Recent developments in U.S. trade policy have sparked concerns over economic impacts, particularly on women of color. President Donald Trump’s administration has proposed new tariffs that analysts say will exacerbate existing financial pressures. With recent federal spending cuts and layoffs disproportionately affecting women and people of color, these tariffs add another layer of financial strain.
The U.S. Court of International Trade recently ruled that President Trump’s tariffs exceeded his executive authority. However, a federal appeals court temporarily reinstated them to review the government’s appeal, leaving businesses and consumers in a state of uncertainty. Valerie Wilson, leading the Program on Race, Ethnicity, and the Economy at the Economic Policy Institute, highlighted the chaos surrounding these policies, noting their impact on economic stability.
A global survey by Allianz Trade, which included 4,500 companies from countries like the United States, United Kingdom, and China, revealed that only 22% of businesses could absorb the increased costs from these tariffs. Over half of the companies indicated they would need to raise prices, affecting consumers who are already financially vulnerable, such as women of color.
The tariffs, currently at a 22.5% rate, the highest since 1909, are expected to cost average consumers $3,800 annually. For those with lower incomes, this translates to an annual financial loss of $1,700, impacting essential expenses like groceries and household goods. The economic burden on women of color is expected to be significant since they are underrepresented in industries that might see job growth due to these tariffs.
Ashley Panelli, an advocate for economic justice, emphasized that the financial impact is not uniform, with marginalized groups facing harsher consequences. Women of color, already facing wage gaps and higher costs for gender-specific products, will feel these effects most acutely. These tariffs compound existing challenges, such as lack of affordable childcare, housing, and healthcare, all essential to economic security.
In response, grassroots organizations like 9to5 are working to mitigate these impacts, advocating for policies to reduce utility bills, improve childcare funding, and support paid family leave. Members like Deborah Truitt are championing initiatives to help families, especially low-income ones, manage these economic challenges. Truitt is involved in efforts to secure better childcare resources and address potential cuts to essential benefits like SNAP and Medicaid, which millions of Americans rely on.
These tariffs, with their potential to deepen economic disparities, underscore the pressing need for policies that address the unique challenges facing women of color and other marginalized groups in the U.S. economy.
Source: nonprofitquarterly.org
