Expert discusses tariff effects on New Orleans consumers

NEW ORLEANS (WGNO) — President Donald Trump has said that the reciprocal tariffs on imports are set to begin April 2.

According to some experts, the uncertainty of the situation will cost companies, which, in turn, causes disruption, but according to Trump, the tariffs will incentivize companies overseas to relocate to the U.S.

“We have a better view that we’re sort of still approaching a broader 25% tariff on all goods in Canada and Mexico, and potentially a broader reciprocal tariff policy in some form that could extend to many more trading partners globally,” said Richard Barnett, the chief marketing officer for the company Supplyframe, an intelligence platform for the global electronics value chain.

In China, a lower tariff will be placed on imports, and the president has said he plans on imposing a tariff on all imports from any country that buys oil and gas from Venezuela.

According to Barnett, effects on consumers will vary.

“Some tariffs on direct imports of consumer goods that come straight into, say, the grocery store or available on an e-commerce platform, like Amazon, some of that will be first wave of visibility,” explained Barnett. “But oftentimes, the broader impact is felt over time because of the nature of these supply chains.”

Barnett says companies will likely be forced to make decisions in the next few months that will affect the amount of traffic each port will see, like the Port of New Orleans.

“When those decisions are made, that could be disruptive because what was a normal transport lane, going to Port of New Orleans for a key set of suppliers, may be turned off they’re actually going to be getting that now through overland, full truck loads, for example, or through rail maybe coming from a different port,” said Barnett.

Barnett recommends that consumers be more conscious about their spending.

“Stay tuned, stay informed and be thoughtful around the timing of your decisions,” said Barnett.

The White House has said this move will allow them to hold countries accountable to their promises of halting illegal immigration and stopping illegal drugs, like fentanyl, from entering the U.S.

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