25% increase in Tariff by US on Steel and Aluminium will increase the cost of materials by US Importers which will increase the final consumer price by 12.5% if the US companies decided to keep the same margin., Which will create inflation in US by 12.%, but US Govenment will get more revenue.” which will make America Great Again”

If the US company decided to keep the Final Consumer price same as earlier and decided to absorb the cost , the US company’s profits will come down by 12.%

What is the impact to Australia:

As this is a global Trariff to all nations, the impact will be none, but if Australia Imports Steel and Aluninium Finished products from US it will increase the cost of those imports by 12.5%- If Australia need to do is create value added products in steel & Aluminium Industries in Australia- If US can manufacture why cant Australia do it here.

Julius Mather

www.northcityaccountants.com.au