to cost more, Haslag said.

"It's not a great look," MU sophomore Cal Andrews said. "I mean, it's just it's harder and harder for people to buy groceries as it is and people need to feed themselves and need to feed their families."

Andrews and his friend Esteban Vera recently started shopping at Aldi in Columbia, hoping to save money on groceries where they can. The two say they've noticed a price increase on some foods such as produce at other stores, leaving them hesitant on what the future of grocery shopping could look like.

"It's kind of a turbulent time in the United States. It's kind of hazy on where to go from here. I do think in the short term it'll hurt the consumers pockets more than anything," Vera said.

According to Haslag, businesses play the role of the middleman in the mix, meaning costs will also increase for them. They should expect to sell fewer imported goods as a result, he said.

Adli cashier Savannah Gilbert said she's already heard comments from some customers over surging egg prices. Monday's announcement about tariffs is something she says could become problematic, as people may hesitate on shopping there for certain goods down the road.

On the other hand, Gilbert says it could end up benefitting the store in some ways.

"It could for sure because our prices, like even I grocery shop here and it's definitely lower. People always are like, 'if I got this at Walmart, it'd be like $100 more,'" Gilbert said.

According to Haslag, the tariffs will likely have a short lived impact on inflation.