President Donald Trump’s pledge to position 25% tariffs on merchandise from Canada may result in an estimated $200 million annual enhance within the whole value of electrical energy in Massachusetts, Gov. Maura Healey instructed the enterprise neighborhood Thursday morning.
Throughout his first day in workplace this week, Trump mentioned he was “thinking” about putting 25% tariffs on items arriving from Mexico or Canada as quickly as Feb. 1 after first threatening the transfer months in the past. He has additionally pitched tariffs on China.
Healey mentioned tariffs on the three nations that signify Massachusetts’ largest buying and selling companions would “harm our entire economy” and a 25% tariff on Canada alone would enhance the overall value of electrical energy in Massachusetts by as a lot as $200 million annually.
“And half of that will be borne by commercial and industrial ratepayers. So there is no doubt: Tariffs will mean higher costs for residents — including for the basics they depend on, like clothing and groceries. They will mean higher costs for businesses of all kinds,” Healey mentioned.
The primary-term Democrat from Arlington, recent off rolling out her fiscal yr 2026 price range, pushed enterprise leaders at an occasion hosted by the Related Industries of Massachusetts “to do all we can to urge the administration to reconsider.”
Massachusetts trades a mixed $29 billion price of products with Canada, Mexico, and China annually, together with lumber, residence and manufacturing unit constructing supplies, and vitality to energy houses, companies, and automobiles, based on Healey.
Healey, who final yr referred to as the prospect of tariffs “devastating” for New England, mentioned Thursday that they’re “very concerning to me” and the “stakes are high.”
“Anything that hurts your business, hurts our state. That’s why we are aligned and can speak with one voice on this issue,” she instructed enterprise leaders.
In a string of November social media posts, Trump tied tariffs to “thousands” of migrants crossing into the USA by Mexico and Canada who convey “crime and drugs at levels never seen before.”
He mentioned taxes would stay till medicine like fentanyl and “all illegal aliens stop this Invasion of our Country!”
“Both Mexico and Canada have the absolute right and power to easily solve this long-simmering problem. We hereby demand that they use this power,” he mentioned. “Until such time that they do, it is time for them to pay a very big price!”
Prime Canadian ministers mentioned this week that they had been able to retaliate if Trump strikes ahead with a 25% tariff on items from the nation.
Canadian International Minister Mélanie Joly mentioned officers will proceed to work to forestall tariffs however mentioned they’re additionally “working on retaliation.”
Canadian Finance Minister Dominic LeBlanc mentioned Trump might be unpredictable.
“It would be a mistake for the American government to proceed with imposing tariffs, in terms of the cost (of) living in the United States, in terms of jobs in the United States and the security of supply chains,” LeBlanc mentioned.
Canada serves as the highest export vacation spot for 36 U.S. states and almost $2.7 billion price of products and providers cross the border every day. The nation can be one of the crucial trade-dependent on this planet and 75% of its exports go to the U.S.
Supplies from the Related Press had been used on this report.
