Costs expected to spike as Trump tariffs kick in

PROVIDENCE, R.I. (WLNE) — According to AAA, gas is an average of $3.01 in Massachusetts, and in Rhode Island, the average price is just under $3.00.

According to Governor Healey’s statement, energy and gas prices could skyrocket as a result.

Healey said the cost of a 25 percent tariff on petroleum and natural gas imports from Canada would be around 20 cents per gallon in extra costs for gasoline and home heating oil.

Healey said that would add up to $910 million annually for Massachusetts residents, and over $2.5 billion for New England as a whole.

“These tariffs were a bad deal last month, and they’re still a bad deal now,” said Healey.

“President Trump is putting a tax on energy, housing, groceries, cars, electronics and appliances that we rely on, and we will all pay the price.”

The auto industry is also expected to take a hit with the average new car cost increasing by over $3,000 according to research from JP Morgan.

“I suspect by Memorial Day, we will all feel the effects of the higher prices on all these different products that we import from China, Canada and Mexico,” said Mark Zandi, Chief Economist at Moody’s Analytics.

Trump said the tariffs are needed and that the U.S. is getting ripped off by bad trade deals that cost American jobs.

He claims Canada and Mexico aren’t doing enough to stop illegal immigration and fentanyl shipments, even though less than one percent of the fentanyl in the U.S. comes across the Canadian border.

Trump is expected to lay out his tariff plan in an address.