There is no question that the tariffs are a tax on the American People. Most people wont see the full 25%, as it is on the initial import price only. Depending on what you buy, where, there may be an importer, a wholesaler, and then a retailer, or 2 of those, or only one of those- but each will mark up the price. If the price gets doubled from the import price, as some things do, then the tax is only 12.5% of the retail price. Some things will be marked up less, in which case the tax is a higher percentage of retail. For instance, the price of Washers and Dryers has gone up about 10% to 12% since the tariffs on them was put in place.
But, one way or another, SOMEBODY in the USA is paying the tax.
It may be the importer or retailer, who delay raising prices, and eat the tax.
It may be the final customer.
However, in the case of manufacturers, those of us who are not employees, but actually write the checks for materials- we pay all the tax.
So it is a bit more noticeable. Actually, when the tariff was 12%, my costs went up on average 20%. I have yet to see how much they will go up when the tariffs are 25%.
In my business, I use very little chinese raw materials- but the steel and aluminum tariffs affect many, but not all, other countries that sell metals to us. I believe Brazil and South Korea are exempt. Both Brazilian and Korean shows up with some regularity at my local steel distributor.
BUT- and its a big but- ALL steel and aluminum (and stainless) prices went up with the tariffs, even on domestically produced metals.
So If I buy US made steel, I dont pay a tax, the way I would on the Turkish or Russian stuff I have gotten in the past few years- instead, I just pay added profit to Nucor or other "US" mills.
This has added a few jobs to the US steel industry- although, at an estimated cost of $900,000 per job.
Trump'''s steel tariffs cost US consumers close to $900,000 per job, analysis finds | Fox Business
(remember, a sizeable percentage of "US Made" steel, probably around a third of it, is made by foreign owned mills- so the steel is just as "american" as a made in Tennessee Nissan Pickup, or a BMW X3 made in South Carolina).
So- these tariffs benefit the US government, by bringing in between $62 Billion and $120 Billion in new tax revenue from US consumers and manufacturers. Predictions vary depending on the economist, but those figures are PER YEAR. Big tax hike, will help to offset the lost revenue from last years big tax cut.
And these tariffs benefit some US manufacturers, who will raise prices to match the chinese price plus tariffs.
Nobody is going to leave money on table by undercutting the Chinese. No profits there. We have already seen that with every industry that was affected by the first round of tariffs- all costs went up on washers and dryers, or on steel, or aluminum, domestic or imported.
Of course, lots and lots of things are just not made domestically. So if Nike shifts production of shoes from China, it will be to Bangladesh or Vietnam, not the USA. And, since their made in China competitors are now more expensive due to tariffs, Nike can bump up their profits on the Vietnamese shoes, and make more money. US workers dont benefit, either in wages, or in costs of goods, but many "US" companies that manufacture offshore will see increased profits.