Part 7/9:
While upstream producers might enjoy short-term gains due to higher prices and potential market share increases, the downstream industries—including manufacturing and infrastructure—could face increased costs and reduced competitiveness. This mirrors past experiences with steel and aluminum tariffs in the U.S., where the initial positive effect on domestic producers was offset by adverse impacts downstream, leading to a net negative effect on the broader economy.
Vivec Da cautions that should the tariffs fail to unfold as planned—either due to diplomatic negotiations or market reactions—the negative repercussions could outweigh benefits, potentially hurting the U.S. economy more in the long run.