LAS VEGAS (KTNV) — The trade war unfolding between the United States and our neighbors to the north, south and overseas in China is a big focus during President Donald Trump's address to Congress.
We will likely be paying more for goods here in Southern Nevada — but where will the impact be seen and felt the most?
▶ Related New tariffs on goods from Mexico, Canada and China could mean higher prices at Las Vegas checkouts
It is still unclear on just how much each industry will be impacted, but we know from car parts to fruits and vegetables, meats and more, locals said they're not ready for another price hike.
“I expect to see it maybe next week. I love avocados. They’re going to go up,” said a Las Vegas local.
What is imported?
Here is a list of some of the products the U.S. imports from Canada and Mexico — finding their way into Southern Nevada:
- Car parts
- Oil
- Industrial supplies
- Wood products
About 40% of all U.S. imports come from China, Canada and Mexico.
Jeremy Aguero of Applied Analysis said the tariff fallout will be felt across the whole valley.
There is no industry that won’t see an impact and I think we ought to be very clear about that.
Jimmy Lodge of My Auto Service said he's already seeing the effects.
“About a week ago, I got several emails and calls from a lot of my suppliers saying that they are going to be doing increases,” Lodge said. “It’s about a $3 or so increase for most of our parts across the board, especially brakes, tires and oil filters.”
The tariffs put an additional 25% on all goods from Canada and Mexico to the U.S. and a 20% tariff on China, making it more expensive for those countries to export products here.
Who foots that bill?
Experts said local businesses and consumers will be the ones taking the hit.
Lodge said he'll take the hit for his customers as long as he can.
“As of this time, we are keeping the prices the same in order to help everyone in the community out.”
The Trump administration said the U.S. is facing an emergency situation when it comes to illegal aliens and contraband drugs — saying the tariffs are necessary to "hold those countries accountable for failing to act to stop the flow."
There’s going to be pain one way or another, do we want the future generations to suffer more? That’s what’s going to happen.
Lodge said the tariffs are his reality now.
“I will make it work and we will get through this. Are you worried at all? Everyday…everyday,” he said.
How it may impact local restaurants and produce
Local restaurants may soon feel the impact of tariff increases on ingredients from Mexico.
Channel 13 anchor Abel Garcia stopped by Tacos & Beer — and like many business owners, John Simmons told him they are worried about the impact. He said he may have to raise prices by at least 10%.
Kinda horrifying, to tell you the truth. So much of the product that we use in our food here is produced in Mexico. We go through cases of avocado every day, you know? And the price of avocados has already fluctuated a lot. So add another 25% like people gotta have their guacamole, man. There's no substitute.
Customer Brett Robillard said: "I love this place and support local businesses, but nobody's gonna like it if prices go up and stay that way."
Since the pandemic, John said costs have already gone up 20%.
Over at Tacotarian, a plant-based Mexican restaurant, Channel 13's Jhovani Carrillo spoke with owner Regina Simmons who said she is worried about the tariffs increasing their pricing. She said most of their produce comes from Mexico.
Despite this, she said she is trying hard to not pass down these prices to her customers.
"We will need to see where everything goes up just to do our numbers and figure out what makes sense so we can stay open," Regina said.
Over the last year, she said produce prices have risen and a tariff will only be an additional blow. Right now, she said she pays $85 for a case of avocados. Slap on a tariff and that price only goes up.
