TO: The Honorable Mike Johnson, Speaker, U.S. House of Representatives
The Honorable Hakeem Jeffries, Minority Leader, U.S. House of Representatives
The Honorable John Thune, Majority Leader, U.S. Senate
The Honorable Charles E. Schumer, Minority Leader, U.S. Senate
cc: The Honorable Scott Bessent, United States Secretary of the Treasury
cc: The Honorable Howard Lutnick, United States Secretary of Commerce
cc: The Honorable Jamieson Greer, United States Trade Representative
SUBJECT: Impact of Tariffs on American Producers and Families
The undersigned individuals write in support of policy proposals that will strengthen the American economy, especially initiatives like the extension of President Donald Trump’s Tax Cuts and Jobs Act, his efforts to defeat the cost-of-living crisis, and his work unleashing affordable and reliable energy and natural resources.
We encourage you to consider whether tariffs may, in many cases, undermine President Trump’s broader long-term economic goals by increasing the cost of goods subject to tariffs. We are especially concerned about tariffs on inputs needed by U.S. manufacturers that make it harder to compete with finished goods made abroad and tariffs that increase the price of necessities like food and housing. To name just a few examples:
Tariffs on steel (especially specialty products like tinplate steel) would increase the cost of canned foods, tariffs on aluminum would increase the cost of canned beverages, and tariffs on fresh fruit and vegetables would drive up grocery prices. Ultimately, increased costs resulting from tariffs are passed along to consumers. We shouldn’t replace falling egg prices with higher prices for other groceries affected by tariffs.
Tariffs on lumber would harm construction workers and increase home prices.
Tariffs on energy would increase prices for businesses that transport goods across the United States.
Tariffs on pharmaceutical goods and medical supplies would increase the cost of healthcare.
Tariffs on automobiles and parts would increase the cost of cars and trucks.
We agree with Treasury Secretary Scott Bessent that the United States does not have a revenue problem. We have a spending problem. Therefore, the best way to address federal deficits is by controlling spending, not by increasing tariffs or other taxes. Furthermore, increasing tariffs to offset tax cuts, resulting in no net benefit to taxpayers, is a policy that should be avoided.
We strongly support efforts that focus on spurring economic growth. We would hate to see President Trump’s efforts to cut taxes and slash regulations undermined by the imposition of costly tariffs. There are many trade policies the Trump Administration can pursue instead of tariffs to reduce the threat of rising prices that are costly for American families. We urge you to bear these policies in mind as you continue working to ease rising costs for consumers. Thank you for your consideration.
Sincerely,
Pete Sepp, President, National Taxpayers Union
Tirzah Duren, President, The American Consumer Institute
Ryan Ellis, President, Center for a Free Economy
Tom Giovanetti, President, Institute for Policy Innovation
Karen Kerrigan, President & CEO, Small Business & Entrepreneurship Council
David Williams, President, Taxpayers Protection Alliance
Mario H. Lopez, President, Hispanic Leadership Fund
Iain Murray, Vice President, Competitive Enterprise Institute
Daniel J. Mitchell, President, Center for Freedom and Prosperity
Joel Griffith, Senior Fellow, Advancing American Freedom
Phil Kerpen, President, American Commitment
Kent Kaiser, Ph.D., Executive Director, Trade Alliance to Promote Prosperity
Tony Zagotta, President, Center for American Principles