Tariffs and Trade
Tariffs are a cornerstone of the Trump administration's economic policy. Poole experts are here to analyze their effects on the economy, supply chains and North Carolina.
What is a Tariff?
A tariff is, simply put, a tax on goods purchased from a foreign country. Tariffs can be imposed as a percentage of the value of the good, or as a flat rate added to the price of that good.
Historically, countries have used tariffs to do three things:
- Generating revenue to fund government functions
- Encouraging more spending on domestic goods
- Retaliating against other countries for their trade practices
In the second half of the 20th century, the use of tariffs declined as countries negotiated bilateral and multilateral reductions and free trade agreements. They returned during President Donald Trump’s first term. Trump levied new tariffs on thousands of products from China, ranging from medical devices and televisions to electric vehicles and aircraft components. President Joe Biden maintained and, in some cases, expanded on those tariffs.
Tariffs have exploded since Trump took office again in January 2025. In early April, he announced 10% tariffs on nearly all U.S. imports. Larger, country-specific tariffs were announced at the same time and delayed—first until early July, then until August.
The administration has imposed higher tariffs on goods from China (20%), Canada (10-25%) and Mexico (10-25%). In response, China, Mexico, Canada, the European Union and other countries have threatened or instituted their own tariffs on U.S. goods
As the tariff situation continues developing, Poole College experts analyze their effects in Poole Thought Leadership articles and for local, state and national media outlets.
Opportunity in Uncertainty: Tariffs and Small Business
insight from Our Tariff Experts
“Impending domestic price hikes are going to be swift and large. The effective rate will likely surpass 25% because of how interdependent global supply chains are.”
“U.S. companies face a decision—to either raise prices by the amount of the tariff or keep prices relatively the same and lower their margins.”
“The effects of these tariffs will surely cause prices to rise for U.S. consumers. I am more concerned about supply chains shutting down due to disruptions in product flows.”
Tariffs and supply chains
poole experts in the news
Rob Handfield Links Supply Chain Strength to Top Company Performance
Andrew Greenland Explains U.S.-China Tariffs and Global Trade
Andrew Greenland Explains the Economic Impact of U.S. Tariffs
Poole Professor Says Tariffs Could Strain Holiday Supply
Rob Handfield on Tariffs and Consumer Spending Choices
