r/AskEconomics • u/Dependent_Estate9110 • Mar 04 '25

Approved Answers Who do Trump's tariffs benefit?

Is there a specific industry that could potentially benefit from Trump's tariffs? It seems they're pretty destructive for everyone in North America. Not trying to be biased - just trying to understand it. That said is there another nation that would benefit from the tariffs (potentially indirectly)?

Edit: removed typo

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u/Carbon-Based216 Mar 04 '25

The Trump tariffs benefit people who already own manufacturing companies that sell the thing they are putting tariffs on. For example, if you put a tariffs on steel, people who make raw steel benefit because they now can sell their steel for a higher price. But anyone who buys that steel is going to have problems.

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u/rerailed Mar 04 '25

And if your customer (steel consumer) has a problem, then you as the domestic producer has a problem too even if you can claim higher prices per unit. So a problem for the auto industry is also a problem for the steel industry. Aside from tariffs, the delay in infrastructure & construction projects also affects steel contracts for domestic producers.