When Trump tried to bully the European Union in 2018 by imposing tariffs, the Europeans fought back with retaliatory sanctions of their own, including ones on coal and bourbon. The bourbon tariff, for example, was 25% – and was just ended in 2022.
Back then, Kentucky was caught in the cross-fire.
Now, Trump 2.0 is at it again. And once again, we are in the middle.
Tariffs on Mexico
Trump has announced tariffs against Canada and Mexico. As shown by this map from Voronoi, Mexico is our largest source of inports. Tariffs against Mexican products are going to raise our prices substantially.
Tariffs on Canada
But its our neighbors to the north and their response to Trump’s ridiculous trade war that are going to hit Kentucky the hardest.
The 2018 retaliatory tariffs by other countries cost Kentucky distillers upwards of $580 million. They may be even higher this time around.
Even worse, some store owners in Canada are taking Kentucky bourbon completely off their shelves. “Buy Canadian rye” is the new marketing phrase.
How many Kentuckians in the bourbon industry and related segments will lose their jobs because of Trump’s tariffs?
But in addition to bourbon, there’s another Kentucky industry that will be affected: peanut butter.
Yes, Canada is considering retaliatory tariffs on peanut butter. And why? Because they want to make Trump voters in Kentucky feel the pain – and what better way than to go after the world’s largest peanut butter factory, the Jif plant in Lexington?
Oh, and let’s not forget our friends in the EU. Spectrum News is reporting that the EU says those 25% tariffs, that just ended in 2022, will be 50% this time if Trump doesn’t back off.
It doesn’t matter how you voted in 2024. In 2025, we’re ALL going to be hurt by the reckless, petulant actions of our out-of-control president.
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